Challenged by weather, Scotts sales slip
Marysville, Ohio-based Scotts Miracle-Gro posted net sales of $1.02 billion in the second quarter ended March 30, down 13% from $1.17 billion a year ago.
Net income of $100.0 million declined from $127.2 million in the prior-year quarter.
The year-over-year decline primarily was attributable to a significant delay in the start of the lawn and garden season in nearly all North American and European markets due to a colder than normal March, the company said.
“Although the weather presented obvious challenges in March, the resilience of the lawn and garden category and the strength of our brands became evident as soon as the season broke at the beginning of April," said Jim Hagedorn, chairman and CEO. "Consumer purchases of our products in the U.S., which were down more than 25% on a fiscal year-to-date basis entering April, are down 9% through May 5 after five consecutive weeks of strong year-over-year growth.”
Scotts LawnService sales declined 8% to $32.9 million in the second quarter, compared with $35.9 million during the same quarter a year ago.
Hagedorn said consumer purchases for the first five weeks of the third quarter are up 19%.