| Metric (Unit: Million USD) | Q3 2023 | Q4 2023 | Q1 2024 | Q2 2024 | Q3 2024 | Q4 2024 | Q1 2025 | Q2 2025 |
|----------------------------|---------|---------|---------|---------|---------|---------|---------|---------|
| United States             | **$2,080.8**  **[0000091419-23-000021_sjm-20230131.htm:10]**  | **$1,676.4**  **[0000091419-23-000113_sjm-20230731.htm:10]**  | **$1,676.4**  **[0000091419-23-000113_sjm-20230731.htm:10]**  | **$1,796.3**  **[0000091419-23-000143_sjm-20231031.htm:14]**  | **$2,094.7**  **[0000091419-24-000010_sjm-20240131.htm:16]**  | **$2,015.4**  **[0000091419-24-000077_sjm-20240731.htm:12]**  | **$2,015.4**  **[0000091419-24-000077_sjm-20240731.htm:12]**  | **$2,136.2**  **[0000091419-24-000103_sjm-20241031.htm:16]**  |
| Canada                    | **$110.0**  **[0000091419-23-000021_sjm-20230131.htm:10]**    | **$102.3**  **[0000091419-23-000113_sjm-20230731.htm:10]**    | **$102.3**  **[0000091419-23-000113_sjm-20230731.htm:10]**    | **$118.9**  **[0000091419-23-000143_sjm-20231031.htm:14]**    | **$111.8**  **[0000091419-24-000010_sjm-20240131.htm:16]**    | **$81.4**  **[0000091419-24-000077_sjm-20240731.htm:12]**     | **$81.4**  **[0000091419-24-000077_sjm-20240731.htm:12]**     | **$100.7**  **[0000091419-24-000103_sjm-20241031.htm:16]**   |
| All other international   | **$25.5**  **[0000091419-23-000021_sjm-20230131.htm:10]**     | **$26.5**  **[0000091419-23-000113_sjm-20230731.htm:10]**     | **$26.5**  **[0000091419-23-000113_sjm-20230731.htm:10]**     | **$23.4**  **[0000091419-23-000143_sjm-20231031.htm:14]**     | **$22.7**  **[0000091419-24-000010_sjm-20240131.htm:16]**     | **$28.3**  **[0000091419-24-000077_sjm-20240731.htm:12]**     | **$28.3**  **[0000091419-24-000077_sjm-20240731.htm:12]**     | **$34.3**  **[0000091419-24-000103_sjm-20241031.htm:16]**    |
| Total International       | **$135.5**  **[0000091419-23-000021_sjm-20230131.htm:10]**    | **$128.8**  **[0000091419-23-000113_sjm-20230731.htm:10]**    | **$128.8**  **[0000091419-23-000113_sjm-20230731.htm:10]**    | **$142.3**  **[0000091419-23-000143_sjm-20231031.htm:14]**    | **$134.5**  **[0000091419-24-000010_sjm-20240131.htm:16]**    | **$109.7**  **[0000091419-24-000077_sjm-20240731.htm:12]**    | **$109.7**  **[0000091419-24-000077_sjm-20240731.htm:12]**    | **$135.0**  **[0000091419-24-000103_sjm-20241031.htm:16]**   |
| Total Net Sales           | **$2,216.3**  **[0000091419-23-000021_sjm-20230131.htm:10]**  | **$1,805.2**  **[0000091419-23-000113_sjm-20230731.htm:10]**  | **$1,805.2**  **[0000091419-23-000113_sjm-20230731.htm:10]**  | **$1,938.6**  **[0000091419-23-000143_sjm-20231031.htm:14]**  | **$2,229.2**  **[0000091419-24-000010_sjm-20240131.htm:16]**  | **$2,125.1**  **[0000091419-24-000077_sjm-20240731.htm:12]**  | **$2,125.1**  **[0000091419-24-000077_sjm-20240731.htm:12]**  | **$2,271.2**  **[0000091419-24-000103_sjm-20241031.htm:16]**  |

1855d8dc931e12cd586b1df9586d638a39aaad8c574102c18fd158a1099df9e2

The J. M. Smucker Company, commonly known as Smucker's, is a leading manufacturer and marketer of branded food and beverage products. The company operates primarily in North America, focusing on retail outlets with a diverse portfolio that includes coffee, peanut butter, fruit spreads, frozen handheld products, sweet baked goods, dog snacks, and cat food **[0000091419-24-000054_sjm-20240430.htm:3]** **[0000091419-24-000054_sjm-20240430.htm:49]**. Notable brands under its umbrella include Folgers, Dunkin', Café Bustelo, Jif, Smucker's Uncrustables, Hostess, Voortman, Milk-Bone, and Meow Mix **[0000091419-24-000054_sjm-20240430.htm:49]** **[0000091419-24-000054_sjm-20240430.htm:4]**. The acquisition of Hostess Brands in 2023 significantly bolstered its presence in the sweet baked goods category **[0000091419-24-000054_sjm-20240430.htm:51]**. The company relies heavily on major retail partners, with Walmart Inc. and subsidiaries accounting for a substantial portion of its net sales **[0000091419-24-000054_sjm-20240430.htm:27]** **[0000091419-24-000054_sjm-20240430.htm:6]**.

1. **U.S. Retail Coffee** - Manufactures and markets popular coffee brands such as Folgers, Dunkin', and Café Bustelo, catering to a wide range of coffee preferences.
2. **U.S. Retail Pet Foods** - Offers a variety of pet food products, including dog snacks and cat food, under well-known brands like Milk-Bone and Meow Mix.
3. **U.S. Retail Frozen Handheld and Spreads** - Produces and sells frozen handheld products and spreads, featuring brands like Jif and Smucker's Uncrustables.
4. **Sweet Baked Snacks** - Engages in the production and sale of sweet baked goods, significantly enhanced by the acquisition of Hostess Brands, with products like Hostess and Voortman.

31243b155729b36dcc487099e680a56d4443fff397ad362b7371fd14672c7132

5a71ffc3f94c6d85d386ae813756100e0854280533683bef64092cc66e1c948f

5807453f7124688bab1433b55704483c38a8fc9a4260af1770ea204eae35f9a1

| Metric (in millions USD)                          | Q3 2023       | Q4 2023       | Q1 2024       | Q2 2024       | Q3 2024       | Q4 2024       | Q1 2025       | Q2 2025       |
|---------------------------------------------------|---------------|---------------|---------------|---------------|---------------|---------------|---------------|---------------|
| U.S. Retail Coffee                                | **$735.1**  **[0000091419-23-000021_sjm-20230131.htm:10]**  | **$692.5**  **[0000091419-23-000052_sjm20230606exhibit991.htm:8]**  | **$625.1**  **[0000091419-23-000113_sjm-20230731.htm:10]**  | **$685.7**  **[0000091419-23-000143_sjm-20231031.htm:15]**  | **$727.5**  **[0000091419-24-000010_sjm-20240131.htm:16]**  | **$666.1**  **[0000091419-24-000029_sjm20240606exhibit991.htm:9]**  | **$623.4**  **[0000091419-24-000077_sjm-20240731.htm:12]**   | **$704.0**  **[0000091419-24-000103_sjm-20241031.htm:16]**   |
| U.S. Retail Frozen Handheld and Spreads           | N/A           | N/A           | N/A           | N/A           | **$436.8**  **[0000091419-24-000010_sjm-20240131.htm:16]**  | **$450.5**  **[0000091419-24-000029_sjm20240606exhibit991.htm:9]**  | **$496.8**  **[0000091419-24-000077_sjm-20240731.htm:12]**   | **$485.2**  **[0000091419-24-000103_sjm-20241031.htm:16]**   |
| U.S. Retail Consumer Foods                        | **$434.2**  **[0000091419-23-000021_sjm-20230131.htm:10]**  | **$453.4**  **[0000091419-23-000052_sjm20230606exhibit991.htm:8]**  | **$464.0**  **[0000091419-23-000113_sjm-20230731.htm:10]**  | **$464.3**  **[0000091419-23-000143_sjm-20231031.htm:15]**  | N/A           | N/A           | N/A           | N/A           |
| U.S. Retail Pet Foods                             | **$758.6**  **[0000091419-23-000021_sjm-20230131.htm:10]**  | **$785.3**  **[0000091419-23-000052_sjm20230606exhibit991.htm:8]**  | **$441.0**  **[0000091419-23-000113_sjm-20230731.htm:10]**  | **$464.0**  **[0000091419-23-000143_sjm-20231031.htm:15]**  | **$465.2**  **[0000091419-24-000010_sjm-20240131.htm:16]**  | **$452.6**  **[0000091419-24-000029_sjm20240606exhibit991.htm:9]**  | **$399.7**  **[0000091419-24-000077_sjm-20240731.htm:12]**   | **$445.4**  **[0000091419-24-000103_sjm-20241031.htm:16]**   |
| Sweet Baked Snacks                                | N/A           | N/A           | N/A           | N/A           | **$300.3**  **[0000091419-24-000010_sjm-20240131.htm:16]**  | **$337.0**  **[0000091419-24-000029_sjm20240606exhibit991.htm:9]**  | **$333.7**  **[0000091419-24-000077_sjm-20240731.htm:12]**   | **$315.5**  **[0000091419-24-000103_sjm-20241031.htm:16]**   |
| International and Away From Home                  | **$288.4**  **[0000091419-23-000021_sjm-20230131.htm:10]**  | **$303.6**  **[0000091419-23-000052_sjm20230606exhibit991.htm:8]**  | **$275.1**  **[0000091419-23-000113_sjm-20230731.htm:10]**  | **$324.6**  **[0000091419-23-000143_sjm-20231031.htm:15]**  | **$299.4**  **[0000091419-24-000010_sjm-20240131.htm:16]**  | **$299.5**  **[0000091419-24-000029_sjm20240606exhibit991.htm:9]**  | **$271.5**  **[0000091419-24-000077_sjm-20240731.htm:12]**   | **$321.1**  **[0000091419-24-000103_sjm-20241031.htm:16]**   |
| **Total Net Sales**                               | **$2,216.3**  **[0000091419-23-000021_sjm-20230131.htm:10]**  | **$2,234.8**  **[0000091419-23-000052_sjm20230606exhibit991.htm:8]**  | **$1,805.2**  **[0000091419-23-000113_sjm-20230731.htm:10]**  | **$1,938.6**  **[0000091419-23-000143_sjm-20231031.htm:15]**  | **$2,229.2**  **[0000091419-24-000010_sjm-20240131.htm:16]**  | **$2,205.7**  **[0000091419-24-000029_sjm20240606exhibit991.htm:9]**  | **$2,125.1**  **[0000091419-24-000077_sjm-20240731.htm:12]**  | **$2,271.2**  **[0000091419-24-000103_sjm-20241031.htm:16]**  |

8174a67488408cb0457f35ba112a26f0920c54bfed989748a95dbc6ebfff325d

1. Regarding Hostess, can you elaborate on the specific aspects of execution that weakened, what caused these issues, and how you plan to fix them?
2. With the rising popularity of GLP-1 weight loss drugs potentially impacting indulgent snacking, how are you gathering information on this trend, and what resources are you dedicating to adapt your product portfolio, especially with brands like Hostess?
3. Considering coffee prices have reached new highs with Arabica hitting $3, and you've already implemented two rounds of pricing, how do you plan to manage further inflation without significantly affecting demand due to price elasticity?
4. Your EPS guidance has fluctuated this year from a midpoint of $10 to $9.80 and now back to $9.90; can you explain the factors behind this volatility and whether it indicates lower visibility into your business performance?
5. In the pet food segment, you've implemented a price cut for Meow Mix and increased trade spend in cat food and dog snacks; what competitive pressures are driving these decisions, and how do you expect them to impact your margins and market share?

1aef94ad5569b10f6bdb0c9e9ace9bcb76806b94b6980c2540bdaf723fa7e188

572710b3fb294cc0de42794010edb84d33de12c1480372345fd792d2324f7773

Adjustments for Non-Cash Items

Stock-Based Compensation

Changes in Working Capital

Capital Expenditures (CapEx)

Share Repurchases

Dividend Payments

Net Change in Cash

58271906584c99355267d544f10c8067a42117a945cc6ac84de30d31c2dd2cce

United States

International

- Canada

- All other international

Total Revenue

3f27941faf4a1f921abc99ad6884ecdba8f0dac42e9316cd91f609c8decd35ea

- The Kraft Heinz Company: Competitor in mainstream roast and ground coffee with brands Maxwell House and Yuban  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Keurig Dr. Pepper: Competitor in mainstream roast and ground coffee with brand McCafé and in single serve coffee with brands Green Mountain Coffee, Donut Shop, and McCafé  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- F. Gaviña & Sons, Inc.: Competitor in mainstream roast and ground coffee with brand Cafe La Llave  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Nestlé S.A.: Competitor in single serve coffee with brand Starbucks and in premium coffee with brands Starbucks and Seattle’s Best Coffee  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- JDE Peet’s N.V.: Competitor in single serve coffee with brand Peet’s Coffee & Tea and in premium coffee with brand Peet’s Coffee & Tea  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Tata Global Beverages Limited: Competitor in premium coffee with brand Eight O’Clock  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Community Coffee Company: Competitor in premium coffee with brand Community Coffee  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Hormel Foods Corporation: Competitor in peanut butter and specialty spreads with brand Skippy  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Ferrero SpA: Competitor in peanut butter and specialty spreads with brand Nutella  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Post Holdings, Inc.: Competitor in peanut butter and specialty spreads with brand Peter Pan  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Welch Foods Inc.: Competitor in fruit spreads with brand Welch’s  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Andros Foods USA, Inc.: Competitor in fruit spreads with brand Bonne Maman  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Nestlé S.A.: Competitor in frozen sandwiches and snacks with brand Hot Pockets  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- General Mills, Inc.: Competitor in frozen sandwiches and snacks with brand Totino’s and in pet snacks with brand Blue Buffalo and Nudges  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Ruiz Foods: Competitor in frozen sandwiches and snacks with brand El Monterrey  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Nestlé Purina PetCare Company: Competitor in mainstream cat food with brands Cat Chow, Friskies, Kit & Kaboodle, and Fancy Feast, and in pet snacks with brand Beggin’ Strips  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Mars, Incorporated: Competitor in mainstream cat food with brands Iams and Sheba, and in pet snacks with brands Dentastix and Greenies  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- McKee Foods Corporation: Competitor in sweet baked goods with brand Little Debbie  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Grupo Bimbo, S.A.: Competitor in sweet baked goods with brand Entenmann’s  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Mondelez International: Competitor in cookies with brand Nabisco  **[0000091419-24-000054_sjm-20240430.htm:8]** .
- Restaurant Brands International Inc.: Competitor in Canada coffee with brand Tim Hortons  **[0000091419-24-000054_sjm-20240430.htm:8]** .

d5812464284ebacfa699715387ce228b2ac1add700d786759f07ab2b6f116dee

Total cost synergies from Hostess acquisition (USD millions)

Cost synergies from Hostess acquisition achieved to date (USD millions)

Cost synergies from Hostess acquisition achieved in the first half of 2025 (USD millions)

Volume/mix for U.S. Retail Frozen Handheld and Spreads (percentage points)

Net price realization for U.S. Retail Frozen Handheld and Spreads (percentage points)

Volume/mix for U.S. Retail Pet Foods (percentage points)

Net price realization for U.S. Retail Pet Foods (percentage points)

Volume/mix for International and Away From Home (percentage points)

Net price realization for International and Away From Home (percentage points)

Potential commodity price risk (High scenario) (USD millions)

Potential commodity price risk (Low scenario) (USD millions)

Potential commodity price risk (Average scenario) (USD millions)

72793a284efad2836360d8f89bb6628d9ccfa77a7cd861271f7ca6eb62b61dd9

### Q2 2025 Earnings Call
- **Issued Period**: Q2 2025
- **Guided Period**: FY 2025
- **Guidance**:
  1. **Net Sales**: Increase of **8.5% to 9.5%**.
  2. **Adjusted Gross Profit Margin**: **37.5% to 38%**.
  3. **SD&A Expenses**: Increase by **9%**.
  4. **Marketing Expense**: Slightly below **5.5%** of net sales.
  5. **Net Interest Expense**: Approximately **$400 million**.
  6. **Adjusted Effective Income Tax Rate**: **24.3%**.
  7. **Weighted Average Share Count**: **106.7 million**.
  8. **Adjusted EPS**: **$9.70 to $10.10**.
  9. **Free Cash Flow**: Approximately **$875 million**.
  10. **Depreciation and Amortization Expenses**: **$300 million** and **$225 million**, respectively.
  11. **Share-Based Compensation Expense**: **$35 million**.
  12. **Other Noncash Charges**: **$90 million**.
  13. **Third Quarter Guidance**: Flat net sales; adjusted EPS decline mid-single digits.
  14. **Voortman Divestiture Impact**: Approximately **$0.10**  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]** .

### Q1 2025 Earnings Call
- **Issued Period**: Q1 2025
- **Guided Period**: FY 2025
- **Guidance**:
  1. **Net Sales Growth**: Increase of **8.5% to 9.5%**.
  2. **Adjusted Gross Profit Margin**: Approximately **37.5%**.
  3. **SD&A Expenses**: Increase by **9%**.
  4. **Total Marketing Expense**: Slightly below **5.5%** of net sales.
  5. **Net Interest Expense**: Approximately **$400 million**.
  6. **Adjusted Effective Income Tax Rate**: **24.3%**.
  7. **Weighted Average Share Count**: **106.6 million**.
  8. **Adjusted EPS**: **$9.60 to $10.00**.
  9. **Free Cash Flow**: Approximately **$875 million**.
  10. **Capital Expenditures**: **$450 million**.
  11. **Depreciation Expense**: **$300 million**.
  12. **Amortization Expense**: **$225 million**.
  13. **Share-Based Compensation Expense**: **$35 million**.
  14. **Other Noncash Charges**: **$45 million**.
  15. **Leverage Ratio**: Approximately **3x net debt to EBITDA** by FY 2027  **[SJM_3402599_7]** **[SJM_3402599_4]** **[SJM_3402599_5]** .

### Q4 2024 Earnings Call
- **Issued Period**: Q4 2024
- **Guided Period**: FY 2025
- **Guidance**:
  1. **Net Sales Growth**: Increase of **9.5% to 10.5%**.
  2. **Comparable Net Sales Growth**: **1.5% to 2.5%**.
  3. **Gross Profit Margin**: Approximately **38%**.
  4. **SG&A Expenses**: Increase by **13%**.
  5. **Marketing Expense**: **5.5%** of net sales.
  6. **Net Interest Expense**: Approximately **$400 million**.
  7. **Adjusted Effective Income Tax Rate**: **24.4%**.
  8. **Weighted Average Share Count**: **106.4 million**.
  9. **Adjusted EPS**: **$9.80 to $10.20**.
  10. **Free Cash Flow**: Approximately **$900 million**.
  11. **Cost Synergies**: **$100 million** by FY 2026  **[SJM_3391895_7]** .

### Q3 2024 Earnings Call
- **Issued Period**: Q3 2024
- **Guided Period**: FY 2024
- **Guidance**:
  1. **Net Sales**: Approximately **$8.22 billion**; decline of **3.6%**.
  2. **Comparable Net Sales Growth**: **8.75%**.
  3. **Adjusted Gross Profit Margin**: Approximately **37.5%**.
  4. **SD&A Expenses**: Flat; includes **$40 million** preproduction expenses.
  5. **Marketing Expense**: **5.3%** of net sales.
  6. **Net Interest Expense**: Approximately **$270 million**.
  7. **Adjusted Effective Income Tax Rate**: **24.6%**.
  8. **Weighted Average Share Count**: **104.4 million**.
  9. **Adjusted EPS**: **$9.45 to $9.65**.
  10. **Fourth Quarter Comparable Net Sales**: Mid-single-digit increase.
  11. **Fourth Quarter Adjusted EPS**: Mid-teen percentage decline.
  12. **Free Cash Flow**: Approximately **$500 million**.
  13. **Capital Expenditures**: **$610 million**.
  14. **Transaction and Integration Costs**: **$155 million**.
  15. **Depreciation Expense**: **$240 million**.
  16. **Amortization Expense**: **$190 million**.
  17. **Share-Based Compensation Expense**: **$25 million**.
  18. **Other Noncash Charges**: **$35 million**.
  19. **Cash Tax Payments**: **$90 million** incremental  **[SJM_3375176_5]** **[SJM_3375176_6]** .

3ae729dbb225b5c230d569bc65457c0c78e1d6a9393467a43055c580e19dd4d7

**Quarterly guidance for Q3 2025:**
- **Net Sales**: Flat net sales  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (no prior guidance)  
- **Adjusted EPS**: Decline mid-single digits  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (no prior guidance)  

**Annual guidance for FY 2025:**
- **Net Sales**: 8.5% to 9.5%  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (no change from 8.5% to 9.5%  **[SJM_3402599_7]** **[SJM_3402599_4]** **[SJM_3402599_5]** )  
- **Adjusted Gross Profit Margin**: 37.5% to 38%  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (raised from ~37.5%  **[SJM_3402599_7]** **[SJM_3402599_4]** **[SJM_3402599_5]** )  
- **SD&A Expenses**: Increase by 9%  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (no change from ~9%  **[SJM_3402599_7]** **[SJM_3402599_4]** **[SJM_3402599_5]** )  
- **Marketing Expense**: Slightly below 5.5% of net sales  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (no change from prior guidance  **[SJM_3402599_7]** **[SJM_3402599_4]** **[SJM_3402599_5]** )  
- **Net Interest Expense**: ~$400 million  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (no change from ~$400 million  **[SJM_3402599_7]** **[SJM_3402599_4]** **[SJM_3402599_5]** )  
- **Adjusted Effective Income Tax Rate**: 24.3%  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (no change from 24.3%  **[SJM_3402599_7]** **[SJM_3402599_4]** **[SJM_3402599_5]** )  
- **Weighted Average Share Count**: 106.7 million  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (raised from 106.6 million  **[SJM_3402599_7]** **[SJM_3402599_4]** **[SJM_3402599_5]** )  
- **Adjusted EPS**: $9.70 to $10.10  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (raised from $9.60 to $10.00  **[SJM_3402599_7]** **[SJM_3402599_4]** **[SJM_3402599_5]** )  
- **Free Cash Flow**: ~$875 million  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (no change from ~$875 million  **[SJM_3402599_7]** **[SJM_3402599_4]** **[SJM_3402599_5]** )  
- **Depreciation Expense**: $300 million  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (no change from $300 million  **[SJM_3402599_7]** **[SJM_3402599_4]** **[SJM_3402599_5]** )  
- **Amortization Expense**: $225 million  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (no change from $225 million  **[SJM_3402599_7]** **[SJM_3402599_4]** **[SJM_3402599_5]** )  
- **Share-Based Compensation Expense**: $35 million  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (no change from $35 million  **[SJM_3402599_7]** **[SJM_3402599_4]** **[SJM_3402599_5]** )  
- **Other Noncash Charges**: $90 million  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (raised from $45 million  **[SJM_3402599_7]** **[SJM_3402599_4]** **[SJM_3402599_5]** )  
- **Voortman Divestiture Impact**: ~$0.10  **[SJM_3410044_0]** **[SJM_3410044_8]** **[SJM_3410044_7]**  (no prior guidance)  

4a2e7b47344b6335869552990505fde401681dc6bae76344222a12f9f8469d39

a30f8a9ebece5ffd5dc4a61ab5b1a403032c147583815254ff409957badb94f9

| Name              | Position                                      | Start Date       | Short Bio                                                                                                                                                                                                 |
|-------------------|-----------------------------------------------|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Mark T. Smucker   | Chair of the Board, President, and CEO        | August 2022      | Mark T. Smucker has been with the company for over 26 years, serving in various roles, including President and CEO from May 2016 through August 2022. He has been a director since 2009  **[0001193125-24-171203_d834843ddef14a.htm:28]** **[0001193125-23-265293_d472089ds4a.htm:343]** **[0001193125-23-179232_d462924ddef14a.htm:30]** .                                           |
| Tucker H. Marshall| Chief Financial Officer                       | May 2020         | Tucker H. Marshall joined Smucker in July 2012 and has held finance roles of increasing responsibility. Before Smucker, he was Vice President at The Reserve Group and an Associate at Bank of America Merrill Lynch  **[0001193125-23-265293_d472089ds4a.htm:344]** **[0001193125-23-261219_d472089ds4a.htm:343]** **[0001193125-23-265293_d472089ds4a.htm:349]** **[0001193125-23-261219_d472089ds4a.htm:348]** **[0001193125-23-253048_d472089ds4.htm:337]** **[0001193125-23-253048_d472089ds4.htm:342]** .       |
| John P. Brase     | Chief Operating Officer                       | April 2020       | John P. Brase oversees several business segments and functions at Smucker. He spent 30 years at Procter & Gamble, where he held various leadership roles in sales, marketing, and brand management  **[0001193125-23-265293_d472089ds4a.htm:343]** **[0000091419-24-000054_sjm-20240430.htm:15]** .                                     |
| Jeannette L. Knudsen| Chief Legal Officer and Secretary           | September 2022   | Jeannette L. Knudsen has been with Smucker since August 2002, holding various legal roles. Before joining Smucker, she practiced law at Buckingham, Doolittle & Burroughs, LLP  **[0001193125-23-265293_d472089ds4a.htm:344]** **[0001193125-23-265293_d472089ds4a.htm:349]** **[0000091419-24-000054_sjm-20240430.htm:16]** .                                                     |
| Jill R. Penrose   | Chief People and Company Services Officer     | March 2023       | Jill R. Penrose has been with Smucker since August 2004, serving in roles related to corporate strategy, organization development, and human resources. Before Smucker, she worked at Willis Towers Watson and PricewaterhouseCoopers  **[0001193125-23-265293_d472089ds4a.htm:345]** **[0000091419-24-000054_sjm-20240430.htm:15]** **[0000091419-23-000072_sjm-20230430.htm:15]** . |

dc8f1303257443ead22eeffc1437995a6e561b2ea6c3c04a70ce8710c0ca2f34

| Program Details         | Program 1          |
|-------------------------|--------------------|
| Approval Date           | March 2, 2023  **[0000091419-24-000103_sjm-20241031.htm:31]**   |
| End Date/Duration       | 45 days after April 28, 2023  **[0000091419-24-000103_sjm-20241031.htm:31]**  |
| Total additional amount | 3.5 million shares  **[0000091419-24-000103_sjm-20241031.htm:31]**  |
| Remaining authorization | 1.1 million shares  **[0000091419-24-000103_sjm-20241031.htm:31]**  |
| Details                 | Initiated under the 10b5-1 Plan; repurchased 2.4 million shares for $362.8 million in 2024  **[0000091419-24-000103_sjm-20241031.htm:31]**  |

f7e6dc3efc97bcd3b0177db3360ca71921676dd668505101449292c174350bb5

692d62c72950a3228fd6bddc3cea485780f6421f9cf36d1d10f03843706993c5

| Name             | Start Date | End Date | Reason for Change |
|------------------|------------|----------|-------------------|
| Ernst & Young LLP | 1955  **[0000091419-24-000054_sjm-20240430.htm:86]**  | Present  | Current auditor   |

5903d4912be120c1d8457b611c593ef1fb58f0d7a3a881e6f94b00d0b4b73603

23794d91c53ae875c8e247d72561e35d9d06ee07c70c9e0dbcc977a6d161504a

- Total Revenue: $2,271.2 million (**+17%** YoY)  **[0000091419-24-000103_sjm-20241031.htm:2]** **[0000091419-24-000103_sjm-20241031.htm:16]**   
- Operating Income (EBIT): $169.7 million (**-43%** YoY)  **[0000091419-24-000103_sjm-20241031.htm:2]** **[0000091419-24-000103_sjm-20241031.htm:16]**   
- Net Income: -$24.5 million (down from $194.9 million in Q2 2024)  **[0000091419-24-000103_sjm-20241031.htm:2]** **[0000091419-24-000103_sjm-20241031.htm:16]**   
- EPS (Diluted): -$0.23 (down from $1.90 in Q2 2024)  **[0000091419-24-000103_sjm-20241031.htm:2]** **[0000091419-24-000103_sjm-20241031.htm:16]**   
- U.S. Revenue: $2,136.2 million (**+19%** YoY)  **[0000091419-24-000103_sjm-20241031.htm:16]** **[0000091419-23-000143_sjm-20231031.htm:14]**   
- Canada Revenue: $100.7 million (**-15%** YoY)  **[0000091419-24-000103_sjm-20241031.htm:16]** **[0000091419-23-000143_sjm-20231031.htm:14]**   
- All Other International: $34.3 million (**+47%** YoY)  **[0000091419-24-000103_sjm-20241031.htm:16]** **[0000091419-23-000143_sjm-20231031.htm:14]**   

df5580691b950e8e187291ae1b91a470bcb356d0f3661256f115fac3e1aeea42

759a588525fee0371df2f69533fa34ce98bc0e4813bb42f4812a9821ddc043cd

| Year | Amount Due (in millions) | Debt Type         | Interest Rate (%) | % of Total Debt |
|----------|------------------------------|------------------------|-----------------------|---------------------|
| 2025     | $1,000.0 **[0000091419-24-000103_sjm-20241031.htm:18]**             | 3.50% Senior Notes    | 3.50 **[0000091419-24-000103_sjm-20241031.htm:18]**          | 12.1% = (1,000.0 / 8,264.5) * 100 **[0000091419-24-000103_sjm-20241031.htm:18]** **[0000091419-24-000103_sjm-20241031.htm:49]** |
| 2027     | $500.0 **[0000091419-24-000103_sjm-20241031.htm:18]**               | 3.38% Senior Notes    | 3.38 **[0000091419-24-000103_sjm-20241031.htm:18]**          | 6.1% = (500.0 / 8,264.5) * 100 **[0000091419-24-000103_sjm-20241031.htm:18]** **[0000091419-24-000103_sjm-20241031.htm:49]**   |
| 2028     | $750.0 **[0000091419-24-000103_sjm-20241031.htm:18]**               | 5.90% Senior Notes    | 5.90 **[0000091419-24-000103_sjm-20241031.htm:18]**          | 9.1% = (750.0 / 8,264.5) * 100 **[0000091419-24-000103_sjm-20241031.htm:18]** **[0000091419-24-000103_sjm-20241031.htm:49]**   |
| 2030     | $500.0 **[0000091419-24-000103_sjm-20241031.htm:18]**               | 2.38% Senior Notes    | 2.38 **[0000091419-24-000103_sjm-20241031.htm:18]**          | 6.1% = (500.0 / 8,264.5) * 100 **[0000091419-24-000103_sjm-20241031.htm:18]** **[0000091419-24-000103_sjm-20241031.htm:49]**   |
| 2032     | $500.0 **[0000091419-24-000103_sjm-20241031.htm:18]**               | 2.13% Senior Notes    | 2.13 **[0000091419-24-000103_sjm-20241031.htm:18]**          | 6.1% = (500.0 / 8,264.5) * 100 **[0000091419-24-000103_sjm-20241031.htm:18]** **[0000091419-24-000103_sjm-20241031.htm:49]**   |
| 2033     | $1,000.0 **[0000091419-24-000103_sjm-20241031.htm:18]**             | 6.20% Senior Notes    | 6.20 **[0000091419-24-000103_sjm-20241031.htm:18]**          | 12.1% = (1,000.0 / 8,264.5) * 100 **[0000091419-24-000103_sjm-20241031.htm:18]** **[0000091419-24-000103_sjm-20241031.htm:49]** |
| 2035     | $650.0 **[0000091419-24-000103_sjm-20241031.htm:18]**               | 4.25% Senior Notes    | 4.25 **[0000091419-24-000103_sjm-20241031.htm:18]**          | 7.9% = (650.0 / 8,264.5) * 100 **[0000091419-24-000103_sjm-20241031.htm:18]** **[0000091419-24-000103_sjm-20241031.htm:49]**   |
| 2041     | $300.0 **[0000091419-24-000103_sjm-20241031.htm:18]**               | 2.75% Senior Notes    | 2.75 **[0000091419-24-000103_sjm-20241031.htm:18]**          | 3.6% = (300.0 / 8,264.5) * 100 **[0000091419-24-000103_sjm-20241031.htm:18]** **[0000091419-24-000103_sjm-20241031.htm:49]**   |
| 2043     | $750.0 **[0000091419-24-000103_sjm-20241031.htm:18]**               | 6.50% Senior Notes    | 6.50 **[0000091419-24-000103_sjm-20241031.htm:18]**          | 9.1% = (750.0 / 8,264.5) * 100 **[0000091419-24-000103_sjm-20241031.htm:18]** **[0000091419-24-000103_sjm-20241031.htm:49]**   |
| 2045     | $600.0 **[0000091419-24-000103_sjm-20241031.htm:18]**               | 4.38% Senior Notes    | 4.38 **[0000091419-24-000103_sjm-20241031.htm:18]**          | 7.3% = (600.0 / 8,264.5) * 100 **[0000091419-24-000103_sjm-20241031.htm:18]** **[0000091419-24-000103_sjm-20241031.htm:49]**   |
| 2050     | $300.0 **[0000091419-24-000103_sjm-20241031.htm:18]**               | 3.55% Senior Notes    | 3.55 **[0000091419-24-000103_sjm-20241031.htm:18]**          | 3.6% = (300.0 / 8,264.5) * 100 **[0000091419-24-000103_sjm-20241031.htm:18]** **[0000091419-24-000103_sjm-20241031.htm:49]**   |
| 2053     | $1,000.0 **[0000091419-24-000103_sjm-20241031.htm:18]**             | 6.50% Senior Notes    | 6.50 **[0000091419-24-000103_sjm-20241031.htm:18]**          | 12.1% = (1,000.0 / 8,264.5) * 100 **[0000091419-24-000103_sjm-20241031.htm:18]** **[0000091419-24-000103_sjm-20241031.htm:49]** |

411a9cc2bb9d07bd7a005acc5d2a28b8c1f7beb8ea59b24ddb49c60641d6a0cf

- **Weakened execution in the Hostess business**, specifically in securing display and promotional activities, may hinder growth in the indulgent snacking category, especially as consumers become more health-conscious.  **[SJM_3410029_5]**
- **Increasing usage of GLP-1 weight loss drugs among U.S. adults** could reduce demand for indulgent snacks like Hostess products, particularly if coverage expands under Medicare and Medicaid, posing a potential risk to future sales.  **[SJM_3410029_12]**
- The **anticipated $0.25 impact to earnings from the divestiture of Voortman**, with a $0.10 hit expected in the current fiscal year, suggests potential challenges in maintaining profitability.  **[SJM_3410029_13]**

ee0c427dc89bdf0da4d1a66366084d2e98ba16aa564369161f9ddef7f9b42641

- **Strong Start to Fiscal Year with Double-Digit Sales and Earnings Growth**: The company delivered a strong start to the fiscal year with double-digit sales and earnings growth, driven by consumer demand for its **iconic brands** and focus on execution. Comparable net sales increased **1%**, and adjusted earnings per share increased **10%** versus the prior year.  **[SJM_3402599_1]**
- **Growth of Key Brands and Successful Innovations**: Brands such as **Uncrustables Sandwiches** grew net sales by **24%**, achieving a record quarter for both sales and household penetration. The **Café Bustelo** brand remains one of the fastest-growing in the at-home coffee category, delivering double-digit net sales growth in **11 of the last 12 quarters**. Additionally, innovative products like **Milk-Bone peanut buttery bites featuring Jif peanut butter** are exceeding expectations.  **[SJM_3402599_1]** ,  **[SJM_3402599_3]**
- **Integration of Hostess Brands and Early Synergy Realization**: The integration of the acquired **Hostess Brands** is progressing well, with synergies being realized earlier than anticipated. The company continues to expect approximately **$100 million** of cost synergies by the end of fiscal year 2026, which will contribute to growth ambitions and operational efficiencies.  **[SJM_3402599_2]** ,  **[SJM_3402599_4]**

f4a0074084063b8cc439648a48bb5f7e7e5b7b998fb6a8b09dc126e04983a008

- The company **revised its full-year net sales expectations downward**, citing **inflationary pressures and diminished discretionary income** impacting key categories like dog snacks and sweet baked goods, and now expects only **1% comparable net sales growth** at the midpoint of guidance.  **[SJM_3402599_4]**
- The **Sweet Baked Snacks segment delivered net sales below expectations** in the first quarter due to the **macroeconomic environment and slowdown in the convenience channel**, leading to **revised net sales expectations** for the fiscal year.  **[SJM_3402599_4]**
- **Higher-than-anticipated green coffee costs** are expected to impact adjusted gross profit margin, prompting **additional pricing actions** which may lead to **decreased volume/mix** in the coffee portfolio due to **elasticity of demand**.  **[SJM_3402599_2]**

af2e9c7b86ead92dde24ef8f539f1310bd6664e8640859901d4236f7c8fe2472

1. **Hostess Performance and Outlook**  
**Q:** Hostess sales guidance implies declines; what's expected to drive improvement?  
**A:** Sales guidance implies a **low single-digit year-over-year decline** in the second half.  **[SJM_3410029_2]**  Sequential improvement is expected due to enhanced execution efforts and lapping easier comparables.  **[SJM_3410029_2]**  Focus areas include improving display execution, expanding distribution, launching new marketing campaigns, packaging refresh, innovation with value offerings like **$1 packs**, and co-promotions with legacy brands such as coffee  **[SJM_3410029_3]** ,.  **[SJM_3410029_5]** 

2. **Coffee Inflation Impact**  
**Q:** How is rising coffee inflation affecting pricing and margins?  
**A:** Coffee is experiencing significant inflation, with **Arabica prices hitting $3**, the highest in over 10 years.  **[SJM_3410029_7]**  The market is speculative, but they intend to responsibly pass along cost changes.  **[SJM_3410029_7]**  Coffee margins are expected to decline from **28% in the first half** to the **mid-20s to low 20s** in the second half due to higher costs  **[SJM_3410029_15]** ,.  **[SJM_3410029_18]** 

3. **EPS Guidance and Outlook**  
**Q:** Why has EPS guidance changed, and what's the outlook?  
**A:** EPS guidance was revised from **$10** to **$9.80** due to a reduction in top-line outlook and ongoing green coffee inflation.  **[SJM_3410029_6]**  It has now been raised to **$9.90** by locking in the gross margin beat from Q2.  **[SJM_3410029_6]**  While it's early to discuss fiscal '26 specifics, factors influencing future earnings include base business momentum, cost synergy realization, and debt paydown benefits.  **[SJM_3410029_8]** 

4. **Pet Food Segment Outlook**  
**Q:** What's driving pet food performance and expectations?  
**A:** **Milk-Bone** continues to perform due to its broad value spectrum and successful innovation like **peanut buttery bites** containing Jif.  **[SJM_3410029_16]**  Growth is slower due to the discretionary nature of pet treating.  **[SJM_3410029_17]**  No additional softness is expected; however, Q3 outlook is impacted by strong prior-year comps and reduced co-manufacturing sales  **[SJM_3410029_1]** ,.  **[SJM_3410029_17]** 

5. **GLP-1 Weight Loss Drugs Impact**  
**Q:** How are GLP-1 weight loss drugs affecting the business?  
**A:** Currently, there is **no material impact** on the business from GLP-1 trends.  **[SJM_3410029_12]**  The company continues to monitor the situation and focuses on consumer needs with potential innovations like portion size adjustments and sugar reduction.  **[SJM_3410029_12]** 

6. **Uncrustables Growth Outlook**  
**Q:** What's driving Uncrustables growth, and what's the outlook?  
**A:** **Uncrustables** is performing exceptionally well, expected to hit **$900 million** this year, ahead of expectations.  **[SJM_3410029_14]**  Being in demand-generating mode allows for advertising and new product launches, including a limited peanut butter-only SKU.  **[SJM_3410029_14]**  Confident in meeting or exceeding **$1 billion** in fiscal '26.  **[SJM_3410029_14]** 

7. **Synergies from Hostess Acquisition**  
**Q:** What's the update on cost synergies from the Hostess acquisition?  
**A:** Committed to achieving **$100 million** in cost synergies by the end of fiscal year '26.  **[SJM_3410029_3]**  Expect about half this fiscal year and half next fiscal year, even after the Voortman divestiture.  **[SJM_3410029_3]** 

8. **Voortman Divestiture Impact**  
**Q:** How will the Voortman divestiture affect earnings?  
**A:** The full-year impact is **$0.25**; impact to this fiscal year is **$0.10**.  **[SJM_3410029_13]**  Plan to use **$300 million** in proceeds to pay down debt, partially offsetting the impact and leaving about a **$0.05** effect, which is immaterial to overall guidance.  **[SJM_3410029_13]** 

9. **Stranded Overhead Costs from Pet Divestiture**  
**Q:** How are stranded overhead costs from pet divestiture being addressed?  
**A:** Completed the Transition Services Agreement; this fiscal year's impact is **$0.60**.  **[SJM_3410029_11]**  Working to mitigate or remove stranded overheads; it should not be a drag on earnings next fiscal year and may become a tailwind.  **[SJM_3410029_11]** 

10. **Balance Between Price and Volume Mix**  
**Q:** What's the outlook on price vs. volume mix for the rest of the year?  
**A:** Base business growth is about **2.5% to 3%**, equally split between volume/mix and price on a full-year basis.  **[SJM_3410029_4]** 

11. **Q3 Sales Expectations**  
**Q:** Why is Q3 sales expected to be flat year-over-year?  
**A:** Anticipating flat coffee sales due to a second round of pricing.  **[SJM_3410029_1]**  Pet portfolio is lapping a strong prior-year comp and assessing the discretionary nature of pet treating, along with reduced co-manufacturing sales.  **[SJM_3410029_1]**  Sweet Baked Snacks sales are called down, offset by growth in frozen handheld and spreads portfolio.  **[SJM_3410029_1]** 

12. **Milk-Bone and Meow Mix Performance**  
**Q:** How are Milk-Bone and Meow Mix performing amid competition?  
**A:** **Milk-Bone** continues to perform, leveraging its value spectrum and successful innovation.  **[SJM_3410029_16]**  **Meow Mix** is a bright spot; promotional activity was restored as they returned to full supply and back in stock.  **[SJM_3410029_19]** 

13. **Profitability and Segment Margins**  
**Q:** How are segment margins expected to play out?  
**A:** Coffee margins are expected to decline to the **mid-20s to low 20s** in the second half due to green coffee inflation.  **[SJM_3410029_15]**  Pet margins are higher than originally thought, balancing out overall profitability among segments.  **[SJM_3410029_15]** 

14. **Sweet Baked Snacks and Execution**  
**Q:** What aspects of execution weakened in Sweet Baked Snacks, and how are you addressing it?  
**A:** Needed to improve execution on display and support with innovation  **[SJM_3410029_5]** ,.  **[SJM_3410029_10]**  Actively engaged with key customers; discussions are positive.  **[SJM_3410029_10]**  Focused on enhancing display, expanding distribution, launching new marketing campaigns, packaging refresh, and introducing value offerings like **$1 packs**  **[SJM_3410029_5]** ,.  **[SJM_3410029_10]** 

252dfb48f153579e539ed54e2b09e90042a6ae404b1c12d487d8901fafb00f11

1. **Reduction in Full-Year Sales Guidance**  
   **Q:** Why did you reduce your full-year sales growth outlook?  
   **A:** The company lowered its full-year sales growth guidance by **1 percentage point** due to softer consumer spending impacting discretionary categories like sweet baked goods and pet snacks ** **[SJM_3400045_0]** **[SJM_3400045_2]** **. Specifically, they saw decreased consumer frequency in convenience stores, which over-indexes for their Sweet Baked Snacks and Hostess brands ** **[SJM_3400045_0]** **[SJM_3400045_2]** **.

2. **Impact on Hostess Earnings**  
   **Q:** How will Hostess contribute to EPS this year?  
   **A:** Initially expecting Hostess to be accretive by a few cents, the company now anticipates a dilution of **$0.05 to $0.10** per share due to top-line softness ** **[SJM_3400045_2]** **[SJM_3400045_3]** **. However, synergy realization is ahead of expectations, supporting the overall profit profile **[SJM_3400045_2]**.

3. **Coffee Price Increase and Margins**  
   **Q:** What effect will coffee price increases have on margins?  
   **A:** Due to rising green coffee costs, the company is implementing additional pricing across its coffee portfolio ** **[SJM_3400045_1]** **[SJM_3400045_7]** **[SJM_3400045_11]** **. This has led to a reduction in the gross profit margin outlook from **38% to 37.5%** for the full year **[SJM_3400045_6]**. The margin impact will be more pronounced in the third and fourth quarters **[SJM_3400045_6]**.

4. **Sustainability of Pet Food Margins**  
   **Q:** Will high pet food margins continue?  
   **A:** The pet portfolio showed strong profitability, supported by positive volume/mix, supply chain stabilization, and cost savings **[SJM_3400045_15]**. The company expects pet food margins to remain around **25% or slightly better** moving forward **[SJM_3400045_15]**.

5. **Marketing Spend Reduction**  
   **Q:** Are you reducing marketing spend, and which brands are affected?  
   **A:** Marketing spend as a percentage of sales will be just below **5.5%**, slightly down from expectations **[SJM_3400045_4]**. The company is delaying increased marketing for Hostess until new branding efforts are completed in the back half of the year ** **[SJM_3400045_4]** **[SJM_3400045_3]** **. Overall marketing spend will be up slightly versus the prior year **[SJM_3400045_3]**.

6. **Confidence in Sweet Baked Goods Category**  
   **Q:** What actions are you taking to improve Sweet Baked Goods?  
   **A:** Despite current category softness due to lower discretionary income, the company plans to expand distribution, innovate, and increase advertising ** **[SJM_3400045_8]** **[SJM_3400045_13]** **. They remain confident in the category's long-term growth potential of **4%** **[SJM_3400045_8]**.

7. **Uncrustables Growth Outlook**  
   **Q:** What are your growth expectations for Uncrustables?  
   **A:** Uncrustables continues to demonstrate double-digit growth and is on track to achieve **$1 billion** in sales by fiscal year 2026 **[SJM_3400045_9]**. The company is adding capacity and launching new products like a raspberry flavor **[SJM_3400045_9]**.

8. **FY26 Earnings Outlook**  
   **Q:** Are you maintaining your FY26 earnings expectations?  
   **A:** The company remains committed to its FY26 earnings growth outlook, driven by base business momentum, cost savings, synergy realization, and debt reduction **[SJM_3400045_5]**.

9. **Dog Snacks Slowdown**  
   **Q:** What caused the slowdown in dog snacks, and how are you addressing it?  
   **A:** The slowdown is primarily due to lower consumer discretionary income, leading to reduced purchase frequency ** **[SJM_3400045_12]** **[SJM_3400045_17]** **. Milk-Bone grew modestly by **2% in volume**, supported by innovation and brand strength **[SJM_3400045_12]**. The company hasn't seen meaningful inventory reductions from retailers **[SJM_3400045_17]**.

10. **Dunkin' Brand Performance**  
    **Q:** Is there an issue with Dunkin' coffee brand performance?  
    **A:** Dunkin' is facing competitive dynamics impacting its performance **[SJM_3400045_14]**. The company expects stabilization as category pricing normalizes and plans to continue supporting the brand **[SJM_3400045_14]**.

11. **Promotional Activity Plans**  
    **Q:** Are you increasing promotional activity to drive volume?  
    **A:** The company observes that promotional activity has returned to pre-pandemic levels **[SJM_3400045_10]**. They focus on allocating funds where they can make the most impact, leveraging revenue growth management capabilities **[SJM_3400045_10]**.

12. **Response to Coffee Price Elasticity**  
    **Q:** How sensitive are consumers to coffee price increases?  
    **A:** The company has modeled price elasticity closely and feels confident in its estimates **[SJM_3400045_7]**. They offer a range of options from value to premium and have seen competitors follow their price increases **[SJM_3400045_7]**.

13. **Gross Margin Trends**  
    **Q:** What is the expected gross margin trend this year?  
    **A:** Gross margins are expected to be around **37.5%** in Q2, then significantly below that in Q3 and Q4 due to coffee pricing and elasticity impacts **[SJM_3400045_6]**.

14. **Marketing Strategy for Hostess**  
    **Q:** Why delay increased marketing for Hostess?  
    **A:** New creative work and brand positioning for Hostess won't be ready until the back half of the year, so marketing ramp-up is deferred ** **[SJM_3400045_4]** **[SJM_3400045_3]** **.

15. **Factors Impacting EPS Guidance**  
    **Q:** What led to the reduction in EPS guidance?  
    **A:** The **$0.20** reduction at the midpoint is due to lower net sales (**$0.25** impact) and gross margin (**$0.35** impact), primarily from coffee **[SJM_3400045_16]**. This is partially offset by **$0.40** in SG&A favorability **[SJM_3400045_16]**.

0008dc29d141bd933e86afb55f3b14795680239c390f995707cfcf755fd3ac16

- **Uncrustables sales are exceeding expectations**, with the company expecting to hit **$900 million** in sales this year, ahead of plans, and aiming to meet or exceed **$1 billion by 2026**.  **[SJM_3410029_14]**
- The company anticipates **$100 million in cost synergies** from the **Hostess acquisition** by fiscal year 2026, with efforts to improve execution, expand distribution, launch new marketing campaigns, and drive innovation, positioning the brand for growth.  **[SJM_3410029_3]**
- **Meow Mix continues to be a bright spot** in the pet portfolio, with restored promotional activity and ongoing innovation driving performance.  **[SJM_3410029_20]**

62f2cb0a5bd0cc22203ad018ea7faab8b3d47a87dada2186a3b491f5d395118b

J M Smucker Co (SJM)

Financials