Pet food gains momentum in J.M. Smucker
The pet portfolio of the American manufacturer reached net sales of $1.49 billion in the last 6 months, representing 36% of its total business.
This increase is 10% more than in 2021, when it reached $1.34 billion in the 6 months to 31 October.
The profit of the category in the period jumped from $179.5 million in 2021 to $240.4 million in 2022.
The same trend was observed in the FY 2023 Q2 – from August to October-, where the Ohio-based company posted pet food sales of $765.2 million (+9%). Cat food sales increased by 19%, followed by dog snacks (+15%) and dog food (+10%).
CEO Mark Smucker told investors that the company is making good progress in stabilizing the dog food portfolio. “We are well positioned to continue benefiting from some shifts within the category. Our portfolio provides offerings across the price spectrum, including premium, mainstream, and value products,” he said.
The profit of the pet business in the quarter also increased from $20.5 million to $120.1 million. This increase was due to “a favorable net impact of higher net price realization and increased commodity and ingredient, transportation, and packaging costs.”