Hormel Foods

HRL Q2 2025 Earnings

Reported May 28, 2025 at 5:39 PM ET · SEC Source

Q2 25 EPS

$0.35

BEAT +2.16%

Est. $0.34

Q2 25 Revenue

$2.90B

MISS 0.16%

Est. $2.90B

vs S&P Since Q2 25

-49.6%

TRAILING MARKET

HRL -27.5% vs S&P +22.1%

Market Reaction

Did HRL Beat Earnings? Q2 2025 Results

Hormel Foods delivered a modest earnings beat in its fiscal second quarter, posting adjusted diluted EPS of $0.35 against a consensus estimate of $0.34, a 2.16% beat, even as revenue of $2.90 billion came in fractionally below expectations and rose j… Read more Hormel Foods delivered a modest earnings beat in its fiscal second quarter, posting adjusted diluted EPS of $0.35 against a consensus estimate of $0.34, a 2.16% beat, even as revenue of $2.90 billion came in fractionally below expectations and rose just 0.4% year over year. The quarter's headline story was a tension between operational progress and persistent demand headwinds, with retail and foodservice segment volumes under pressure from reduced raw material shipments and lower third-party production, offsetting 1% organic top-line growth. Transform and Modernize initiative efficiencies provided meaningful tailwinds to retail segment profit, helping cushion margin pressures that weighed on the foodservice and international segments. Operating cash flow fell sharply to $56.44 million from $236.15 million a year ago, driven by a $203.83 million working capital headwind. Looking ahead, Hormel narrowed its fiscal 2025 adjusted EPS outlook to $1.58 to $1.68 and raised the floor of its net sales guidance to $12.00 billion to $12.20 billion, with management signaling a meaningful ramp in advertising investment in the back half of the year.

Key Takeaways

  • Transform and Modernize (T&M) initiative delivering operational efficiencies and cost savings
  • Strong growth in Mexican foods portfolio with double-digit consumption growth in Wholly and Herdez guacamole
  • Planters brand exceeded volume and net sales expectations
  • Strong demand for Jennie-O lean ground turkey
  • Double-digit volume and net sales growth in International exports
  • Broad-based organic net sales growth in Foodservice segment
  • Favorable SG&A expenses in Retail segment
24/7 Wall St

HRL YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

24/7 Wall St

HRL Revenue by Segment

With YoY comparisons, source: SEC Filings

Q2 25 Q1 26

“We achieved solid organic top-line growth and delivered second quarter results in line with our expectations. We anticipate strong second half growth led by our range of consumer-focused, protein-centric products. Notably, we expect meaningful contributions from our turkey portfolio, continued momentum in the Planters® brand, growth from our leading positions in the marketplace and ongoing benefits from our Transform and Modernize (T&M) initiative. In the face of a dynamic environment, we remain confident in our portfolio, our strategy and our team.”

— Jim Snee, Q2 2025 Earnings Press Release