Hormel Foods Corp. (NYSE:HRL) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.
Hormel Foods Corp. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 4.17% to $0.46 in the quarter versus EPS of $0.48 in the year-earlier quarter.
Revenue: Rose 6.95% to $2.15 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: Hormel Foods Corp. reported adjusted EPS income of $0.46 per share. By that measure, the company missed the mean analyst estimate of $0.49. It missed the average revenue estimate of $2.19 billion.
Quoting Management: “We were pleased to deliver sales and volume growth, despite harvest reductions in both our Refrigerated Foods and Jennie-O Turkey Store operations. In terms of operating profits, improved results by our Specialty Foods, Grocery Products, and International & Other segments did not fully offset weaker results by our Jennie-O Turkey Store segment. Our earnings were also impacted by non-recurring costs related to our acquisition of the SKIPPY® peanut butter business in the amount of $9 million. Overall, earnings per share of $0.46 during the quarter keep us on track to maintain our full year guidance,” said Jeffrey M. Ettinger, chairman of the board, president and chief executive officer.
Key Stats (on next page)…