Scotts Stunted in Stormy Q3
Unfriendly weather hits Scotts Miracle-Gro with a Q3 of a 10 percent sales decline
Unfriendly weather hits Scotts Miracle-Gro with a Q3 (ended July 2) of 10 percent sales declines to $1.06 billion, reports Ken Clark of Home Channel News. The company’s net income declined 37 percent to $11.6 million. Scotts LawnService did, however, see an increase in revenue of 1 percent to $82.4 million.
Jim Hagedorn, Scotts chairman and CEO said: “The challenges we saw from weather this year are unparalleled during my life-long tenure in this industry. The fact that consumer purchases have been impacted more than we expected is also negatively affecting both sales and gross margin rate.”
Hagedorn adds, “While I am disappointed with the results we are announcing today, I remain confident in our category, our brands, our strategy and our team. That continued confidence in our long-term strategy is reflected in the decision by our board of directors to increase our dividend by 20 percent.”