Here are 1-3 brief analogies to describe Hormel Foods:

• Like Kraft Heinz, but with a heavier emphasis on packaged meats and iconic brands like Spam and Skippy.
• Tyson Foods for the processed and packaged meat aisle.
• Like Conagra Brands, but with a historical cornerstone in pork products and uniquely iconic brands like Spam and Skippy.

• SPAM® products: A line of canned, cooked pork products, most famously luncheon meat.
• Skippy® Peanut Butter: A leading brand of peanut butter and other nut butter spreads.
• Jennie-O® Turkey: A diverse range of turkey products, including ground turkey, deli meats, and whole birds.
• Hormel® branded foods: Includes a variety of products such as canned chili, pepperoni, bacon (Black Label®), and party trays (Hormel Gatherings®).
• Applegate® Naturals: Organic and natural meat products like sausages, bacon, and deli meats.
• Columbus® Craft Meats: Premium deli meats, salamis, and charcuterie items.
• Planters® Nuts: A wide assortment of nuts, seeds, and snack mixes.

Hormel Foods (HRL) primarily operates as a business-to-business (B2B) company, selling its wide range of branded food products to other companies. These customers then distribute or sell Hormel's products to individual consumers or use them in their own operations.

While Hormel Foods does not disclose any single customer accounting for 10% or more of its consolidated net sales in its recent filings, its major customers include large retailers and foodservice distributors.

Here are some of Hormel Foods' major customer companies:

• Walmart Inc. (WMT) - As the largest retailer in the United States, Walmart (including Sam's Club) is a significant customer for Hormel's retail products.
• The Kroger Co. (KR) - One of the largest supermarket chains in the U.S., Kroger and its banners are major purchasers of Hormel's consumer packaged goods.
• Costco Wholesale Corporation (COST) - A leading club store operator, Costco sells a variety of Hormel products in bulk to its members.
• Sysco Corporation (SYY) - The world's largest foodservice distributor, Sysco supplies Hormel's foodservice products to restaurants, schools, hospitals, and other institutions.
• US Foods Holding Corp. (USFD) - Another major foodservice distributor in the United States, providing Hormel products to various foodservice operators.

Jeffrey M. Ettinger, Interim Chief Executive Officer

Jeffrey M. Ettinger served as president and CEO of Hormel Foods from 2005 to 2016. He is also the current chairman of The Hormel Foundation, a nonprofit organization. He has been with Hormel Foods for nearly 30 years.

John Ghingo, President

John Ghingo joined Hormel Foods on September 2, 2024, assuming leadership of the Retail segment on October 28, 2024, before being promoted to President effective July 14, 2025. He previously served as president of Applegate Farms, LLC from 2018 through 2022. Following his tenure at Applegate, he was the chief executive officer of a "better-for-you snacking company" that was owned by the private equity firm Kainos Capital. Before Applegate, Ghingo was president of plant-based foods and beverages at The WhiteWave Foods Company, where he led the Silk and So Delicious Dairy Free brands.

Jacinth Smiley, Executive Vice President and Chief Financial Officer

Jacinth Smiley joined Hormel Foods in April 2021 as group vice president of corporate strategy and assumed her current role as Executive Vice President and Chief Financial Officer in October 2021. She leads all financial areas of Hormel Foods, including accounting, information technology, internal audit, investor relations, and treasury. Prior to Hormel Foods, Ms. Smiley was vice president and chief accounting officer for LyondellBasell. She also spent two decades with General Electric (GE) in various senior finance roles across multiple industries within GE Capital and GE's industrial businesses, including chief financial officer, global controller, integration leader, director of financial planning & analysis, and transformation leader. She began her career at Arthur Andersen in the audit function and later worked at United Technologies.

Jeff Baker, Group Vice President, Retail

Jeff Baker is a 35-year veteran of Hormel Foods, having joined the company in 1990. He has held various positions in sales, product management, and marketing. He became vice president of marketing for Foodservice in 2012 and was promoted to group vice president of Foodservice in 2015. In 2018, he was named group vice president of Deli and assumed his current role (Group Vice President, Retail) in 2022. Following the retirement of Scott Aakre, Baker will oversee the evolution of the company's brand portfolio.

Swen Neufeldt, Group Vice President, International

Swen Neufeldt is the Group Vice President, International at Hormel Foods. His background includes serving as president of Hormel Foods International prior to his current role. He has held various leadership positions within the company's international division, focusing on expanding its global presence and driving growth.

The key risks to Hormel Foods (HRL) are:

1. Competition from Private-Label Products and Changing Consumer Preferences: Hormel Foods faces a significant risk from consumers opting for lower-cost private-label products, particularly as the company has increased its prices. Grocery stores are expanding their offerings of niche private-label items, which can draw sales away from branded products like Hormel's. This risk is compounded by the challenge of responding to evolving consumer preferences, diets, and eating patterns, requiring continuous innovation and marketing investments to maintain demand.
2. Food Contamination, Product Recalls, and Associated Liabilities: As a food products manufacturer, Hormel Foods is inherently exposed to risks such as food contamination by pathogens (e.g., Listeria, Salmonella), mislabeling (including allergens), food spoilage, and product liability claims. Such incidents can lead to significant costs, loss of sales, regulatory actions, litigation, and severe damage to the company's brand and business reputation. For instance, in fiscal 2024, Hormel voluntarily recalled a limited number of Planters products due to potential Listeria contamination.
3. IT System Risks and Cybersecurity Threats: Hormel Foods faces considerable risks related to its IT systems, encompassing cybersecurity threats and operational challenges. The company's reliance on technology and internet access means that failures in implementing IT changes effectively, or succumbing to cyberattacks, could negatively impact its reputation, operations, and financial stability.

Hormel Foods Corporation (HRL) operates in several key addressable markets for its main products and services. The estimated market sizes for these categories are as follows:

• Processed Meats:
  • Global: The global processed meat market was valued at approximately USD 698.10 billion in 2024. This market is projected to reach around USD 1,260.84 billion by 2034, growing at a compound annual growth rate (CAGR) of 6.09% from 2025 to 2034.
  • U.S.: The U.S. processed meat market size was exhibited at USD 128.28 billion in 2024. It is projected to be worth around USD 235.60 billion by 2034, with a CAGR of 6.25% from 2025 to 2034.
• Nut Butters:
  • Global: The global nut butters market was valued at USD 3.70 billion in 2024. It is projected to grow to USD 6.01 billion by 2035, exhibiting a CAGR of 4.50% from 2025 to 2035.
• Plant-Based Proteins:
  • Global: The global plant-based protein market is projected to grow from USD 20.3 billion in 2025 to USD 46 billion by 2035, registering a CAGR of 8.5%.
  • U.S.: The U.S. plant-based protein market was valued at over USD 1.170 billion in 2025.
• Chili and Stews: null
• Snacks and Appetizers:
  • Global: The global snacks market size was estimated at USD 719.18 billion in 2024. This market is projected to reach USD 922.08 billion by 2030, growing at a CAGR of 4.3% from 2025 to 2030.
  • U.S.: null
• Foodservice Products:
  • Global: The global foodservice market was valued at USD 3 trillion in 2024. It is expected to grow at a CAGR of 3.4% from 2025 to 2030, reaching USD 3.67 trillion by 2030.
  • U.S.: The U.S. food service market size was valued at USD 1,202.65 billion in 2024. The market is projected to grow to USD 2,066.21 billion by 2032, exhibiting a CAGR of 7.0% during the forecast period.

Hormel Foods (HRL) is focusing on several key drivers to fuel revenue growth over the next two to three years:

1. Strategic Initiatives and Operational Modernization: The company's "Transform and Modernize" (T&M) initiative is a significant driver, aiming for substantial benefits through improved efficiency, automation, and digital transformation. While primarily focused on cost savings and operational improvements, it indirectly supports revenue growth by strengthening capabilities and enabling reinvestment in the business. The initiative is projected to deliver incremental benefits of $100 million to $150 million in fiscal 2025.
2. Growth in Key Retail Brands and Categories: Hormel plans to drive growth in its retail segment by maintaining a robust portfolio, investing in marketing, and innovation. Specific focus areas include fueling growth for the Planters snack nuts business, the SPAM family of products, and its value-added turkey portfolio. The retail segment demonstrated strong performance in Q3 2025, with volume and net sales increasing by 5% year-over-year in these key areas.
3. Expansion of Foodservice Leadership: Hormel is committed to expanding its leadership in the Foodservice business. Strategies include establishing digital leadership, growing key categories such as bacon, pizza toppings, turkey, and premium prepared proteins, and increasing its presence in convenience stores. The Foodservice segment has consistently outperformed the broader industry, achieving organic volume and net sales growth.
4. International Market Expansion: The international segment, particularly the China market, is a strong contributor to top-line growth. Hormel is focusing on customer and distribution expansions, along with innovative product offerings in China. Robust exports of brands like SPAM luncheon meat are also contributing significantly to international sales growth.
5. Targeted Pricing Actions: To counter inflationary pressures and improve profitability, Hormel is implementing targeted pricing actions. These strategic price adjustments are expected to contribute positively to top-line revenue growth in the coming quarters.

Share Repurchases

• Share repurchases have been relatively small in recent fiscal years, with quarterly amounts such as $10.31 million in October 2021 and $12.30 million in April 2023.
• Hormel Foods' capital allocation strategy has historically prioritized dividends over significant share buybacks, partly due to the Hormel Foundation's 46% ownership.
• As of the first six months of fiscal 2025, the company did not repurchase any shares, though a share repurchase authorization remains active with no expiration date.

Share Issuance

• Hormel Foods has issued small amounts of stock annually, contributing to a slight headwind for earnings per share growth.

Outbound Investments

• In February 2020, Hormel Foods acquired Sadler's Smokehouse for $270 million.
• The company acquired the Planters snacking portfolio from Kraft Heinz Company in June 2021 for $3.35 billion in cash, with an effective purchase price of $2.79 billion after tax benefits, significantly expanding its presence in the snacking category.
• During the fourth quarter of fiscal 2022, Hormel Foods purchased a 30% minority interest in PT Garudafood Putra Putri Jaya Tbk, an Indonesian food and beverage company, to expand its presence in Southeast Asia.

Capital Expenditures

• Capital expenditures were $368 million in fiscal 2020, $232 million in fiscal 2021, $279 million in fiscal 2022, $270 million in fiscal 2023, and $256 million in fiscal 2024.
• Estimated capital expenditures for fiscal 2025 are approximately $300 million.
• The primary focus of recent capital expenditures includes capacity expansions for products such as retail and foodservice pepperoni, SPAM products, Hormel® Fire Braised™ products, and Applegate® products, alongside investments in data and technology and supply chain efficiency initiatives.