Revenue
Earnings
The consensus target for earnings per share in the fourth quarter of 2025 is $2.25, which implies a drop of 15% from the same period last year. In Q3 2025, adjusted EPS rose 5% YoY to $2.61.
Points to note
JM Smucker has been facing a challenging operating environment, as inflationary pressures and a reduction in discretionary income have led to softness in the sweet baked goods category, impacting its Hostess brand. The slower-than-expected recovery in sweet baked snacks led the company to lower its outlook for this business for the fourth quarter of 2025.
SJM has been seeing gains in brands like Uncrustables, Café Bustelo, and Meow Mix. In Q3, net sales for Uncrustables grew by 15% at the total company level and this brand is on track to reach sales of $900 million in fiscal year 2025. The Coffee segment continues to benefit from higher pricing and the at-home coffee category remains resilient. In Pet Foods, the dog snacks category is facing headwinds from inflation and reduced discretionary spending but the cat food category remains strong. The company’s efforts in product innovation and marketing are expected to help drive growth across its portfolio.
SJM is working on reshaping its portfolio in order to reaccelerate growth in the sweet baked snacks business. As part of these efforts, the company divested some of its value brands to JTM Foods and announced plans to close its Indianapolis manufacturing facility. These steps are expected to reduce costs and complexity in the business and help drive growth.