McCormick & Co.: Fiscal 2Q26 First Impressions

研报英文原文证据摘录

McCormick & Co.: Fiscal 2Q26 First Impressions

Equity Research

U.S. Food

25 June 2026

McCormick & Co.

Fiscal 2Q26 First Impressions

This morning, MKC reported F2Q26 results. See below for our

first impressions.

MKC EQUAL WEIGHT

What To Do With The Stock U.S. Food NEUTRAL

Price Target USD 57.00

MKC delivered a sizable (+16%) F2Q26 EPS beat, though a significant portion came as a result of

Price (24-Jun-26) USD 47.60

a $28mm tariff refund that reversed tariffs the business had absorbed during prior

Potential Upside/Downside +19.7%

periods. Excluding the refund, gross margin and EBIT still came in a bit above Street estimates, Source: Bloomberg, Barclays Research

though the core Consumer Americas business fell under increasing pressure during the quarter

given shifting demand patterns, widening price gaps, and greater competitor activity from both

private label and branded. Specifically, Consumer segment organic sales rose +0.8% YOY (vs U.S. Food

Andrew LazarConsensus up +1.8% YOY) while volume declined a greater than expected -1.9% (vs Consensus

+1 212 526 4668

down -0.5% YOY), primarily driven by Consumer Americas volumes which were down -3.6% YOY.

andrew.lazar@barclays.com

Importantly, MKC reaffirmed its FY26 guidance, though this now includes the benefit of the tariff BCI, US

refund, which is expected to help offset higher than initially expected inflationary pressures,

Joshua Bader, CPA, CFAincluding costs related to the Middle East conflict. Additionally, MKC now looks for F3Q26

+1 212 526 3084

operating income growth of high single to low double digits YOY (vs current Consensus looking

joshua.bader@barclays.com

for +18.6% YOY growth), with continued gross margin expansion partially offset by ERP-related BCI, US

technology investment.