The company said net sales for the quarter ended July 31, 2024 rose $319.9 million, or 18%, and that this included incremental net sales of $333.7 million from the Hostess Brands acquisition. Noncomparable net sales from divestitures in the prior year were $28.6 million.

10-QQuarterly reportFiled Aug 28, 2024Period of report Jul 31, 2024Summary published (UTC) Oct 23, 2026

Key points

AI summary

The company said net sales for the quarter ended July 31, 2024 rose $319.9 million, or 18%, and that this included incremental net sales of $333.7 million from the Hostess Brands acquisition. Noncomparable net sales from divestitures in the prior year were $28.6 million.
SJM said operating income for the quarter rose $46.0 million, or 15%. It said the increase in gross profit was partially offset by a $76.5 million increase in selling, distribution, and administrative expenses and a $16.2 million increase in amortization expense. The company also said special project costs rose $7.1 million.
The company said net interest expense rose $68.3 million this quarter. It cited higher interest expense on the new Senior Notes issued in 2024 to partially finance the Hostess Brands acquisition, and an increase in short-term borrowings under its commercial paper program, as the reasons.
The company said net cash provided by operating activities in the first 3 months of the fiscal year decreased $45.0 million, and cited higher working capital requirements as the main driver. Capital expenditures for the same period were $123.7 million, and dividend payments were $112.1 million.

Key figures

Quarter ended July 31, 2024

Revenue: $2.1B
Operating income: $350M
Net income: $185M
EPS: $1.74
Gross profit: $797M
Operating cash flow: $173M

From the XBRL financial data filed with the SEC · not processed by AI.

Summary

AI-written

Analysis scope · Management's discussion (MD&A)We analyzed the Management's Discussion and Analysis (MD&A) section. Other sections of the report, such as the notes to the financial statements and risk factors, were not reviewed.

Quarterly Net Sales Growth and Hostess Brands Contribution

The company said net sales for the quarter ended July 31, 2024 rose $319.9 million, or 18%, and that this included incremental net sales of $333.7 million from the Hostess Brands acquisition. Noncomparable net sales from divestitures in the prior year were $28.6 million.

Source · Based on the MD&A text of the filing

Operating Income Growth and SD&A, Amortization, and Special Project Costs

SJM said operating income for the quarter rose $46.0 million, or 15%. It said the increase in gross profit was partially offset by a $76.5 million increase in selling, distribution, and administrative expenses and a $16.2 million increase in amortization expense. The company also said special project costs rose $7.1 million.

Source · Based on the MD&A text of the filing

Higher Net Interest Expense, Senior Notes, and Short-Term Borrowings

The company said net interest expense rose $68.3 million this quarter. It cited higher interest expense on the new Senior Notes issued in 2024 to partially finance the Hostess Brands acquisition, and an increase in short-term borrowings under its commercial paper program, as the reasons.

Source · Based on the MD&A text of the filing

Lower First 3-Month Operating Cash Flow, Capital Expenditures, and Dividends

The company said net cash provided by operating activities in the first 3 months of the fiscal year decreased $45.0 million, and cited higher working capital requirements as the main driver. Capital expenditures for the same period were $123.7 million, and dividend payments were $112.1 million.

Source · Based on the MD&A text of the filing

AI summarized the filing and translated the summary into English; it may differ from the original. For reference only, not investment advice. AI translated the published Korean report into English. Figures are copied as filed, not recalculated.

Original filing

The filing as submitted to SEC EDGAR. You can check the figures and statements of this summary against it.

View the original filing on SEC EDGAR ↗

Unauthorized scraping, data storage and database creation prohibited

Without prior written consent, you must not crawl or scrape data compiled and organized by Chickstock or its analysis and summaries, or collect them repeatedly or in bulk for storage, ingestion or database creation. Repurposing, redistribution, sale and use to build other services are also prohibited.

Unauthorized use may result in access restrictions, demands to stop infringement and delete copies, and claims for damages. Violations of applicable law may also give rise to criminal liability.

Uses permitted by law, the Terms of Service or a separate agreement remain subject to their respective scope. Rights in individual source materials, including original filings, remain with their respective rights holders.