The J.m. Smucker Company · NYSE:SJM
The J.m. Smucker — Q4 2022 Earnings Presentation
25 slides from The J.m. Smucker's earnings presentation, Jun 7, 2022
Slide 1: Fiscal 2022 Fourth Quarter Earnings
Fiscal 2022 Fourth Quarter Earnings SUPPLEMENTARY INFORMATION June 07, 2022
Slide 2: Consolidated Results
Consolidated Results ($ in millions, except per share data) FY22 Q4 FY21 Q4 YoY Change Net Sales $2,033.8 $1,920.2 6% Adjusted Gross Profit $655.2 $727.0 (10%) Adjusted Gross Profit Margin 32.2% 37.9% -570bps Adjusted Operating Income $350.9 $311.6 13% Adjusted Operating Income Margin 17.3% 16.2% +1
Slide 3: Consolidated Results: Net Sales Analysis
Consolidated Results Net Sales Analysis ($ in millions) $2,034 $1,920 YoY Change (1%) 10% (0%) (3%) FY22 Q4 EARNINGS SUPPLEMENT 3 Note: Amounts may not add due to rounding
Slide 4: Consolidated Results: Balance Sheet/Cash Flow Highlights
Consolidated Results Balance Sheet/Cash Flow Highlights ($ in millions) FY22 Q4 FY21 Q4 Cash from Operations $393.7 $291.0 Capital Expenditures (173.0) (108.0) Free Cash Flow $220.7 $183.0 April 30, 2022 April 30, 2021 Total Debt (Gross) $4,490.6 $4,751.7 EBITDA (as adjusted, TTM) $1,614.2 $1,805.3
Slide 5: Segment Results: FY22 Q4
Segment Results: FY22 Q4 PET CONSUMER COFFEE INT’L & AFH FOODS FOODS ($ in millions) Net Sales $718.1 $647.2 $397.3 $271.2 YoY Change 6% 11% (5%) 12% YoY Net Sales Change Summary: Acquisition/Divestitures (4%) - (8%) (1%) Foreign Currency Exchange - - - (0%) Net Sales Excluding Divestitures and Fore
Slide 6: Full-Year Fiscal 2023 Outlook
Full-Year Fiscal 2023 Outlook Net Sales Increase 3.5% – 4.5% Adjusted EPS – Assuming Dilution $7.85 - $8.25 Free Cash Flow (in millions) $500 Capital Expenditures (in millions) $550 Adjusted Effective Income Tax Rate 24.2% FY22 Q4 EARNINGS SUPPLEMENT 6 Please refer to the press release dated June 7,
Slide 7: Total Company: Fiscal 2022 Net Sales by Reportable Segment
Total Company Fiscal 2022 Net Sales by Reportable Segment U.S. RETAIL U.S. RETAIL PET CONSUMER FOODS FOODS 21% 35% $8.0B INTERNATIONAL & AWAY FROM HOME 13% US RETAIL COFFEE 31% FY22 Q4 EARNINGS SUPPLEMENT 7 Note: Amounts may not add due to rounding
Slide 8: U.S. Retail Reportable Segments: Net Sales by Channel
U.S. Retail Reportable Segments Fiscal 2022 Net Sales by Channel GROCERY 39% OTHER 3% $7.0B WALMART 31% E-COMMERCE CLUB 5% 12% PET SPECIALTY 3% DOLLAR 7% FY22 Q4 EARNINGS SUPPLEMENT Note: E-Commerce represents pure-play online retailers only; Other includes Drug, Military, Mass Retail, and Convenien
Slide 9: U.S. Retail Pet Foods Segment
U.S. Retail Pet Foods Segment Fiscal 2022 Net Sales DOG FOOD 31% SNACKS 33% $2.8B PRIVATE LABEL 4% CAT FOOD 32% FY22 Q4 EARNINGS SUPPLEMENT 9 Note: Amounts may not add due to rounding
Slide 10: U.S. Retail Coffee Segment
U.S. Retail Coffee Segment Fiscal 2022 Net Sales MAINSTREAM ROAST & GROUND 46% PREMIUM 17% $2.5B INSTANT 8% K-CUP 30% FY22 Q4 EARNINGS SUPPLEMENT 10 Note: Amounts may not add due to rounding
Slide 11: U.S. Retail Consumer Foods Segment
U.S. Retail Consumer Foods Segment Fiscal 2022 Net Sales PEANUT BUTTER 44% OTHER 3% $1.7B FROZEN HANDHELD 25% TOPPINGS & SYRUP 3% FRUIT SPREADS NATURAL FOOD & 18% BEVERAGE 7% FY22 Q4 EARNINGS SUPPLEMENT 11 Note: Amounts may not add due to rounding
Slide 12: International and Away From Home Segment
International and Away From Home Segment Fiscal 2022 Net Sales CANADA 40% OTHER $1.0B AWAY FROM HOME FOOD & PET INTERNATIONAL 32% 9% AWAY FROM HOME BEVERAGE 20% FY22 Q4 EARNINGS SUPPLEMENT 12 Note: Amounts may not add due to rounding
Slide 13: Cost of Products Sold
Cost of Products Sold Fiscal 2022 INGREDIENTS 49% TOP 5 RAW MATERIALS 1. Coffee 2. Meats and Protein Meals FREIGHT $5.3B PACKAGING 12% 3. Nuts 69% OF TOTAL RAW 8% 4. Resin MATERIALS 5. Grains LABOR/OVERHEAD CO-MANUFACTURING 17% 14% FY22 Q4 EARNINGS SUPPLEMENT 13 Note: Amounts may not add due to roun
Slide 14: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements, such as projected net sales, operating results, earnings, and cash flows that are subject to risks and uncertainties that could cause actual results to differ materially from future results expressed or implied by thos
Slide 15: Non-GAAP Financial Measures
Non-GAAP Financial Measures The Company uses non-GAAP financial measures, including: net sales excluding divestitures and foreign currency exchange; adjusted gross profit; adjusted operating income; adjusted income; adjusted earnings per share; earnings before interest, taxes, depreciation, amortiza
Slide 16: Unaudited Non-GAAP Financial Measures
Unaudited Non-GAAP Financial Measures ($ in millions) Three Months Ended April 30, 2022 2021 Gross profit reconciliation: Gross profit $666.7 $735.7 Change in net cumulative unallocated derivative gains and losses (14.5) (12.1) Cost of products sold – special project costs 3.0 3.4 Adjusted gross pro
Slide 17: Unaudited Non-GAAP Financial Measures
Unaudited Non-GAAP Financial Measures ($ and shares in millions, except per share data) Three Months Ended April 30, 2022 2021 Net income reconciliation: Net income $202.1 $147.0 Income tax expense 58.1 46.3 Amortization 57.5 56.9 Other intangible assets impairment charge - 3.8 Loss on divestitures
Slide 18: Unaudited Non-GAAP Financial Measures
Unaudited Non-GAAP Financial Measures ($ in millions) Three Months Ended Year Ended Year Ended July 31, October 31, January 31, April 30, April 30, April 30, 2021 2021 2022 2022 2022 2021 EBITDA (as adjusted) reconciliation: Net income $153.9 $206.0 $69.7 $202.1 $631.7 $876.3 Income tax expense 51.3
Slide 19: Non-GAAP Reconciliation: Company Guidance EPS
Non-GAAP Reconciliation Company Guidance Year Ending April 30, 2023 Low High Net income per common share – assuming dilution reconciliation: Net income per common share – assuming dilution $ 5.90 $ 6.30 Change in net cumulative unallocated derivative gains and losses (A) 0.27 0.27 Amortization 1.58
Slide 20: Non-GAAP Reconciliation: Company Guidance Free Cash Flow
Non-GAAP Reconciliation Company Guidance ($ in millions) Year Ending April 30, 2023 Free cash flow reconciliation: Net cash provided by operating activities $ 1,050 Additions to property, plant, and equipment (550) Free cash flow $ 500 FY22 Q4 EARNINGS SUPPLEMENT 20
Slide 21: Supplemental Net Sales Information
Supplemental Net Sales Information Net Sales Excluding Divestitures – FY22 ($ in millions) Three Months Ended Year Ended July 31, October 31, January 31, April 30, April 30, 2021 2021 2022 2022 2022 Total Company Net Sales $1,858.0 $2,050.0 $2,057.1 $2,033.8 $7,998.9 Divested Private Label Dry Pet F
Slide 22: Supplemental Net Sales Information
Supplemental Net Sales Information Net Sales Excluding Divestitures – FY22 ($ in millions) Three Months Ended Year Ended July 31, October 31, January 31, April 30, April 30, 2021 2021 2022 2022 2022 U.S. Retail Pet Food Net Sales $648.0 $701.6 $696.6 $718.1 $2,764.3 Divested Private Label Dry Pet Fo
Slide 23: Supplemental Net Sales Information
Supplemental Net Sales Information Net Sales Excluding Divestitures – FY21 ($ in millions) Three Months Ended Year Ended July 31, October 31, January 31, April 30, April 30, 2020 2020 2021 2021 2021 Total Company Net Sales $1,971.8 $2,034.0 $2,076.7 $1,920.2 $8,002.7 Divested Crisco® Business (79.5)
Slide 24: Supplemental Net Sales Information
Supplemental Net Sales Information Net Sales Excluding Divestitures – FY21 ($ in millions) Three Months Ended Year Ended July 31, October 31, January 31, April 30, April 30, 2020 2020 2021 2021 2021 U.S. Retail Pet Food Net Sales $692.6 $708.7 $768.6 $674.6 $2,844.5 Divested Natural Balance® Busines
Slide 25: Additional Information
Additional Information: Aaron Broholm Vice President, Investor Relations ir.team@jmsmucker.com Phone: (330) 682-3000 Investor Relations Website: https://investors.jmsmucker.com/ FY22 Q4 EARNINGS SUPPLEMENT 25
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