Retail packaged coffee was a key performer in J.M. Smucker’s second quarter, strongly contributing to the US coffee, food and pet food manufacturer’s $2.2bn sales
J.M. Smucker has increased its full-year 2023 financial outlook, forecasting sales growth of 6.5% | Photo credit: via Shutterstock
J.M. Smucker has credited its US retail coffee division as strongly contributing to its robust second quarter sales growth.
Reporting on the three months ended 31 October 2022, J.M. Smucker’s coffee segment achieved sales growth of 10% to reach $710m.
Total company revenues increased 8% to reach $2.2bn, including 9% sales growth for J.M. Smucker’s US retail pet food division, 14% for its international and away from home business, and a 2% fall in sales for US retail consumer goods.
"Our second quarter results reflect the ongoing strength of our business, continued demand for our leading brands, and the ability of our team to execute with excellence. 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, CEO, J.M. Smucker.
The company has increased its full-year 2023 financial outlook, forecasting sales growth of 6.5%. However, it cited ongoing cost inflation and supply chain volatility as potential headwinds for the next six months.
J.M. Smucker manages a range of at-home food and beverage products that the company promotes as being present in over 80% of homes in the US. Prominent J.M. Smucker brands include Folgers, Café Bustelo and licensed Dunkin’ at-home and retail coffee ranges.