What the changes say
- Hostess acquisition integration and labor pressures are newly emphasized operational risks.
- Geopolitical risk now covers sanctions, trade restrictions, cyber incidents, demand, currency, and supply-chain effects.
- Goodwill and intangible balances fell to $10.9 billion from $12.1 billion, alongside lower assets and equity.
- ERP implementation, outsourced IT, stakeholder sentiment, and product-label concerns receive sharper treatment.
What changed since the prior 10-K
New
- NewRisks Related to Our Business
Our operations are subject to the general risks associated with acquisitions, divestitures, and restructuring programs. Specifically, we may not realize all of the anticipated benefits of the acquisition of Hostess Brands, or those benefits may take longer to realize than expected
Failure to integrate Hostess Brands or execute related optimization initiatives could delay synergies, increase costs, and weaken results.
- NewRisks Related to Our Business
employees who leave or to offer employment to potential replacements on reasonable terms, each of which may adversely affect our business and financial results
Labor shortages, wage inflation, scarce skilled workers, and demands for schedule flexibility could raise costs and limit production.
- NewRisks Related to Regulation and Litigation
Market perceptions and stakeholder engagement may impact our stock price and business
Stakeholder views on Smucker’s strategy, governance, capital allocation, or industry could damage public perceptions, business results, or stock price.
- NewRisks Related to Regulation and Litigation
oversight. We could also be required to spend significant financial and other resources to remedy the damage caused by a cybersecurity incident or to repair or replace networks and information
Outsourced IT, administrative functions, and cloud services could suffer cybersecurity incidents or errors causing disruption, inaccurate reporting, or data loss.
Dropped
- DroppedFinancial Risks
U.S. Retail Pet Foods segment, which represent approximately 80 percent of the total goodwill and indefinite-lived intangible assets as of April 30, 2025
- DroppedFinancial Risks
material indefinite-lived intangible assets are more likely than not impaired as of April 30, 2025. For additional information, refer to Note 7: Goodwill and Other Intangible Assets
- DroppedRisks Related to Regulation and Litigation
which requires our processes and controls for such data to evolve as well
Reworded
- 99% rewrittenRisks Related to Regulation and Litigation
Ongoing geopolitical conflicts and the related disruptions to the global economy could adversely affect our business, financial condition, or results of operations
Expands geopolitical risk beyond named conflicts and costs to include sanctions, trade restrictions, cyber incidents, demand, currencies, and international-trade barriers.
- 85% rewrittenFinancial Risks
A material impairment in the carrying value of acquired goodwill or other intangible assets could negatively affect our consolidated operating results and net worth
Updates the figures: goodwill and intangibles fell from $12.1 billion to $10.9 billion, with assets and equity also lower.
- 71% rewrittenRisks Related to Our Business
Deterioration of national and global macroeconomic conditions, an economic recession or slow growth, periods of inflation, or economic uncertainty in key markets may adversely affect consumer spending and demand for our products
Removes specific references to U.S. and retaliatory tariffs; the broader macroeconomic threats remain substantially unchanged.
- 65% rewrittenRisks Related to Our Business
Loss or interruption of supply from primary or single-source suppliers of raw materials and finished goods could have a disruptive effect on our business and adversely affect our results of operations
Identifies KDP as the primary single-serve-pod supplier and single-source liquid-coffee supplier for Away From Home systems.
- 51% rewrittenRisks Related to Our Business
We may not be able to attract, develop, and retain the highly skilled people we need to support our business, and our results could be adversely impacted as a result of increased labor and employee-related expenses
Adds emerging-technology expertise, including artificial intelligence, to the skills needed alongside manufacturing labor.
- 48% rewrittenRisks Related to Regulation and Litigation
Risks associated with climate change and other environmental impacts or legal, regulatory, or market measures to address climate change may negatively affect our business and operations
Clarifies oils and fats among climate-sensitive commodities; the agricultural-availability and pricing risk is otherwise unchanged.
- 47% rewrittenRisks Related to Regulation and Litigation
We may face complications with the design or implementation of our new enterprise resource planning (“ERP”) system, which may negatively affect our business and operations
Recasts the project as an ERP implementation, removes the early-2026 integration expectation, and adds delays, defects, testing, and distraction risks.
Was: We may face complications with the design or implementation of our new enterprise performance management (“EPM”) system, which may negatively affect our business and operations
- 41% rewrittenRisks Related to Regulation and Litigation
We could be subject to adverse publicity or claims from consumers or other stakeholders
Adds potential consumer complaints or litigation alleging products are ultra-processed or contain particular ingredients.
Was: We could be subject to adverse publicity or claims from consumers
- 41% rewrittenRisks Related to Regulation and Litigation
Changes in tax, environmental, or other regulations and laws, or their application, or failure to comply with existing licensing, trade, and other regulations and laws could have a material adverse effect on our financial condition
- 37% rewrittenRisks Related to Regulation and Litigation
If our information technology systems fail to perform adequately or we are unable to protect such information technology systems against data corruption or cybersecurity incidents, our operations could be disrupted, and we may suffer financial damage or loss because of lost or misappropriated information
- 27% rewrittenRisks Related to Our Business
Our business could be harmed by strikes or work stoppages
- 25% rewrittenRisks Related to Our Industry
Changes in our relationships with significant customers, including the loss of our largest customer, could adversely affect our results of operations
- 23% rewrittenFinancial Risks
Our results may be adversely impacted as a result of increased cost, limited availability, and/or insufficient quality of raw materials, including commodities and agricultural products
- 23% rewrittenRisks Related to Our Business
We may not realize the benefits we expect from our cost reduction and other cash management initiatives
- 22% rewrittenRisks Related to Our Industry
Our operations are subject to the general risks of the food industry
All 35 risk factors
Headings as the filing states them, in filing order.
Risks Related to Our Business
- 01Deterioration of national and global macroeconomic conditions, an economic recession or slow growth, periods of inflation, or economic uncertainty in key markets may adversely affect consumer spending and demand for our products71% rewritten
- 02Our operations are subject to the general risks associated with acquisitions, divestitures, and restructuring programs. Specifically, we may not realize all of the anticipated benefits of the acquisition of Hostess Brands, or those benefits may take longer to realize than expectedNew
- 03Our proprietary brands, packaging designs, and manufacturing methods are essential to the value of our business, and the inability to protect our intellectual property could harm the value of our brands and adversely affect our sales and profitability
- 04Loss or interruption of supply from primary or single-source suppliers of raw materials and finished goods could have a disruptive effect on our business and adversely affect our results of operations65% rewritten
- 05Certain of our products are produced at single manufacturing sites
- 06A significant interruption in the operation of any of our supply chain or distribution capabilities could have an adverse effect on our business, financial condition, and results of operations
- 07Our business could be harmed by strikes or work stoppages27% rewritten
- 08The success of our business depends substantially on consumer perceptions of our brands
- 09We may not be able to attract, develop, and retain the highly skilled people we need to support our business, and our results could be adversely impacted as a result of increased labor and employee-related expenses51% rewritten
- 10employees who leave or to offer employment to potential replacements on reasonable terms, each of which may adversely affect our business and financial resultsNew
- 11We may not realize the benefits we expect from our cost reduction and other cash management initiatives23% rewritten
- 12Our success will depend on our continued ability to produce and successfully market products with extended shelf life
Risks Related to Our Industry
- 13Our operations are subject to the general risks of the food industry22% rewritten
- 14Changes in our relationships with significant customers, including the loss of our largest customer, could adversely affect our results of operations25% rewritten
- 15We operate in the competitive food industry and continued demand for our products may be affected by our failure to effectively compete or by changes in consumer preferences
- 16We may be limited in our ability to pass cost increases onto our customers in the form of price increases or may realize a decrease in sales volume to the extent price increases are implemented
- 17We must leverage our brand value to compete against private label products and lower-priced alternative brands
- 18Our ability to competitively serve customers depends on the availability of reliable transportation. Increases in logistics and other transportation-related costs could adversely impact our results of operations
Financial Risks
- 19Our results may be adversely impacted as a result of increased cost, limited availability, and/or insufficient quality of raw materials, including commodities and agricultural products23% rewritten
- 20Our efforts to manage commodity, foreign currency exchange, and other price volatility through derivative instruments could adversely affect our results of operations and financial condition
- 21Weak financial performance, downgrades in our credit ratings, or disruptions in the financial markets may adversely affect our ability to access capital in the future
- 22Our substantial debt obligations could restrict our operations and financial condition. Additionally, our ability to generate cash to make payments on our indebtedness depends on many factors beyond our control
- 23A material impairment in the carrying value of acquired goodwill or other intangible assets could negatively affect our consolidated operating results and net worth85% rewritten
- 24The declaration, payment, and amount of dividends is made at the discretion of our Board and depends on a number of factors
Risks Related to Regulation and Litigation
- 25We could be subject to adverse publicity or claims from consumers or other stakeholders41% rewritten
- 26Changes in tax, environmental, or other regulations and laws, or their application, or failure to comply with existing licensing, trade, and other regulations and laws could have a material adverse effect on our financial condition41% rewritten
- 27Our international operations expose us to regulatory risks
- 28Risks associated with corporate responsibility matters may negatively affect our business and operations
- 29Risks associated with climate change and other environmental impacts or legal, regulatory, or market measures to address climate change may negatively affect our business and operations48% rewritten
- 30We may be unable to grow market share of our products
- 31Market perceptions and stakeholder engagement may impact our stock price and businessNew
- 32If our information technology systems fail to perform adequately or we are unable to protect such information technology systems against data corruption or cybersecurity incidents, our operations could be disrupted, and we may suffer financial damage or loss because of lost or misappropriated information37% rewritten
- 33oversight. We could also be required to spend significant financial and other resources to remedy the damage caused by a cybersecurity incident or to repair or replace networks and informationNew
- 34We may face complications with the design or implementation of our new enterprise resource planning (“ERP”) system, which may negatively affect our business and operations47% rewritten
- 35Ongoing geopolitical conflicts and the related disruptions to the global economy could adversely affect our business, financial condition, or results of operations99% rewritten
Other J M Smucker 10-Ks
- FY2025 10-K risk factors34 risks
This initial risk disclosure is dominated by supply chain concentration, customer dependence on Walmart, and substantial debt obligations.
Filed Jun 18, 2025
About this page
The headings are the filing's own. The one-line readings and the overview are automated and can be wrong: read Item 1A of the 10-K for the exact wording.