secwatch.observer — SEC 8-K summary
======================================

Issuer:     SCOTTS MIRACLE-GRO CO (SMG)
CIK:        0000825542
Form:       8-K
Filed at:   2024-02-07T23:59:59+00:00
Accession:  0001546380-24-000005
Event type: earnings
Sentiment:  negative
Materiality: 0.75
Item codes: 2.02, 9.01
LLM model:  deepseek-v4-flash:cloud@v2

Scotts Miracle-Gro Q1 GAAP loss $1.42/sh; sales down 22%; reaffirms FY24 EBITDA $575M
--------------------------------------------------------------------------------

- Q1 net loss $80.5M ($1.42 GAAP loss/sh); non-GAAP loss $1.45/sh vs. $1.02 loss a year ago.
- Total sales $410.4M (-22% YoY); U.S. Consumer -17%, Hawthorne -39% amid hydroponic industry pressure.
- Reaffirms full-year non-GAAP adj. EBITDA $575M, free cash flow $560M, and 250 bps gross margin improvement.
- Average net debt to adj. EBITDA leverage 7.20x, within covenant max of 8.25x; covenant steps down to 7.75x in Q2.
- Project Springboard savings exceeded $300M target; expects 80% of incremental savings by fiscal year-end.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/825542/000154638024000005/0001546380-24-000005-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/825542/000154638024000005/smg-20240207.htm
  HTML page:      https://secwatch.observer/filing/0001546380-24-000005

License: Source filings: public domain (SEC EDGAR). Summaries (headline + bullets): CC-BY-4.0; attribute https://secwatch.observer