NYSE$HRL

Hormel Foods Corp · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Hormel Foods reported third quarter fiscal 2023 results, with volume growth in each segment and progress on key initiatives.

Hormel Foods reported Q3 2023 results with net sales of $3.0 billion and operating income of $217 million, impacted by a $70 million adverse arbitration ruling. Adjusted net earnings per share were in line with last year.

  • Volume grew across all segments.
  • Adjusted net earnings per share were in line with the previous year.
  • Progress was made in reducing inventory and building momentum in the Planters snack nuts business.
  • The Foodservice segment delivered another quarter of strong bottom-line growth.

Headline financials

Total Revenue

$2.96B

Previous: $3.03B-2.3%
EPS (adj)

$0.40

Previous: $0.40+0.0%
Capital Expenditures

-$169M

Previous: -$189M+10.9%
Free Cash Flow

$560M

Previous: $574M-2.4%
Net Income

$163M

Previous: $219M-25.7%
Operating Income

$217M

Previous: $291M-25.5%
Gross Profit

$498M

Previous: $506M-1.6%
Cash & Equivalents

$669M

Previous: $850M-21.3%
Total Assets

$13.4B

Previous: $13.1B+2.2%
Stock-Based Comp

$5.03M

Previous: $4.57M+10.3%

Revenue & EPS history

Hormel · Revenue · Quarterly

$2.96B

Q3 2023-2.3%vs Q3 2022
Beat estimate in 6 of 16 quarters(38%)
ActualEstimate

Revenue by segment

Hormel · $171M total across 1 segment · Q4 2022

  • International
    $171M

Forward guidance

The Company expects modest volume growth in the fourth quarter, with net sales between $3.1 billion and $3.6 billion. Full-year net sales are expected to be down (4)% to flat. Fourth quarter diluted net earnings per share are expected to be down from last year.

Tailwinds

  • Growth from the Foodservice segment
  • Continued recovery in turkey
  • Improved fill rates in key categories

Headwinds

  • Continued weakness in the International segment
  • Lower Retail segment results

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2023

Historical avgQ3 2023

-0.3%

Avg return

Earnings day

-0.9%

Avg return

5 days after

-0.9%

Avg return

30 days after

49%

33 / 68 earnings

Positive

+8.2%

Q1 2024

Best reaction

-13.1%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026
Q1 2026+0.0%-2.8%-8.9%
Q4 2025+3.8%+3.3%+1.3%
Q3 2025-13.1%-13.7%-14.8%
Q2 2025+1.2%+2.7%+1.4%
Q1 2025-1.2%+0.6%+5.7%
Q4 2024+3.3%+4.3%-1.4%
Q3 2024-3.1%-2.2%-5.4%
Q2 2024-9.1%-9.9%-10.6%
Q1 2024+8.2%+10.3%+13.2%
Q4 2023-4.3%-0.7%+0.5%
Q3 2023-3.2%-5.1%-4.1%
Q2 2023+6.6%+5.7%+5.2%
Q1 2023-7.3%-8.8%-9.0%
Q4 2022-1.2%-2.1%-5.5%
Q3 2022-7.7%-7.4%-9.6%
Q2 2022-6.5%-5.5%-1.2%
Q1 2022+6.0%+8.6%+8.2%
Q4 2021+7.5%+11.9%+16.5%
Q3 2021-6.3%-7.6%-10.5%
Q2 2021+7.5%+6.6%+3.2%
Q1 2021+0.3%+0.8%+2.2%
Q4 2020-6.3%-5.7%-5.7%
Q3 2020-3.2%-3.8%-8.3%
Q2 2020-2.2%-4.7%+1.2%
Q1 2020-7.6%-7.7%-6.9%
Q4 2019+5.0%+4.1%+5.9%
Q3 2019+2.5%+3.5%+4.8%
Q2 2019+2.0%-1.6%+4.9%
Q1 2019-0.5%-2.2%+1.1%
Q4 2018+0.2%+0.7%-5.7%
Q3 2018-1.4%-1.6%+3.9%
Q2 2018+0.1%+1.9%+1.3%
Q1 2018-0.1%+0.2%-0.4%
Q4 2017+2.6%+3.0%+9.0%
Q3 2017-7.6%-8.7%-7.8%
Q2 2017-6.4%-6.0%-1.3%
Q1 2017-7.1%-5.5%-7.5%
Q4 2016+0.8%+2.6%+0.6%
Q3 2016+6.4%+7.5%+0.1%
Q2 2016-8.8%
Q1 2016+7.2%
Q4 2015+6.2%
Q3 2015+5.1%
Q2 2015+3.1%
Q1 2015+3.2%
Q4 2014-2.6%
Q3 2014+4.4%
Q2 2014-4.6%
Q1 2014+3.1%
Q4 2013+6.1%
Q3 2013+1.4%
Q2 2013-2.0%
Q1 2013+2.8%
Q4 2012-2.7%
Q3 2012+1.3%
Q2 2012+1.7%
Q1 2012-0.9%
Q2 2011+1.2%
Q4 2011+1.2%
Q4 2008+1.2%
Q3 2011-2.4%
Q1 2011-0.1%
Q1 2010-0.1%
Q2 2010-0.3%
Q4 2010-0.3%
Q3 2010-0.4%
Q3 2009-0.4%
Q4 2009-0.4%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro