The J. M. Smucker Company (SJM) said Tuesday that first-quarter net sales rose 5%, with volume mix contributing one percentage point, as the company broadened growth across several consumer brands. At the Barclays 19th Annual Global Consumer Conference on Sept. 8, 2026, Chief Executive, President and Chairman of the Board Mark Smucker and Chief Financial Officer Tucker Marshall, Executive Vice President of the Frozen, Handheld, Spreads and Sweet Baked Snack segments, presented updated full-year guidance, including a $0.75 increase in adjusted earnings per share to $10.50-$11.00.
The company raised full-year free cash flow guidance by $100 million to about $1.1 billion, marking the second consecutive year it expects to generate more than $1 billion. Fiscal first-quarter free cash flow was about $337 million, an improvement of more than $430 million from the prior-year period. The company expects long-term free cash flow of about $1.2 billion in fiscal 2026 and roughly $1.2 billion in fiscal 2027, with a 12% free cash flow yield.
Net sales guidance was revised to a 1% to 2% decline for the full year, an improvement of about $180 million at the midpoint. The company attributed the revision primarily to lower green coffee costs being passed through to consumers. Trailing 12-month adjusted EBITDA was about $2.3 billion, while the net debt to EBITDA leverage ratio reached 2.9 times, ahead of the company's 3x target.
Debt paydown was also highlighted. The company paid down approximately $230 million during the quarter and is committed to paying down at least $500 million in fiscal 2027. The dividend was raised for the 25th consecutive fiscal year in July, with a compounded annual growth rate of 5% over the past 10 fiscal years. InvestingPro assigned the company a financial health score of 2.65 out of 5, rated 'GOOD'.
Brand-level performance was detailed. Uncrustables reached $1 billion in annual net sales and became a top-three brand in the total freezer aisle. The brand added more than 2 million new households over the past year, with household penetration at 27%. Growth guidance was raised from mid-single digit to high single digit, and the brand returned to double-digit growth in the fiscal first quarter.
Uncrustables also expanded into protein snacks, adding 12 grams of protein per serving and introducing Beamin' Berry Blend and Burstin' Blueberry. The company launched fridge-friendly sandwiches that stay fresh for up to five days and is staffing and activating the second phase of its McCalla, Alabama plant.
Café Bustelo is now the sixth-largest brand in the at-home coffee category, with management aiming to move into the top four. The brand added more than 3 million new households over the past year. Its 'Game Face' campaign included a halftime commercial during a major soccer tournament, more than 1 million collectible cans featuring four designs inspired by Latin countries and bonus game face tattoo kits, and more than 1.5 billion impressions across June and July.
Meow Mix Gravy Bursts was described as a leading innovation in dry cat food last year, and a new salmon flavor launched in early 2026 exceeded expectations. Milk-Bone's Peanut Buttery Bites was ranked the number one dog snacks launch over the previous four years, and the company launched Milk-Bone Peanut Buttery Cups earlier in 2026.
Folgers remains the number one brand in total volume share and total buyers among younger generations in at-home coffee. Folgers Functional is scheduled to launch in November with protein, focus, boost, and prebiotic offerings. Jif launched Jif Simply, combining brand equity with a simpler recipe, while Hostess Donettes continues to outperform the broader sweet baked goods category. New Hostess offerings using real fruit and simplified ingredient labels are planned for early next calendar year.
Smucker said the strong first-quarter results demonstrated progress across strategic priorities, with each of the key growth platforms - Uncrustables, Café Bustelo, Meow Mix, and Milk-Bone - delivering volume growth. He characterized consumer-led innovation as a capability to strengthen brands, expand into new occasions, and reach new consumers.
