Core Insights - Hormel Foods Corporation reported its fourth-quarter fiscal 2024 results, with net sales matching the Zacks Consensus Estimate but declining year-over-year. The bottom line remained flat compared to the previous year but missed consensus expectations [1][2]. Financial Performance - Adjusted earnings were 42 cents per share, missing the Zacks Consensus Estimate of 43 cents [2]. - Net sales totaled $3,138.1 million, down from $3,198.1 million in the year-ago quarter, reflecting a volume decline of 4.1% [3]. - Gross profit increased to $521.2 million from $514.4 million year-over-year, while SG&A expenses rose to $238.6 million from $216.5 million [4]. - Adjusted operating income decreased to $308 million from $313.1 million, with the adjusted operating margin remaining stable at 9.8% [4]. Segment Performance - Retail unit net sales fell 3.8% year-over-year to $1,907.1 million, with volumes down 6%. Despite declines in several categories, growth in branded products partially offset the decrease [5]. - Foodservice segment net sales increased by 1.3% to $1,046 million, with volumes up 2%. However, segment profit decreased by 8% due to reduced margins and increased SG&A expenses [6]. - International unit net sales rose 1.4% to $185 million, despite a 10% drop in volumes. The increase was driven by demand in China and strong exports, although turkey export volumes declined [7]. Financial Health - The company ended the quarter with cash and cash equivalents of $741.9 million and total long-term debt of $2,850.9 million. Cash flow from operations was $408.6 million [8]. Shareholder Returns - Hormel Foods announced a 3% dividend increase, raising the annual rate to $1.16 per share, marking the 59th consecutive year of annual dividend growth [9]. Strategic Initiatives - The company made significant progress with its Transform and Modernize (T&M) initiative, generating $75 million in operating income benefits, with expectations of an additional $100 million to $150 million in fiscal 2025 [10]. - Hormel Foods aims for at least $250 million in annualized operating income growth by fiscal 2026 through this initiative [10]. Fiscal 2025 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 be between $1.13 billion and $1.23 billion, with adjusted operating income expected in the range of $1.18 billion to $1.28 billion [12]. - The company forecasts annual EPS between $1.51 and $1.65, with adjusted EPS projected to range from $1.58 to $1.72 [12]. Market Performance - Hormel Foods' stock has decreased by 0.9% over the past three months, contrasting with the industry's growth of 1.5% [15].

Hormel Foods (HRL) reported $3.14 billion in revenue for the quarter ended October 2024, representing a year-over-year decline of 1.9%. EPS of $0.42 for the same period compares to $0.42 a year ago.The reported revenue compares to the Zacks Consensus Estimate of $3.14 billion, representing a surprise of -0.05%. The company delivered an EPS surprise of -2.33%, with the consensus EPS estimate being $0.43.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and ho ...

Hormel Foods (HRL) came out with quarterly earnings of $0.42 per share, missing the Zacks Consensus Estimate of $0.43 per share. This compares to earnings of $0.42 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -2.33%. A quarter ago, it was expected that this maker of Spam canned ham, Dinty Moore stew and other foods would post earnings of $0.36 per share when it actually produced earnings of $0.37, delivering a surprise of 2 ...

Core Viewpoint - Hormel Foods Corporation (HRL) is expected to show bottom-line growth in its upcoming fourth-quarter fiscal 2024 earnings report, with earnings per share estimated at 43 cents, reflecting a 2.4% increase year-over-year, while total revenues are projected to decline by 1.9% to $3.1 billion [1][2]. Financial Performance - The Zacks Consensus Estimate for fiscal 2024 earnings is $1.58 per share, indicating a 1.9% decline from the previous year [1]. - The trailing four-quarter earnings surprise for HRL averages 6.3% [1]. - For fiscal 2024, HRL projects net sales between $11.8 billion and $12.1 billion, with adjusted earnings per share expected in the range of $1.57 to $1.63 [5]. Revenue Breakdown - The expected revenue for the Retail segment in the fiscal fourth quarter is $1,882.8 million, down from $1,983.3 million in the prior year [4]. - The Foodservice segment is anticipated to see revenue growth, with estimates at $1,084.2 million, up from $1,032.4 million year-over-year [6]. - The overall revenue for fiscal 2024 is projected at $11.9 billion, reflecting a 1.6% decline from the previous year [2]. Operational Challenges - Hormel Foods is facing production disruptions at its Planters facility in Suffolk, VA, which has affected its snack nuts portfolio and is expected to impact performance into the fourth quarter [3]. - The company is also dealing with challenges in the turkey commodity market and declining sales in its International segment, alongside ongoing softness in its contract manufacturing business [4]. Strategic Initiatives - The company is focusing on the Transform and Modernize initiative, which aims to enhance supply chain efficiency, optimize its portfolio, and leverage data and analytics [6].

The upcoming report from Hormel Foods (HRL) is expected to reveal quarterly earnings of $0.43 per share, indicating an increase of 2.4% compared to the year-ago period. Analysts forecast revenues of $3.14 billion, representing a decrease of 1.9% year over year.The current level reflects no revision in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.Before a company ...

Core Insights - Hormel Foods Corporation (HRL) has announced a 3% increase in its annual dividend, marking the 59th consecutive annual dividend increase, raising the annualized rate from $1.13 to $1.16 per share [1] - The company will distribute a quarterly dividend of 29 cents per share on February 18, 2025, to shareholders of record as of January 13, 2025, representing HRL's 386th consecutive quarterly dividend payment [2] - Hormel Foods has a dividend payout ratio of 71.5%, a dividend yield of 3.6%, and a free cash flow yield of 5.2%, indicating a sustainable increase in dividends supported by a 7.4% annual free cash flow return on investment [3] Financial Performance - Year-to-date cash flow from operations for Hormel Foods totaled $858 million as of the third quarter of fiscal 2024, with a focus on consistent dividend growth and reinvestment in business operations [5] - The company's strategic initiatives, particularly the Transform and Modernize initiative, have begun to yield results in production efficiency and inventory management, unlocking additional production capacity and achieving cost savings [6][7] Market Position - Hormel Foods has experienced strong demand in its food service segment, achieving its fifth consecutive quarter of year-over-year volume growth, driven by longstanding relationships and an innovative product portfolio [8] - Despite facing challenges in the turkey commodity market and production disruptions at its Planters facility, the company remains committed to innovation and strategic acquisitions to bolster its market position [9][11] Stock Performance - HRL shares have declined by 2.8% over the past three months, contrasting with the industry's growth of 1.0% [10]

I prefer to use the term "frugal," but in reality I'm just cheap. That's a core aspect of my life and my investment philosophy. I just don't like overpaying for anything. That's why, if I could buy only three stocks as 2024 comes to a close, they'd be PepsiCo (PEP 0.54%), Hormel Foods (HRL 0.85%), and Hershey (HSY 0.58%). Here's a quick look at all three of these attractive dividend stocks.PepsiCo is the one I don't already ownPepsiCo has increased its dividend annually for over five decades, making it a Di ...

You usually don't find great companies executing at the top of their game that also happen to be on sale. Stocks that are on sale are more commonly fallen angels, which are great companies that are facing some near-term hardship. From an investment point of view, the goal is to buy the fallen angels that seem likely to earn their wings again.That is the backstory behind Hormel Foods (HRL -3.95%) right now.The reasons to like HormelIf you are looking for a dividend growth stock the very first thing to consid ...

To date, the Hormel Heroes Scholarship Program has provided $180,000 to 13 students, a group that now includes this year's winners: Vergie Terrell and Jorge Mendez. "Hormel Foods is proud to support our military members in their career journeys," said Mark Ourada, group vice president of Foodservice at Hormel Foods. "These scholarships are our way of showing appreciation for those who have served our nation and are now pursuing careers in the foodservice industry. Congratulations to our 2024 scholarship rec ...

AUSTIN, Minn., Nov. 8, 2024  /PRNewswire/ -- Hormel Foods Corporation (NYSE: HRL), a Fortune 500 global branded food company, invites interested parties to participate in a webcast and conference call with Jim Snee, chairman of the board, president and chief executive officer; Jacinth Smiley, executive vice president and chief financial officer; John Ghingo, executive vice president, Retail; and Nathan Annis vice president, corporate development; to discuss the Company's fourth quarter financial results, fu ...