June 8, 2017 / 1:51 PM / 7 months ago

BRIEF-J.M. Smucker expects FY net sales to increase about 1 percent, primarily reflecting benefit of price increases

June 8 (Reuters) - J M Smucker

* CEO- “brands used to be seen as a status symbol of what one could afford. Now they’re seen as a signal of one’s personal values”

* CEO- were able to deliver near-term earnings growth by accelerating synergy delivery and managing budgets and costs effectively

* CEO- our plans call for 5% of net sales to come from e-commerce in fiscal 2020, pet food and coffee will lead in this area

* CEO- expect e-commerce sales for pet business to increase 50% in fiscal 2018, led by natural balance brand

* CEO- increasing capex to add manufacturing capacity, improve flexibility and productivity at manufacturing plants and enhance it capabilities

* CEO- formally adopting a zero-based budgeting program this fiscal year

* CEO- Q4 net sales for the Folgers brand declined 4% on lower roast and ground and K-cup volume

* Nearly half of 7 percent decline in mainstream pet food sales attributable to 9lives as private label activity is impacting value segment of cat food

* Expect FY net sales to increase about 1 percent, primarily reflecting benefit of price increases implemented in FY2017, including coffee, peanut butter, oils and uncrustables

* FY SD&A expenses expected to be up low single digits, reflects a substantial increase in marketing, mostly to support Nature’s Recipe launch and coffee Further company coverage:

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