Scotts Miracle-Gro Company (SMG) has reaffirmed its annual guidance, indicating resilience amid geopolitical tensions, specifically the Iran War. The company reported that approximately 80% of its commodity needs for the fiscal year were secured by the end of its second quarter on March 28, with about 90% of its cost of goods sold sourced domestically. This strategic positioning includes nearly 100% domestic sourcing of urea, a key ingredient in its fertilizer products.
This stability comes as Scotts anticipates adjusted earnings from continuing operations between $4.15 and $4.35 per share for fiscal 2026, alongside mid-single-digit EBITDA growth. The company also projects low single-digit growth in U.S. consumer net sales, which stood at $2.99 billion in fiscal 2025.
For market professionals, the reaffirmation of guidance amidst external pressures highlights Scotts Miracle-Gro’s operational resilience and could signal stability in the consumer lawn and garden sector, making it a stock to watch in the coming quarters.
Source: nasdaq.com