ScottsMiracle-Gro Q1 Loss Reduces; Backs FY Goals - Quick Facts

(RTTNews) - Lawn and garden care products maker Scotts Miracle-Gro Co.'s (SMG) first-quarter net loss narrowed to $65.6 million, or $1.06 a share, from last year's loss of $67.7 million, or $1.10 a share.

Quarterly adjusted loss from continuing operations reduced year-on-year to $65.4 million, or $1.05 a share, driven by continued margin expansion and strong control of operating expenses, the company said. On average, 11 analysts polled by Thomson Reuters expected loss per share of $1.09 for the quarter. Analysts' estimates typically exclude one-time items.

On the other hand, three-month net sales of $196.4 million were 5 percent lower when compared with $205.8 million a year ago, chiefly due to the timing of pre-season shipments to retailers. Analysts estimated revenues of $211.59 million for the quarter.

The firm reiterated its guidance for company-wide net sales to increase by about 2 to 3 percent in fiscal 2014 on flat unit volume, modest price increases in its Global Consumer segment and the continued growth of its Scotts LawnService business. An expected increase in adjusted gross margin rate of approximately 100 basis points and an increase in SG&A of around 3 to 4 percent are likely to result in adjusted earnings for fiscal 2014 in the range of $3.05 to $3.20 per share.