SMG earnings analysis
What we found in SMG's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Scotts Miracle-Gro reported solid Q2 2026 results with revenue of $1.46 billion, an increase of 5% year-over-year, and diluted EPS of $4.46, surpassing estimates of $4.01. The gross margin improved to 41.8%, reflecting enhanced operational efficiency despite pressures from inflation and rising input costs.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Strong Revenue Growth
- Revenue for Q2 2026 was $1.46 billion, a 5% increase from $1.39 billion in Q2 2025.
- Improved EPS Performance
- Diluted EPS increased to $4.46 from $3.78 year-over-year, a 18% rise.
- Higher Gross Margin
- Gross margin rose to 41.8%, up from 39.0% in the prior year.
- Increased U.S. Consumer Sales
- U.S. Consumer segment sales hit $1.38 billion, a 5% increase from $1.31 billion last year.
- Decreased Interest Expense
- Interest expense decreased to $31.3 million from $36.6 million year-over-year, a reduction of 14.5%.
- Higher Operating Income
- Income from operations rose to $401.8 million, a 14.9% increase from $349.7 million last year.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Loss from Discontinued Operations
- For Q2 2026, the loss from discontinued operations was $24.7 million, compared to a loss of $3.2 million in Q2 2025.
- Increased SG&A Expenses
- Selling, general and administrative expenses rose to $199.2 million, a 12% increase year-over-year.
- Ongoing Supply Chain Issues
- Continued macroeconomic uncertainty, including inflation and geopolitical risks, may impact future performance.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $4.46
- Gross margin
- 41.8%
- Operating margin
- 27.5%
- Segment
- U.S. Consumer: $1,377 million
- Segment
- Other: $82.5 million
What they said about what is next.
Outlook deferred to earnings press release / call.
The filing reads better than the one before it.
What came before.
- 10-K · November 25, 2025
- Scotts Miracle‑Gro positions itself as the leading marketer of branded consumer lawn and garden products in North America (Scotts, Miracle‑Gro, Ortho, Roundup) and a leading provider in indoor/hydroponic gardening via…
- 10-Q · August 6, 2025
- Scotts Miracle‑Gro reported quarterly net sales of $1,188.0 million (three months ended June 28, 2025) versus $1,202.2 million in the prior year quarter (down $14.2 million, -1.2%), while diluted EPS improved to $2.54…
- 10-Q · May 7, 2025
- Scotts reported Q2 net sales of $1,421.0 million, down $104.4 million (‑6.8%) vs. Q2 FY2024, but delivered strong margin and profitability expansion with gross margin of $547.9 million (38.6%) and income from operations…
- 10-Q · August 7, 2024
- In the Q3 2024 10-Q filing, Scotts Miracle-Gro reported revenues of $1.202 billion, reflecting a year-over-year increase of 7.5% from $1.119 billion in Q3 2023. Gross margin improved significantly to 29.5%, leading to a…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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