Many income investors are looking for a reliable dividend. For the record, it's not uncommon for a dividend- paying company to decrease the amount it pays or to cut its dividend altogether. But in my lifetime, that's never happened with the dividend payments from PepsiCo (PEP 0.68%), Target (TGT 0.67%), or Hormel Foods (HRL 1.93%). All three of these dividend stocks have paid a quarterly dividend and increased it annually for over 50 years without fail. This puts all three of these companies on the list of ...

Spicy flavors, regional varieties and homestyle ingredients are increasingly popular as pizza enthusiasts seek novelty, nostalgiaAUSTIN, Minn., March 27, 2025 /PRNewswire/ -- Straight from the sizzling scene of the 2025 International Pizza Expo in Las Vegas, Hormel Foods — maker of the best-selling retail pepperoni in the United States and a market leader in foodservice pizza toppings — is dishing out its freshest take on the pizza industry's hottest trends. Logan Kumm and Daniel Moore, both Foodservice ...

AUSTIN, Minn., March 20, 2025 /PRNewswire/ -- Hormel Foods Corporation (NYSE: HRL), a Fortune 500 global branded food company, announced today that Jeffrey M. Ettinger, chairman of The Hormel Foundation, has been re-appointed to the Hormel Foods Board of Directors, effective March 21, 2025. The Hormel Foundation, an unaffiliated non-profit organization with a charitable mission, beneficially owns approximately 46% of Hormel Foods outstanding common stock. Ettinger previously served on the Hormel Foods Board ...

AUSTIN, Minn., March 18, 2025 /PRNewswire/ -- Hormel Foods Corporation (NYSE:HRL), a Fortune 500 global branded food company, today announced leadership advancements for its Retail business segment. Scott Weisenbeck Joe O’Connor Scott Weisenbeck has been promoted to vice president of marketing – Retail. Scott has been instrumental in driving growth and innovation in the bacon category and will take on an expanded role, bringing his expertise to a broader portfolio of brands. Joe O'Connor has been prom ...

AUSTIN, Minn., March 10, 2025 /PRNewswire/ -- In a captivating new chapter, MR. PEANUT® and the world-famous PLANTERS® NUTmobile are making their movie debut in Netflix's highly anticipated new film, The Electric State. Ahead of the film's release, The PLANTERS® brand and Netflix created exclusive TV spots featuring MR. PEANUT® in The Electric State. A longtime symbol of the PLANTERS® brand and pop culture, MR. PEANUT® brings a fun charm to the film while staying true to his classic American icon ...

The Foodservice division at Hormel Foods is 'taking heat somewhere sweet' with the launch of its latest trend-forward topping, which debuts at International Pizza Expo later this monthAUSTIN, Minn., March 5, 2025 /PRNewswire/ -- Hot honey has long been a relevant talking point for pizzaiolos, as more and more pizza establishments are incorporating hot honey into their menus and offerings. Hormel Foods, a known innovator in the pizza space, naturally took notice of this increasingly "hot" trend, and the comp ...

February 27, 2025 Strength in value-added portfolio helped mitigate known headwinds Q1 2024 Total Turkey Portfolio Snack Nuts All Other Operating Gains Interest and Investment Income and Expense Tax Q1 2025 Q1 '24 Q1 '25 $0.35 $0.41 1 Non-GAAP measure. See Appendix: Non-GAAP Measures for more information 1 Forward-Looking Statements This presentation contains "forward-looking" information within the meaning of the federal securities laws. The "forward-looking" information may include statements concerning t ...

Hormel Foods Corporation (NYSE:HRL) Q1 2025 Earnings Conference Call February 27, 2025 9:30 AM ET Company Participants Jess Blomberg - Director of Investor Relations Jim Snee - President and Chief Executive Officer Jacinth Smiley - Executive Vice President and Chief Financial Officer John Ghingo - Executive Vice President, Retail Segment Conference Call Participants Peter Galbo - Bank of America Ken Goldman - JPMorgan Heather Jones - Heather Jones Research Rupesh Parikh - Oppenheimer Ben Thurber - Barclays ...

Financial Performance - The Company reported diluted earnings per share of $0.31 for Q1 fiscal 2025, down 23% from the previous year, with adjusted diluted earnings per share at $0.35, a decrease of 14.6%[96]. - Net sales for Q1 fiscal 2025 were $2,988,813, a slight decline of 0.3% compared to $2,996,911 in Q1 fiscal 2024, while organic net sales increased by 0.6%[98]. - Total segment profit decreased by 12.8% to $278,818 in Q1 fiscal 2025, with declines in both Retail and Foodservice segments offsetting growth in the International segment[112]. - Retail segment profit fell by 20.3% to $119,147, impacted by lower sales and higher raw material costs, despite growth from key brands like SPAM and Applegate[113]. - Foodservice segment net sales increased by 1.9% to $930,185, driven by strong performance in premium prepared proteins, although segment profit decreased by 7.6%[115]. - In the first quarter of fiscal 2025, net sales decreased by 2.4% to $168,495,000 compared to $172,552,000 in the same quarter of fiscal 2024[118]. - Volume decreased by 6.9% to 74,569,000 lbs from 80,135,000 lbs year-over-year[118]. - Segment profit increased by 4.1% to $20,845,000, driven by improved export margins and growth in China[118]. - Total net sales for the quarter were $2,988,813,000, a slight decrease of 0.6% compared to $2,996,911,000 in the previous year[133]. - Adjusted diluted earnings per share decreased to $0.35 from $0.41 year-over-year[131]. Cash Flow and Expenses - Year-to-date cash flow from operations was $309 million, a decrease of 23% compared to the prior year[101]. - Cash provided by operating activities was $309,206,000, compared to $403,980,000 in the same quarter of fiscal 2024[135]. - Cash flows from operating activities were significantly impacted by changes in operating assets and liabilities, with accounts receivable decreasing by $57 million in Q1 fiscal 2025 compared to a decrease of $68 million in Q1 fiscal 2024[139]. - SG&A expenses increased by 9.4% to $263,013, primarily due to employee-related expenses and costs associated with the Transform and Modernize initiative[105]. - Net unallocated expense rose significantly to $60,700,000 from $34,020,000, primarily due to losses on the sale of a non-core operation and higher employee-related expenses[121]. - Cash and cash equivalents at the end of the period were $840,398,000, down from $963,212,000 in the prior year[135]. - The Company maintains $234 million of cash and cash equivalents held by international subsidiaries as of January 26, 2025[146]. Dividends and Shareholder Returns - The company paid $155,000,000 in cash dividends during the first quarter of fiscal 2025, an increase from $150,000,000 in the prior year[137]. - The Board of Directors approved an increased annual dividend rate for fiscal 2025, raising it to $1.16 per share from $1.13 per share, marking the 59th consecutive annual dividend increase[141]. - The Company is authorized to repurchase 3,677,494 shares of common stock but did not repurchase any shares during the first three months of fiscal 2025[147]. Future Outlook - The Company anticipates net sales growth from each segment in Q2 fiscal 2025 compared to the prior year[101]. - The company expects International segment profit to decrease in the second quarter of fiscal 2025, with growth in China and Indonesia offset by softness in Brazil[120]. - Capital expenditures for fiscal 2025 are estimated to be between $275 million and $300 million, focusing on value-added capacity, infrastructure, and new technology[142]. - Advertising investments in Q1 were $43 million, a decrease of 2% compared to the previous year, with expectations for an increase in full-year advertising expenses[106]. Debt and Financing - The Company’s outstanding debt as of January 26, 2025, included $2.9 billion of fixed-rate unsecured senior notes, with $25 million in interest payments made during Q1 fiscal 2025 and an additional $49 million expected for the fiscal year[143]. - The Company has a $750 million unsecured revolving credit facility, with the potential to increase by an additional $375 million, which is available for general corporate purposes[144]. Inventory and Sales - The Company reported a decrease in inventory of $56 million in Q1 fiscal 2025, compared to a decrease of $104 million in the same period of the prior year, primarily due to holiday sales and constrained turkey inventories[139]. - Proceeds from the sale of business amounted to $13.6 million in Q1 fiscal 2025 from the sale of equity interest in Mountain Prairie, LLC[139]. - The fair value of the Company's cash flow commodity contracts was $15.5 million as of January 26, 2025, compared to $(5.9) million as of October 27, 2024[161].

Core Insights - Hormel Foods Corporation reported a decline in both net sales and earnings for the first quarter of fiscal 2025, with adjusted earnings of 35 cents per share, down from 41 cents year-over-year, missing the Zacks Consensus Estimate of 37 cents [1][2][3] Financial Performance - Net sales totaled $2,988.8 million, a decrease of 0.3% from $2,996.9 million in the prior year, but exceeded the consensus estimate of $2,939.5 million [2] - Gross profit was $475.2 million, down from $508.7 million year-over-year [3] - Selling, general and administrative expenses rose to $263 million from $240.4 million in the previous year [3] - Adjusted operating income fell to $254 million from $294.8 million year-over-year, with an adjusted operating margin of 8.5%, down from 9.8% [3] Segment Performance - Retail unit net sales decreased by 1.1% to $1,890.1 million, with volumes down 3.7%, impacted by production disruptions [4] - Foodservice segment net sales increased by 1.9% to $930.2 million, despite a 4.7% decline in volumes, driven by premium products [6] - International unit net sales fell by 2.4% to $168.5 million, with volumes down 6.9%, although growth in China partially offset declines in Brazil [7] Strategic Initiatives - Hormel Foods is advancing its Transform and Modernize (T&M) initiative, expecting $100 million to $150 million in additional benefits in fiscal 2025 [10] - The company divested its last sow farm to reduce commodity exposure and streamline its portfolio [10] Future Outlook - For fiscal 2025, Hormel Foods expects net sales between $11.9 billion and $12.2 billion, with organic growth projected at 1% to 3% [11] - Operating income is anticipated to range from $1,118 million to $1,212 million, with adjusted operating income expected between $1,175 million and $1,275 million [12] - Annual EPS is projected to be between $1.49 and $1.63, with adjusted EPS expected in the range of $1.58 to $1.72 [13]