J. M. Smucker Q3 2025 Earnings Call Transcript

AlphaStreet
Provided by AlphaStreet
February 27, 2025
Skip to Questions & Answers
Operator

Good morning, and welcome to the JM Smucker Company's Fiscal 2025 Third Quarter Earnings session. This conference call is being recorded and all participants are in a listen-only mode. Please limit yourselves to two questions and requeue if you have additional questions.

I'll now turn the conference call over to Crystal Bating, Vice-President, Investor Relations and Financial Planning and Analysis. Thank you. You may begin.

Crystal Beiting
Investor Relations at J. M. Smucker

Good morning, and thank you for joining our fiscal 2025 3rd-quarter earnings question-and-answer session. I hope everyone had a chance to review our results as detailed in this morning's press release and management's prepared remarks, which are available on our corporate website at jmsmucker.com. We will also post an audio replay of this call at the conclusion of this morning's Q&A session. During today's call, we may make forward-looking statements that reflect our current expectations about future plans and performance. These statements rely on assumptions and estimates and actual results may differ materially due to risks and uncertainties.

Additionally, we use non-GAAP results to evaluate performance internally. I encourage you to read the full disclosure concerning forward-looking statements and details on our non-GAAP measures in this morning's press release. Participating on this call are Mark Smucker, Chair of the Board, President and Chief Executive Officer; and Tucker Marshall, Chief Financial Officer. We will now open the call for questions.

Operator, please queue-up the first question.

Remove AdsSkip to Participants
Operator

Thank you. The question-and-answer session will begin at this time. If you're using a speakerphone, please pick-up the handset before pressing any numbers. Should you have a question, please press star one on your telephone keypad. If you wish to withdraw your question, please press star 2. For operator assistance, please press star zero. As a reminder, please limit yourselves to two questions during the Q&A session. Should you have additional questions, you may and the company will take your questions as time allows. Our first question today is coming from Andrew Lazar from Barclays. Your line is now live.

Andrew Lazar
Analyst at Barclays

Great. Thanks so much. Appreciate it. Maybe to start, comparable sales in fiscal 3Q declined a bit more than 1%. And by our math, comparable sales need to rise by a bit more than 1% in your fiscal 4Q to hit the revised '25 sales target. Obviously, you see improvement in pet as the disruptions are now behind you, but it seems that sweet baked snacks will probably decline at a somewhat similar rate maybe as the 3rd-quarter.

So I guess I'm trying to get a better sense of where else you're seeing improvement that underpins the expected sequential sales improvement in 4Q.

Mark T. Smucker
Chairman of the Board, President, Chief Executive Officer at J. M. Smucker

Andrew, good morning. You did lay that out correctly. We do align with your math, but I do want to share that we do see the sequential improvement on a comparable basis, largely driven within our pet portfolio as you have noted, along with better-than-expected outlook within our coffee portfolio as well.

Andrew Lazar
Analyst at Barclays

Got it. Thank you for that. And then I was hoping, Tucker, maybe you could just maybe help us unpack and maybe help quantify a little bit the individual buckets that drove the fiscal '25 comparable sales guidance revision? I know there were a couple of puts and takes in there. Thanks so much.

Tucker H. Marshall
Chief Financial Officer at J. M. Smucker

Yes, Andrew. Our guidance revision from 8% at the midpoint on a reported basis, down to 7.5% at the midpoint of the new guidance range. That change reflects about $60 million. And really what it relates to are two things. First, it largely is driven by the miss in our second or 3rd-quarter, excuse me, the net $20 million miss and then also the call down in Hostess by approximately $20 million in our 4th-quarter as well.

Andrew Lazar
Analyst at Barclays

Got it. Great. Thanks so much.

Operator

Next question is coming from Ken Goldman from JPMorgan. Your line is now live.

Ken Goldman
Analyst at JP Morgan Cazenove

Hi, thank you. You've talked about how you're still very optimistic on Hostess in the category, but you also took a -- I know this is accounting, but you took an $800 million write-down today on goodwill as well as a $200 million impairment charge. And that's approaching 20% of the price you paid-for Hostess. So I wanted to back up a second. Over the years, you've had some very successful acquisitions, right, including Fulgers, cat food, pet treats. You've done a great job with Cafe Bustello. Obviously, a lot of things are working quite well.

But I think it's also fair for some investors to kind of ask you about a little bit about the process of some of your acquisitions. And no one bets $1,000. But as you progress further with your ownership of this Hostess asset, just taking that step-back, how comfortable are you with the general M&A process that Smucker adheres to? And are there any tweaks you would consider making to your strategy in light of maybe Hostess taking a little bit longer to work than what you might have thought?

Mark T. Smucker
Chairman of the Board, President, Chief Executive Officer at J. M. Smucker

Yeah, Ken, it's Mark. Thanks for the question. We remain very confident in the Hostess acquisition, right? We still believe that it was the right acquisition-driven by obviously an iconic brand. It's a leading brand, the underlying trends in snacking and specifically sweet snacking still bode well for the category. I think as we talked at CAGNY last week, it's fair to say that we recognize that the performance has not been where we wanted, primarily driven by two things.

One, the category temporarily being down driven by a bit more selective consumer. And then although the integration or the cutover itself went very well, acknowledging that we've had some executional missteps that are less related to the integration and more related to distribution, merchandising and just the way that we executed our normal playbook not being quite up to our own standards.

That said, you know, obviously, going back to our confidence in the brand, we outlined five and in the prepared remarks as well as last week, five very specific actions that we're taking to stabilize the brand. And obviously, this morning announcing some new leadership changes, which are really intended to accelerate the pace of implementation on those five pillars that we discussed.

I'm very confident in that team and that leadership to continue to drive that and use our proven commercial playbook to continue to stabilize that business. So although we haven't given timeframes and so forth in terms of returning to growth, we still do feel very bullish about the brand and obviously, part of that was the portfolio evolution of getting more focused on Hostess, divesting the value brands as well as Voortman.

So still feel very good about it. Appreciate the question and we'll continue to report back to our shareholders on the progress of those five pillars and how the leadership is delivering against it.

Ken Goldman
Analyst at JP Morgan Cazenove

And thank you, Mark, for that transparency. I really do appreciate it. Tucker, if I can ask a different question quickly. You talked last week at CAGNY how fiscal '26, too early to obviously give any numbers, but you said you're hoping for or you were -- you would expect it to be above algo before the impact of elasticity related to green coffee inflation. I think there were some questions coming out about again in light of -- or With respect to the fact that you can't give exact numbers. Would you expect to be more on algo, below algo all-in or is it just too early to say at this point?

Tucker H. Marshall
Chief Financial Officer at J. M. Smucker

And thank you. And it's too early to Call-IT, right? We're in the early innings of our planning phase for next fiscal year. What we wanted to do last week at CAGNY was outlining the elements that we were considering and we did share that we could see a path to an above algorithm year for adjusted earnings per share.

However, due to green coffee inflation and the impact associated with price elasticity of demand, it will be a meaningful headwind as we enter into FY '26 and it's just too early to call whether there'll be a level of earnings growth or not?

Ken Goldman
Analyst at JP Morgan Cazenove

Thank you so much.

Mark T. Smucker
Chairman of the Board, President, Chief Executive Officer at J. M. Smucker

And if I may, just on coffee, I think it's important to just remember that despite the fact that we're at these record-high coffee costs, we've been pleased with the performance of the coffee business in total and the consumer response to obviously pricing obviously, but of course, our support of the brand, our merchandising, our marketing as well.

And just reminding ourselves that at-home coffee is still a very healthy in terms of consumption and also being by far the most affordable way to consume coffee compared to all other channels or other formats. So I think just given the fact that we play across the value spectrum and we do offer the consumer a range of choice and value, we still feel very good about the coffee category overall.

Operator

Thank you. Next question is coming from Peter Galbo from Bank of America. Your line is now live.

Peter Galbo
Analyst at Bank of America

Hey guys, good morning. Thanks for taking the questions. Mark, Tucker, just going back to the comments from last week around coffee, you noted that you'll have to kind of or you think you'll have to take additional pricing actions. Just curious if there's anything more you can share with us post the June and October price increases, when we might think about seeing an additional price increase and any parameters you want to put around potential magnitude just as we begin to contemplate both the 4th-quarter and '26.

Mark T. Smucker
Chairman of the Board, President, Chief Executive Officer at J. M. Smucker

Yeah. Peter, we haven't laid out any specific timing, but as you -- as you will recall, we take pricing when our physical costs dictate that. So we're using all of our hedging instruments and so forth, but it really it isn't until we take the coffee into inventory as green that we would start to price for that. So although we haven't laid out when other pricing is going to happen, we do expect it's going to happen in the next fiscal year, probably in the first-half.

Peter Galbo
Analyst at Bank of America

Got it. Thanks for that, Mark. And Tucker, just to go back on the impairment and Hostess, I guess, I just want to understand kind of the dynamics of obviously taking the impairment relative to the 4% top-line long-term number you've laid out for Sweet Baked snacks, whether that's changed at all or whether just your thoughts around profitability for that business longer-term have changed that necessitated kind of the impairment because obviously something there has changed over the longer-term, I would think to discount the cash flows that much more back. So any additional color there would be helpful. Thanks very much.

Tucker H. Marshall
Chief Financial Officer at J. M. Smucker

Yeah, Peter, the impairment charges that we announced today and recognized really relate to the recent underperformance of the Hostess brand and the overall portfolio. As you know, we stepped into this fiscal year with an outlook for $1.4 billion of top-line for that portfolio. And we shared in our prepared remarks that the outlook is now $1.2 billion and the Voortman impact of the Vortman divestiture is only $65 million of that change.

It's just a demonstration of the impacts that we're seeing not only in the category, but also across execution that Mark spoke to. Our focus today is the leadership changes that we've announced, also along with stabilizing the business or the portfolio through those five key pillars and eventually returning the portfolio to growth over-time. Currently, we have not walked away from our long-term outlook of 4% for the business, but right now, the focus is on stabilization and advancing through those colors.

Peter Galbo
Analyst at Bank of America

Great. Thank you.

Operator

Thank you. Next question is coming from Chris Carrey from Wells Fargo. Your line is now live.

Chris Carey
Analyst at Wells Fargo & Company

Hey, good morning, everyone. I'm going to have a confirmation like a question to confirm Ken Goldman's question and then a second follow-up. So just on the response to Ken's question around fiscal '26, that are you -- the comment that you made when you say a level of earnings growth, are you saying you're unclear as to whether you will grow earnings in fiscal '26 or you're unclear as to how much you will grow earnings in fiscal '26?

So maybe an unfair question in a way because I don't think you said one-way or the other, but I just couldn't tell if in that response you were saying you were unclear if you were going to grow earnings or just how much. So any context there might be helpful. Then I have a follow-up.

Tucker H. Marshall
Chief Financial Officer at J. M. Smucker

Chris, it's difficult to call FY '26 outlook today. We can certainly do that on our 4th-quarter earnings call as we walk-through our -- and complete our planning process. I -- what I want to acknowledge is that at CAGNY, we outlined the elements that we were considering for our earnings and for our top-line. And in that, we saw the opportunity to be above algorithm growth for FY '26. But what we've also shared is that the green coffee commodity continues to trade at record highs and will be a meaningful headwind to our financial outlook for next fiscal year and that's where we stand today.

Chris Carey
Analyst at Wells Fargo & Company

Okay. Yeah. I realized that was kind of an unfair question, but figured I'd ask. Regarding -- regarding the coffee business, in your prepared remarks, you said that elasticities were actually trending in-line or better than your expectations. I think in the quarter, it was a bit worse than you know the 0.5. Can you maybe just unpack that comment and what you're seeing? And I thought coffee margins were also quite a bit better than expectations in the quarter. Have you just not been hit yet by some of this inflation that we're seeing or is the pricing covering? Just any context there as well? Thanks so much.

Mark T. Smucker
Chairman of the Board, President, Chief Executive Officer at J. M. Smucker

Chris, it's Mark. First, I would just go back to the comments I made earlier about how the cough -- at-home coffee performs at being a very affordable at a fraction of the cost of other channels, right? So versus, say, a coffee shop or an energy drink, for example, coffee is a brewed cup of coffee, even a K-Cup is a fraction of the cost.

So it is very affordable and consumers continue to consume coffee and we remain very confident in our ability to continue to invest in the brands, offer the consumer a range of options from value to premium and choice. And we do expect from a coffee commodity perspective that these things are cyclical and although we are at higher costs, we do expect the commodity over-time to normalize. Yeah. I guess if I might just add one comment is that we manage through as a leader, where we always -- as we think about taking price, we want to recover dollar-for-dollar on a profit basis.

And to the extent that we support margins, it's pulling the other levers that are -- that are available to us such as price pack architecture, our hedging strategy, formulation, flexibility, those types of things. So from a pricing perspective, again, it's just, you know, recovering dollar-for-dollar, but then supporting our margin through those other levers.

Chris Carey
Analyst at Wells Fargo & Company

Okay. All right. Thanks guys. Appreciate it.

Operator

Thank you. Next question today is coming from Robert Moscow from TD Cowen. Your line is now live.

Robert Moskow
Analyst at TD Cowen

Hi, thanks for the question. I guess I'll ask fiscal '26 in a different way and Tucker, maybe you could answer it differently or not. But I would imagine by division, coffee profits most likely down year-over-year in '26 because of the higher-cost. Pet food, probably up, I think, because you have these stranded overhead reductions. And then Sweet baked snacks, I mean, I would imagine you could have profit growth because of these synergies. But then again, I don't know if it's going to get reinvested. And I also don't know if the synergies all flow-through to that segment or not. So if there's any way you could maybe just address more broadly on those three, I'd appreciate it.

Tucker H. Marshall
Chief Financial Officer at J. M. Smucker

Yeah. Rob, it's difficult to give you the puts and takes by business for our financial plan for next fiscal year when we haven't completed that journey. But what I can offer is that your framework is a framework and you'll have to make your own estimates or assumptions. Two is, I would just acknowledge that stranded overhead does impact PET, but it impacts other elements of the total company.

And I would acknowledge too that not all synergies flow directly to the Sweet Baked snack segment. Some will flow into the corporate area as well. We did share on the synergy front that we are tracking toward the $100 million objective by the end of fiscal year '26. We will probably exit this fiscal year with about $70 million toward that $100 million run-rate, leaving about $30 million in '26. So hopefully, those are just some additional points that will help your modeling.

Robert Moskow
Analyst at TD Cowen

It does. Thanks. And maybe a follow-up. For 4th-quarter, the guidance implies a pretty substantial decline in profit year-over-year. Is a lot of this happening in coffee because of the price-cost relationship or is it more spread-out by division hello?

Tucker H. Marshall
Chief Financial Officer at J. M. Smucker

Yeah. So I think it's a couple of things as you walk-through that, I just was checking the charts. Yes, you will see that coffee in the 4th-quarter will step into its highest cost basket out-of-the four quarters. You will see continued investment in frozen handheld and spreads and you see the continued call down in Sweet Bake snacks.

Robert Moskow
Analyst at TD Cowen

Great. Okay. Thank you.

Operator

Thank you. Next question is coming from Tom Palmer from Citi. Your line is now live.

Tom Palmer
Analyst at Smith Barney Citigroup

Good morning. Thanks for the questions. Maybe I could just open following-up what you just said on frozen handhelds and spreads. I think at the start of the year, you discussed around $50 million or $0.35 earnings in-kind of earnings overhang from startup costs and other investments.

A year-ago, when you were going through the pre-production costs, I think we've gotten some quantification by quarter. Just any help in terms of what we saw in the 3rd-quarter in terms of those investments and then maybe how to think about the 4th-quarter? Thanks.

Tucker H. Marshall
Chief Financial Officer at J. M. Smucker

Sure. So you are correct, Tom. We did call-out at the beginning of this fiscal year a $0.35 headwind or investment within that portfolio, really broken-down into thirds. One was supporting promotion and merchandising; two was supporting incremental marketing on the portfolio. And then three was just the ongoing manufacturing expenses, whether they'd be preproduction expenses or just the overhead absorption.

As you think about sort of the the 4th-quarter really came in-line with the prior year, maybe slightly better because pre-prod did come in a little -- pre-production expenses, excuse me, did come in a bit favorable. As you think about the 4th-quarter, we'll probably do slightly better year-over-year, but we will continue to see the elevated marketing as we support the brand?

Tom Palmer
Analyst at Smith Barney Citigroup

Okay. Thanks for that. And then on the pet segment, you had the comment about low-single-digit growth in the 3rd-quarter, excluding both the contract manufacturing and the disruptions. I just want to clarify the disruptions, do they linger into 4Q or should it be a clean quarter? And then to what extent, if at all did the disruptions cause you to pull-back on merchandising and other brand support that might ramp-in 4Q? Thanks.

Tucker H. Marshall
Chief Financial Officer at J. M. Smucker

Yeah. So you are correct. We did call-out a $30 million supply-chain disruption primarily impacting our US retail pet food segment. That did hit us in the 3rd-quarter, as I've noted. It is behind us. We do view it as one-time in nature. We are working through being back on-shelf in-stock, full distribution primarily on the Milk Bone brand that did happen in the 3rd-quarter. There is some element of that in the 4th-quarter, but nothing material or significant to call-out.

And I just would acknowledge that there's really -- there's really no sequential or delay or incremental investment that we're going to see in the 4th-quarter on PET.

Tom Palmer
Analyst at Smith Barney Citigroup

Thank you.

Operator

Thank you. Next question today is coming from Alexia Howard from Bernstein. Your line is now live.

Alexia Howard
Analyst at Sanford C. Bernstein

Good morning, everyone. And can I ask just coming back to Hostess, how can you be sure from the data that you're seeing that this is indeed due to price elasticity and value-seeking behavior. I think you mentioned selective behavior is pressuring the category and not due to some more permanent shift of the demand curves and perhaps due to GLP-1s or consumer interest in longevity and concerns about heavily processed foods and disease.

Just curious about what it is about the data that makes you confident that this is just a temporary problem rather than something a little bit more long-term?

Mark T. Smucker
Chairman of the Board, President, Chief Executive Officer at J. M. Smucker

Sure, Alexia. We -- from a GLP-1 standpoint, we update our data at least monthly, right, and we look at trends and all the impacts on snacking generally and sweet snacking specifically. And we continue to not see material impact to the category. So I would guide you back to the comments just around a more cautious consumer, the convenience channel being down in general, gas prices have been elevated and so people are just having a bit less extra discretionary change in their pocket. I think that is clearly part of it.

And so we don't see -- we are not attributing to that to the decline in the 2 to the GLP-1 and we do acknowledge our own executional missteps, which we are obviously in the process of changing and improving, I would also just highlight that donuts continue to perform very well and the breakfast occasion is performing well as well. So just to highlight that.

Alexia Howard
Analyst at Sanford C. Bernstein

Thank you very much. And just as a quick follow-up, the declines in GIF and fruit spreads, can we just get a quick update on what's causing that and how quickly that might be resolved? Thank you, and I'll pass it on.

Mark T. Smucker
Chairman of the Board, President, Chief Executive Officer at J. M. Smucker

Yeah, sure. Jif is performing very well. We had a little bit of a down quarter. I would just remind you that we've had a really strong first-half of the year. And so there's just a little bit of timing there, but we expect the Jif brand to continue to perform as it has. So I wouldn't expect anything out-of-the ordinary and you'll see that the share of the share of prices or the share performance has been pretty consistent. So feeling good about peanut butter in general.

And then on fruit spreads, as I think we've mentioned, we've had a bit of competitive activity and we are now turning on -- back on some pretty strong marketing and advertising. And so would expect to see some stabilization in the fruit speds category as well in our brand.

Alexia Howard
Analyst at Sanford C. Bernstein

Great. Thank you. I'll pass it on. Appreciate it.

Operator

Thank you. As a reminder, that STAR1 to be placed into question queue. Our next question is coming from Scott Marx from Jefferies. Your line is now live.

Scott Marks
Analyst at Jefferies Financial Group

Hey, good morning. Scott Marx here on for Rob Dickerson. Thanks for taking my questions. First one I wanted to ask just turning back to the sweet snack category. I guess given the current dynamics, everything that you've spoken to today and certainly over the past few weeks, have you seen any maybe pushback from retailers just in terms of you know plan a grant maybe the new channels for speaking to any hesitancy from those folks to add more from the sweet snack category

Mark T. Smucker
Chairman of the Board, President, Chief Executive Officer at J. M. Smucker

No Scott we haven't in fact, we're working pretty closely with our retailers to continue to improve the shelf set. And one of the things that continues to drive performance in sweet Baked snacks is innovation, limited time offerings, and we have a strong pipeline of that continuing to come online as we as we move forward and into obviously the new fiscal year.

So honestly, our -- our conversations and as we get into the new MOD resets in the coming months, we feel pretty confident about how we'll show-up on-shelf.

Scott Marks
Analyst at Jefferies Financial Group

Got it. Appreciate that. And then second question from me. I know there's been obviously a lot of discussion about coffee. Obviously, the inflation has been evident and tied into inflation that we see also In Coco recently and just in terms of questions about sustainability of supply and stability of cocoa growing regions, let's say. Do you feel there's anything to that with regards to the coffee commodity just in terms of you know, maybe concerns about sustainability or need to kind of expand -- kind of expand production more globally. Just wondering if you can kind of speak to that and what's been happening?

Mark T. Smucker
Chairman of the Board, President, Chief Executive Officer at J. M. Smucker

Got it. If I understand your question, I think this really comes down to just this the cyclical nature of the commodity, right? And what -- what you're seeing in the in the commodity is simply fundamentals. We've had a supply deficit. This is the fifth year in a row where there's been a relative undersupply.

World demand for coffee continues to be strong, you know, but we do view that as we've been in the coffee category for almost 50 years or 15 years, one, five, the commodity is cyclical. And we do expect just as historical that over-time the commodity will moderate. And there's been a significant amount of progress with ourselves participating both in supporting small holder farmers and helping them improve their crops in various regions around the world as well as breeding programs that are looking at coffee plants that are actually more resistant to climate change and there's been some good progress there as well.

So I think the right steps are being taken from a crop standpoint across the industry and we would expect some normalization in the crop over-time.

Scott Marks
Analyst at Jefferies Financial Group

Got it. Pass it on. Thanks so much.

Operator

Thank you. Next question is coming from Max from BNP Paribas. Your line is now live.

Max Gumport
Analyst at BNP Paribas

Hey, thanks for the question. Last quarter, you discussed an expectation for coffee segment profit margin to be in the mid to low 20% range in the second-half of this year. You just printed a 28% margin. Could you help frame what led to that much better-than-expected result? I think there was a call-out on favorable property taxes, which I'm not sure would have been anticipated, but really, I'm looking for more color on the interplay of pricing, commodity inflation, elasticity, deleverage and then other cost-savings. Thanks very much.

Tucker H. Marshall
Chief Financial Officer at J. M. Smucker

Yeah, Max, coffee had a nice quarter -- 3rd-quarter from a top-line perspective and that did materialize in the margin. And the margin did come in slightly better than we anticipated, and that's largely due to the way that price elasticities are holding in and we're delivering volume mix. It's also the way that we continue to manage the cost structure of the overall business or portfolio. And so you're just seeing that favorability come through in the 3rd-quarter.

We would just remind you that as you step into the 4th-quarter, that will come down as we basically now have the highest cost basket in our 4th-quarter. So we will see that come down for -- from the third to the 4th-quarter sequentially. And that's largely just driven again due to the underlying green coffee commodity costs and also our continued price elasticity of demand factor?

Max Gumport
Analyst at BNP Paribas

Thanks. And then just going back to the $1 billion impairment charge for Sweet Baked snack. So it sounds like you mentioned that your $1.4 billion sales target for this year has come down to $1.2 billion. But I'm trying to get a better -- and also that you're still sticking to the 4% long-term growth rate. So I'm trying to get a better sense for then what is driving the $1 billion impairment charge? It doesn't feel to me like a $200 million cut to sales in one year would be the driver of that. And I think it's really much more based on your long-term free-cash flow expectations for this business. So could you provide a bit more context on what has changed that has led to that impairment charge today? Thanks very much.

Tucker H. Marshall
Chief Financial Officer at J. M. Smucker

Yes, Max. So the impairment charges are broken-down into two components. The first component is the business unit charge. And the business unit charge really is impacted by the top-line performance. So as you see the diminishing top-line performance, it obviously impacts profit and the impairment charge associated with the business unit is at the profit level.

Two is that we're not anticipating to recover that base. So we will be stabilizing from this reduced base and then growing at some point over-time. And currently, we do remain focused on the long-term 4% growth. And then at the brand level, that is all driven by sales. And so the sales performance is also getting caught up into that component of the impairment charge as well. Hopefully, that helps.

Max Gumport
Analyst at BNP Paribas

Yes. Thanks very much. I'll pass it on.

Operator

Thank you. We reached end of our question-and-answer session. I'd like to turn the floor back over for any further or closing comments.

Mark T. Smucker
Chairman of the Board, President, Chief Executive Officer at J. M. Smucker

Well, thank you all for your time and joining our call this morning. It was great to see many of you at CAGNY last week, where we were excited to share our strategy and why we are confident in the future of the company. And I think that came through loud and clear. Our legacy business continued to deliver positive results in our 3rd-quarter, building on our strong year-to-date performance and we are taking action to return the Hostess brand to growth, including the leadership change we announced today and the progress we are making on advancing our suite-based snack strategy.

We are delivering positive results in a dynamic operating and consumer environment, and I am confident in our strategy and believe that we continue to be in a strong position to deliver long-term growth and increase shareholder value-based on the continued momentum that you've seen and our ongoing portfolio reshape.

All of this would not be possible without our outstanding employees. And so as always, I would like to thank them for their continued hard work and dedication to our company. I hope you all have a great day. Thank you.

Operator

Everyone, that does conclude today's conference call. You may now disconnect and have a wonderful day. We thank you for your participation today

Corporate Executives
Analysts

Alpha Street Logo

Transcript Sections

Remove Ads