The J.M. Smucker Company (NYSE:SJM) reported an increase in underlying second-quarter sales boosted by higher prices.
The maker of Jif peanut butter said total sales in the quarter ended October 31 decreased 12% to $266.5 million, reflecting disposals last year, while comparable sales rose 7%.
The increase in comparable sales reflects a 4 percentage point increase from volume/mix, primarily driven by Smucker's Uncrustables frozen sandwiches and contract manufacturing sales related to the divested pet food brands, partially offset by Jif peanut butter, the firm said.
Adjusted earnings per share came in at $2.59, an increase of 8%, while net income rose 2% to $194.9 million.
"Our second quarter results reflect the continued demand for our iconic brands, “said Mark Smucker, chair, president and chief executive.
"Our continued business momentum gives us confidence in our ability to achieve our sales and earnings expectations for this fiscal year," Smucker added.
The company expects full-year net sales to increase by 8.5% to 9.0% compared to the prior year, reflecting a favorable volume/mix from underlying business momentum, as well as higher net pricing.
Adjusted EPS is predicted between $9.25 to $9.65.
Shares in JM Smucker rose 3.1% in pre-market trading.