UPDATE 1-ScottsMiracle-Gro raises 2009 earnings outlook

Wed Jun 17, 2009 7:47am EDT
 
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* Sees FY adj EPS $2.35 to $2.45

* Raises free cash flow outlook

* Sees company-wide sales to rise 7-8 pct

* Shares up 4 pct in pre-market trade

June 17 (Reuters) - Lawn and garden-products maker ScottsMiracle-Gro Co (SMG.N) raised its fiscal 2009 profit outlook, citing strong continued demand for its products in the United States.

Shares of the Marysville, Ohio-based company rose 4 percent in low-volume pre-market trade.

The company, which sells grass seeds, fertilizers, herbicides, potting soils and other gardening-related tools, now expects adjusted earnings of $2.35 a share to $2.45 a share, compared with its prior view of $2.10 to $2.30 a share.

Coordinated approach to marketing and promotion as well as increased advertising spend helped to drive strong momentum beyond the peak of the season, Chief Executive Jim Hagedorn said in a statement.

ScottsMiracle said it expects company-wide sales to rise 7 to 8 percent in 2009, excluding the impact of recall and registration matters and foreign currency.

The company also raised its free cash flow outlook for the fiscal year to a minimum of $180 million from its prior outlook of $150 million to $170 million.

Shares of ScottsMiracle closed at $35.02 Tuesday on the New York Stock Exchange.

For related alerts double click [ID:nWNAB0492] (Reporting by Renju Jose in Bangalore; Editing by Aradhana Aravindan)

 

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