J.M. Smucker Company Misses Q3 Estimates; Cuts Outlook; Shares Fall (SJM)

Shares of The J.M. Smucker Company (SJM) fell over 5% on Friday morning after the company missed estimates and lowered its outlook for 2014.

SJM’s Earnings in Brief

SJM posted third quarter earnings of $166.7 million or $1.59 per share, up from $154.2 million, or $1.42 per share a year, ago. Excluding special items related to special projects, earnings were $1.66 per share, missing analysts’ view of $1.68 per share. Revenue dipped to 1.47 billion from $1.56 billion last year. Analysts expected to see revenue of $1.53 billion. Looking forward, SJM has cut its outlook for 2014 from an earnings estimate between $5.72 and $5.82 to a new range of $5.55 to $5.60. The company’s updated guidance falls well below analysts estimates of $5.78 per share.

CEO Commentary

CEO of SJM, Richard Smucker commented: “While we expect our fourth quarter earnings to be down compared to a strong quarter last year, we want to reiterate that our business fundamentals remain sound and our prospects for ongoing earnings growth continue.”

SJM’s Dividend

SJM declared its last 58 cent quarterly dividend on January 24. The dividend will be paid on March 3 to shareholders of record on February 14.

Stock Performance 

J.M. Smucker shares were down $5.19, or 5.46%, during pre-market trading Friday. The stock is down 8% YTD.