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Hormel Foods Corporation is a global manufacturer and marketer of branded food products, specializing in the processing, marketing, and sale of meat and other food products . The company operates through three main segments: Retail, Foodservice, and International, focusing on both domestic and international markets . Hormel Foods offers a diverse range of products, including perishable items like fresh meats and guacamole, as well as shelf-stable products such as canned luncheon meats and nut butters .
- Retail Segment - Focuses on food products sold in the retail market, including contributions from the MegaMex Foods, LLC joint venture.
- Perishable Products - Includes fresh meats, frozen items, refrigerated meal solutions, bacon, sausages, hams, and guacamole.
- Foodservice Segment - Provides food and nutritional products for foodservice, convenience store, and commercial customers.
- Shelf-Stable Products - Comprises canned luncheon meats, nut butters, snack nuts, chili, and shelf-stable microwaveable meals.
- International Segment - Manages the processing, marketing, and sale of products internationally, including results from international joint ventures and royalty arrangements.
| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
James P. Snee ExecutiveBoard | Chairman of the Board, President, and CEO | Board Member of Republic Services, Inc.; Member of Consumer Brands Association; Member of North American Meat Institute; Member of The Hormel Foundation | Longtime HRL leader, CEO since 2016, driving acquisitions like PLANTERS\u00ae and leading the Transform & Modernize initiative. Retiring at the end of fiscal 2025. | View Report → |
Colleen R. Batcheler Executive | Senior Vice President, External Affairs, and General Counsel | Independent Director at Hyster-Yale Materials Handling, Inc. | Joined HRL in 2024, oversees global legal and external affairs, previously EVP and General Counsel at Hertz and Conagra Brands. | |
Jacinth C. Smiley Executive | Executive Vice President and CFO | None | Joined HRL in 2022, oversees financial strategy, contributed to record $1.3B cash flow in fiscal 2024, and supports the Transform & Modernize initiative. | |
John F. Ghingo Executive | Executive Vice President, Retail | None | Rejoined HRL in 2024, previously led Applegate Farms, and has extensive experience in consumer packaged goods. | |
Katherine M. Losness-Larson Executive | Senior Vice President, Human Resources | None | With HRL since 2018, promoted to SVP in 2022, oversees HR functions. | |
Kevin L. Myers, Ph.D. Executive | Senior Vice President, Research and Development and Quality Control | None | With HRL since 2015, leads R&D and quality control initiatives. | |
Mary Katherine Clark Executive | Senior Vice President and Chief Communications Officer | None | Joined HRL in 2024, previously held communications leadership roles at Mattress Firm and PepsiCo. | |
Paul R. Kuehneman Executive | Vice President and Controller | None | With HRL since 2016, promoted to VP and Controller in 2022, oversees corporate accounting. | |
Pierre M. Lilly Executive | Senior Vice President and Chief Compliance Officer | None | Joined HRL in 2016, transitioned to Chief Compliance Officer in 2020, overseeing compliance and regulatory functions. | |
Steve J. Lykken Executive | Group Vice President, Supply Chain | None | With HRL since 1992, held leadership roles at Jennie-O Turkey Store and Applegate Farms, now overseeing supply chain operations. | |
Christopher J. Policinski Board | Director | Board Member of Xcel Energy, Inc.; Board Member of Isidro Investments | Director since 2012, former CEO of Land O'Lakes, brings expertise in agri-business and corporate development. | |
Debbra L. Schoneman Board | Director | President of Piper Sandler Companies; Board Member of Allina Health; Trustee at University of St. Thomas | Director since 2024, brings expertise in finance and corporate governance from her leadership at Piper Sandler. | |
Gary C. Bhojwani Board | Director | CEO and Board Member of CNO Financial Group, Inc. | Director since 2014, CEO of CNO Financial Group, brings expertise in risk management and finance. | |
Stephen M. Lacy Board | Director | Board Member of First Interstate BancSystem, Inc.; Board Member of SuckerPunch Gourmet, LLC | Director since 2011, retired Chairman and CEO of Meredith Corporation, brings expertise in finance and consumer product marketing. | |
William A. Newlands Board | Director | President and CEO of Constellation Brands, Inc.; Board Member of Constellation Brands, Inc. | Director since 2018, CEO of Constellation Brands, brings expertise in innovation and international business. |
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You delivered $75 million in operating income benefits through your transform and modernize initiative in fiscal 2024, but to reach your target of $250 million by 2026, you'll need a significant acceleration in the next two years; what specific factors give you confidence in achieving this steep increase, especially without providing 2026 guidance?
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You've planned to invest approximately $250 million through 2026 in your transform and modernize initiative; can you elaborate on the expected return on this investment and what risks you foresee if the anticipated benefits do not fully materialize?
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You've taken steps to reduce complexity by divesting nonstrategic businesses like Hormel Health Labs and eliminating low volume or unprofitable SKUs; how might these actions impact your top-line revenue growth in the near term, and are you concerned about potential risks to market share?
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You mentioned expecting near-term impacts in Q1 due to commercial impacts for Planters and wraparound impacts on the whole bird turkey business; can you provide more details on these challenges and how you plan to mitigate their effects on your earnings?
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With plans to significantly increase brand support and investments in your transformation initiative in fiscal 2025, how do you expect to balance these higher expenses with your goal of growing top and bottom lines, and what contingencies are in place if sales volumes or margins don't improve as projected?
| Customer | Relationship | Segment | Details |
|---|---|---|---|
Walmart Inc. | Largest single customer | Retail & International | 16% of consolidated gross sales (~$2.0 billion) in FY2024 |
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
PT Garudafood Putra Putri Jaya Tbk | 2023 | Hormel Foods acquired a 30% common stock interest in Garudafood in two phases—29% in December 2022 and increased to 30% in April 2023—for a total of $426 million funded with cash; the investment supports Hormel’s strategy to expand in Southeast Asia and is accounted for under the equity method with a notable basis difference being amortized. |
Planters® snack nuts business | 2021 | Completed on June 7, 2021, the acquisition of the Planters® snack nuts business was valued at $3.4 billion (effectively $2.79 billion after a $560 million tax benefit), acquiring brands such as Planters®, NUT-rition®, Cheez Balls®, and Corn Nuts® along with key U.S. production facilities to boost Hormel’s snacking portfolio and deliver expected synergies of $50–60 million by 2024. |
Recent developments and announcements about HRL.
Earnings
New Earnings (Q1 2025)
·Feb 27, 2025, 9:13 PMView full earnings summary →HRL’s Q1 margins dropped YoY amid turkey supply chain snags and higher commodity costs; Q2 margins look similarly pressured. But management expects a stronger H2, driven by turkey pricing gains, Planters rebound, and $100–$150M in T&M savings by 2025.
8-K Filings
8-K Filing
·Feb 19, 2025, 9:34 PMShareholder VoteView full 8-K filing →Hormel Foods held its annual meeting on January 28, 2025 with 91.5% participation (502M shares). Key votes—director elections, EY ratification (489M–12M) and the executive compensation advisory—were approved, signaling strong shareholder support.