J.M. Smucker (NYSE:SJM) reported first-quarter results on Wednesday that aligned with market expectations, while also increasing its sales outlook for the full year. However, the company’s profit guidance came in below analyst estimates.
Shares of the packaged food company slid nearly 7% in premarket trading following the announcement.
The company posted earnings per share of $1.90, matching the consensus estimate. Revenue totaled $2.11 billion, in line with forecasts, but down 1% compared with the same period last year. On a constant currency basis and excluding divestitures, net sales grew 2%.
“Our first quarter results exceeded our expectations and reflect the continued momentum of the business,” said Mark Smucker, CEO and Chair of the Board at J.M. Smucker.
“Our results reflect strong top-line growth, driven by consumer demand for our portfolio of leading brands, and bottom-line results that reflect disciplined cost management and execution.”
He added, “Due to the better-than-expected first quarter results and sustained momentum for our portfolio of leading brands, we are raising our net sales expectations for the fiscal year.”
Smucker now projects net sales growth in the range of 3% to 5%, up from the prior 2% to 4% forecast. Free cash flow guidance was also increased to $975 million from $875 million.
For fiscal 2026, the company expects EPS between $8.50 and $9.50, falling short of the $9.17 consensus at the midpoint.