Loading...
•
Oct 29, 2023
Hormel Q4 2023 Earnings Report
Hormel Foods reported results that were in line with expectations, with the Foodservice segment performing strongly but offset by pressure in Retail and International businesses.
Key Takeaways
Hormel Foods reported Q4 2023 results with net sales of $3.2 billion and diluted net earnings per share of $0.36. The Foodservice segment delivered strong results, while the Retail and International segments faced pressure. The company is investing in transformation to accelerate growth as a global branded food company.
Net sales were $3.2 billion.
Operating income was $270 million.
Diluted net earnings per share were $0.36.
Foodservice segment delivered outstanding results.
Hormel
Hormel
Forward Guidance
For fiscal 2024, the Company expects net sales growth of 1% to 3% and diluted net earnings per share to be $1.43 to $1.57 and adjusted diluted net earnings per share to be $1.51 to $1.65. Earnings are expected to decline in the first half of the year but grow in the back half.
Positive Outlook
- Volume growth in key categories
- Higher brand support and innovation
- Benefit from incremental pricing actions
- Current assumptions for raw material input costs
- Segment profit growth from all three segments in the back half of the year
Challenges Ahead
- Lower turkey markets
- Lower volumes in the Retail segment
- Softness in its China business
- Slowing consumer demand
- Inflationary pressures