Hormel Sees Earnings Rise27 November 2013
US - US food and meat processor Hormel Foods has reported net earnings of $157.3 million for the fourth quarter of 2013, up 19 per cent from net earnings of $132.6 million a year earlier.
Diluted earnings per share for the quarter were $0.58, up 18 per cent compared to $0.49 last year.
Sales for the quarter were $2.3 billion, up seven per cent from the same period in fiscal 2012.
For the year ended 27 October, net earnings were $526.2 million, up five per cent from net earnings of $500.1 million last year.
Diluted net earnings per share were $1.95, up five per cent from diluted net earnings per share of $1.86 last year.
Sales for the year reached $8.8 billion, up six per cent from last year.
“We achieved excellent results in the fourth quarter with earnings per share growth of 18 per cent and sales up seven per cent,” said Jeffrey M. Ettinger, chairman of the board, president and chief executive officer.
“We delivered both segment profit and sales increases in four of our five segments.
“We are pleased with our team’s ability to drive earnings growth through our on-going efforts to improve operational efficiencies and focus on expanding our value-added franchises, providing strong momentum heading into fiscal 2014
"In looking at the full year, we enjoyed sales growth of six per cent, ending the year at a record $8.8 billion.
“We grew earnings per share by five per cent, finishing at record earnings of $1.95 per share, at the upper end of our adjusted guidance range.
“We broadened our portfolio with the addition of the iconic SKIPPY brand, providing our team another excellent platform for innovation across many categories.
“We continued to execute our value-added growth strategy this year with successful new product launches, including our new HORMEL REV snack wraps in the retail space and HORMEL FIRE BRAISED meats in the foodservice channel,” Mr Ettinger added.
"This morning we announced a $0.12 per share increase to the annual dividend, or 18 per cent, making the annual dividend $0.80 per share in 2014. This marks the 48th consecutive year in which we have increased our dividend, consistent with our objective to deliver superior total returns to our shareholders."
TheMeatSite News Desk