Scotts Miracle-Gro Grows Its '09 Guidance

Scotts Miracle-Gro(SMG Quote) raised its guidance Wednesday, saying it expects 2009 earnings to land between $2.35 to $2.45 a share from previous estimates of $2.10 to $2.30 a share.

The Ohio-based company also said 2009 free cash flow will come to at least $180 million after previously forecasting free cash flow of between $150 million to $170 million.

The lawn care product company anticipates company-wide sales to increase 7% to 8% after excluding certain items, which comes to 4% to 5% for reporting purposes.

Scotts Miracle-Gro also reported upticks in U.S. purchases for the first half of 2009, thanks mostly to its sales in its gardening categories.

"The high level of consumer engagement we've seen this season is a testament to three things: the coordinated approach to marketing and promotion between us and our retail partners; our increased advertising spend throughout the season and improved creative direction; and a 30% increase in the number of hours our sales force has spent in retail stores," CEO Jim Hagedorn said in a release. "These factors have helped to drive strong momentum beyond the peak of the season, and we're hopeful it will continue through the balance of the fiscal year."

Scotts Miracle-Gro lost 54 cents to close at $35.02 Tuesday, but was up $1.47 in premarket trading Wednesday.