The J. M. Smucker Company (SJM) Q4 2026 Prepared Remarks earnings summary

Executive summary

• Fiscal 2026 results exceeded guidance with 5–6% comparable net sales growth and strong portfolio performance, especially in coffee, pet foods, and Uncrustables sandwiches.

• Adjusted EPS rose 20% year-over-year to $2.77 in Q4, and free cash flow reached $1.2 billion for the year, enabling accelerated debt reduction.

• Strategic priorities for fiscal 2027 focus on organic volume growth in key brands, margin expansion, and disciplined capital deployment.

• Full-year fiscal 2027 outlook projects net sales to decrease 3–4%, adjusted EPS of $9.75–$10.25, and $1.0 billion in free cash flow.

Financial highlights

• Q4 FY26 net sales were $2.3 billion, up 6% year-over-year; adjusted gross profit rose 4–5%, and adjusted operating income increased 14%.

• Adjusted EPS for the quarter was $2.77, up 20% year-over-year.

• Free cash flow for FY26 was $1.2 billion, up $340 million from the prior year.

• Adjusted gross margin for Q4 was 38.0%; operating margin 19.6%.

Outlook and guidance

• Fiscal 2027 net sales expected to decrease 3–4% due to green coffee deflation and lower volume/mix.

• Adjusted EPS guidance is $9.75–$10.25, a 7–12% increase year-over-year.

• Free cash flow projected at $1.0 billion; capital expenditures of $325 million.

• Adjusted gross profit margin expected to expand to ~38% in fiscal 2027.