10-K 0000048465-25-000059 (2025-12-05) vs 10-K 0000048465-24-000051 (2024-12-05)
| Section | Compared text | Words now | Changed |
|---|
| Risk Factors | Item 1A | 6,247 |
49.3% |
| MD&A | Item 7 | 7,378 |
41.6% |
| Legal Proceedings | Item 3 | 21 |
not compared |
| Accounting Policies | Item 8 (note not found) | 0 |
not compared |
The redline: what was cut and what was added
In each section, the paragraph that changed most, marked against last year's 10-K:
cut words struck through, new words highlighted and underlined.
Risk Factors 343 words changed in this paragraph; it is 31% similar to last year's version.
The Company may be adversely impacted if the Company is affected by cybersecurity attacks, security breaches, attacks or other IT interruptions, involving its own systems or those with whom it does business. 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. Cyber incidents are occurring 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 frequently across U.S. industries sophisticated and are being made frequent, including through the use of enhanced technologies and capabilities (such as artificial intelligence) by groups and individuals threat actors with a wide range of motives expertise and expertise. 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, high-profile data security incidents and hardware or software that the Company develops or obtains from third parties may contain defects that could compromise the Company's IT interruptions at other companies, including companies 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, evidence an external environment that is becoming increasingly challenging. From time to time, through fraud, deception, social engineering, or other bad acts. Errors or malicious actions by the Company has experienced, Company's team members or contractors and may experience in other vulnerabilities or irregularities could also negate the future, breaches of Company's security measures due to human error, malfeasance, insider threats, system errors or vulnerabilities or other irregularities, none those of which have been material to date. In addition, from time to time the Company has experienced disruptions to its operations due to IT interruptions at third parties with whom it the Company does business. To date, none business and result in a compromise or breach of these have been material. 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.
Source: Item 1A, 10-K 0000048465-25-000059 vs Item 1A, 10-K 0000048465-24-000051
MD&A 116 words changed in this paragraph; it is 38% similar to last year's version.
In the fourth quarter of fiscal 2023, 2025, the Company incurred impairment charges associated with the Justin’s® trade name and commenced a corporate venturing investment. 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 costs incurred to execute the corporate restructuring plan and the charges incurred under the program are primarily related to severance and employee benefit costs. Because the Company believes that non-recurring costs for these impairments are not reflective of the Company’s ongoing operating cost structure, are not indicative of charges incurred under the Company’s core operating performance, corporate restructuring plan do not reflect expected future operating costs, costs and may are not be meaningful when comparing the Company’s Company's operating performance against that of prior periods; therefore, periods, the Company is excluding these discrete costs. adjusts for
Source: Item 7, 10-K 0000048465-25-000059 vs Item 7, 10-K 0000048465-24-000051
Every change, by type
Sentences and paragraphs of HRL's Risk Factors and MD&A, 10-K 2025-12-05 against 10-K 2024-12-05.
Each links to the text at sec.gov.
Quiet changes are sentences kept from last year with one to four words changed, at least one of them a hedge, a modal or a qualifier
(may, could, will, not, significant, material…). A year or date rolling forward is not counted.
The full word list
adverse, adversely, all, although, anticipate, anticipates, any, approximately, believe, believes, can, cannot, certain, could, expect, expects, generally, however, if, intend, intends, largely, likely, many, material, materially, may, might, most, must, never, no, not, possible, primarily, probable, should, significant, significantly, some, substantial, substantially, unlikely, will, would
AddedRisk Factors
▪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.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedRisk Factors
▪Fuel and transportation costs may become inflated and there may be supply chain shortages and delays, as has occurred in recent years.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedRisk Factors
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 it in 10-K 2025-12-05 at sec.gov ↗
AddedRisk Factors
information technology (IT), and cloud computing services could adversely affect the Company's business, results of operations, and financial condition.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedRisk Factors
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 it in 10-K 2025-12-05 at sec.gov ↗
AddedRisk Factors
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.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedRisk Factors
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.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedRisk Factors
The 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
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedRisk Factors
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 it in 10-K 2025-12-05 at sec.gov ↗
AddedRisk Factors
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 it in 10-K 2025-12-05 at sec.gov ↗
AddedRisk Factors
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.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedRisk Factors
▪food contamination caused by operational errors by suppliers, co-manufacturers, or in Company-owned facilities;
Read it in 10-K 2025-12-05 at sec.gov ↗
RemovedRisk Factors
The Company has no manufacturing operations in Russia, Ukraine, or the Middle East, yet it has experienced inflated fuel costs and supply chain shortages and delays due to the impact of the military conflicts on the global economy. If these conflicts or others arise or escalate further, the Company could, among other things, face additional supply chain disruptions, rising prices for oil and other commodities, volatility in capital markets and foreign exchange rates, rising interest rates, or heightened cybersecurity risks, any of which may adversely affect the Company’s business.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedRisk Factors
If a highly pathogenic human disease outbreak developed, such as COVID-19, it may negatively impact the global economy, demand for Company products, the supply chain, the Company’s co-manufacturers, and/or the Company’s workforce availability including leadership, and the Company’s financial results could suffer. The Company has developed contingency plans to address infectious disease scenarios and the potential impact on its operations and will continue to update these plans, as necessary. There can be no assurance given, however, that these plans will be effective in eliminating the negative effects of any such diseases on the Company’s operating results.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedRisk Factors
Fiscal 2024 net sales for Planters® snack nuts were negatively impacted by production disruptions at the Suffolk, Virginia, facility. The Company believes these impacts are short term in nature (less than one year) and projects sales to recover to historical levels shortly after supply normalizes. Should the impact last longer, or be more severe than currently anticipated, it is likely the Company would have to recognize an impairment charge on this trade name, which is currently valued at $675 million.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedRisk Factors
The Company is subject to risk of the loss of a significant contract or unfavorable changes in the Company’s relationships with significant customers. The Company is a party to several supply, distribution, contract packaging and other significant contracts. The loss of a significant contract or failure to obtain new significant contracts could adversely affect the Company’s financial results.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedRisk Factors
The Company may be adversely impacted if the Company is affected by cybersecurity attacks, security breaches, or other IT interruptions, involving its own systems or those with whom it does business. 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. Cyber incidents are occurring more frequently across U.S. industries and are being made by groups and individuals with a wide range of motives and expertise. In addition, high-profile data security incidents and IT interruptions at other companies, including companies with whom the Company does business, evidence an external environment that is becoming increasingly challenging. From time to time, the Company has experienced, and may experience in the future, breaches of security measures due to human error, malfeasance, insider threats, system errors or vulnerabilities or other irregularities, none of which have been material to date. In addition, from time to time the Company has experienced disruptions to its operations due to IT interruptions at third parties with whom it does business. To date, none of these have been material.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedRisk Factors
Although the Company has programs in place related to business continuity, disaster recovery, and information security initiatives to maintain the confidentiality, integrity, and availability of systems, business applications, and customer information, the Company may not be able to anticipate or implement effective preventive measures against all potential IT interruptions or cybersecurity threats, especially because, in connection with cybersecurity threats the techniques used change frequently and
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedRisk Factors
because attacks can originate from a wide variety of sources, both domestic and foreign. Cybersecurity risk cannot be fully mitigated because of the rapidly evolving nature of the threats, targets, and consequences.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedRisk Factors
If the Company experiences a loss or significant disruption in its operations due to a cybersecurity event or other IT interruption, the Company may suffer reputational, competitive, and business harm and may be exposed to legal liability, which may adversely affect the Company’s results of operations.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedRisk Factors
Deterioration of labor relations, labor availability or increases in labor costs could harm the Company’s business. A significant increase in labor costs or a deterioration of labor relations at any of the Company’s owned facilities or co-manufacturing facilities resulting in work slowdowns or stoppages could harm the Company’s financial results. Labor and skilled labor availability challenges could continue to have an adverse effect on the Company’s business.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedRisk Factors
The pathogens that may cause food contamination are found generally in livestock and in the environment and thus may be present in the Company’s products. These pathogens can also be introduced to products as a result of improper handling by customers or consumers. The Company does not have control over handling procedures once products have been shipped for distribution.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedRisk Factors
If one or more of these risks were to materialize, the Company could incur significant costs, loss of sales, regulatory action, or litigation as well as negative impacts to its brand and business reputation.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedRisk Factors
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 to-date there have been no reports of illness related to the recalled products, the Company has experienced costs and business impacts associated with the event.
Read it in 10-K 2024-12-05 at sec.gov ↗
RewordedRisk Factors
The Company’s business may be adversely affected by changes in national or global economic conditions, including inflation, interest rates, tax rates, availability of capital, energy availability and costs (including fuel surcharges), political developments, civil unrest, terrorist attacks, armed conflicts, public health crises, legal and regulatory actions, immigration policies and trends, and the effects of governmental initiatives to manage economic conditions. conditions, including through the imposition of tariffs, quotas, trade barriers, and other restrictions.
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedRisk Factors
A significant disruption in the operation of the Company’s manufacturing, supply, or distribution capabilities, whether Company-owned or supported by third parties, could have a negative impact on the Company’s ability to operate its business. business, particularly if such a disruption were to occur at a facility that supports a meaningful amount of the Company’s production, such as its Austin, Minnesota manufacturing facility.
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedRisk Factors
Disruption in Any disruption to services from third-party service providers used to support business functions such as benefit plan administration, payroll processing, information technology (IT) and cloud computing services could have a negative impact on the Company’s business.
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedRisk Factors
If While rulemaking and legislation are underway to permanently increase permissible line speeds, if these waivers are not made permanent and line speeds are required to be slowed, harvest capacity and costs may be negatively impacted.
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedRisk Factors
Volatility Any of these or other changes in financial markets and the deterioration of national and global economic conditions could adversely impact the Company’s results of operations and financial condition, including as follows:
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedRisk Factors
Disruptions related Any disruption to a significant customers customer or sales channels channel could result in a reduction in sales or a change in the mix of products sold. sold, which could adversely affect the Company's results of operations.
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedRisk Factors
The loss of one or more of the top customers in any of the reportable segments could have a material adverse effect upon such segment’s adversely affect the Company's results of operations and financial results. condition.
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedRisk Factors
If the Company fails to timely complete this work, effectively implement these updates, the risk of an adverse cybersecurity incident may increase, if, including for example, example if vendors fail to continue to provide security updates. updates for legacy technologies.
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedRisk Factors
The loss of the availability of government inspectors inspectors, including due to a government furlough or reduction in force, could cause disruption to the Company’s manufacturing facilities. facilities, which could adversely impact the Company's results of operations.
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedRisk Factors
There is also the risk of post-acquisition impairment charges if purchase assumptions are not achieved. achieved, which could adversely affect the Company's results of operations and financial condition.
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedRisk Factors
For example, In addition, pork harvest facilities that the Company relies upon in its supply chain are subject currently relying on government-issued waivers to regulations that otherwise limit maximum production line speeds.
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedRisk Factors
The Company operates its business and markets its products internationally. internationally as well as sourcing a variety of inputs from around the world.
Read it in 10-K 2025-12-05 at sec.gov ↗
Quiet changesRisk Factors
An unfavorable change in any of these factors may lead to the impairment of goodwill and/or intangible assets.
Read it in 10-K 2025-12-05 at sec.gov ↗
Quiet changesRisk Factors
The outbreak of any such diseases could adversely affect the Company’s supply of raw materials, increase the cost of production, reduce utilization of the Company’s harvest facilities, and reduce earnings.
Read it in 10-K 2025-12-05 at sec.gov ↗
Quiet changesRisk Factors
The Company is subject to stringent environmental regulations and potentially may be subject to environmental litigation, proceedings, and investigations.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedMD&A
The Company is a global manufacturer and marketer of branded food products and remains focused on driving long-term growth through a balanced business model, a diverse portfolio, and a commitment to creating value for all stakeholders. The Company reports its results in the following three reportable segments: Retail, Foodservice, and International.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedMD&A
The Company discloses certain measures not defined by U.S. Generally Accepted Accounting Principles (GAAP), including organic volume, organic net sales, adjusted selling, general and administrative (SG&A), adjusted SG&A as a percent of net sales, adjusted operating income, adjusted net earnings, adjusted diluted earnings per share, and adjusted segment profit. The Company utilizes these non-GAAP measures to understand and evaluate operating performance on a consistent basis. For additional information and reconciliations to the most closely comparable measures calculated in accordance with GAAP, see the "Non-GAAP Measures" section of this Item. All forward-looking comparisons for fiscal 2026 are comparing fiscal 2025 GAAP figures to projected fiscal 2026 GAAP figures, unless otherwise noted.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedMD&A
Fiscal 2025: The Company believes fiscal 2025 was a challenging year, as strong net sales performance did not translate into net earnings growth. Net sales totaled $12.1 billion, an increase of 2 percent compared to the prior year. Growth was driven by all three segments, and the Company delivered four consecutive quarters of net sales gains.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedMD&A
In fiscal 2025, the Company experienced persistent input cost inflation, primarily related to commodity markets, which significantly pressured earnings. Pork belly, beef, and nut input costs caused the most earnings pressure during the year.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedMD&A
The Company continued to support its strategic programs during fiscal 2025, including its multi-year Transform and Modernize (T&M) initiative. The Company made meaningful progress on the initiative, which is expected to deliver long-term value to the organization. The Company also recognized expenses associated with a corporate restructuring plan designed to reduce administrative expenses, improve efficiencies, and align its workforce to the Company’s future needs, while enabling continued investment in the Company’s growth.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedMD&A
SG&A decreased in fiscal 2025 primarily due to the lapping of antitrust settlements incurred in the prior year, lower advertising spend, and proceeds from a legal settlement. Adjusted SG&A as a percent of net sales was comparable to the prior year.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedMD&A
Operating income decreased 33 percent compared to the prior year, as earnings were significantly impacted by non-cash impairment charges recorded in the International and Retail segments. Adjusted operating income decreased 11 percent.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedMD&A
Changes in global trade policies, including tariffs and retaliatory tariffs, had a minor impact on the Company’s results of operations during fiscal 2025. The Company continues to monitor and evaluate the impact of proposed and enacted tariffs, including proposed and enacted retaliatory tariffs, and other trade restrictions, as well as its ability to mitigate their impacts.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedMD&A
Net sales increased for the fourth quarter and full year of fiscal 2025 while volume declined over both periods.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedMD&A
For the fourth quarter of fiscal 2025, net sales growth across the Retail and Foodservice segments offset declines in the International segment. Net sales growth across the enterprise was driven primarily by the Jennie-O® turkey portfolio, Foodservice customized solutions business, Planters® snack nuts, Applegate® natural and organic meats, and premium prepared proteins, and the SPAM® family of products.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedMD&A
For the full year fiscal 2025, net sales increased in each segment. Net sales growth for the full year was driven primarily by the Jennie-O® turkey portfolio, the SPAM® family of products, Foodservice customized solutions business, Planters® snack nuts, Applegate® natural and organic meats, the bacon portfolio, and the Mexican foods portfolio.
Read it in 10-K 2025-12-05 at sec.gov ↗
AddedMD&A
SG&A for the fourth quarter of fiscal 2025 decreased due to proceeds from a legal settlement and lower advertising expenses. Adjusted SG&A for the fourth quarter of fiscal 2025 decreased due to lower advertising expenses.
Read it in 10-K 2025-12-05 at sec.gov ↗
RemovedMD&A
Fiscal 2024: The Company believes fiscal 2024 demonstrated the solid execution of its strategy, the power of its portfolio and the resilience of its team. The Company achieved net sales of $11.9 billion, declining 2 percent compared to the prior year, as the benefit from broad-based growth in the Foodservice segment and value-added growth in the Retail segment from Applegate®, value-added fresh pork, bacon, and value-added turkey, was more than offset by declines in the Retail and International segments. Declines in the Retail segment were driven primarily by significant year-over-year pricing declines for whole bird and commodity turkey and softness in the Convenient Meals & Proteins vertical. International net sales declines were driven by lower commodity exports and lower net sales in China. Segment profit increased 2 percent compared to prior year, as favorable results in the International segment were partially offset by unfavorable results in the Retail segment. Segment profit for the Foodservice segment was comparable to the prior year. Net earnings increased 1 percent compared to the prior year, as improved segment profit and favorable interest and investment income were partially offset by a higher effective tax rate. Adjusted net earnings(1) — excluding the impact of costs associated with the Company’s Transform and Modernize (T&M) initiative, litigation settlements, and the gain on the divestiture of Hormel Health Labs, LLC (Hormel Health Labs) — declined 2 percent. Diluted earnings per
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedMD&A
International segment profit increased significantly compared to prior year due to contribution from the Company’s minority investments, improved mix and favorable costs in the Company's China business, and favorable export product mix. Segment profit for the Foodservice segment was comparable to the prior year as the benefit from higher sales and lower logistics expenses were offset by higher selling, general and administrative (SG&A) expenses. Retail segment profit declined for the full year due to lower sales, lower equity in earnings of affiliates, and higher SG&A expenses. These declines were partially offset by the benefit from lower logistics expenses, savings from the T&M initiative, and the lapping of a non-cash impairment charge associated with the Justin’s® trade name in fiscal 2023.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedMD&A
Fiscal 2024 was an important year of investment for the Company's multi-year T&M initiative. The Company made meaningful progress on the initiative, which is expected to deliver long-term value to the organization.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedMD&A
Consistent with the plan outlined at its 2023 investor day, the Company expects fiscal 2025 to be a year of acceleration in its T&M initiative. For fiscal 2025, the Company expects a benefit to net earnings from its T&M initiative.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedMD&A
(1) See the "Non-GAAP Measures" section below for a description of the Company’s use of measures not defined by U.S. generally accepted accounting principles (GAAP).
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedMD&A
(2) All forward-looking comparisons for fiscal 2025 are comparing fiscal 2024 GAAP figures to projected fiscal 2025 GAAP figures, unless otherwise noted.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedMD&A
The Company is a processor of branded and unbranded food products for retail, foodservice, and commercial customers.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedMD&A
The Retail segment consists primarily of the processing, marketing, and sale of food products sold predominantly in the retail market in the United States. This segment also includes the results from the Company’s MegaMex Foods, LLC joint venture.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedMD&A
The Foodservice segment consists primarily of the processing, marketing, and sale of food products for foodservice, convenience store, and commercial customers located in the United States.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedMD&A
The International segment processes, markets, and sells Company products internationally. This segment also includes the results from the Company’s international joint ventures, international equity method investments, and international royalty arrangements.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedMD&A
The Company’s fiscal year consisted of 52 weeks in fiscal years 2024, 2023, and 2022. Fiscal year 2025 will consist of 52 weeks.
Read it in 10-K 2024-12-05 at sec.gov ↗
RemovedMD&A
(1) See the "Non-GAAP Measures" section below for a description of the Company’s use of measures not defined by U.S. GAAP.
Read it in 10-K 2024-12-05 at sec.gov ↗
RewordedMD&A
Fourth Quarter Ended Fiscal Year Ended in thousands, except per share amounts October 27, 2024 October 29, 2023 26, 2025 October 27, 2024 October 29, 2023 26, 2025 October 27, 2024 SG&A as a Percent of Net Sales (GAAP) 7.0% 7.6% 6.8% 8.2% 8.4% 7.8% Transform and Modernize Initiative(2) (0.4) (0.5) (0.3) (0.5) (0.4) (0.1) Pork Antitrust Litigation Settlements — — (0.1) — Red Meat Wages Antitrust Litigation Settlement — — (0.1) — Poultry Wages Antitrust Litigation Settlement Corporate Restructuring Plan — — — — Gain (Loss) on Sale of Business 0.1 — — — Arbitration Ruling — 0.1 (0.1) — (0.6) Litigation Settlements 0.3 — 0.1 (0.2) Adjusted SG&A as a Percent of Net Sales (Non-GAAP) 6.9% 7.2% 6.6% 7.8% 7.1% 7.8%
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedMD&A
A one-percentage-point change in these rates would have the following effects:One-Percentage-Point One-Percentage-Point Benefit Cost Benefit Obligation In millions Increase Decrease Increase Decrease Pension Benefits Discount Rate $ (13.2) (10.5) $ 15.8 15.2 $ (133.5) (134.9) $ 162.4 164.2 Expected Long-term Rate of Return on Plan Assets (12.9) 12.9 (13.2) 13.2 — — Rate of Future Compensation Increase 3.1 (2.7) 4.3 (3.7) 1.5 (1.2) 2.0 (1.4) Interest Crediting Rate 5.6 (4.7) 16.8 (14.2) Post-retirement 6.6 (5.4) 22.0 (18.3) Postretirement Benefits Discount Rate $ (0.2) (0.3) $ (0.9) 0.2 $ (13.8) (12.5) $ 16.0 14.5 Health Care Cost Trend Rate 0.9 (0.8) 15.8 (13.9) 14.4 (12.7)
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedMD&A
In millions Payments Due by Periods Total Less than 1 year 1-3 years 3-5 years More than 5 years Purchase Commitments(1) $ 2,597 3,764 $ 1,235 1,229 $ 940 1,408 $ 246 566 $ 177 561 Debt Repayments(2) 2,850 — 500 750 1,600 1,250 1,000 600 Interest Payments on Long-term Debt(2) 713 640 73 134 85 421 110 73 384 Pension & Other Post-retirement Postretirement Benefit Payments(3) 1,172 107 224 233 609 301 30 63 63 145 Lease Obligations(4) 205 46 71 45 43 226 49 79 54 44 Other Commitments(5) 69 45 24 51 14 37 — —
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedMD&A
The Because the Company believes that non-recurring costs for these impairments are not reflective of the Company’s ongoing operating cost structure, are not indicative of charges incurred under the Company’s core operating performance, corporate restructuring plan do not reflect expected future operating costs, costs and may are not be meaningful when comparing the Company’s Company's operating performance against that of prior periods; therefore, periods, the Company is excluding these discrete costs. adjusts for
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedMD&A
From a bottom-line perspective, Diluted earnings per share are expected to be $1.29 to $1.39 and adjusted diluted earnings per share are expected to be $1.51 $1.43 to $1.65 and adjusted diluted earnings per share(1) are expected to be $1.58 to $1.72. $1.51.
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedMD&A
Organic net sales(1) sales growth of 1 percent to 3 4 percent is expected in fiscal 2025, 2026, which assumes benefits from modestly higher volumes, the Company anticipates being driven by growth in key categories and markets, higher across a broad range of categories, increased brand support and innovation, market-based pricing actions, and the Company’s current assumptions for raw material costs.
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedMD&A
In fiscal 2025, 2026, the Company expects net sales growth, which assumes benefits from modestly higher volumes, growth in key categories and markets, higher across a broad range of categories, increased brand support and innovation, and market-based pricing actions, and the current assumptions for raw material costs. actions.
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedMD&A
The Company’s strategic investments in the T&M initiative are expected to cease at the end of the investment period, charges, corporate restructuring plan expenses, and other estimated non-recurring items are not expected to recur in the foreseeable future, future and are not considered representative of the Company’s underlying operating performance.
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedMD&A
Gross profit as a percent percentage of net sales for decreased in both the fourth quarter and full year of fiscal 2024 increased, as pricing actions and cost savings from 2025 compared to the Company's T&M initiative were partially offset by inflationary pressures. prior year.
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedMD&A
In presenting non-GAAP measures, the Company adjusts for (i.e., excludes) expenses for this initiative that are non-recurring, comprised which are primarily of project-based external consulting fees and asset write-offs expenses related to supply chain and portfolio optimization (i.e., reducing the complexity and optimizing the assortment of the product portfolio). (e.g., asset write-offs, severance, or relocation-related costs).
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedMD&A
Fourth Quarter Ended Fiscal Year Ended In thousands October 26, 2025 October 27, 2024 October 29, 26, 2025 October 27, October 29, In thousands 2024 2023 2024 2023 Net Unallocated Expense $ 63,750 $ 54,064 $ 49,485 235,519 $ 215,304 $ 214,482 Noncontrolling Interest (67) (236) (452) (433) (407) (653)
Read it in 10-K 2025-12-05 at sec.gov ↗
RewordedMD&A
Further, continued capital expenditure investments are expected, including investments for in data and technology related to its T&M initiative and value-added capacity expansions for Hormel® Fire Braised® products, Applegate® products and the Jiaxing, China, facility. expansions.
Read it in 10-K 2025-12-05 at sec.gov ↗
