Smucker cuts coffee prices as green bean costs ease
Smucker lowered some coffee prices as green bean costs eased, but the company said the relief may be temporary and tied to a broader commodity swing.
J.M. Smucker trimmed coffee prices after softer green coffee costs gave the Orrville, Ohio company room to pass some relief to shoppers. Mark Smucker said the move covers some products in a portfolio that reaches supermarket aisles through Folgers, Café Bustelo and Dunkin'.
The company laid out the shift on June 9 when it reported fiscal 2026 fourth-quarter results. Quarterly net sales reached $2.3 billion, up 6% from a year earlier, while full-year fiscal 2026 net sales rose 4% to $9.1 billion. Adjusted earnings per share came in at $2.77 for the quarter and $9.15 for the year. For fiscal 2027, Smucker guided net sales to decline 3% to 4%. Green coffee deflation will weigh on revenue even as it supports margins. Sequential price decreases are set to begin in the second quarter.
Smucker treats coffee as a pass-through category, moving commodity changes through pricing instead of absorbing them for long. Green coffee sits alongside peanuts, flour, sugar, oils and fats, fruit and other ingredients as inputs whose availability, quality and cost can fluctuate materially. Smucker sources unroasted coffee beans mainly from Brazil and Vietnam, two origins that leave retail pricing exposed to weather, harvest swings and trade policy.
The company raised coffee prices multiple times in 2024 and 2025 as sourcing costs climbed and tariffs lingered, including a planned third increase in early winter 2025 after earlier moves in May and August. CFO Todd Marshall also said the company is still pursuing tariff refunds tied to the U.S. Supreme Court decision that invalidated country-specific tariffs.
Smucker’s fiscal 2026 results also reflected divestitures of certain Sweet Baked Snacks value brands and the Voortman business. The company’s annual meeting of shareholders is August 12.
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