This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Scotts Miracle-Gro Provides Outlook For Fiscal 2014; Announces Changes To Credit Facility

MARYSVILLE, Ohio, Dec. 13, 2013 /PRNewswire/ -- The Scotts Miracle-Gro Company (NYSE: SMG), the world's largest marketer of branded consumer lawn and garden products, today provided more detail for its outlook for fiscal 2014 in advance of its December 13 th Analyst & Investor Day.

The Company said it expects company-wide net sales to increase by approximately 2 to 3 percent in fiscal 2014 on flat unit volume, strategic pricing, the recent acquisition of the Tomcat consumer rodent control business and the continued growth of its LawnService business. 

An anticipated improvement in gross margin rate of approximately 100 basis points and an increase in selling, general & administrative expenses (SG&A) of approximately 3 to 4 percent is expected to result in adjusted earnings from continuing operations in the range of $3.05 to $3.20 per share, an increase of 10 to 15 percent, for fiscal 2014.

Operating margin rate is expected to be in the range of 12.5 to 13 percent in fiscal 2014.  Interest expense is forecasted to be lower by $5 to $7 million compared to fiscal 2013.  The effective tax rate for the year is projected to be in a range of 36 to 37 percent.

The Company's operating cash flow is expected to be approximately $275 million in fiscal 2014. 

"We remain confident in the strength of our brands and continue to see commitment to the category from consumers and our retail partners," said Jim Hagedorn, chairman and chief executive officer.  "The guidance we have outlined assumes a conservative approach to the business, a philosophy we will continue to employ until we see a stronger macroeconomic outlook."

In addition, the Company is in the final phases of renegotiating its existing credit facility and expects to have it completed by the end of the calendar year. The amendment and extension will extend the facility's maturity through December 2018, decrease pricing and relax certain restrictive covenants.  In addition, the Company announced it will exercise its call option on the $200 million of 7.25 percent senior notes issued in 2010. The Company expects the combination of these actions will reduce its overall cost of debt by approximately 60 basis points. 

Company Hosts Analyst & Investor Day Meeting Today, Dec. 13

The Company is holding its Analyst & Investor Day today at 9:30 a.m. Eastern Time, with a live webcast with presentation slides available on the investor relations section of the Company's website at  The replay of the webcast and accompanying presentation slides will be available on the Company's website following the meeting.

The meeting will also be accessible with a live conference call. To participate in the conference call, please call 888.299.7209 conference code: 3860281.  An archive of the webcast, as well as accompanying financial information regarding any non-GAAP financial measures discussed by the Company during the call, will be available on the site for at least 12 months.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $94.30 -0.92%
FB $118.08 0.55%
GOOG $695.81 0.50%
TSLA $234.18 0.80%
YHOO $35.97 -0.11%


Chart of I:DJI
DOW 17,651.26 -99.65 -0.56%
S&P 500 2,051.12 -12.25 -0.59%
NASDAQ 4,725.6390 -37.5850 -0.79%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs