In This Article:
Investing.com -- Hormel Foods Corporation (NYSE:HRL) on Thursday reported second-quarter earnings that met analyst expectations, while revenue fell slightly short of estimates.
Hormel reported adjusted earnings per share of $0.35 for the second quarter, in line with analyst estimates. Revenue came in at $2.9 billion, just below the consensus forecast of $2.92 billion.
Advertisement: High Yield Savings Offers
The company saw organic net sales growth of 1% in the quarter. Hormel’s Retail segment profit increased 4% despite flat net sales, driven by operational efficiencies.
The Foodservice segment posted 4% organic net sales growth, though segment profit declined 6% due to margin pressures.
"We achieved solid organic top-line growth and delivered second quarter results in line with our expectations," said Jim Snee, president and CEO of Hormel Foods. "We anticipate strong second half growth led by our range of consumer-focused, protein-centric products."
For fiscal year 2025, Hormel narrowed its organic net sales growth outlook to 2-3%, compared to its previous guidance of 1-4% growth. The company now expects adjusted earnings per share of $1.58 to $1.68, tightening the range from its prior outlook of $1.58 to $1.72.
Hormel highlighted strength in its Applegate brand, which outpaced category growth, as well as notable retail sales gains for Jennie-O ground turkey products.
The company’s Mexican foods portfolio also delivered strong year-over-year growth in the quarter.
Related articles
Hormel Foods reports in-line Q2 earnings, narrows full-year outlook
JPMorgan: Macy’s is a share gainer in a volatile consumer environment
NVIDIA CEO Huang said these four positive surprises are ’turbocharging’ AI growth