HRLHormel Foods
Hormel Foods Corporation, a Delaware corporation, was founded by George A. Hormel in 1891 in Austin, Minnesota, as Geo. 10-K, Item 1
- Headquarters
- Austin, MN
- CEO
- James P. Snee
- Next results
- around Dec 3, 2026
23 paragraphs in Risk Factors of the 10-K filed Dec 5, 2025 with nothing like them in the 10-K filed Dec 5, 2024. Quoted exactly. Paragraphs that were only edited are under 10-K change.
Compared with the Risk Factors in the latest 10-K of the other 31 Consumer staples companies: a paragraph with at least half its words the same at another company is called similar, and the companies are listed under it. A paragraph most of them have is marked boilerplate. No line means no other company has one like it. This counts text; it does not say how serious a risk is.
▪The imposition of tariffs, quotas, trade barriers, or other restrictions could increase the cost of key inputs or reduce their availability. In particular, recent U.S. tariffs imposed or threatened to be imposed on a variety of countries, and any retaliatory actions taken by such countries, could result in the Company incurring additional costs to procure key inputs.
▪Fuel and transportation costs may become inflated and there may be supply chain shortages and delays, as has occurred in recent years.
Read in the 10-K ↗
During the Company’s fiscal 2025 quantitative impairment testing, the International reporting unit with a goodwill balance of $258.9 million was identified as having modest fair value in excess of its carrying amount and is considered at heightened risk of impairment. Separately, impairments were recognized on the Planters® and Chi-Chi's® trade names for $59.1 million and $2.9 million, respectively. The Justin’s® trade name was also identified as having heightened risk of impairment. As of October 26, 2025, the total carrying value of indefinite-lived intangible assets considered at heightened risk, including the trade names impaired, was $683.3 million. If the Company continues to face unfavorable changes in any of the factors impacting its intangible assets, the Company may be required to record impairment charges in connection with such assets, which could adversely affect the Company's results of operations and financial condition.
Read in the 10-K ↗
information technology (IT), and cloud computing services could adversely affect the Company's business, results of operations, and financial condition.
Read in the 10-K ↗
Furthermore, in the fourth quarter of fiscal 2025, the Company commenced a corporate restructuring plan, the focus of which is to reduce administrative expenses, improve efficiencies, and align the workforce to the Company’s future needs, while enabling continued investment in the Company’s growth. The program includes a voluntary early retirement program for certain groups of employees, the closing of certain open roles, involuntary role reductions, and making select changes to benefit programs. If the Company is unable to fully realize the anticipated benefits of this corporate restructuring plan, including the reduction of expenses and the enablement of continued investment in the Company's growth, the Company's results of operations could be adversely impacted.
Read in the 10-K ↗
The Company relies on suppliers, distributors, and other third parties to source key inputs, deliver products to customers, and support its operations. Any termination of, or adverse change in, the Company's relationship with any of these companies could decrease the Company's sales, increase the Company's costs, and negatively impact the Company's results of operations.
The Company may be adversely impacted if the Company is affected by cybersecurity attacks or other security breaches. IT systems are an important part of the Company’s business operations. The Company also increasingly relies upon third-party service providers for a variety of business functions, including cloud-based services. The Company has programs in place to prevent, detect, contain, and respond to cyber incidents. However, the Company may be unable to anticipate security incidents, detect attacks, or implement adequate preventive measures as cyber threats continue to evolve and cyberattacks have become more sophisticated and frequent, including through the use of enhanced technologies and capabilities (such as artificial intelligence) by threat actors with a wide range of expertise and motives. For example, threat actors have increasingly targeted organizations in the U.S. and internationally with sophisticated ransomware attacks, which the Company may be unable to anticipate, detect, or contain. In addition, hardware or software that the Company develops or obtains from third parties may contain defects that could compromise the Company's IT systems. Unauthorized parties may also attempt to gain access to the Company's IT systems or facilities, or those of third parties with whom the Company does business, through fraud, deception, social engineering, or other bad acts. Errors or malicious actions by the Company's team members or contractors and other vulnerabilities or irregularities could also negate the Company's security measures or those of third parties with whom the Company does business and result in a compromise or breach of the Company's or their IT systems. The utilization of hybrid and remote work by the Company's team members, suppliers, and other third parties has amplified the Company's already extensive reliance on IT systems and unimpeded internet access. Furthermore, the training the Company conducts as part of information security and cybersecurity efforts may not be effective in preventing or limiting successful attacks.
Similar paragraph at 1 of 31 other Consumer staples companies: TGTThe Company and third parties with whom it does business face attempts by others to gain unauthorized access to, sabotage, take control of, and corrupt, its or their IT systems and data. As a result of these types of attempts, both the Company and third
parties with whom it does business have experienced information security, cybersecurity, and data privacy incidents. None of these incidents have had a material impact on the Company's business strategy, results of operations, or financial condition. If the Company or third parties with whom the Company does business experience additional significant information security, cybersecurity, or data privacy incidents or fail to detect and appropriately respond to significant incidents, the Company's business operations could be severely disrupted and it could be exposed to costly government enforcement actions and private litigation. In addition, the Company's customers and consumers could delay, reduce, or cease purchases of the Company's products. Any of these outcomes could adversely affect the Company's reputation, results of operations, and financial condition.
Read in the 10-K ↗
Deterioration of labor relations, labor availability or increases in labor costs could harm the Company’s business. The Company's ability to meet its labor needs while controlling its costs is subject to external factors such as labor laws and regulations, labor availability, unemployment levels, prevailing wage rates, benefit costs, changing demographics, immigration laws, regulations, and enforcement policies, and the Company's reputation within the labor market. If the Company is unable to attract and retain a workforce meeting its needs (including for specialized roles with significant competition for talent) or is unable to successfully execute on succession planning and continuity at all levels of the organization, including as a result of the Company's recent corporate restructuring plan, the Company's operations, strategy, and competitiveness could suffer. Any of these outcomes could adversely affect the Company's reputation, results of operations, and financial condition. In addition, a significant increase in labor costs, a reduction of available labor, or a deterioration of labor relations at any of the Company’s owned facilities or co-manufacturing facilities could result in work slowdowns or stoppages, which could adversely affect the Company's reputation, results of operations, and financial condition.
Read in the 10-K ↗
If the Company fails to achieve its projected results or otherwise fails to meet market expectations regarding its financial performance, the price and volatility of its stock could be adversely affected. The Company's results of operations have previously fluctuated from quarter to quarter and may do so again in the future. If the Company fails to achieve its projected results, if its outlook is not aligned with market expectations, if the Company modifies its outlook, if the Company modifies its approach to dividend distributions, or if the Company fails to meet the expectations of investors or securities analysts, the Company's stock price may decline (as it has recently), and the decrease in the stock price may be disproportionate to any shortfall in the Company's financial performance. Additionally, factors such as performance results for the Company's competitors and news or announcements by the Company, its competitors, and other third parties (including governmental entities and officials and non-governmental organizations) may result in a decline and volatility in the Company's stock price.
Similar paragraph at 1 of 31 other Consumer staples companies: TGTRead in the 10-K ↗
▪food contamination caused by operational errors by suppliers, co-manufacturers, or in Company-owned facilities;
The Company may face litigation, investigations, and regulatory proceedings and be subject to liability if any of these risks materialize, including if consumption of any of the Company's products causes injury, illness, or death. Furthermore, any such events could damage the Company's relationship with its customers and lead to adverse perceptions of the Company's business and consumer boycotts. In addition, the Company may take marketplace action such as a voluntary product recall in the event of contamination or damage to any of the Company's products. For example, during the fourth quarter of fiscal 2025, the Company issued a voluntary, class 1 recall related to certain chicken products sold in foodservice channels. In addition, during the third quarter of fiscal 2024, the Company voluntarily recalled a limited number of Planters® products due to the potential for contamination of the product with Listeria monocytogenes. Although the Company has not been made aware of any reports of illness related to the recalled products in connection with either of these recalls, the Company has experienced costs and business impacts associated with the events. If similar events occur in the future or if any other food safety or food industry risks materialize, the Company's reputation, results of operations, and financial condition could be adversely affected.
Read in the 10-K ↗
4 more
Any fluctuations in commodity prices or the availability of raw materials and other inputs necessary for the Company's business could adversely affect the Company's results of operations and financial condition.
Read in the 10-K ↗
For certain products and product categories there has been, and the Company expects there to continue to be, a consumer shift towards more generic, lower-priced, or other value offerings, including private label products, which could result in lower sales, reduced margins, and lower market share for the Company's products.
Read in the 10-K ↗
Damage to the Company’s reputation or brand image could adversely affect its business. Maintaining and enhancing the reputation of the Company and its key brands is critical to the Company's business success. The Company's reputation is largely based on perceptions. It may be difficult to address negative publicity or sensationalism across media channels, regardless of its accuracy or the reputability of its source, including as a result of fictitious media content (such as content produced by artificial intelligence or bad actors). Negative incidents (including those based on differing perspectives or opinions) involving the Company, its brands, its workforce, or others with whom the Company does business could quickly erode trust and confidence and result in changes in behavior including consumer boycotts, workforce unrest or walkouts, government investigations, and litigation. Negative reputational incidents or negative perceptions of the Company or its brands could adversely affect the Company's business and results of operations, including through lower sales, the termination of business relationships, higher costs, and team member engagement, retention, and recruiting difficulties. The Company has previously experienced negative perceptions of its business, and it could experience similar occurrences in the future. Any of these outcomes could negatively impact the Company's reputation, results of operations, and financial condition.
Similar paragraph at 1 of 31 other Consumer staples companies: TGTThe Company previously established, and may continue to establish, various goals and initiatives regarding environmental, social, and governance matters, including with respect to sustainability. The Company has modified, and may continue to modify, certain of these goals and initiatives from time to time. The Company's establishment and continuation of any goals or initiatives regarding environmental, social, and governance matters, any modification or termination of such goals or initiatives, or any failure or perceived failure by the Company to achieve them, could result in negative reactions from the Company's shareholders, customers, consumers, team members, suppliers, and other third parties (including governmental entities and officials and non-governmental organizations) and lead to adverse perceptions of the Company's business, consumer boycotts, litigation, investigations, and regulatory proceedings. Any of these outcomes could negatively impact the Company's reputation, results of operations, and financial condition.
Similar paragraph at 1 of 31 other Consumer staples companies: TGTReputational harm can also occur indirectly through companies and others with whom the Company does business or who sell the Company's products. In addition, the Company has previously had, and may in the future have, relationships with celebrities, influencers, and other individuals, including for advertising campaigns and marketing programs. If consumers have negative experiences with, or view unfavorably, any of the companies or individuals with whom the Company has relationships, it could
Similar paragraph at 1 of 31 other Consumer staples companies: TGTcause them to reduce or stop purchasing the Company's products, which could adversely affect the Company's results of operations.
The potential impacts of a changing climate could have an adverse impact on the Company’s results of operations and financial condition. The potential impacts of a changing climate may be widespread and unpredictable and present a variety of risks in the short-term and long-term. The physical effects of a changing climate, such as natural disasters, extreme weather conditions, drought, and rising sea levels, could adversely affect the Company's results of operations, including by reducing the availability of necessary raw materials, increasing the cost of raw materials, increasing its energy costs, disrupting its supply chain, negatively impacting its workforce, damaging its facilities, and threatening the habitability of the locations in which the Company operates. In addition to physical risks, the potential impacts of a changing climate also present transition risks, including regulatory and reputational risks. For example, the Company uses commodities and energy inputs in its operations that may face increased regulation due to a changing climate or other environmental concerns, which could increase the Company's costs. Furthermore, the Company's establishment and continuation of sustainability goals and initiatives, or any modification, conclusion, failure, or perceived failure by the Company to achieve them, or to otherwise meet evolving, varied, and potentially conflicting expectations from the Company's shareholders, customers, consumers, team members, suppliers, and other third parties (including governmental entities and officials and non-governmental organizations) regarding the environment and the Company's goals and initiatives, could lead to adverse perceptions of the Company's business, consumer boycotts, litigation, investigations, and regulatory proceedings. Any of these outcomes could adversely affect the Company's reputation, results of operations, and financial condition.
Similar paragraph at 1 of 31 other Consumer staples companies: TGTLitigation and other legal proceedings may adversely affect the Company's reputation, results of operations, and financial condition. The Company is regularly involved in a variety of legal proceedings, including litigation, arbitration, claims, investigations, and inquiries. The frequency of any such proceedings could increase in the future. These proceedings relate to a wide range of matters, including class actions involving employees, consumers, competitors, suppliers, shareholders, or others, commercial disputes, product liability, contract disputes, antitrust regulations, tax regulations, intellectual property, advertising, labeling, wage and hour laws, employment practices, environmental matters, shareholder actions, securities claims, and other matters relating to the Company's compliance with applicable laws and regulations. These matters are inherently uncertain, and the Company may not be successful in defending itself. Determining applicable reserves and possible losses related to such matters involves judgment and may not reflect the full range of uncertainties and unpredictable outcomes. In addition, the Company's assessment of the materiality and likely outcome of these matters may not be consistent with the ultimate outcome of such matters. Responding to these matters has required, and may in the future require, the Company to devote significant resources and incur significant expenses, even for those that are non-meritorious, which could adversely affect the Company's results of operations and financial condition. Any of these proceedings could also generate negative publicity that adversely affects the Company's reputation.
Similar paragraph at 1 of 31 other Consumer staples companies: TGTRead in the 10-K ↗
There have been, and may continue to be, changes in the legal or regulatory environment (including as a result of executive orders) affecting many areas related to the Company's business, including raw material costs and availability, energy costs and availability, workforce availability, transport costs and capacity, information security, cybersecurity, and data privacy, supply chain requirements, food safety, environmental, social, and governance matters, and climate and emissions disclosure. The ultimate impact of any changes in the legal or regulatory environment (including as a result of executive orders) is not possible to predict and could negatively affect the Company's results of operations and financial condition, including by increasing its expenses,
Similar paragraph at 1 of 31 other Consumer staples companies: TGTreducing customer and consumer demand for the Company's products, limiting workforce availability for the Company, its suppliers, and its customers, and resulting in litigation, investigations, and regulatory proceedings against the Company. In addition, if the Company is unable or perceived to be unable to comply with any changes in the legal or regulatory environment (including as a result of executive orders), the Company's reputation, results of operations, and financial condition could be adversely affected.
Read in the 10-K ↗
New in the latest 10-Q
23 paragraphs in the 10-Q filed Aug 27, 2026 with nothing like them in the 10-Q filed May 28, 2026 (at least half the words must differ; new numbers alone do not count). Quoted exactly, grouped by the item heading above them. This is text that changed, not a judgement of how serious it is.
Financial statements and notes
Assets Held for Sale: The Company classifies assets as held for sale when all held for sale criteria have been met per U.S. GAAP. The Company presents held for sale assets and liabilities of disposal groups separately on the Company's Consolidated Statements of Financial Position. Depreciation and amortization cease to be recorded for disposal groups classified as held for sale. The net assets of the disposal group held for sale are recorded at the lower of carrying value or fair value, less expected costs to sell, with any loss recorded in the period in which held for sale criteria are met. The Company assesses subsequent changes in the fair value, less expected costs to sell, of a disposal group each period it remains classified as held for sale and recognizes the change as an adjustment to the carrying value of the disposal group, with any subsequent gains limited to the cumulative impairment losses previously recognized.
Read in the 10-Q ↗
The Company recognizes valuation losses and subsequent gains on held for sale disposal groups in Selling, General, and Administrative on the Consolidated Statements of Operations and presents the non-cash adjustments in Loss (Gain) on Divestitures in the Consolidated Condensed Statements of Cash Flows. See additional discussion regarding the Company's assets held for sale in Note B - Acquisitions and Divestitures.
Read in the 10-Q ↗
Brazil Transaction: During the third quarter of fiscal year 2026, the Company entered into a definitive agreement for the sale of its operations in Brazil, operated under the Ceratti® brand, to Zanchetta Alimentos LTDA. Accordingly, the assets and liabilities associated with the Brazil business were classified as held for sale as of July 26, 2026. The Company recognized a non-cash, pre-tax valuation loss of $ 56.1 million to value the disposal group at its fair value less costs to sell, which includes the impact of accumulated foreign currency translation losses that will be recognized in earnings upon sale. The valuation loss reduced the value of Assets Held for Sale and was recorded in Selling, General, and Administrative.
Read in the 10-Q ↗
The components of Assets Held for Sale and Liabilities Held for Sale are as follows:
Read in the 10-Q ↗
The Brazil divestiture was finalized on July 31, 2026, subsequent to the end of the third quarter. The Company received cash proceeds of $ 22.1 million from the sale, and expects the reserve for assets held for sale recognized as of July 26, 2026 to materially represent the loss on the sale. Results of operations for the Brazil business were reflected in the International segment.
Read in the 10-Q ↗
Impairment Charges: In connection with the preparation of the Company's consolidated financial statements, the Company initiated an impairment review of its investment in Garudafood in the third quarter of fiscal 2026. While the investment has continued to provide positive equity in earnings and the Company continues to consider Garudafood a long-term strategic partner, the severity and duration of the excess carrying value compared to its fair value, driven primarily by continued declines in Garudafood's quoted market price, indicated that the decline in value was no longer believed to be temporary. As a result, the Company recorded a $ 48.2 million impairment charge to reduce the carrying amount of the investment to its estimated fair value. Fair value was determined based on Garudafood's unadjusted quoted market price, a Level 1 input. The impairment charge is reflected in Equity in Earnings of Affiliates within the International segment. The remaining carrying value of the Garudafood investment is $ 183.6 million.
Read in the 10-Q ↗
Additional information related to the Consolidated Statements of Financial Position is as follows:
Read in the 10-Q ↗
Assets held for sale are excluded from the information above. See Note B - Acquisitions and Divestitures for additional detail.
Read in the 10-Q ↗
Deferred Compensation: Under the Company’s deferred compensation plans, participants can defer certain types of compensation and direct their account balances into various investment alternatives. Liabilities of the Company’s deferred compensation plans are measured at amounts due to participants, based on the fair value of participants' selected investments. These liabilities are classified as Level 2.
Read in the 10-Q ↗
Commodity Derivatives: The Company’s commodity derivatives consist of futures, swaps, and options contracts used to manage commodity price risk. Exchange-traded contracts are classified as Level 1 and valued using quoted market prices. Over-the-counter contracts are classified as Level 2 and valued using observable market-based inputs. All derivatives are
Read in the 10-Q ↗
During the quarter ended July 26, 2026, the Company recorded a non-cash, pre-tax valuation loss associated with its operations in Brazil which were classified as held for sale. The Company determined the fair value of the disposal group as its fair value, less expected costs to sell, using the negotiated purchase price (Level 2) and including the impact of accumulated foreign currency translation losses that will be recognized in earnings upon sale. See Note B - Acquisitions and Divestitures for additional information.
Read in the 10-Q ↗
During the quarter ended July 26, 2026, the Company recorded a $ 48.2 million impairment charge on an equity method investment. Fair value was determined using the unadjusted quoted market price (Level 1). See Note D - Investments in Affiliates for additional information.
Read in the 10-Q ↗
Tax Proceedings: As further described in Note B - Acquisitions and Divestitures, during the third quarter of fiscal 2026, the Company entered into a definitive agreement for the sale of its operations in Brazil. This transaction was finalized on July 31, 2026, subsequent to the end of the third quarter. Included in this transaction were multiple Company subsidiaries organized in Brazil, which were reported in the International segment, and which previously received tax deficiency notices from the State of São Paulo Tax Authority Office alleging underpayment of certain taxes for multiple tax years. Any potential liabilities relating to these assessments were transferred to the buyer in connection with the completion of the transaction.
Read in the 10-Q ↗
any time outstanding of up to $ 750.0 million with an uncommitted increase option of an additional $ 375.0 million upon the satisfaction of certain conditions.
Read in the 10-Q ↗
• Total segment profit for the third quarter of fiscal 2026 decreased 17 percent, while adjusted segment profit was flat to the prior year, as growth in the Foodservice segment was offset by declines in the Retail segment. Adjusted segment profit in the International segment was comparable to the prior year.
Read in the 10-Q ↗
◦ The decrease in International segment profit was significantly impacted by the non-cash impairment of a minority investment in Indonesia.
Read in the 10-Q ↗
For the third quarter of fiscal 2026, volume decreased for all three segments, primarily driven by the commodity turkey portfolio.
Read in the 10-Q ↗
Organic net sales decreased in the third quarter of fiscal 2026, as declines in commodity turkey and private label snack nuts were partially offset by strong performance in value-added turkey offerings, contract manufacturing, and Planters® snack nuts.
Read in the 10-Q ↗
For the third quarter of fiscal 2026, net unallocated expense increased primarily due to a loss related to the Brazil divestiture and a litigation settlement.
Read in the 10-Q ↗
(1) International segment profit (loss) adjustments in the third quarter of fiscal 2026 were due to a non-cash impairment charge. Net Unallocated Expense adjustments were comprised of gain (loss) on divestitures, an unfavorable litigation settlement, nonrecurring T&M initiative costs, and corporate restructuring plan charges.
Read in the 10-Q ↗
(2) Net Unallocated Expense adjustments in the third quarter of fiscal 2025 were comprised of nonrecurring T&M initiative costs.
Read in the 10-Q ↗
(1) International segment profit (loss) adjustments in the first nine months of fiscal 2026 were due to a non-cash impairment charge. Net Unallocated Expense adjustments were comprised of gain (loss) on divestitures, nonrecurring T&M initiative costs, an unfavorable litigation settlement, corporate restructuring plan charges, and Consulting Agreement costs.
Read in the 10-Q ↗
(2) Net Unallocated Expense adjustments in the first nine months of fiscal 2025 were comprised of nonrecurring T&M initiative costs, the loss on the divestiture of Mountain Prairie, LLC, and an unfavorable litigation settlement.
Read in the 10-Q ↗
The 10-Q's risk factors against the 10-K
Item 1A of the 10-Q filed Aug 27, 2026 against Item 1A of the 10-K filed Dec 5, 2025.
A 10-Q repeats only the risks that changed, so a 10-K paragraph that is missing from it is not counted as removed.
Added is a paragraph with nothing like it in the 10-K, Reworded a sentence that is in both with several words changed,
Quiet changes a sentence in both where one to four words changed and one is a hedge or a modal
(cut words struck through, new words highlighted and underlined).
Text on the page, not a score; each links to the filing at sec.gov.
What the 10-Q itself says about its risk factors:
Read in the 10-Q ↗
The Company’s business, operations, and financial condition are subject to various risks and uncertainties. There have been no material changes to the risk factors previously disclosed in Part I, Item 1A. Risk Factors in the Company’s Annual Report on Form 10-K for the fiscal year ended October 26, 2025.
1 paragraph in the 10-Q's Item 1A, and none of them adds, rewords or quietly edits a paragraph of the 10-K's.
Work on HRL in a spreadsheet:
Excel workbook (a sheet per section, ten years by column, charts, links to the filings) ·
CSV.
For a Google Sheet that stays up to date, paste =IMPORTDATA("https://tickdelta.com/company/HRL/export.csv") into a cell.