Subscribe Login
DE4CC0DE-5FC3-4494-BCBF-4D50B00366B5
A-Brands

J.M. Smucker To Exit Brands, Invest In High-growth Areas In Reboot

J.M. Smucker Co said on Thursday it would exit underperforming brands, invest in high-growth areas and create a dedicated pet food sales organisation as part of a restructuring plan over the next 12-to-18 months.

The company, known for its Jif peanut butter and Folgers coffee, has benefited from a surge in demand as extended work-from-home policies and the closure of schools due to the COVID-19 pandemic prompt people to eat more at home.

'A Focused Strategic Plan'

"We are implementing a focused strategic plan, including reshaping our portfolio, streamlining our organisation, and updating our commercial model," chief executive officer Mark Smucker said in a statement.

The company, which is hosting a virtual investor day later on Thursday, said it would focus on generating $50 million of annual savings in each of the next three fiscal years.

The pet food business, which Smucker bolstered with premium products like Rachael Ray Nutrish dog and cat food through acquisitions, has been fighting for market share with rival General Mills' Blue Buffalo.

Smucker reiterated its sales and profit goals for fiscal 2021, and said it expects net sales growth of 2% and adjusted earnings to rise 8% in the long term.

News by Reuters, edited by ESM. Click subscribe to sign up to ESM: European Supermarket Magazine.

Stay Connected With Our Weekly Newsletter

Processing your request...

Thanks! please check your email to confirm your subscription.

By signing up you are agreeing to our Terms & Conditions and Privacy Policy
Enjoy unlimited digital access for 30 days
Get exclusive access to the latest grocery retail & FMCG news, interviews with industry leading executives, and expert analysis on the trends shaping the sector today
Enjoy unlimited digital access for 30 days
Enjoy unlimited digital access for 30 days
Get exclusive access to the latest grocery retail & FMCG news, interviews with industry leading executives, and expert analysis on the trends shaping the sector today
Enjoy unlimited digital access for 30 days