Smucker gets boost from coffee, pet foods
The J.M. Smucker Company’s decision to venture outside its namesake jarred jelly and spreads is paying off. The company says net sales during the fourth quarter of its 2016 fiscal year increased 25 percent in large part due to contributions from its recently acquired pet food company, Big Heart Pet Brands, and coffee business.
“We concluded 2016 with a strong fourth quarter, as the company achieved record sales, earnings and cash flow for the full fiscal year,” says Richard Smucker, executive chairman. “We are proud of the numerous accomplishments this past year. These include the successful introduction of Dunkin’ Donuts K-Cup pods and other on-trend products, providing lower pricing on Folgers coffee, expanding distribution for the Natural Balance brand, completing a seamless integration of the Big Heart acquisition and exceeding our synergy and working capital targets.”
Sales of retail pet foods increased 9 percent in the three-month quarter ending April 30. Smucker acquired Big Heart last year for more than $3 billion. Coffee sales—including brands such as Folgers and Dunkin’ Donuts single-serve pods among others—increased 9 percent. The company’s consumer foods business, which incorporates Smucker’s jams, Jif peanut butter and Pillsbury, declined 2 percent.