Companies /Consumer Defensive

Hormel Foods Corp

NYSE: HRL Packaged Foods
$21.51
▼ $2.21 (−9.30%) today
Markets open · 1:13pm ET

Q2 2026 Earnings

Reported May 27, 2026, 5:41pm ET · SEC source
$0.40
Beat +12.87%
EPS · est. $0.35
$3.0B
Beat +0.33%
Revenue · est. $3.0B
+26.8%
Beating market
HRL vs S&P since report
4 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
0+4%+8%+12%May 27May 28report 5:41pm ETearnings+0.5%+12.0%
0+4%+8%+12%May 27May 28earnings+0.5%+12.0%
HRL +12.0%S&P 500 +0.5%
0+5%+10%May 27May 28report 5:41pm ETearnings+0.7%+12.0%
0+5%+10%May 27May 28earnings+0.7%+12.0%
HRL +12.0%NASDAQ +0.7%
0+5%+10%May 26Jun 4report 5:41pm ETearnings+0.6%+9.5%
0+5%+10%May 26Jun 4earnings+0.6%+9.5%
HRL +9.5%S&P 500 +0.6%
0+5%+10%May 26Jun 4report 5:41pm ETearnings+1.1%+9.5%
0+5%+10%May 26Jun 4earnings+1.1%+9.5%
HRL +9.5%NASDAQ +1.1%
+0.34%
Day of report
+12.55%
Next session
+10.35%
One week
+25.52%
30 days

S&P 500 over the same 30 days: −1.26%.

Did HRL Beat Earnings? Q2 2026 Results

Hormel Foods posted a convincing second quarter for fiscal 2026, with adjusted diluted EPS of $0.40 clearing the $0.35 consensus estimate by 12.87% and revenue of $2.97 billion edging ahead of the $2.96 billion forecast while climbing 2.5% year over year. The standout driver was broad-based segment momentum, particularly in Foodservice, which logged 6% net sales growth and its eleventh consecutive quarter of organic gains, while adjusted operating margin expanded to 9.9% from 9.1% a year ago, underscoring the company's push toward higher-margin, value-added proteins. GAAP earnings fell to $157.47 million from $180.02 million, weighed by a $61.00 million loss tied to the completed divestiture of the whole-bird turkey business, a deliberate move analysts have noted should reduce exposure to commodity volatility over time. Cash flow from operations surged to $178.94 million from $56.44 million a year prior. Looking ahead, Hormel reaffirmed adjusted EPS guidance of $1.43 to $1.51 and net sales of $12.20 billion to $12.50 billion for fiscal 2026, signaling confidence in continued underlying momentum.

Key Takeaways
  • Sixth consecutive quarter of organic top-line growth at 3%
  • All three segments delivered net sales and segment profit growth
  • Foodservice achieved 11th consecutive quarter of organic net sales growth at 7%
  • Improved performance across turkey manufacturing network
  • Expanded adjusted operating margin to 9.9% from 9.1% year-over-year
  • Strong performance in customized solutions business, branded pepperoni, and premium prepared proteins in Foodservice
  • Strong SPAM luncheon meat exports and in-country China business growth for International
  • Jennie-O ground turkey drove organic net sales growth in Retail

“We delivered strong second quarter results marked by profitable growth and improved performance. We achieved our sixth consecutive quarter of organic top-line growth, expanded gross margins, and attained double-digit growth in adjusted earnings. This was an excellent quarter and gives us even greater confidence in our ability to deliver our full-year outlook.”

Hormel Foods CEO, on the earnings call

Forward Guidance & Outlook

Hormel reaffirmed full-year fiscal 2026 net sales guidance of $12.2 billion to $12.5 billion and organic net sales growth of 1% to 4%. The company updated GAAP diluted EPS guidance to $1.28–$1.37 (previously $1.37–$1.46) to reflect the whole-bird turkey divestiture loss. Adjusted diluted EPS guidance was reaffirmed at $1.43–$1.51, reflecting growth of 4% to 10%. Adjusted operating income is expected to be $1.06 billion to $1.12 billion. The whole-bird turkey divestiture is expected to reduce fiscal 2026 reported net sales by approximately $50 million with minimal impact to adjusted diluted EPS.

HRL YoY Financials

Q2 2026 vs Q2 2025 · SEC filings Q2 2025 Q2 2026
$0$900.0M$1.8B$2.7B$2.9B$3.0BRevenue$484.5M$518.5MGross Profit$248.4M$217.1MOperating Income$180.0M$157.5MNet Income
$0$900.0M$1.8B$2.7BRevenueGross ProfitOperating IncomeNet Income

HRL Revenue by Segment

Retail$1.8B+0.3%
Foodservice$996.7M+6.4%
International$186.2M+4.3%

Figures from SEC filings and company reports. Not investment advice.