The J. M. Smucker Company (NYSE:SJM) Q1 2025 Earnings Conference Call August 28, 2024 9:00 AM ET

Company Participants

Crystal Beiting - Vice President of Investor Relations and FP&A
Mark Smucker - Chair of the Board, President and Chief Executive Officer
Tucker Marshall - Chief Financial Officer

Conference Call Participants

Andrew Lazar - Barclays Capital
Kenneth Goldman - JPMorgan Chase & Co.
Robert Moskow - TD Cowen
Peter Galbo - Bank of America Merrill Lynch
Matthew Smith - Stifel, Nicolaus & Company
Thomas Palmer - Citigroup Inc.
Steve Powers - Deutsche Bank
Alexia Howard - AllianceBernstein
Robert Dickerson - Jefferies LLC
Max Gumport - BNP Paribas Exane

Operator

Good morning, and welcome to The J. M. Smucker Company's Fiscal 2025 First Quarter Earnings Question-and-Answer Session. This conference call is being recorded and all participants are in a listen-only mode. Please limit yourselves to two questions and re-queue, if you have additional questions.

I'll now turn the conference call over to Crystal Beiting, Vice President, Investor Relations and Financial Planning and Analysis. Thank you. You may begin.

Crystal Beiting

Good morning and thank you for joining our fiscal 2025 first quarter earnings question-and-answer session. I hope everyone had a chance to review our results as detailed in this morning's press release and management's prepared remarks which are available on our corporate website at jmsmucker.com.

We will also post an audio replay of this call at the conclusion of this morning's Q&A session.

During today's call, we may make forward-looking statements that reflect our current expectations about future plans and performance. These statements rely on assumptions and estimates, and actual results may differ materially due to risks and uncertainties.

Additionally, we use non-GAAP results to evaluate performance internally. I encourage you to read the full disclosure concerning forward-looking statements and details on our non-GAAP financial measures in this morning's press release.

Participating on this call are Mark Smucker, Chair of the Board, President and Chief Executive Officer; and Tucker Marshall, Chief Financial Officer. We will now open up the call for questions.

Operator, please queue up the first question.

Question-and-Answer Session

Operator

Thank you. The question-and-answer session will begin at this time. [Operator Instructions] Our first question today is coming from Andrew Lazar from Barclays. Your line is now live.

Andrew Lazar

Great. Thanks. Good morning, everybody.

Mark Smucker

Good morning.

Andrew Lazar

Maybe to start off, you're moderating your full-year 2025 comparable sales growth by about 1 point. And a key call-out, I think you mentioned is the impact of inflation on discretionary spending, specifically on the sweet baked goods and dog snacks categories. And it seems as though there was a sort of a meaningful shift really just in the last quarter, or maybe last month or two in terms of how you see the consumer and sort of shopping behavior. So Mark, can you talk a bit more about what shifted sort of so quickly versus your initial expectations? And are you building into your outlook trends you are seeing in the business currently, or just being more proactive on what you think could potentially develop going forward?