Scotts Miracle-Gro Posts Fiscal 2026 Results
The Marysville, Ohio lawn and garden company reported full-year sales of $3.29 billion and issued fiscal 2027 guidance calling for 2% to 4% sales growth.
Updated on Nov. 4, 2026 in Corporate Finance
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The Scotts Miracle-Gro Company reported fiscal 2026 results on November 4, 2026, with net sales of $3.29 billion, up 1% from the prior year. Non-GAAP adjusted earnings per diluted share rose 18% to $4.48, and the company issued fiscal 2027 guidance calling for net sales growth of 2% to 4%.
Why it matters
Gains in gross margin and earnings per share came from supply chain savings, branded product mix and pricing, partly offset by higher commodity and freight costs. Lower interest expense and a lower tax rate also helped earnings growth, which matters to Ohio residents given the company's Marysville headquarters.
Fiscal 2026 free cash flow totaled $278.4 million and net leverage stood at 3.89x, improved 0.21x from last year, with a targeted leverage ratio of 3.0 to 3.5x by fiscal 2029. Fourth-quarter net sales fell 11% to $302.9 million, and the company projects fiscal 2027 free cash flow of approximately $275 million.
The players
The Scotts Miracle-Gro Company
A lawn and garden products manufacturer headquartered in Marysville, Ohio, known for consumer brands in lawn fertilizer and grass seed.
The details
Fourth-quarter fiscal 2026 net sales were $302.9 million, down 11% from the prior-year quarter, and gross margin for that quarter was negative $2.1 million. GAAP gross margin for the full year was 32.3%, while the non-GAAP adjusted rate was 32.4%.
Timeline
September 30, 2026: End of the fiscal 2026 reporting period.
November 4, 2026: Fiscal 2026 results announced and conference call held.
Fiscal 2029: Target date for a leverage ratio of 3.0 to 3.5x.
Market Dynamics
The modest 1% sales growth follows a period in which pandemic-era lawn and garden demand surged and then normalized, leaving growth now driven more by pricing and cost discipline than by volume. Fiscal 2027 guidance of 2% to 4% sales growth suggests management expects that pattern to continue as consumer demand stabilizes.
Shoppers buying lawn fertilizer and grass seed may see pricing shifts, since the company credited pricing actions for part of its margin gains. Investors tracking Scotts should note the fiscal 2027 earnings guidance of $4.70 to $4.90 per share.
The takeaway
Margin gains from cost savings and pricing can offset flat volume, but commodity and freight costs remain a risk to the fiscal 2027 outlook. Readers following consumer staples should watch whether projected earnings growth holds as those pressures evolve.
Further reading
For more on company earnings and balance sheets, see Corporate Finance coverage for Ohio.
Source note: This article includes information reported by The Manila times.
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