Scotts Miracle-Gro Q3 revenue matches estimates, adjusted EPS beats

Scotts Miracle-Gro

29/07/2026 12:01

Overview
U.S. lawn and garden supplier's fiscal Q3 revenue was flat, matching analyst expectations
Adjusted EPS for fiscal Q3 rose 8% and beat analyst expectations
Company says higher freight and commodity costs weighed on margins, offset by supply chain automation

Outlook
Scotts Miracle-Gro now expects full-year adj diluted EPS  from continuing operations of $4.30 to $4.45
Company reaffirms U.S. Consumer net sales low single-digit growth for fiscal 2026
Scotts Miracle-Gro expects free cash flow of $275 mln, leverage ratio down to high 3s

Result Drivers
HIGHER FREIGHT AND COMMODITY COSTS - Co said gross margin rates declined due to increased freight and commodity costs resulting from the Iran conflict
SUPPLY CHAIN AUTOMATION AND AI - Co said margin expansion efforts included supply chain automation, expanded use of AI, and manufacturing investments
BONNIE PLANTS JOINT VENTURE AND TAX RATE - Co said improved adjusted net income was partly due to strong performance of Bonnie Plants joint venture and a lower tax rate

Company press release: ID:nGNX8N8FYd

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Meet
$1.17 bln
$1.17 bln (7 Analysts)
Q3 Adjusted EPS
Beat
$2.82
$2.49 (7 Analysts)
Q3 EPS
 
$1.90
 
Q3 Net Income
 
$112.20 mln
 
Q3 Adjusted EBITDA
Miss
$246.30 mln
$250.55 mln (6 Analysts)
Q3 Basic EPS
 
$1.93
 
Q3 Operating Income
 
$169.60 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"
Wall Street's median 12-month price target for Scotts Miracle-Gro Co is $75.00, about 2.6% above its July 28 closing price of $73.10
The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 13 three months ago

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For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)