10-Q 1 sjm-20221031.htm 10-Q sjm-20221031
0000091419false2023Q24/30http://fasb.org/us-gaap/2021-01-31#AccumulatedDepreciationDepletionAndAmortizationPropertyPlantAndEquipment http://fasb.org/us-gaap/2021-01-31#MachineryAndEquipmentGross http://fasb.org/us-gaap/2021-01-31#PropertyPlantAndEquipmentNethttp://fasb.org/us-gaap/2021-01-31#AccumulatedDepreciationDepletionAndAmortizationPropertyPlantAndEquipment http://fasb.org/us-gaap/2021-01-31#MachineryAndEquipmentGross http://fasb.org/us-gaap/2021-01-31#PropertyPlantAndEquipmentNethttp://fasb.org/us-gaap/2021-01-31#OtherLiabilitiesCurrenthttp://fasb.org/us-gaap/2021-01-31#OtherLiabilitiesCurrenthttp://fasb.org/us-gaap/2021-01-31#OtherLiabilitiesNoncurrenthttp://fasb.org/us-gaap/2021-01-31#OtherLiabilitiesNoncurrenthttp://fasb.org/us-gaap/2021-01-31#Liabilitieshttp://fasb.org/us-gaap/2021-01-31#Liabilities00000914192022-05-012022-10-3100000914192022-11-14xbrli:shares00000914192022-08-012022-10-31iso4217:USD00000914192021-08-012021-10-3100000914192021-05-012021-10-31iso4217:USDxbrli:shares00000914192022-10-3100000914192022-04-3000000914192021-04-3000000914192021-10-310000091419us-gaap:CommonStockMember2022-04-300000091419us-gaap:AdditionalPaidInCapitalMember2022-04-300000091419us-gaap:RetainedEarningsMember2022-04-300000091419us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-04-300000091419us-gaap:RetainedEarningsMember2022-05-012022-07-3100000914192022-05-012022-07-310000091419us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-05-012022-07-310000091419us-gaap:CommonStockMember2022-05-012022-07-310000091419us-gaap:AdditionalPaidInCapitalMember2022-05-012022-07-310000091419us-gaap:CommonStockMember2022-07-310000091419us-gaap:AdditionalPaidInCapitalMember2022-07-310000091419us-gaap:RetainedEarningsMember2022-07-310000091419us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-07-3100000914192022-07-310000091419us-gaap:RetainedEarningsMember2022-08-012022-10-310000091419us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-08-012022-10-310000091419us-gaap:CommonStockMember2022-08-012022-10-310000091419us-gaap:AdditionalPaidInCapitalMember2022-08-012022-10-310000091419us-gaap:CommonStockMember2022-10-310000091419us-gaap:AdditionalPaidInCapitalMember2022-10-310000091419us-gaap:RetainedEarningsMember2022-10-310000091419us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-10-310000091419us-gaap:CommonStockMember2021-04-300000091419us-gaap:AdditionalPaidInCapitalMember2021-04-300000091419us-gaap:RetainedEarningsMember2021-04-300000091419us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-04-300000091419us-gaap:RetainedEarningsMember2021-05-012021-07-3100000914192021-05-012021-07-310000091419us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-05-012021-07-310000091419us-gaap:CommonStockMember2021-05-012021-07-310000091419us-gaap:AdditionalPaidInCapitalMember2021-05-012021-07-310000091419us-gaap:CommonStockMember2021-07-310000091419us-gaap:AdditionalPaidInCapitalMember2021-07-310000091419us-gaap:RetainedEarningsMember2021-07-310000091419us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-07-3100000914192021-07-310000091419us-gaap:RetainedEarningsMember2021-08-012021-10-310000091419us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-08-012021-10-310000091419us-gaap:CommonStockMember2021-08-012021-10-310000091419us-gaap:AdditionalPaidInCapitalMember2021-08-012021-10-310000091419us-gaap:CommonStockMember2021-10-310000091419us-gaap:AdditionalPaidInCapitalMember2021-10-310000091419us-gaap:RetainedEarningsMember2021-10-310000091419us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-10-310000091419sjm:A2021RestructuringProgramMember2022-10-310000091419us-gaap:EmployeeSeveranceMembersjm:A2021RestructuringProgramMember2022-08-012022-10-310000091419us-gaap:EmployeeSeveranceMembersjm:A2021RestructuringProgramMember2021-08-012021-10-310000091419us-gaap:EmployeeSeveranceMembersjm:A2021RestructuringProgramMember2022-05-012022-10-310000091419us-gaap:EmployeeSeveranceMembersjm:A2021RestructuringProgramMember2021-05-012021-10-310000091419us-gaap:EmployeeSeveranceMembersjm:A2021RestructuringProgramMember2022-10-310000091419us-gaap:OtherRestructuringMembersjm:A2021RestructuringProgramMember2022-08-012022-10-310000091419us-gaap:OtherRestructuringMembersjm:A2021RestructuringProgramMember2021-08-012021-10-310000091419us-gaap:OtherRestructuringMembersjm:A2021RestructuringProgramMember2022-05-012022-10-310000091419us-gaap:OtherRestructuringMembersjm:A2021RestructuringProgramMember2021-05-012021-10-310000091419us-gaap:OtherRestructuringMembersjm:A2021RestructuringProgramMember2022-10-310000091419sjm:A2021RestructuringProgramMember2022-08-012022-10-310000091419sjm:A2021RestructuringProgramMember2021-08-012021-10-310000091419sjm:A2021RestructuringProgramMember2022-05-012022-10-310000091419sjm:A2021RestructuringProgramMember2021-05-012021-10-310000091419us-gaap:EmployeeSeveranceMembersjm:A2021RestructuringProgramMember2022-04-300000091419sjm:NaturalBeverageAndGrainsBusinessesMember2022-01-31sjm:numberOfEmployees0000091419sjm:U.S.RetailConsumerFoodsMembersjm:NaturalBeverageAndGrainsBusinessesMember2021-05-012022-04-300000091419sjm:NaturalBeverageAndGrainsBusinessesMember2021-05-012022-07-310000091419sjm:NaturalBeverageAndGrainsBusinessesMember2022-05-012022-10-310000091419sjm:PrivateLabelDryPetFoodMember2021-12-010000091419sjm:PrivateLabelDryPetFoodMembersjm:U.S.RetailPetFoodsMember2021-05-012022-04-300000091419sjm:PrivateLabelDryPetFoodMember2021-05-012022-04-30sjm:Industrysjm:Segment0000091419sjm:U.S.RetailPetFoodsMember2022-08-012022-10-310000091419sjm:U.S.RetailPetFoodsMember2021-08-012021-10-310000091419sjm:U.S.RetailPetFoodsMember2022-05-012022-10-310000091419sjm:U.S.RetailPetFoodsMember2021-05-012021-10-310000091419sjm:U.S.RetailCoffeeMember2022-08-012022-10-310000091419sjm:U.S.RetailCoffeeMember2021-08-012021-10-310000091419sjm:U.S.RetailCoffeeMember2022-05-012022-10-310000091419sjm:U.S.RetailCoffeeMember2021-05-012021-10-310000091419sjm:U.S.RetailConsumerFoodsMember2022-08-012022-10-310000091419sjm:U.S.RetailConsumerFoodsMember2021-08-012021-10-310000091419sjm:U.S.RetailConsumerFoodsMember2022-05-012022-10-310000091419sjm:U.S.RetailConsumerFoodsMember2021-05-012021-10-310000091419us-gaap:AllOtherSegmentsMember2022-08-012022-10-310000091419us-gaap:AllOtherSegmentsMember2021-08-012021-10-310000091419us-gaap:AllOtherSegmentsMember2022-05-012022-10-310000091419us-gaap:AllOtherSegmentsMember2021-05-012021-10-310000091419country:US2022-08-012022-10-310000091419country:US2021-08-012021-10-310000091419country:US2022-05-012022-10-310000091419country:US2021-05-012021-10-310000091419country:CA2022-08-012022-10-310000091419country:CA2021-08-012021-10-310000091419country:CA2022-05-012022-10-310000091419country:CA2021-05-012021-10-310000091419sjm:AllOtherInternationalMember2022-08-012022-10-310000091419sjm:AllOtherInternationalMember2021-08-012021-10-310000091419sjm:AllOtherInternationalMember2022-05-012022-10-310000091419sjm:AllOtherInternationalMember2021-05-012021-10-310000091419sjm:InternationalMember2022-08-012022-10-310000091419sjm:InternationalMember2021-08-012021-10-310000091419sjm:InternationalMember2022-05-012022-10-310000091419sjm:InternationalMember2021-05-012021-10-310000091419sjm:U.S.RetailCoffeeMembersjm:CoffeeMember2022-08-012022-10-310000091419sjm:U.S.RetailCoffeeMembersjm:CoffeeMember2021-08-012021-10-310000091419sjm:U.S.RetailCoffeeMembersjm:CoffeeMember2022-05-012022-10-310000091419sjm:U.S.RetailCoffeeMembersjm:CoffeeMember2021-05-012021-10-310000091419sjm:U.S.RetailPetFoodsMembersjm:CatFoodMember2022-08-012022-10-310000091419sjm:U.S.RetailPetFoodsMembersjm:CatFoodMember2021-08-012021-10-310000091419sjm:U.S.RetailPetFoodsMembersjm:CatFoodMember2022-05-012022-10-310000091419sjm:U.S.RetailPetFoodsMembersjm:CatFoodMember2021-05-012021-10-310000091419sjm:PetSnacksMembersjm:U.S.RetailPetFoodsMember2022-08-012022-10-310000091419sjm:PetSnacksMembersjm:U.S.RetailPetFoodsMember2021-08-012021-10-310000091419sjm:PetSnacksMembersjm:U.S.RetailPetFoodsMember2022-05-012022-10-310000091419sjm:PetSnacksMembersjm:U.S.RetailPetFoodsMember2021-05-012021-10-310000091419sjm:DogFoodMembersjm:U.S.RetailPetFoodsMember2022-08-012022-10-310000091419sjm:DogFoodMembersjm:U.S.RetailPetFoodsMember2021-08-012021-10-310000091419sjm:DogFoodMembersjm:U.S.RetailPetFoodsMember2022-05-012022-10-310000091419sjm:DogFoodMembersjm:U.S.RetailPetFoodsMember2021-05-012021-10-310000091419sjm:HandheldFrozenSandwichesMembersjm:U.S.RetailConsumerFoodsMember2022-08-012022-10-310000091419sjm:HandheldFrozenSandwichesMembersjm:U.S.RetailConsumerFoodsMember2021-08-012021-10-310000091419sjm:HandheldFrozenSandwichesMembersjm:U.S.RetailConsumerFoodsMember2022-05-012022-10-310000091419sjm:HandheldFrozenSandwichesMembersjm:U.S.RetailConsumerFoodsMember2021-05-012021-10-310000091419sjm:PeanutButterMembersjm:U.S.RetailConsumerFoodsMember2022-08-012022-10-310000091419sjm:PeanutButterMembersjm:U.S.RetailConsumerFoodsMember2021-08-012021-10-310000091419sjm:PeanutButterMembersjm:U.S.RetailConsumerFoodsMember2022-05-012022-10-310000091419sjm:PeanutButterMembersjm:U.S.RetailConsumerFoodsMember2021-05-012021-10-310000091419sjm:U.S.RetailConsumerFoodsMembersjm:FruitSpreadsMember2022-08-012022-10-310000091419sjm:U.S.RetailConsumerFoodsMembersjm:FruitSpreadsMember2021-08-012021-10-310000091419sjm:U.S.RetailConsumerFoodsMembersjm:FruitSpreadsMember2022-05-012022-10-310000091419sjm:U.S.RetailConsumerFoodsMembersjm:FruitSpreadsMember2021-05-012021-10-310000091419sjm:PortionControlMemberus-gaap:AllOtherSegmentsMember2022-08-012022-10-310000091419sjm:PortionControlMemberus-gaap:AllOtherSegmentsMember2021-08-012021-10-310000091419sjm:PortionControlMemberus-gaap:AllOtherSegmentsMember2022-05-012022-10-310000091419sjm:PortionControlMemberus-gaap:AllOtherSegmentsMember2021-05-012021-10-310000091419sjm:BakingMixesandIngredientsMemberus-gaap:AllOtherSegmentsMember2022-08-012022-10-310000091419sjm:BakingMixesandIngredientsMemberus-gaap:AllOtherSegmentsMember2021-08-012021-10-310000091419sjm:BakingMixesandIngredientsMemberus-gaap:AllOtherSegmentsMember2022-05-012022-10-310000091419sjm:BakingMixesandIngredientsMemberus-gaap:AllOtherSegmentsMember2021-05-012021-10-310000091419sjm:JuicesAndBeveragesMemberus-gaap:AllOtherSegmentsMember2022-08-012022-10-310000091419sjm:JuicesAndBeveragesMemberus-gaap:AllOtherSegmentsMember2021-08-012021-10-310000091419sjm:JuicesAndBeveragesMemberus-gaap:AllOtherSegmentsMember2022-05-012022-10-310000091419sjm:JuicesAndBeveragesMemberus-gaap:AllOtherSegmentsMember2021-05-012021-10-310000091419us-gaap:AllOtherSegmentsMembersjm:OtherProductMember2022-08-012022-10-310000091419us-gaap:AllOtherSegmentsMembersjm:OtherProductMember2021-08-012021-10-310000091419us-gaap:AllOtherSegmentsMembersjm:OtherProductMember2022-05-012022-10-310000091419us-gaap:AllOtherSegmentsMembersjm:OtherProductMember2021-05-012021-10-31xbrli:pure0000091419sjm:TwoClassMethodMember2022-08-012022-10-310000091419sjm:TwoClassMethodMember2021-08-012021-10-310000091419sjm:TwoClassMethodMember2022-05-012022-10-310000091419sjm:TwoClassMethodMember2021-05-012021-10-310000091419us-gaap:EmployeeStockOptionMember2022-08-012022-10-310000091419us-gaap:EmployeeStockOptionMember2022-05-012022-10-310000091419sjm:RestrictedSharesRestrictedStockUnitsAndPerformanceUnitsMember2022-08-012022-10-310000091419sjm:RestrictedSharesRestrictedStockUnitsAndPerformanceUnitsMember2022-05-012022-10-310000091419sjm:SeniorNotesDuePeriodTenMember2022-04-300000091419sjm:SeniorNotesDuePeriodTenMember2022-10-310000091419sjm:SeniorNotesDuePeriodSixteenMember2022-04-300000091419sjm:SeniorNotesDuePeriodSixteenMember2022-10-310000091419sjm:SeniorNotesDueMarch2030Member2022-04-300000091419sjm:SeniorNotesDueMarch2030Member2022-10-310000091419sjm:SeniorNotesDueMarch2032Member2022-04-300000091419sjm:SeniorNotesDueMarch2032Member2022-10-310000091419sjm:SeniorNotesDuePeriodElevenMember2022-10-310000091419sjm:SeniorNotesDuePeriodElevenMember2022-04-300000091419sjm:SeniorNotesDueSeptember2041Member2022-10-310000091419sjm:SeniorNotesDueSeptember2041Member2022-04-300000091419sjm:SeniorNotesDuePeriodTwelveMember2022-10-310000091419sjm:SeniorNotesDuePeriodTwelveMember2022-04-300000091419sjm:SeniorNotesDueMarch2050Member2022-04-300000091419sjm:SeniorNotesDueMarch2050Member2022-10-310000091419us-gaap:RevolvingCreditFacilityMember2022-10-31sjm:Bank0000091419us-gaap:RevolvingCreditFacilityMember2022-04-300000091419us-gaap:CommercialPaperMember2022-10-310000091419us-gaap:CommercialPaperMember2022-04-300000091419us-gaap:PensionPlansDefinedBenefitMember2022-08-012022-10-310000091419us-gaap:PensionPlansDefinedBenefitMember2021-08-012021-10-310000091419us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2022-08-012022-10-310000091419us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2021-08-012021-10-310000091419us-gaap:PensionPlansDefinedBenefitMember2022-05-012022-10-310000091419us-gaap:PensionPlansDefinedBenefitMember2021-05-012021-10-310000091419us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2022-05-012022-10-310000091419us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2021-05-012021-10-310000091419us-gaap:CommodityContractMember2022-05-012022-10-310000091419us-gaap:ForeignExchangeContractMember2022-05-012022-10-310000091419us-gaap:CommodityContractMember2022-10-310000091419us-gaap:CommodityContractMember2022-04-300000091419us-gaap:ForeignExchangeContractMember2022-10-310000091419us-gaap:ForeignExchangeContractMember2022-04-300000091419us-gaap:NondesignatedMemberus-gaap:CommodityContractMemberus-gaap:OtherCurrentAssetsMember2022-10-310000091419us-gaap:NondesignatedMemberus-gaap:CommodityContractMemberus-gaap:OtherCurrentLiabilitiesMember2022-10-310000091419us-gaap:NondesignatedMemberus-gaap:CommodityContractMemberus-gaap:OtherNoncurrentAssetsMember2022-10-310000091419us-gaap:OtherNoncurrentLiabilitiesMemberus-gaap:NondesignatedMemberus-gaap:CommodityContractMember2022-10-310000091419us-gaap:NondesignatedMemberus-gaap:ForeignExchangeContractMemberus-gaap:OtherCurrentAssetsMember2022-10-310000091419us-gaap:NondesignatedMemberus-gaap:ForeignExchangeContractMemberus-gaap:OtherCurrentLiabilitiesMember2022-10-310000091419us-gaap:NondesignatedMemberus-gaap:ForeignExchangeContractMemberus-gaap:OtherNoncurrentAssetsMember2022-10-310000091419us-gaap:OtherNoncurrentLiabilitiesMemberus-gaap:NondesignatedMemberus-gaap:ForeignExchangeContractMember2022-10-310000091419us-gaap:OtherCurrentAssetsMember2022-10-310000091419us-gaap:OtherCurrentLiabilitiesMember2022-10-310000091419us-gaap:OtherNoncurrentAssetsMember2022-10-310000091419us-gaap:OtherNoncurrentLiabilitiesMember2022-10-310000091419us-gaap:NondesignatedMemberus-gaap:CommodityContractMemberus-gaap:OtherCurrentAssetsMember2022-04-300000091419us-gaap:NondesignatedMemberus-gaap:CommodityContractMemberus-gaap:OtherCurrentLiabilitiesMember2022-04-300000091419us-gaap:NondesignatedMemberus-gaap:CommodityContractMemberus-gaap:OtherNoncurrentAssetsMember2022-04-300000091419us-gaap:OtherNoncurrentLiabilitiesMemberus-gaap:NondesignatedMemberus-gaap:CommodityContractMember2022-04-300000091419us-gaap:NondesignatedMemberus-gaap:ForeignExchangeContractMemberus-gaap:OtherCurrentAssetsMember2022-04-300000091419us-gaap:NondesignatedMemberus-gaap:ForeignExchangeContractMemberus-gaap:OtherCurrentLiabilitiesMember2022-04-300000091419us-gaap:NondesignatedMemberus-gaap:ForeignExchangeContractMemberus-gaap:OtherNoncurrentAssetsMember2022-04-300000091419us-gaap:OtherNoncurrentLiabilitiesMemberus-gaap:NondesignatedMemberus-gaap:ForeignExchangeContractMember2022-04-300000091419us-gaap:OtherCurrentAssetsMember2022-04-300000091419us-gaap:OtherCurrentLiabilitiesMember2022-04-300000091419us-gaap:OtherNoncurrentAssetsMember2022-04-300000091419us-gaap:OtherNoncurrentLiabilitiesMember2022-04-300000091419us-gaap:CommodityContractMember2022-08-012022-10-310000091419us-gaap:CommodityContractMember2021-08-012021-10-310000091419us-gaap:CommodityContractMember2021-05-012021-10-310000091419us-gaap:ForeignExchangeContractMember2022-08-012022-10-310000091419us-gaap:ForeignExchangeContractMember2021-08-012021-10-310000091419us-gaap:ForeignExchangeContractMember2021-05-012021-10-3100000914192021-05-012022-04-300000091419us-gaap:InterestRateContractMember2019-05-012020-04-300000091419us-gaap:CashFlowHedgingMember2022-08-012022-10-310000091419us-gaap:CashFlowHedgingMember2021-08-012021-10-310000091419us-gaap:CashFlowHedgingMember2022-05-012022-10-310000091419us-gaap:CashFlowHedgingMember2021-05-012021-10-310000091419us-gaap:CashFlowHedgingMemberus-gaap:InterestExpenseMember2022-08-012022-10-310000091419us-gaap:CashFlowHedgingMemberus-gaap:InterestExpenseMember2021-08-012021-10-310000091419us-gaap:CashFlowHedgingMemberus-gaap:InterestExpenseMember2022-05-012022-10-310000091419us-gaap:CashFlowHedgingMemberus-gaap:InterestExpenseMember2021-05-012021-10-310000091419us-gaap:CashFlowHedgingMemberus-gaap:OtherNonoperatingIncomeExpenseMember2022-08-012022-10-310000091419us-gaap:CashFlowHedgingMemberus-gaap:OtherNonoperatingIncomeExpenseMember2021-08-012021-10-310000091419us-gaap:CashFlowHedgingMemberus-gaap:OtherNonoperatingIncomeExpenseMember2022-05-012022-10-310000091419us-gaap:CashFlowHedgingMemberus-gaap:OtherNonoperatingIncomeExpenseMember2021-05-012021-10-310000091419us-gaap:InterestRateContractMember2022-10-310000091419us-gaap:InterestRateContractMember2022-04-300000091419us-gaap:InterestRateContractMember2022-05-012022-10-310000091419us-gaap:InterestRateSwapMemberus-gaap:CashMemberus-gaap:FairValueHedgingMember2015-05-012015-10-310000091419us-gaap:InterestRateSwapMembersjm:AccruedandPrepaidInterestNetMemberus-gaap:FairValueHedgingMember2015-05-012015-10-310000091419us-gaap:InterestRateSwapMemberus-gaap:FairValueHedgingMember2016-01-012021-10-310000091419us-gaap:InterestRateSwapMemberus-gaap:FairValueHedgingMember2021-08-012021-10-310000091419us-gaap:InterestRateSwapMemberus-gaap:FairValueHedgingMember2021-05-012021-10-310000091419us-gaap:CarryingReportedAmountFairValueDisclosureMember2022-10-310000091419us-gaap:EstimateOfFairValueFairValueDisclosureMember2022-10-310000091419us-gaap:CarryingReportedAmountFairValueDisclosureMember2022-04-300000091419us-gaap:EstimateOfFairValueFairValueDisclosureMember2022-04-300000091419us-gaap:EquityFundsMemberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel1Member2022-10-310000091419us-gaap:FairValueInputsLevel2Memberus-gaap:EquityFundsMemberus-gaap:FairValueMeasurementsRecurringMember2022-10-310000091419us-gaap:EquityFundsMemberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel3Member2022-10-310000091419us-gaap:EquityFundsMemberus-gaap:FairValueMeasurementsRecurringMember2022-10-310000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:MunicipalBondsMemberus-gaap:FairValueInputsLevel1Member2022-10-310000091419us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:MunicipalBondsMember2022-10-310000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:MunicipalBondsMemberus-gaap:FairValueInputsLevel3Member2022-10-310000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:MunicipalBondsMember2022-10-310000091419us-gaap:OtherAggregatedInvestmentsMemberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel1Member2022-10-310000091419us-gaap:FairValueInputsLevel2Memberus-gaap:OtherAggregatedInvestmentsMemberus-gaap:FairValueMeasurementsRecurringMember2022-10-310000091419us-gaap:OtherAggregatedInvestmentsMemberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel3Member2022-10-310000091419us-gaap:OtherAggregatedInvestmentsMemberus-gaap:FairValueMeasurementsRecurringMember2022-10-310000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:CommodityContractMemberus-gaap:FairValueInputsLevel1Member2022-10-310000091419us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:CommodityContractMember2022-10-310000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel3Memberus-gaap:CommodityContractMember2022-10-310000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:CommodityContractMember2022-10-310000091419us-gaap:ForeignExchangeContractMemberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel1Member2022-10-310000091419us-gaap:FairValueInputsLevel2Memberus-gaap:ForeignExchangeContractMemberus-gaap:FairValueMeasurementsRecurringMember2022-10-310000091419us-gaap:ForeignExchangeContractMemberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel3Member2022-10-310000091419us-gaap:ForeignExchangeContractMemberus-gaap:FairValueMeasurementsRecurringMember2022-10-310000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel1Member2022-10-310000091419us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2022-10-310000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel3Member2022-10-310000091419us-gaap:FairValueMeasurementsRecurringMember2022-10-310000091419us-gaap:EquityFundsMemberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel1Member2022-04-300000091419us-gaap:FairValueInputsLevel2Memberus-gaap:EquityFundsMemberus-gaap:FairValueMeasurementsRecurringMember2022-04-300000091419us-gaap:EquityFundsMemberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel3Member2022-04-300000091419us-gaap:EquityFundsMemberus-gaap:FairValueMeasurementsRecurringMember2022-04-300000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:MunicipalBondsMemberus-gaap:FairValueInputsLevel1Member2022-04-300000091419us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:MunicipalBondsMember2022-04-300000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:MunicipalBondsMemberus-gaap:FairValueInputsLevel3Member2022-04-300000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:MunicipalBondsMember2022-04-300000091419us-gaap:OtherAggregatedInvestmentsMemberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel1Member2022-04-300000091419us-gaap:FairValueInputsLevel2Memberus-gaap:OtherAggregatedInvestmentsMemberus-gaap:FairValueMeasurementsRecurringMember2022-04-300000091419us-gaap:OtherAggregatedInvestmentsMemberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel3Member2022-04-300000091419us-gaap:OtherAggregatedInvestmentsMemberus-gaap:FairValueMeasurementsRecurringMember2022-04-300000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:CommodityContractMemberus-gaap:FairValueInputsLevel1Member2022-04-300000091419us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:CommodityContractMember2022-04-300000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel3Memberus-gaap:CommodityContractMember2022-04-300000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:CommodityContractMember2022-04-300000091419us-gaap:ForeignExchangeContractMemberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel1Member2022-04-300000091419us-gaap:FairValueInputsLevel2Memberus-gaap:ForeignExchangeContractMemberus-gaap:FairValueMeasurementsRecurringMember2022-04-300000091419us-gaap:ForeignExchangeContractMemberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel3Member2022-04-300000091419us-gaap:ForeignExchangeContractMemberus-gaap:FairValueMeasurementsRecurringMember2022-04-300000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel1Member2022-04-300000091419us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2022-04-300000091419us-gaap:FairValueMeasurementsRecurringMemberus-gaap:FairValueInputsLevel3Member2022-04-300000091419us-gaap:FairValueMeasurementsRecurringMember2022-04-300000091419us-gaap:AccumulatedTranslationAdjustmentMember2022-04-300000091419us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2022-04-300000091419us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2022-04-300000091419us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember2022-04-300000091419us-gaap:AccumulatedTranslationAdjustmentMember2022-05-012022-10-310000091419us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2022-05-012022-10-310000091419us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2022-05-012022-10-310000091419us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember2022-05-012022-10-310000091419us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-05-012022-10-310000091419us-gaap:AccumulatedTranslationAdjustmentMember2022-10-310000091419us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2022-10-310000091419us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2022-10-310000091419us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember2022-10-310000091419us-gaap:AccumulatedTranslationAdjustmentMember2021-04-300000091419us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2021-04-300000091419us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2021-04-300000091419us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember2021-04-300000091419us-gaap:AccumulatedTranslationAdjustmentMember2021-05-012021-10-310000091419us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2021-05-012021-10-310000091419us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2021-05-012021-10-310000091419us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember2021-05-012021-10-310000091419us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-05-012021-10-310000091419us-gaap:AccumulatedTranslationAdjustmentMember2021-10-310000091419us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2021-10-310000091419us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2021-10-310000091419us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember2021-10-310000091419sjm:JifPeanutButterRecallMember2022-10-310000091419sjm:JifPeanutButterRecallMember2022-08-012022-10-310000091419sjm:JifPeanutButterRecallMember2022-05-012022-10-310000091419sjm:BoardAuthorizedRepurchasedPlanMember2022-05-012022-10-310000091419sjm:BoardAuthorizedRepurchasedPlanMember2021-05-012021-10-310000091419sjm:BoardAuthorizedRepurchasedPlanMember2022-10-31
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
___________________________________________________ 
FORM 10-Q
___________________________________________________ 
QUARTERLY REPORT PURSUANT TO SECTIONS 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended: October 31, 2022
or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from                      to                     
Commission file number: 1-5111
 ___________________________________________________
The J. M. Smucker Company
(Exact name of registrant as specified in its charter)
___________________________________________________ 
Ohio34-0538550
(State or other jurisdiction of
incorporation or organization)
(I.R.S. Employer
Identification No.)
One Strawberry Lane
Orrville,Ohio44667-0280
(Address of principal executive offices)(Zip code)
                                                                           Registrant’s telephone number, including area code:
(330)682-3000
N/A
           (Former name, former address and former fiscal year, if changed since last report)
       Securities registered pursuant to Section 12(b) of the Act:
                             Title of each class
Trading symbolName of each exchange on which registered
Common shares, no par valueSJMNew York Stock Exchange
 ___________________________________________________
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes  ý    No  o
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).  Yes  ý    No  o
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filerýAccelerated filer
Non-accelerated filerSmaller reporting company
Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes      No  ý
The Company had 106,639,011 common shares outstanding on November 14, 2022.

TABLE OF CONTENTS

1


PART I. FINANCIAL INFORMATION
Item 1. Financial Statements.
THE J. M. SMUCKER COMPANY
CONDENSED STATEMENTS OF CONSOLIDATED INCOME
(Unaudited)
Three Months Ended October 31,Six Months Ended October 31,
Dollars in millions, except per share data2022202120222021
Net sales$2,205.1 $2,050.0 $4,078.1 $3,908.0 
Cost of products sold (A)
1,504.0 1,338.5 2,824.5 2,557.1 
Gross Profit701.1 711.5 1,253.6 1,350.9 
Selling, distribution, and administrative expenses354.3 347.7 698.1 671.7 
Amortization55.6 55.4 111.2 110.8 
Other special project costs (A)
0.7 1.3 2.1 3.1 
Other operating expense (income) – net(2.9)(4.7)(30.9)(5.9)
Operating Income293.4 311.8 473.1 571.2 
Interest expense – net(39.7)(40.3)(78.8)(83.4)
Other income (expense) – net(0.8)(2.7)(0.3)(13.8)
Income Before Income Taxes252.9 268.8 394.0 474.0 
Income tax expense61.8 62.8 93.1 114.1 
Net Income$191.1 $206.0 $300.9 $359.9 
Earnings per common share:
Net Income$1.79 $1.90 $2.82 $3.32 
Net Income – Assuming Dilution$1.79 $1.90 $2.82 $3.32 
(A) Special project costs include certain restructuring costs, which are recognized in cost of products sold and other special project costs. For more information, see Note 3: Restructuring Costs and Note 5: Reportable Segments.
See notes to unaudited condensed consolidated financial statements.


THE J. M. SMUCKER COMPANY
CONDENSED STATEMENTS OF CONSOLIDATED COMPREHENSIVE INCOME
(Unaudited)
 Three Months Ended October 31,Six Months Ended October 31,
Dollars in millions2022202120222021
Net income$191.1 $206.0 $300.9 $359.9 
Other comprehensive income (loss):
Foreign currency translation adjustments(16.4)2.0 (15.0)(2.0)
Cash flow hedging derivative activity, net of tax2.6 2.7 5.1 5.0 
Pension and other postretirement benefit plans activity, net of tax0.5 6.5 0.9 3.9 
Available-for-sale securities activity, net of tax(0.6)(0.1)(0.9) 
Total Other Comprehensive Income (Loss) (13.9)11.1 (9.9)6.9 
Comprehensive Income $177.2 $217.1 $291.0 $366.8 
See notes to unaudited condensed consolidated financial statements.
2


THE J. M. SMUCKER COMPANY
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
Dollars in millionsOctober 31, 2022April 30, 2022
ASSETS
Current Assets
Cash and cash equivalents$27.1 $169.9 
Trade receivables – net609.5 524.7 
Inventories:
Finished products845.0 704.4 
Raw materials513.4 384.9 
Total Inventory1,358.4 1,089.3 
Other current assets255.9 226.2 
Total Current Assets2,250.9 2,010.1 
Property, Plant, and Equipment
Land and land improvements131.3 120.4 
Buildings and fixtures1,043.3 959.7 
Machinery and equipment2,635.6 2,503.3 
Construction in progress409.2 527.8 
Gross Property, Plant, and Equipment4,219.4 4,111.2 
Accumulated depreciation(2,020.8)(1,979.5)
Total Property, Plant, and Equipment2,198.6 2,131.7 
Other Noncurrent Assets
Operating lease right-of-use assets86.7 106.5 
Goodwill6,006.3 6,015.8 
Other intangible assets – net5,538.6 5,652.2 
Other noncurrent assets138.2 138.7 
Total Other Noncurrent Assets11,769.8 11,913.2 
Total Assets$16,219.3 $16,055.0 
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current Liabilities
Accounts payable$1,260.6 $1,193.3 
Accrued trade marketing and merchandising192.6 193.8 
Short-term borrowings302.0 180.0 
Current operating lease liabilities36.1 40.1 
Other current liabilities268.4 345.6 
Total Current Liabilities2,059.7 1,952.8 
Noncurrent Liabilities
Long-term debt4,312.4 4,310.6 
Deferred income taxes1,326.8 1,325.8 
Noncurrent operating lease liabilities59.4 76.2 
Other noncurrent liabilities243.7 249.5 
Total Noncurrent Liabilities5,942.3 5,962.1 
Total Liabilities8,002.0 7,914.9 
Shareholders’ Equity
Common shares26.6 26.6 
Additional capital5,462.0 5,457.9 
Retained income2,976.0 2,893.0 
Accumulated other comprehensive income (loss)(247.3)(237.4)
Total Shareholders’ Equity8,217.3 8,140.1 
Total Liabilities and Shareholders’ Equity$16,219.3 $16,055.0 
See notes to unaudited condensed consolidated financial statements.
3


THE J. M. SMUCKER COMPANY
CONDENSED STATEMENTS OF CONSOLIDATED CASH FLOWS
(Unaudited)
 Six Months Ended October 31,
Dollars in millions20222021
Operating Activities
Net income$300.9 $359.9 
Adjustments to reconcile net income to net cash provided by (used for) operations:
Depreciation112.2 119.0 
Amortization111.2 110.8 
Share-based compensation expense5.3 10.6 
Gain on divestiture(1.6) 
Other noncash adjustments – net12.3 6.5 
Make-whole payments included in financing activities 7.0 
Defined benefit pension contributions(71.8)(2.9)
Changes in assets and liabilities:
Trade receivables(87.1)(125.6)
Inventories(273.8)(140.8)
Other current assets19.1 38.2 
Accounts payable77.5 (8.2)
Accrued liabilities20.8 (53.3)
Income and other taxes(56.3)(18.0)
Other – net(2.7)(0.3)
Net Cash Provided by (Used for) Operating Activities166.0 302.9 
Investing Activities
Additions to property, plant, and equipment(190.4)(127.2)
Proceeds from divestiture1.6  
Other – net(20.5)(15.8)
Net Cash Provided by (Used for) Investing Activities(209.3)(143.0)
Financing Activities
Short-term borrowings (repayments) – net118.2 237.8 
Proceeds from long-term debt 797.6 
Repayments of long-term debt, including make-whole payments (1,157.0)
Capitalized debt issuance costs (10.2)
Quarterly dividends paid(213.5)(204.1)
Purchase of treasury shares(7.9)(7.5)
Proceeds from stock option exercises6.1 4.0 
Other – net(1.7)0.6 
Net Cash Provided by (Used for) Financing Activities(98.8)(338.8)
Effect of exchange rate changes on cash(0.7)(0.1)
Net increase (decrease) in cash and cash equivalents(142.8)(179.0)
Cash and cash equivalents at beginning of period169.9 334.3 
Cash and Cash Equivalents at End of Period$27.1 $155.3 
( ) Denotes use of cash
See notes to unaudited condensed consolidated financial statements.
4


THE J. M. SMUCKER COMPANY
CONDENSED STATEMENTS OF CONSOLIDATED SHAREHOLDERS’ EQUITY
(Unaudited)

Six Months Ended October 31, 2022
Dollars in millionsCommon
Shares
Outstanding
Common SharesAdditional CapitalRetained IncomeAccumulated Other Comprehensive Income (Loss)Total Shareholders’ Equity
Balance at May 1, 2022106,458,317 $26.6 $5,457.9 $2,893.0 $(237.4)$8,140.1 
Net income109.8 109.8 
Other comprehensive income (loss)4.0 4.0 
Comprehensive income113.8 
Purchase of treasury shares(61,693) (6.7)(1.1)(7.8)
Stock plans162,735  6.5  6.5 
Cash dividends declared, $1.02 per common share
(108.3)(108.3)
Balance at July 31, 2022106,559,359 $26.6 $5,457.7 $2,893.4 $(233.4)$8,144.3 
Net income191.1 191.1 
Other comprehensive income (loss)(13.9)(13.9)
Comprehensive income177.2 
Purchase of treasury shares(580) (0.1) (0.1)
Stock plans67,757  4.4  4.4 
Cash dividends declared, $1.02 per common share
(108.5)(108.5)
Balance at October 31, 2022106,626,536 $26.6 $5,462.0 $2,976.0 $(247.3)$8,217.3 

Six Months Ended October 31, 2021
Dollars in millionsCommon
Shares
Outstanding
Common SharesAdditional CapitalRetained IncomeAccumulated Other Comprehensive Income (Loss)Total Shareholders’ Equity
Balance at May 1, 2021108,339,057 $27.1 $5,527.6 $2,847.5 $(277.4)$8,124.8 
Net income153.9 153.9 
Other comprehensive income (loss)(4.2)(4.2)
Comprehensive income149.7 
Purchase of treasury shares(50,203) (6.1)(0.7)(6.8)
Stock plans71,140  9.5 9.5 
Cash dividends declared, $0.99 per common share
(106.9)(106.9)
Balance at July 31, 2021108,359,994 $27.1 $5,531.0 $2,893.8 $(281.6)$8,170.3 
Net income206.0 206.0 
Other comprehensive income (loss)11.1 11.1 
Comprehensive income217.1 
Purchase of treasury shares(5,676) (0.6)(0.1)(0.7)
Stock plans8,521  6.6 6.6 
Cash dividends declared, $0.99 per common share
(106.9)(106.9)
Balance at October 31, 2021108,362,839 $27.1 $5,537.0 $2,992.8 $(270.5)$8,286.4 
See notes to unaudited condensed consolidated financial statements.
5


THE J. M. SMUCKER COMPANY
NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Dollars and shares in millions, unless otherwise noted, except per share data)
Note 1: Basis of Presentation
The unaudited interim condensed consolidated financial statements of The J. M. Smucker Company (“Company,” “we,” “us,” or “our”) have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all the information and notes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments of a normal recurring nature considered necessary for a fair presentation have been included.
Operating results for the six months ended October 31, 2022, are not necessarily indicative of the results that may be expected for the year ending April 30, 2023. For further information, reference is made to the consolidated financial statements and notes included in our Annual Report on Form 10-K for the year ended April 30, 2022.
Note 2: Recently Issued Accounting Standards
In March 2022, the U.S. Securities and Exchange Commission (the “SEC”) issued the proposed rule under SEC Release No. 33-11042, The Enhancement and Standardization of Climate-Related Disclosures for Investors, to enhance and standardize the climate-related disclosures provided by public companies. This update will require the disclosure of greenhouse gas emissions, including Scope 1 and Scope 2 emissions, which will be subject to third-party assurance, as well as climate-related targets and goals, and how the Board of Directors (the “Board”) and management oversee climate-related risks. As of October 31, 2022, these amendments were not adopted by the SEC; however, we anticipate that the adoption of these amendments will have a material impact on our financial statements and disclosures.
Note 3: Restructuring Costs
Restructuring costs primarily consist of employee-related costs and other transition and termination costs related to approved restructuring activities. Employee-related costs include severance, retention bonuses, and relocation costs. Severance costs and retention bonuses are recognized over the estimated future service period of the impacted employees, and relocation costs are expensed as incurred. Other transition and termination costs include fixed asset-related charges, contract and lease termination costs, professional fees, and other miscellaneous expenditures associated with the restructuring activities. With the exception of accelerated depreciation, these costs are expensed as incurred. These restructuring costs are reported in cost of products sold and other special project costs in the Condensed Statements of Consolidated Income and are not allocated to segment profit. The obligation related to employee separation costs is included in other current liabilities in the Condensed Consolidated Balance Sheets.
A restructuring program was approved by the Board during 2021, associated with opportunities identified to reduce our overall cost structure, optimize our organizational design, and support our portfolio reshape. This is inclusive of certain restructuring costs associated with the divestitures of the Crisco®, Natural Balance®, private label dry pet food, and natural beverage and grains businesses. For additional information, see Note 4: Divestitures.
During 2021, we substantially completed an organizational redesign related to our corporate headquarters and announced plans to close our Suffolk, Virginia, facility as a result of a new strategic partnership for the production of our liquid coffee products. During 2022, we completed the transition of production to JDE Peet’s N.V., as anticipated. Furthermore, the restructuring program was expanded during the third quarter of 2022 to include certain costs associated with the recent divestitures of the private label dry pet food and natural beverage and grains businesses, as well as the closure of our Ripon, Wisconsin, production facility by the end of calendar year 2022 to further optimize operations for our U.S. Retail Consumer Foods business. We expect to incur costs of approximately $70.0 associated with the restructuring activities planned to date. More than half of these costs are expected to be other transition and termination costs associated with our cost reduction and margin management initiatives, inclusive of accelerated depreciation, while the remainder represents employee-related costs. We anticipate the planned activities associated with this restructuring program will be completed by the end of 2023.
6


The following table summarizes our restructuring costs incurred related to the restructuring program.
Three Months Ended October 31,Six Months Ended October 31,Total Costs Incurred to Date at October 31, 2022
2022202120222021
Employee-related costs$0.7 $1.1 $1.8 $2.4 $25.4 
Other transition and termination costs2.8 6.3 4.2 11.4 33.2 
Total restructuring costs$3.5 $7.4 $6.0 $13.8 $58.6 
The obligation related to severance costs and retention bonuses was $2.7 and $2.4 at October 31, 2022, and April 30, 2022, respectively. Noncash charges of $2.2 and $5.9 were included in the restructuring costs during the three months ended October 31, 2022 and 2021, respectively, and $7.0 and $9.2 during the six months ended October 31, 2022 and 2021, respectively. As of October 31, 2022, cumulative noncash charges incurred to date were $30.0 and primarily consisted of accelerated depreciation.
Note 4: Divestitures
On January 31, 2022, we sold the natural beverage and grains businesses to Nexus Capital Management LP (“Nexus”). The transaction included products sold under the R.W. Knudsen® and TruRoots® brands, inclusive of certain trademarks, a licensing agreement for Santa Cruz Organic® beverages, dedicated manufacturing and distribution facilities in Chico, California, and Havre de Grace, Maryland, and approximately 150 employees who supported the natural beverage and grains businesses. The transaction did not include Santa Cruz Organic nut butters, fruit spreads, syrups, or applesauce. Under our ownership, the businesses generated net sales of $106.7 in 2022, primarily included in the U.S. Retail Consumer Foods segment. Final net proceeds from the divestiture were $98.7, which were inclusive of a working capital adjustment and net of cash transaction costs. We recognized a pre-tax gain of $28.3 related to the natural beverage and grains businesses, including $1.6 during the first quarter of 2023, within other operating expense (income) – net in the Condensed Statement of Consolidated Income, upon finalization of the working capital adjustment. The remaining pre-tax gain was recognized during the second half of 2022.
On December 1, 2021, we sold the private label dry pet food business to Diamond Pet Foods, Inc. (“Diamond Pet Foods”). The transaction included dry pet food products sold under private label brands, a dedicated manufacturing facility located in Frontenac, Kansas, and approximately 220 employees who supported the private label dry pet food business. The transaction did not include any branded products or our private label wet pet food business. Under our ownership, the business generated net sales of $62.3 in 2022, included in the U.S. Retail Pet Foods segment. Final net proceeds from the divestiture were $32.9, which were net of cash transaction costs. Upon completion of this transaction during the third quarter of 2022, we recognized a pre-tax loss of $17.1.
Note 5: Reportable Segments
We operate in one industry: the manufacturing and marketing of food and beverage products. We have three reportable segments: U.S. Retail Pet Foods, U.S. Retail Coffee, and U.S. Retail Consumer Foods. The presentation of International and Away From Home represents a combination of all other operating segments that are not individually reportable.
The U.S. Retail Pet Foods segment primarily includes the domestic sales of Rachael Ray® Nutrish®, Meow Mix®, Milk-Bone®, 9Lives®, Kibbles ’n Bits®, Pup-Peroni®, and Nature’s Recipe® branded products; the U.S. Retail Coffee segment primarily includes the domestic sales of Folgers®, Dunkin’®, and Café Bustelo® branded coffee; and the U.S. Retail Consumer Foods segment primarily includes the domestic sales of Smucker’s® and Jif® branded products. International and Away From Home includes the sale of products distributed domestically and in foreign countries through retail channels and foodservice distributors and operators (e.g., health care operators, restaurants, lodging, hospitality, offices, K-12, colleges and universities, and convenience stores).
Segment profit represents net sales, less direct and allocable operating expenses, and is consistent with the way in which we manage our segments. However, we do not represent that the segments, if operated independently, would report operating profit equal to the segment profit set forth below, as segment profit excludes certain expenses such as amortization expense and impairment charges related to intangible assets, gains and losses on divestitures, the net change in cumulative unallocated gains and losses on commodity and foreign currency exchange derivative activities (“change in net cumulative unallocated derivative gains and losses”), certain divestiture, acquisition, integration, and restructuring costs (“special project costs”), as well as corporate administrative expenses.
7


Commodity and foreign currency exchange derivative gains and losses are reported in unallocated derivative gains and losses outside of segment operating results until the related inventory is sold. At that time, we reclassify the hedge gains and losses from unallocated derivative gains and losses to segment profit, allowing our segments to realize the economic effect of the hedge without experiencing any mark-to-market volatility. We would expect that any gain or loss in the estimated fair value of the derivatives would generally be offset by a change in the estimated fair value of the underlying exposures.
The following table reconciles segment profit to income before income taxes.
 Three Months Ended October 31,Six Months Ended October 31,
 2022202120222021
Net sales:
U.S. Retail Pet Foods$765.2 $701.6 $1,494.2 $1,349.6 
U.S. Retail Coffee709.8 645.1 1,307.7 1,188.3 
U.S. Retail Consumer Foods432.2 441.2 743.3 876.8 
International and Away From Home297.9 262.1 532.9 493.3 
Total net sales$2,205.1 $2,050.0 $4,078.1 $3,908.0 
Segment profit:
U.S. Retail Pet Foods$120.1 $99.6 $240.4 $179.5 
U.S. Retail Coffee187.7 207.8 333.6 359.1 
U.S. Retail Consumer Foods100.3 111.0 155.1 229.7 
International and Away From Home41.5 40.4 58.1 73.3 
Total segment profit$449.6 $458.8 $787.2 $841.6 
Amortization(55.6)(55.4)(111.2)(110.8)
Gain on divestiture  1.6  
Interest expense – net(39.7)(40.3)(78.8)(83.4)
Change in net cumulative unallocated derivative gains and losses(27.1)(13.3)(60.9)(15.5)
Cost of products sold – special project costs (A)
(2.8)(6.1)(3.9)(10.7)
Other special project costs (A)
(0.7)(1.3)(2.1)(3.1)
Corporate administrative expenses(70.0)(70.9)(137.6)(130.3)
Other income (expense) – net(0.8)(2.7)(0.3)(13.8)
Income before income taxes$252.9 $268.8 $394.0 $474.0 
(A)Special project costs include certain restructuring costs, which are recognized in cost of products sold and other special project costs in the Condensed Statements of Consolidated Income. For more information, see Note 3: Restructuring Costs.
The following table presents certain geographical information.
Three Months Ended October 31,Six Months Ended October 31,
2022202120222021
Net sales:
United States$2,062.1 $1,919.2 $3,822.0 $3,652.4 
International:
Canada$119.2 $112.5 $213.0 $214.6 
All other international23.8 18.3 43.1 41.0 
Total international$143.0 $130.8 $256.1 $255.6 
Total net sales$2,205.1 $2,050.0 $4,078.1 $3,908.0 
8


The following table presents product category information.
Three Months Ended October 31,Six Months Ended October 31,
2022202120222021
Primary Reportable Segment (A)
Coffee$799.6 $718.5 $1,479.5 $1,331.6 U.S. Retail Coffee
Cat food284.7 242.8 550.1 463.8 U.S. Retail Pet Foods
Pet snacks260.2 229.8 504.4 445.6 U.S. Retail Pet Foods
Dog food246.3 248.5 488.0 476.8 U.S. Retail Pet Foods
Frozen handheld168.3 139.1 328.8 260.7 U.S. Retail Consumer Foods
Peanut butter192.9 200.8 253.5 412.1 U.S. Retail Consumer Foods
Fruit spreads103.7 89.9 203.8 180.7 U.S. Retail Consumer Foods
Portion control43.5 40.8 71.3 75.2 
Other (B)
Baking mixes and ingredients28.8 25.5 45.1 37.9 
Other (B)
Juices and beverages0.8 36.5 1.6 69.7 
Other (B)(C)
Other76.3 77.8 152.0 153.9 
Other (B)
Total net sales$2,205.1 $2,050.0 $4,078.1 $3,908.0 
(A)The primary reportable segment generally represents at least 75 percent of total net sales for each respective product category.
(B)Represents the International and Away From Home operating segments, which are combined for segment reporting purposes.
(C)During the three and six months ended October 31, 2021, the net sales within this category were primarily related to the divested natural beverage business included in the U.S. Retail Consumer Foods segment. For more information, see Note 4: Divestitures.
Note 6: Earnings per Share
We computed net income per common share (“basic earnings per share”) under the two-class method for the three and six months ended October 31, 2022 and 2021, due to certain unvested common shares that contained non-forfeitable rights to dividends (i.e., participating securities) during these periods. For the three and six months ended October 31, 2022, the computation of net income per common share – assuming dilution (“diluted earnings per share”) was more dilutive under the treasury stock method, as compared to the two-class method; therefore, the treasury stock method was used in accordance with FASB ASC 260, Earnings Per Share. Diluted earnings per share for the three and six months ended October 31, 2021, was computed under the two-class method.
The following table sets forth the computation of basic earnings per share and diluted earnings per share under the two-class method.
 Three Months Ended October 31,Six Months Ended October 31,
 2022202120222021
Net income$191.1 $206.0 $300.9 $359.9 
Less: Net income allocated to participating securities0.3 0.6 0.5 1.1 
Net income allocated to common stockholders$190.8 $205.4 $300.4 $358.8 
Weighted-average common shares outstanding106.5 108.1 106.4 108.0 
Add: Dilutive effect of stock options  0.1 0.1 
Weighted-average common shares outstanding – assuming dilution106.5 108.1 106.5 108.1 
Net income per common share$1.79 $1.90 $2.82 $3.32 
Net income per common share – assuming dilution$1.79 $