The J.m. Smucker Company · NYSE:SJM
The J.m. Smucker — Barclays Back-to-School Consumer Conference 2012
11 slides from The J.m. Smucker's conference presentation, Sep 5, 2012
Slide 1: Back-to-School Consumer Conference Presentation
Richard Smucker Chief Executive Officer Back-to-School Consumer Conference Presentation September 5, 2012 1 2 Forward Looking Statement Agenda This presentation contains forward-looking statements, such as projected operating results, earnings, and cash flows, that are subject to known and unknown r
Slide 2: Strength of Smucker
Strength of Smucker Our Vision • Clear and proven strategy • Portfolio of leading brands • Culture and continuity of management • History of long-term growth • Strong cash generation We will own and market food brands that hold the #1 market position • Ability to deliver shareholder value in their r
Slide 3: Delivering Shareholder Value
Delivering Shareholder Value Delivering Shareholder Value ($ in millions) $600 Annual dividends paid Fiscal $500 per share increased 15% $400 $300 $200 Repurchased 4% Actions $100 of common shares $0 outstanding FY08 FY09 FY10 FY11 FY12 Dividends Share Repurchase Special $5 Dividend 13 14 Delivering
Slide 4: U.S. Brand Leadership
Smucker Sales by Category U.S. Brand Leadership Other Flour & Baking Category Size Dollar Share Category (in billions) of Category Ingredients 10% 5% Canned Milk Coffee $7.6 35 5% Baking Mixes Coffee largest shelf- Peanut Butter $1.9 46 & Frostings 6% 48% stable food Fruit Spreads $1.0 45 Shortening
Slide 5: Our K-Cup Portfolio
Our K-Cup Portfolio K-Cup Growth Our K-Cup sales expected to grow 60% in FY13 FY12 net sales of approximately $180 million 25 26 Coffee Innovation Pillsbury Innovation Premium Segment Instant Segment 27 28 Jif Innovation Brand Equity Investments Source: Smucker Internal Multi-Outlet Share Report 52
Slide 6: Digital Investments
Digital Investments Branded Digital Presence 31 32 Multi-Brand Promotions Key Areas of Focus National Customized Brand Building Free Standing Retailer Insert Marketing Pricing Leadership Supply Chain Acquisitions Digital Blogger Media Engagement Sustainability 33 34 Sharpening Price Points Key Areas
Slide 7: Corporate Responsibility Report
Corporate Responsibility Report Green coffee strategy Sustainable palm oil sourcing 37 38 Earnings per Share FY12 Actual to FY13 Outlook Decrease to EPS Increase to EPS • Marketing spend • Supply chain savings Mark Belgya • Sales mix • Pension and Senior Vice President & benefit costs • Sara Lee seg
Slide 8: Top 10 Raw Materials
Volume Considerations Top 10 Raw Materials 1. Green coffee • Economic uncertainty 2. Peanuts 3. Oils • Competitive activities 4. Plastic packaging Represent 5. Wheat • Holiday take-away nearly 2/3 of 6. Fruit / Vegetables 7. Milk total COGS • Pricing actions 8. Sugar • Success of new products 9. Gla
Slide 9: Gross Margin and Cash Deployment
Gross Margin Cash Deployment Share (Non-GAAP) Return to Repurchase 37.1% 37% Shareholders (FY08-FY12) 34.6% 35% 33.8% 33.7% $1.86 billion 32.6% 33% 31% Dividends Cash Acquisitions 29% Debt Maturities 27% ($ in millions) FY13 $ 50 25% FY14 $ 50 Growth FY12 Q1 FY12 Q2 FY12 Q3 FY12 Q4 FY13 Q1 FY15 $100
Slide 10: Additional Information
Additional Information The J. M. Smucker Company is the owner of all trademarks and logos referenced herein, except for the following: Pillsbury, the Barrelhead logo, and the Doughboy character are trademarks of The Pillsbury Company, LLC, used under license; Carnation is a trademark of Societe des
Slide 11: Unaudited Non-GAAP Measures
The J. M. Smucker Company Barclay's Back to School Conference September 5, 2012 Unaudited Non-GAAP Measures (Dollars in thousands, except per share data) Year Ended April 30, 2012 2002 Income from continuing operations excluding special project costs Reconciliation to net income: Net income $ 459,74
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