Revenue growth remains range-bound between a 3.0% decline and a 4.6% increase, while gross margins have struggled to consistently exceed the 17.2% level observed in 2026Q2.
| Metric | TTM | Oct'25 | Oct'24 | Oct'23 | Oct'22 | Oct'21 | Oct'20 | Oct'19 | Oct'18 | Oct'17 | Oct'16 | Oct'15 | Oct'14 | Oct'13 | Oct'12 | Oct'11 | Oct'10 | Oct'09 | Oct'08 | Oct'07 | Oct'06 | Oct'05 | Oct'04 | Oct'03 | Oct'02 | Oct'01 | Oct'00 | Oct'99 | Oct'98 | Oct'97 | Oct'96 |
|---|
| Sales/Revenue | 12.22B | 12.11B | 11.92B | 12.11B | 12.46B | 11.39B | 9.61B | 9.5B | 9.55B | 9.17B | 9.52B | 9.26B | 9.32B | 8.75B | 8.23B | 7.9B | 7.22B | 6.53B | 6.75B | 6.19B | 5.75B | 5.41B | 4.78B | 4.2B | 3.91B | 3.89B | 3.47B | 3.36B | 3.26B | 3.26B | 3.1B |
| Revenue Growth % | 2.47% | 1.55% | -1.56% | -2.8% | 9.42% | 18.5% | 1.17% | -0.51% | 4.13% | -3.74% | 2.8% | -0.56% | 6.45% | 6.33% | 4.25% | 9.34% | 10.52% | -3.28% | 9.07% | 7.79% | 6.12% | 13.27% | 13.8% | 7.42% | 0.65% | 11.84% | 3.46% | 2.97% | 0.14% | 5.1% | 1.72% |
| Cost of Goods Sold | 10.3B | 10.21B | 9.9B | 10.11B | 10.29B | 9.46B | 7.78B | 7.61B | 7.57B | 7.17B | 7.37B | 7.46B | 7.75B | 7.34B | 6.9B | 6.56B | 5.98B | 5.43B | 5.69B | 5.19B | 4.36B | 4.13B | 3.66B | 3.19B | 2.95B | 2.99B | 2.67B | 2.31B | 2.34B | 2.44B | 2.36B |
| COGS % of Revenue | - | 84.37% | 83.04% | 83.49% | 82.63% | 83.07% | 81% | 80.16% | 79.26% | 78.22% | 77.34% | 80.48% | 83.2% | 83.86% | 83.82% | 83.1% | 82.84% | 83.18% | 84.28% | 83.81% | 75.93% | 76.28% | 76.48% | 75.88% | 75.38% | 76.94% | 77% | 68.94% | 71.76% | 75.07% | 76.02% |
| Gross Profit | 1.91B | 1.89B | 2.02B | 2B | 2.16B | 1.93B | 1.83B | 1.88B | 1.98B | 2B | 2.16B | 1.81B | 1.56B | 1.41B | 1.33B | 1.33B | 1.24B | 1.1B | 1.06B | 1B | 1.38B | 1.28B | 1.12B | 1.01B | 962.85M | 895.91M | 798.98M | 1.04B | 920.9M | 811.8M | 743.1M |
| Gross Margin % | 15.67% | 15.63% | 16.96% | 16.51% | 17.37% | 16.93% | 19% | 19.84% | 20.74% | 21.78% | 22.66% | 19.52% | 16.8% | 16.14% | 16.18% | 16.9% | 17.16% | 16.82% | 15.72% | 16.19% | 24.07% | 23.72% | 23.52% | 24.12% | 24.62% | 23.06% | 23% | 31.06% | 28.24% | 24.93% | 23.98% |
| Gross Profit Growth % | - | -6.44% | 1.11% | -7.62% | 12.28% | 5.58% | -3.11% | -4.79% | -0.86% | -7.49% | 19.33% | 15.57% | 10.77% | 6.08% | -0.17% | 7.7% | 12.73% | 3.48% | 5.9% | -27.5% | 7.69% | 14.27% | 10.94% | 5.22% | 7.47% | 12.13% | -23.38% | 13.24% | 13.44% | 9.25% | -5.83% |
| Operating Expenses | 1.17B | 1.17B | 954.21M | 927.79M | 852.08M | 805.31M | 725.74M | 688.38M | 799.51M | 719.89M | 834.28M | 741.26M | 633.36M | 606.83M | 567.18M | 591.83M | 592.17M | 562.29M | 545.13M | 518.88M | 932.48M | 858.51M | 743.66M | 702.74M | 644.6M | 592.1M | 533.9M | 801.9M | 737.5M | 643.6M | 621.5M |
| OpEx % of Revenue | - | 9.69% | 8% | 7.66% | 6.84% | 7.07% | 7.55% | 7.25% | 8.38% | 7.85% | 8.76% | 8% | 6.8% | 6.93% | 6.89% | 7.5% | 8.2% | 8.61% | 8.07% | 8.38% | 16.23% | 15.86% | 15.56% | 16.73% | 16.48% | 15.24% | 15.37% | 23.88% | 22.62% | 19.76% | 20.06% |
| Selling, General & Admin | 981.41M | 996.62M | 1.01B | 942.17M | 879.26M | 853.07M | 761.32M | 727.58M | 841.21M | 759.3M | 871.97M | 743.61M | 650.95M | 627.34M | 605.87M | 618.59M | 605.29M | 567.09M | 552.5M | 522.35M | 937.03M | 864.03M | 768.18M | 708.63M | 652.34M | 595.6M | 536.37M | 737.2M | 677.2M | 590.7M | 578.8M |
| SG&A % of Revenue | - | 8.23% | 8.43% | 7.78% | 7.06% | 7.49% | 7.92% | 7.66% | 8.81% | 8.28% | 9.16% | 8.03% | 6.99% | 7.17% | 7.36% | 7.84% | 8.38% | 8.68% | 8.18% | 8.43% | 16.31% | 15.96% | 16.07% | 16.87% | 16.68% | 15.33% | 15.44% | 21.95% | 20.77% | 18.14% | 18.68% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | -1000K | 176.59M | -51.09M | -14.37M | -27.19M | -47.76M | -35.57M | -39.2M | -41.69M | -39.41M | -37.69M | -2.35M | -17.59M | -20.51M | -38.69M | -26.76M | -13.13M | -4.79M | -7.37M | -3.47M | -4.55M | -5.53M | -24.52M | -5.89M | -7.74M | -3.5M | -2.46M | 64.7M | 60.3M | 52.9M | 42.7M |
| Operating Income | 740.69M | 718.6M | 1.07B | 1.07B | 1.31B | 1.12B | 1.1B | 1.2B | 1.18B | 1.28B | 1.32B | 1.07B | 931.62M | 805.99M | 764.67M | 742.28M | 646.58M | 536.58M | 516.8M | 483.92M | 450.71M | 425.94M | 380.38M | 310.41M | 318.25M | 303.8M | 265.07M | 240.9M | 183.4M | 168.2M | 121.6M |
| Operating Margin % | 6.06% | 5.94% | 8.96% | 8.85% | 10.54% | 9.86% | 11.45% | 12.6% | 12.36% | 13.93% | 13.9% | 11.52% | 10% | 9.21% | 9.29% | 9.4% | 8.95% | 8.21% | 7.65% | 7.81% | 7.84% | 7.87% | 7.96% | 7.39% | 8.14% | 7.82% | 7.63% | 7.17% | 5.62% | 5.16% | 3.92% |
| Operating Income Growth % | - | -32.71% | -0.38% | -18.33% | 16.93% | 2.03% | -8.03% | 1.38% | -7.58% | -3.56% | 24.04% | 14.57% | 15.59% | 5.4% | 3.02% | 14.8% | 20.5% | 3.83% | 6.79% | 7.37% | 5.82% | 11.98% | 22.54% | -2.46% | 4.75% | 14.61% | 10.03% | 31.35% | 9.04% | 38.32% | -33.7% |
| EBITDA | 1.01B | 982.5M | 1.33B | 1.33B | 1.55B | 1.33B | 1.31B | 1.36B | 1.34B | 1.41B | 1.46B | 1.2B | 1.06B | 930.84M | 884.17M | 866.45M | 772.17M | 663.72M | 642.99M | 610.66M | 571.81M | 541.13M | 475.12M | 398.43M | 401.49M | 394M | 330.96M | 305.6M | 243.7M | 221.1M | 164.3M |
| EBITDA Margin % | 8.27% | 8.12% | 11.12% | 10.94% | 12.43% | 11.7% | 13.59% | 14.34% | 14.06% | 15.36% | 15.29% | 12.96% | 11.4% | 10.64% | 10.74% | 10.97% | 10.69% | 10.16% | 9.52% | 9.86% | 9.95% | 9.99% | 9.94% | 9.49% | 10.27% | 10.14% | 9.53% | 9.1% | 7.47% | 6.79% | 5.3% |
| EBITDA Growth % | -20.28% | -25.89% | 0.03% | -14.41% | 16.26% | 1.98% | -4.07% | 1.46% | -4.68% | -3.31% | 21.25% | 13.1% | 14.05% | 5.28% | 2.04% | 12.21% | 16.34% | 3.22% | 5.29% | 6.79% | 5.67% | 13.89% | 19.25% | -0.76% | 1.9% | 19.05% | 8.3% | 25.4% | 10.22% | 34.57% | -25.52% |
| D&A (Non-Cash Add-back) | 269.99M | 263.9M | 257.76M | 253.31M | 235.88M | 209.31M | 205.78M | 165.21M | 161.86M | 130.98M | 131.97M | 133.43M | 130.04M | 124.85M | 119.49M | 124.17M | 125.59M | 127.14M | 126.19M | 126.74M | 121.1M | 115.19M | 94.75M | 88.02M | 83.24M | 90.19M | 65.89M | 64.7M | 60.3M | 52.9M | 42.7M |
| EBIT | 763.06M | 741.49M | 1.12B | 1.09B | 1.34B | 1.17B | 1.14B | 1.23B | 1.21B | 1.29B | 1.33B | 1.07B | 934.86M | 810.96M | 771.19M | 742.28M | 651.14M | 556.14M | 516.8M | 497.54M | 456.18M | 434.47M | 380.38M | 310.41M | 318.25M | 303.8M | 265.07M | 240.9M | 183.4M | 168.2M | 121.6M |
| Net Interest Income | -52.48M | -53.81M | -32.5M | -58.57M | -34.5M | 3.57M | 14.53M | 13.45M | 1.32M | 1.9M | -6.68M | -10.18M | -9.47M | -7.48M | -6.34M | -23.45M | -22.02M | -8.43M | -56.13M | -14.08M | -20.17M | -19.21M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 26.38M | 24.23M | 48.4M | 14.83M | 28.01M | 46.88M | 35.6M | 31.52M | 27.82M | 14.59M | 6.19M | 2.93M | 3.24M | 4.97M | 6.52M | 0 | 4.57M | 19.56M | 0 | 13.62M | 5.47M | 8.53M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 78.86M | 78.04M | 80.89M | 73.4M | 62.52M | 43.31M | 21.07M | 18.07M | 26.49M | 12.68M | 12.87M | 13.11M | 12.7M | 12.45M | 12.86M | 23.45M | 26.59M | 28M | 56.13M | 27.71M | 25.64M | 27.74M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -85.43M | -55.15M | -32.5M | -58.57M | -34.5M | 3.57M | 14.53M | 13.45M | 1.32M | 1.9M | -6.68M | -10.18M | -9.47M | -7.48M | -6.34M | -23.45M | -22.02M | -8.43M | -56.13M | -14.08M | -20.17M | -19.21M | -12.78M | -21.08M | -24.28M | -18.79M | -689K | 10.5M | 33.9M | 2.7M | 3.9M |
| Pretax Income | 655.26M | 663.45M | 1.04B | 1.01B | 1.28B | 1.13B | 1.11B | 1.21B | 1.18B | 1.28B | 1.32B | 1.06B | 922.15M | 798.51M | 758.34M | 718.84M | 624.55M | 528.15M | 460.67M | 469.84M | 430.54M | 406.73M | 367.6M | 289.33M | 293.97M | 285.01M | 264.38M | 251.4M | 217.3M | 170.9M | 125.5M |
| Pretax Margin % | 5.36% | 5.48% | 8.69% | 8.37% | 10.26% | 9.89% | 11.6% | 12.74% | 12.38% | 13.95% | 13.83% | 11.41% | 9.9% | 9.12% | 9.21% | 9.1% | 8.65% | 8.08% | 6.82% | 7.59% | 7.49% | 7.51% | 7.69% | 6.89% | 7.52% | 7.34% | 7.61% | 7.49% | 6.66% | 5.25% | 4.05% |
| Income Tax | 188.62M | 185.69M | 230.8M | 220.55M | 277.88M | 217.03M | 206.39M | 230.57M | 168.7M | 431.54M | 426.7M | 369.88M | 316.13M | 268.43M | 253.37M | 239.64M | 224.78M | 182.17M | 172.04M | 167.94M | 144.4M | 152.12M | 134.05M | 103.55M | 104.65M | 102.57M | 94.16M | 88M | 78M | 61.4M | 46.1M |
| Effective Tax Rate % | 28.79% | 27.99% | 22.29% | 21.76% | 21.74% | 19.27% | 18.51% | 19.06% | 14.28% | 33.75% | 32.39% | 34.99% | 34.28% | 33.62% | 33.41% | 33.34% | 35.99% | 34.49% | 37.34% | 35.75% | 33.54% | 37.4% | 36.47% | 35.79% | 35.6% | 35.99% | 35.62% | 35% | 35.9% | 35.93% | 36.73% |
| Net Income | 466.85M | 478.2M | 805.04M | 793.57M | 999.99M | 908.84M | 908.08M | 978.81M | 1.01B | 846.74M | 890.05M | 686.09M | 602.68M | 526.21M | 500.05M | 474.19M | 395.59M | 342.81M | 285.5M | 301.89M | 286.14M | 254.6M | 233.55M | 185.78M | 189.32M | 182.44M | 170.22M | 163.4M | 139.3M | 109.5M | 79.4M |
| Net Margin % | 3.82% | 3.95% | 6.75% | 6.55% | 8.03% | 7.98% | 9.45% | 10.31% | 10.6% | 9.24% | 9.35% | 7.41% | 6.47% | 6.01% | 6.08% | 6.01% | 5.48% | 5.25% | 4.23% | 4.87% | 4.98% | 4.7% | 4.89% | 4.42% | 4.84% | 4.7% | 4.9% | 4.87% | 4.27% | 3.36% | 2.56% |
| Net Income Growth % | -37.54% | -40.6% | 1.44% | -20.64% | 10.03% | 0.08% | -7.23% | -3.29% | 19.53% | -4.87% | 29.73% | 13.84% | 14.53% | 5.23% | 5.45% | 19.87% | 15.39% | 20.07% | -5.43% | 5.51% | 12.39% | 9.01% | 25.71% | -1.87% | 3.77% | 7.18% | 4.17% | 17.3% | 27.21% | 37.91% | -34.05% |
| Net Income (Continuing) | 466.67M | 477.76M | 804.63M | 792.92M | 1B | 909.14M | 908.35M | 979.15M | 1.01B | 847.1M | 890.52M | 687.26M | 606.03M | 530.08M | 504.96M | 479.2M | 399.78M | 345.98M | 288.63M | 301.89M | 286.14M | 254.6M | 233.55M | 185.78M | 189.32M | 182.44M | 170.22M | 163.4M | 139.3M | 109.5M | 79.4M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 14.56M | 14.64M | 10.59M | 4.1M | 4.94M | 5.48M | 4.78M | 4.08M | 4.01M | 3.79M | 3.4M | 3.19M | 6.38M | 5.54M | 5.47M | 3.23M | 5.98M | 1.71M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.85 | 0.87 | 1.47 | 1.45 | 1.82 | 1.66 | 1.66 | 1.80 | 1.86 | 1.57 | 1.64 | 1.27 | 1.12 | 0.98 | 0.93 | 0.87 | 0.73 | 0.63 | 0.52 | 0.54 | 0.51 | 0.46 | 0.42 | 0.33 | 0.34 | 0.33 | 0.30 | 0.28 | 0.23 | 0.18 | 0.13 |
| EPS Growth % | -37.5% | -40.82% | 1.38% | -20.33% | 9.64% | 0% | -7.78% | -3.23% | 18.47% | -4.27% | 29.13% | 13.39% | 14.29% | 5.38% | 6.9% | 19.18% | 15.87% | 21.15% | -3.7% | 5.88% | 10.87% | 9.52% | 27.27% | -2.94% | 3.03% | 10% | 7.14% | 21.74% | 27.78% | 38.46% | -35% |
| EPS (Basic) | - | 0.87 | 1.47 | 1.45 | 1.84 | 1.68 | 1.69 | 1.83 | 1.91 | 1.60 | 1.68 | 1.30 | 1.14 | 1.00 | 0.95 | 0.89 | 0.74 | 0.64 | 0.53 | 0.55 | 0.52 | 0.46 | 0.42 | 0.34 | 0.34 | 0.33 | 0.30 | 0.28 | 0.23 | 0.18 | 0.13 |
| Diluted Shares Outstanding | 550.81M | 550.5M | 548.83M | 548.98M | 549.57M | 547.58M | 546.59M | 545.23M | 543.87M | 539.12M | 542.47M | 541M | 540.43M | 540.45M | 537.78M | 543.83M | 541.4M | 541.96M | 548.51M | 556.6M | 558.24M | 558.31M | 560.72M | 558.84M | 561.17M | 561.36M | 567.39M | 588.83M | 602.38M | 608.33M | 610.77M |
| Basic Shares Outstanding | 550.52M | 550.16M | 548.13M | 546.42M | 544.92M | 541.11M | 538.01M | 534.58M | 530.74M | 528.36M | 529.29M | 528.14M | 527.62M | 528.63M | 526.93M | 532.79M | 533.46M | 536.91M | 541.44M | 548.86M | 551.38M | 552.16M | 554.38M | 553.76M | 554.82M | 552.85M | 562.7M | 583.57M | 599.14M | 608.33M | 610.77M |
| Dividend Payout Ratio | - | 132.41% | 76.39% | 74.72% | 55.78% | 57.56% | 53.67% | 44.65% | 38.35% | 40.86% | 33.31% | 36.56% | 33.71% | 33.13% | 30.44% | 27.41% | 27.65% | 29.57% | 33.46% | 26.86% | 26.5% | 27.25% | 26.27% | 30.73% | 28.23% | 27.75% | 28.63% | 29.31% | 34.24% | 43.1% | 57.43% |
Input cost volatility
According to recent financial disclosures, HRL's revenue growth has remained largely range-bound, fluctuating between a 3.0% decline and a 4.6% increase over the last ten quarters, suggesting that the company is struggling to achieve consistent top-line expansion in its core domestic packaged food categories.
The lack of sustained revenue momentum indicates that HRL may be facing significant headwinds in driving volume growth, likely exacerbated by a challenging consumer environment. Investors should monitor whether the recent 2.5% growth in 2026Q2 represents a durable recovery or merely a temporary fluctuation in demand for its shelf-stable protein portfolio.
As reported in quarterly filings, HRL's gross margin has faced persistent pressure, dropping to a low of 14.0% in 2025Q4 before recovering to 17.2% in 2026Q2, which highlights the company's ongoing struggle to fully offset rising input costs through its current pricing strategies.
The volatility in gross margins suggests that HRL's pricing power may be more constrained than historical norms would imply, particularly when faced with commodity inflation. This margin instability warrants further investigation into whether the company's value-added processing model is losing its traditional insulation against raw material price spikes.
Based on the provided income statement data, HRL's operating income has failed to scale consistently with gross profit, as evidenced by the sharp contraction in operating margins to 0.1% in 2025Q4, suggesting that SG&A expenses remain a significant drag on the company's overall profitability profile.
The inability to maintain stable operating margins during periods of gross profit fluctuation implies that the company's cost structure is relatively rigid. This lack of operating leverage may indicate that administrative and logistics overheads are consuming a disproportionate share of the value generated by the company's branded food products.
As indicated by the reported figures, HRL's net income has experienced significant swings, including a net loss of $56.1 million in 2025Q4, which suggests that non-operating items and periodic charges are creating substantial noise in the company's bottom-line results for shareholders to interpret.
The wide variance in EPS, ranging from a loss of $0.10 to a high of $0.40, points to potential distortions from one-time costs or biological asset adjustments. Investors should be cautious in relying on headline earnings, as these figures may not accurately reflect the underlying cash-generating capability of the core business.
Based on an analysis of the last ten quarters, the primary risk to the investment thesis is the potential for structural margin erosion, as HRL's inability to consistently maintain gross margins above 17% suggests that competitive pressures and input costs may be permanently altering the company's profitability.
Short-term observers might argue that the company's reliance on commodity-sensitive proteins makes it vulnerable to cycles that its branding cannot fully mitigate. If the company cannot demonstrate a return to higher, more stable margins, the market may continue to discount its valuation relative to more efficient peers.
Quick answers to the most common questions about buying HRL stock.
For fiscal year 2025, Hormel Foods Corporation (HRL) reported total revenue of $12.11B. This represents a 290.7% increase compared to $3.10B in 1996.
Hormel Foods Corporation (HRL) is profitable, generating $478.2M in net income for the fiscal year ending 2025 with a net profit margin of 4.0%.
Hormel Foods Corporation (HRL) reported an operating income of $718.6M, resulting in an operating profit margin of 5.9%. This margin reflects the operational efficiency of the business before interest and taxes.
Hormel Foods Corporation (HRL) generated $1.89B in gross profit for the year, representing a gross profit margin of 15.6%. This demonstrates the company's core pricing power and production efficiency.