McCormick & Company Inc (MKC)
NYSE:MKC
Earnings Data
Report Date
Jun 25, 2026Before Open (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
0.7Last Year’s EPS
0.69Same Quarter Last Year
Moderate Buy
Based on 10 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call presents a largely positive strategic and financial case for the McCormick–Unilever Foods combination: clear scale benefits, quantified cost synergies ($600M), reinvestment plans ($100M), a pro forma $20B revenue base and margin expansion targets (21% baseline to ~23%–25% by year 3). Management emphasized detailed integration planning and brand/innovation advantages across channels and geographies. Key risks include integration complexity at an unprecedented scale for McCormick, near‑term elevated leverage (~4x at close), regulatory/separation timing and the absence of a specific EPS accretion figure today. Overall, the positive strategic rationale, quantified synergies and growth targets outweigh the highlighted risks.Company Guidance
Strategic combination creates a global flavor leader
McCormick announced a planned combination with Unilever Foods to create a scaled, flavor-focused company combining iconic global and regional brands (McCormick, Knorr, Hellmann's, French's, Frank's RedHot, Cholula, MAI) and complementary capabilities across consumer and food‑service channels.
Transaction structure and valuation
Transaction structured as a Reverse Morris Trust: pro forma ownership of combined equity expected to be ~65% for Unilever and 35% for McCormick shareholders; Unilever Foods implied enterprise value ~ $44.8B and McCormick ~ $21B; overall implied multiple ~13.8x calendar 2025 EBITDA; Unilever to receive $15.7B in cash as part of the consideration.
Pro forma scale and margin profile
On a pro forma 2025 basis combined annual net sales are ~ $20B with a best-in-class operating margin baseline of ~21% and management guidance to expand operating margins to ~23%–25% by year 3.
Quantified synergy and reinvestment plan
Management expects approximately $600M of annual run‑rate cost synergies (target to be realized by year 3, with ~2/3 captured by end of year 2), representing ~8% of McCormick's 2025 pro forma sales (including McCormick de Mexico); ~$100M of incremental savings will be reinvested into brands and innovation.
Revenue and growth outlook (pro forma)
Company expects meaningful accretion in the first full year post-close and targets sustainable organic sales growth of ~3%–5% by year 3, with management emphasizing volume-driven growth and brand reinvestment as growth engines.
Food Service scale and cross‑sell opportunity
Combined Food Service platform positioned at approximately $6B in pro forma annual sales, creating cross-selling opportunities by combining Unilever's back‑of‑house scale and chef relationships with McCormick's front‑of‑house brand equity and tabletop presence.
Strong brand support and innovation engine
Management highlighted complementary R&D, culinary capabilities and technology platforms to accelerate innovation; Unilever Foods historically invested ~10% behind brand marketing and reported gross margins in the mid‑to‑high‑40s for its Foods business, supporting confidence in sustained brand investment.
Disciplined integration planning and governance
McCormick and Unilever have begun detailed pre-close integration planning with dedicated leadership, external integration partners, market‑by‑market operating model decisions, detailed IT transition plans and transitional service agreements to support business continuity.
MKC Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
MKC Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Mar 31, 2026 | $53.72 | $50.44 | -6.11% |
Jan 22, 2026 | $66.56 | $61.20 | -8.05% |
Oct 07, 2025 | $67.35 | $64.71 | -3.91% |
Jun 26, 2025 | $72.19 | $76.04 | +5.34% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does McCormick & Company Inc (MKC) report earnings?
McCormick & Company Inc (MKC) is schdueled to report earning on Jun 25, 2026, Before Open (Confirmed).
What is McCormick & Company Inc (MKC) earnings time?
McCormick & Company Inc (MKC) earnings time is at Jun 25, 2026, Before Open (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is MKC EPS forecast?
MKC EPS forecast for the fiscal quarter 2026 (Q2) is 0.7.
