J.M. Smucker shares went up on Wednesday after the company reported better-than-expected quarterly earnings and raised its profit outlook for the year, helped by higher coffee prices.
For the fiscal first quarter ending July 31, the company reported adjusted earnings of $3.24 per share, a big jump from $1.90 last year and much higher than Wall Street’s estimate of $2.22. Net sales increased 5% to $2.22 billion, beating the expected $2.13 billion, according to FactSet. The company said higher coffee prices were the main reason for the sales growth.
J.M. Smucker now expects net sales for fiscal 2027 to fall by 1% to 2%. The company predicts adjusted earnings of $10.50 to $11 per share, which is better than its earlier forecast of a 3% to 4% sales drop and earnings of $9.75 to $10.25 per share. This new outlook is also higher than Wall Street’s forecast of $10.07 per share in adjusted earnings.
The stock rose 3.2% in premarket trading on Wednesday, bouncing back after a small drop on Tuesday. It has performed well this month and has made strong gains so far this year through Tuesday’s close.
