Scotts Miracle-Gro Co. SMG, +0.51% reported its first-ever fiscal first-quarter profit and sales that reached a record. Shares rose 3.3% in Wednesday premarket trading. Net income totaled $24.4 million, or 43 cents per share, after a loss of $71.4 million, or $1.28 per share, last year. Adjusted EPS of 39 cents blew past the FactSet consensus for a loss of 77 cents. Scotts Miracle-Gro typically reports a loss due to the seasonal nature of the lawn care and gardening business. Sales totaled $748.6 million, up from $365.8 million and also far exceeding the FactSet consensus for $595.0 million. “Our year-round commitment to driving the conversation with consumers will include our first commercial specially produced for the Super Bowl, which is scheduled to appear in the second quarter of this Sunday’s game,” said Jim Hagedorn, Scotts Miracle-Gro chief executive, in a statement. “That kind of reach, coupled with our data-driven and highly targeted approach to social media, is key in our efforts to retain the millions of new consumers who have entered our category over the past year.” Scotts Miracle-Gro now expects full-year fiscal 2021 sales to grow 1% to 6%, up from previous guidance for flat sales to 5% growth. Adjusted EPS is expected to be $8.00 to $8.40. The FactSet consensus is for sales of $4.257 billion, suggesting 3% growth, and EPS of $8.36. The company is now guiding for 20% to 30% sales growth for the Hawthorne Gardening Company, which specializes in materials for indoor and hydroponic growing, up from previous guidance for 15% to 20% growth. Scotts Miracle-Gro stock has soared 84.5% over the last year, far outpacing the benchmark S&P 500 index SPX, +1.39%, which is up 17.8% for the period.
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