JM Smucker 2026 forecast misses estimates amid tariff uncertainty

Published 10/06/2025, 12:20
©  Reuters

Investing.com - JM Smucker (NYSE:SJM) has delivered an annual adjusted earnings per share forecast that missed average analysts’ estimates, as the consumer foods group flagged a "dynamic and evolving external environment" stemming from recent trade tensions.

The Ohio-based group said it expects to deliver 2026 adjusted per-share profit of $8.50 to $9.50, compared with Bloomberg consensus projections of $10.25.

Net sales are tipped to increase between 2% to 4% versus a year earlier, which includes an impact of $134.7 million partly related to the divestiture of its Voortman cookie brand. Free cash flow is seen at $875.0 million.

In a statement, JM Smucker said its outlook reflects "its current understanding" of the effect of tariff-related uncertainty, as well as the impact of ongoing input cost inflation and consumer behavior changes.

Many retailers have flagged murkiness around the trajectory of U.S. President Donald Trump’s punishing tariffs, with some raising concerns that the levies could persuade shoppers to rein in expenditures on nonessential items.

Still, CEO Mark Smucker said the group remains "confident in its strategy" and is "well-positioned to deliver long-term growth and increase shareholder value."

Net sales in the quarter ended on April 30 at the business behind Smuckers jams and Folgers coffee fell by 3% to $2.14 billion. Wall Street estimates had called for $2.18 billion.

Adjusted fourth-quarter operating income slipped by 8.5% against a year ago to $422.4 million, yet topped estimates of $402.3 million. Per-share income on an adjusted basis came in at $2.31, down from $2.66 year-over-year but above expectations of $2.25.

Shares in JM Smucker fell by more than 5% in premarket U.S. trading on Tuesday.

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