stock was on the rise early Monday after the company’s second-quarter earnings beat expectations and it raised the full-year outlook.
(ticker: SJM) reported second-quarter net sales of $2.21 billion and adjusted earnings per share (EPS) of $2.40. Wall Street analysts had penciled in sales of $2.17 billion and adjusted EPS of $2.18.
Gross profit dipped 1% for the quarter.
The jams and jellies company made some adjustments to full-year guidance but noted the impact of the Jif peanut butter recall—in May, products sold in the U.S. were recalled due to a potential salmonella contamination.
Smucker raised its full-year fiscal 2023 outlook to include a net sales year-over-year increase of between 5.5% and 6.5%, up from previous guidance of 4% to 5%.
It also increased its adjusted EPS range to between $8.35 and $8.75, compared with $8.20 to $8.60. The updated range includes an estimated unfavorable impact of 80 cents due to the peanut butter recall, the company said.
“We delivered organic top-line growth across all of our businesses, driven by the strength of our portfolio, and our ability to recover cost inflation and manage our supply-chain environment,” said Mark Smucker, chair of the board, president and CEO.
Smucker stock rose 0.9% in premarket trading Monday.
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