The J. M. Smucker Company Announces Fiscal 2018 Third Quarter Results
Source J. M. Smucker Company
ORRVILLE, Ohio, Feb. 16, 2018 /PRNewswire/ -- The J. M. Smucker Company announced results for the third quarter ended January 31, 2018, of its 2018 fiscal year. All comparisons are to the third quarter of the prior fiscal year, unless otherwise noted.
EXECUTIVE SUMMARY
- Net sales increased 1 percent, reflecting growth across most of the Company's key brands and categories.
- Net income per diluted share was $7.32, including a substantial nonrecurring benefit related to recently enacted U.S. income tax reform, partially offset by a noncash impairment charge within the U.S. Retail Pet Foods segment.
- Adjusted earnings per share was $2.50, an increase of 25 percent, including approximately $0.35 per share related to a lower current year tax rate due to U.S. income tax reform.
- Cash provided by operating activities was $469.0 million, compared to $419.5 million in the prior year.
- Free cash flow was $388.7 million in the quarter and $693.3 million through the first nine months of fiscal 2018.
- The Company increased its full-year 2018 earnings and free cash flow outlook.
- With the benefit resulting from U.S. income tax reform, the Company contributed an incremental $20.0 million to its employee pension plan and has announced a one-time bonus of $1,000 to nearly 5,000 employees and a $1 million increase to its charitable contributions.
CHIEF EXECUTIVE OFFICER REMARKS
"We had a strong third quarter, with sales growth for key brands in every business and strong earnings per share growth fueled by the benefits of U.S. income tax reform and ongoing cost discipline," said Mark Smucker, Chief Executive Officer. "These results reflect our commitment to delivering top and bottom line growth and supporting our portfolio of iconic and emerging brands. In addition, the benefits of income tax reform provide incremental fuel to invest in our growth initiatives and support our employees and communities as well as opportunities to increase cash returned to shareholders."
