Production Utility 1

J.M. Smucker reported Q2 revenues of $2.22 billion, up 5% year on year and exceeding analysts' expectations by 4.3%. The packaged foods company, known for fruit jams, peanut butter, coffee, and pet food, beat analysts' EPS and EBITDA estimates. Chief executive officer Mark Smucker said the results "exceeded our expectations for both net sales and adjusted earnings per share, demonstrating continued momentum across the company." Despite the strong performance, Smucker's shares fell 3.2% following the earnings announcement and currently trade at $121.43. The broader shelf-stable food sector struggled in Q2, with the 17 tracked stocks averaging an 8.5% decline since their latest earnings results.

BG Products adds 300,000-square-foot manufacturing facility in Kansas. More office and warehouse space will help keep up with BG Products' growth. Sept. 1, 2026 BG Products has acquired the Vornado Air facility in Andover, Kan, adding approximately 300,000 square feet of office and warehouse space to its operations. The company, which provides automotive maintenance solutions, did not disclose an investment amount or the number of new jobs associated with the acquisition. BG Products said additional space is needed to accommodate growing demand on its Wichita, El Dorado and Derby, Kan., facilities. The company did not provide details on what products will be manufactured at the Andover facility, production rates or specific technologies that will be implemented there. The acquisition follows several previous expansions by BG Products in Kansas. In 2023, the company completed a 51,000-square-foot expansion at its Derby campus. The new space was used for the BG Automation division, which offers automation and robotics, machining and assembly, and custom signage and promotional products. "The demand on BG's Wichita, El Dorado, and Derby facilities has grown rapidly the last five to 10 years, and more space is needed," said Ron Garcia, executive vice president and COO of BG Products. Manufacturers investing in Kansas. J.M. Smucker Co. announces $20.5 million Topeka plant expansion The food and snacks giant said it would spend $17.8 million to expand its Topeka pet food factory. Merck Animal Health invests $895M to expand manufacturing facility in Kansas The facility will support large molecule vaccine production and create more than 200 new jobs. This piece was created with the help of generative AI tools and edited by our content team for clarity and accuracy. Plant Services Smart Minute is a content based enewsletter where readers will find exclusive content, relevant industry news, useful case studies, access to Plant Services on-demand webcasts, and information on upcoming professional events and training opportunities. (Daily) Subscribe Today!

Hostess remains a work in progress for J.M. Smucker. 08.27.2026 ORRVILLE, OHIO - The J.M. Smucker Co. said its Sweet Baked Snacks business, led by Hostess, has continued to show improvement as the company began fiscal 2027 with stronger-than-expected first-quarter results. Sweet Baked Snacks net sales for the quarter ended July 31 declined 7% year over year to $236.5 million, with segment profit down 13% to $29.9 million, Orrville-based J.M. Smucker said. That compared with drops of 24% in net sales (10% excluding divestitures) and 54% in segment profit in the year-ago quarter. Mark Smucker, chairman and chief executive officer, attributed the 2027 quarterly sales dip mainly to the impact of prior-year SKU rationalization and decreases in the convenience store channel but noted Hostess' promising growth in US retail. "We are encouraged by the recent performance of our Sweet Baked Snacks business in US retail channels, where net sales increased low-single digits, driven by double-digit growth for the Hostess Donettes brand," he said. "This performance reflects our strategic focus on the brand, supported by expanded distribution, innovation and improving base-business trends. "We are leveraging our deep retail relationships to expand the presence of the brand while building on promising results from recent innovations, including Donettes Churro Mini Donuts and a new Donettes sharing-size offering. Our larger pack sizes continue to perform well and demonstrate faster purchase cycles than traditional sizes, reinforcing the opportunity to drive incremental consumption and offer increased consumer value. We see continued opportunity to grow both our offerings and distribution." Net price realization lifted first-quarter net sales for Sweet Baked Snacks by 2 percentage points, primarily reflecting higher net pricing for snack cakes and donuts, according to J.M. Smucker. Volume/mix pulled down net sales by 8 percentage points, stemming mostly from decreases in snack cakes and breakfast, the company said. "Volume/mix for donuts was neutral in the quarter," said Tucker Marshall, chief financial officer and executive vice president of Frozen Handheld and Spreads and Sweet Baked Snacks. "Net price realization increased net sales by 2 percentage points, reflecting reduced trade investments in snack cakes and a list price increase for donuts. Segment profit decreased 13%, reflecting higher costs and unfavorable volume/mix, partially offset by higher net price realization and lower marketing spend." Smucker noted the convenience channel "remains challenged as traffic continues to be pressured." "Despite this backdrop, the Hostess Donettes brand continues to outperform the broader sweet baked goods category in this channel, reinforcing the brand's relevance within the a.m. snacking occasion, where consumers are seeking quick, convenient and satisfying options," he said. "We remain focused on strengthening the brand's performance across channels while positioning it to benefit when convenience traffic improves." In June 2025, J.M. Smucker unveiled updated priorities for shoring up Hostess' performance, with the focus narrowed to strengthening the portfolio, elevating execution and reigniting sustainable growth. Actions have included an SKU rationalization program to pare the brand's item count by 25%; a focus shift to high-velocity, margin-accretive SKUs; and a decision to close Hostess' Indianapolis production plant. The company also has formed a dedicated Sweet Baked Snacks sales organization to hone execution and boost the Hostess brand via culturally relevant marketing, refreshed packaging and consumer-led innovation. "We continue to execute against our Sweet Baked Snacks stabilization plan," Smucker said. "For fiscal year 2027, we continue to expect segment profit margin improvement compared to the prior year and see a path to further expansion over time." J.M. Smucker noted a 10% gain in volume/mix for Uncrustables in the first quarter. | Photo: (C) BILLTSTER - STOCK.ADOBE.COM For the first quarter, J.M. Smucker had net income of $324.2 million, equal to $3.03 per share on the common stock, up from a loss of $43.9 million a year earlier. Adjusted net earnings - excluding the impact of income tax costs, amortization and other items - were $346.5 million, or $3.24 per share, up from $203.4 million, or $1.90 per share, a year ago, J.M. Smucker said. That topped Wall Street's high-end forecast for adjusted earnings per share of $2.27. Total net sales rose 5% to $2.22 billion from $2.11 billion in the prior-year period. Net price realization, fueled by higher net pricing for coffee, provided a 4-percentage-point lift to net sales, J.M. Smucker said. Also supplying a boost was a 1-percentage-point gain in volume/mix, mainly from increases for Uncrustables sandwiches and coffee, partially offset by decreases for sweet baked foods and peanut butter. Among other business units, US Retail Frozen Handheld and Spreads saw net sales rise 3% to $499.3 million, with segment profit jumping 13% to $129.7 million. "In Frozen Handheld and Spreads, net sales increased 3%, driven by double-digit growth for Uncrustables sandwiches, partially offset by decreases for Jif peanut butter and Smucker's fruit spreads," Smucker said. "Net sales growth for Uncrustables sandwiches was primarily driven by a 10% increase in volume/mix. We remain focused on scaling the Uncrustables brand as a key growth platform, while driving profitability and modernizing our category-leading spreads business." Uncrustables volume growth also gave a lift to the Away From Home business, as net sales grew 3% to $203.7 million and segment profit advanced 19% to $61.2 million. US Retail Coffee net sales surged 13% to $807.8 million as higher net pricing across the portfolio hoisted sales by 10 percentage points, J.M. Smucker said. Volume/mix increased net sales by 2 percentage points, including gains for the Dunkin' and Café Bustelo brands. Segment profit swelled by 124% to $300 million, boosted by tariff refunds and higher net pricing, the company said. "We delivered a strong first quarter that exceeded our expectations and demonstrated continued momentum across the company," Smucker said. "Our performance reflects the strength of our differentiated portfolio, disciplined execution against our strategic priorities, and the investments we continue to make in our brands and capabilities. Importantly, net sales increased 5%, including a 1 percentage point contribution from volume/mix, alongside improved profitability and strong earnings growth. Based on our first-quarter performance and expectations for the balance of the year, we raised our full-year outlook for net sales, adjusted earnings per share and free cash flow." J.M. Smucker now projects fiscal 2027 adjusted EPS of $10.50 to $11, up from $9.75 to $10.25 previously, and net sales declines of 1% to 2% versus the prior forecast of down 3% to 4%. "Our updated guidance reflects stronger-than-anticipated momentum across the business and a favorable net benefit of approximately 60¢ related to the receipt of tariff refunds, which reflects the 84¢ benefit from tariff refunds received in the first quarter," Marshall said. Get better food industry search results. Adding us tells Google to prioritize Food Business News stories.