Shares of The J.M. Smucker Co. (NYSE: SJM) stayed inexperienced on Thursday. The inventory has gained 4% over the previous three months. The branded meals firm is slated to publish its earnings outcomes for the third quarter of 2026 on Thursday, February 26, earlier than the market opens. Right here’s a take a look at what to anticipate from the earnings report:
Income
J.M. Smucker has forecasted gross sales to extend within the mid-single-digits for the third quarter of 2026. Analysts are estimating income of $2.32 billion, which signifies a rise of 6% from the year-ago interval. Within the second quarter of 2026, gross sales elevated 3% year-over-year to $2.33 billion.
Earnings
SJM expects adjusted earnings per share for Q3 2026 to say no a mid-teen %. Analysts are predicting EPS of $2.26, which suggests a 13% decline from the earlier 12 months. In Q2 2026, adjusted EPS decreased 24% YoY to $2.10.
Factors to notice
SJM’s internet gross sales steerage for the third quarter contains an affect of $26 million associated to the divested Voortman enterprise and sure Candy Baked Snacks worth manufacturers. Comparable gross sales are projected to extend within the high-single-digits, reflecting greater pricing partly offset by unfavorable quantity/combine. The gross sales outlook additionally displays a decline of $6 million of contract manufacturing gross sales associated to the divested pet meals manufacturers.
The decline in adjusted EPS is predicted to be pushed by a drop in adjusted gross revenue in US Retail Espresso and better SD&A expense. The corporate expects adjusted EPS to enhance sequentially all through the fiscal 12 months.
SJM is predicted to profit from the sturdy performances of manufacturers reminiscent of Uncrustables, Café Bustelo, Meow Combine, Milk-Bone, and Hostess. These manufacturers have delivered continued gross sales development and have vital alternative for enlargement. The corporate’s product innovation and advertising and marketing efforts have helped achieve new prospects and enhance family penetration.
Inside its Pet section, SJM is predicted to profit from the pet humanization pattern in addition to its product innovation initiatives because it sees positive aspects within the canine snacks and dry cat meals classes. The moist cat meals and treats classes additionally present vital alternative for development.
