Smucker’s products can be found across several grocery aisles given its broad range of product offerings. “Helping to bring families together to share memorable meals and moments,” is the focus of The J.M. Smucker Company, will be referred to as Smucker Company. Smucker company is not only known for its jelly and jam products but also for owning the following companies, Pillsbury, Crisco, Folger and the list goes on. These companies are all in the food manufacturing industry, which basically appeals to the everyday consumption of our society. Its competitors are the following companies, Nestle, Conagra Foods, Frito Lay, Tyson Foods, and Mondelez International. Smucker Company has 19 locations in the U.S., and all locations process fruits, vegetable juices, beverage, shortening, canned milk, coffee, peanut butter, fruit spreads and baking mix.
Below is a 3-year horizontal analysis spreadsheet of the income statement and balance sheet of Smucker Company.
Horizontal Common Size Report 2013, Change over 2012 and 2011
And Income Statement for the years 2011 – 2013 ending in December
2013 2012 2011 Change over 2013 Change over 2012
Sales 5,897.7 5525.80 4825.70 10% 11%
Cost of Goods Sold 3858.60 3637.40 2973.10 10% 12%
Gross Profit 2027.60 1845.20 1798.50 10% 10%
Operating Expense 973.90 892.70 863.10 10% 10%
Income before Tax 817.30 701.20 717.20 11% -9%
Income Taxes 273.10 241.50 237.70 11% 10%
Net Income 544.20 459.70 479.50 11% -9%
It seems that 2013 marked a great improvement in Smucker’s Income Statement, and shows the stability of slow growth because of the steady increase or non-change of income. It also reflects that there was a dip in income in 2012, and with the increase of income in 2013, it clearly shows that Smuckers is able to pick their business back up. This also reflects that the percentage of growth are all the same, again, which reflects stability in the company, with a projection of...