Its operating income fell $18 million but its tax expense dropped $48 million.Sales rose 6.9 percent to $2.36 billion.
BEIJING –Austin, Minnesota-based Hormel Foods confirmed plans to add another 50,000 tonnes to its annual meat processing capacity in China.
“But, yeah, we do think we can grow pretax earnings in 2019.”Hormel disclosed it will receive $30 million in cash for the sale of its large Fremont, Neb., plant. The unit is a leading supplier of Western- and Chinese-style processed meats and peanut butter to retail and food service operators throughout China.You must have JavaScript enabled to enjoy a limited number of articles over the next 30 days.We use cookies to provide you with a better experience. Hormel will remain a key purchaser of the meat processed at the Fremont plant for at least three years.In the latest quarter, Hormel’s commodity pork profits were down a staggering 88 percent to “near break-even levels,” Sheehan said.The company’s profit grew 15 percent to $210.2 million, or 39 cents a share. Organic net sales, which excludes the acquisition of Columbus Craft Meats and Fontanini Italian Meats and Sausages, and the divestiture of Farmer John, were flat.The company reaffirmed its full-year profit guidance of $1.81 to $1.95 per share but trimmed its full-year revenue forecast to $9.4 billion to $9.6 billion, down from $9.7 billion to $10.1 billion due to higher tariffs in China. The sale, By selling the plant now, Hormel is avoiding a costly renovation needed to keep the facility competitive and lowering its exposure to swings in commodities prices. The $14 billion global meat-processing company—the world’s largest hog farmer and pork producer and maker of the uniquely aged and smoked Smithfield ham—is the biggest employer in the town of about 8,000 people. It would soon need to make a similar investment at Fremont to turn it into a double-shift plant, Snee said.Instead, executives decided it was time to sell the plant, which has been a part of Hormel since the 1940s. A former executive for one of the world's largest berry suppliers was sentenced to federal prison Thursday and ordered to repay nearly $1.5 million. HORMEL® has a variety of crowd-pleasing solutions for parties or meals for you & your family. Profits were flat in its refrigerated-foods business, which includes brands like Hormel Natural Choice and Applegate, while grocery products, including Wholly Guacamole and Skippy peanut butter, was up 4 percent.Hormel’s international-business unit posted a profit jump of 9 percent due to higher export sales of Spam and Skippy. In Smithfield, Virginia, Smithfield Foods is everywhere. 19 minutes ago “Our stated goal is to not sell any commodity meat at all,” Jim Sheehan, Hormel’s chief financial officer, said.The Fremont plant slaughters and processes about 10,500 hogs a day, one-third of Hormel’s hog volume. (Donovan Govan/Wikimedia Commons) Fact: 64,876 tons of dried, fresh, or chilled garlic, were imported from China in 2014, according to data from the International Trade Centre (ITC), a … Easy, on-the-go snacks or sit-down meals & recipes. That facility can process 1.3 million head annually, according to data provided by Christopher Hurt, a professor of agricultural economics from Purdue University.“If you have new competitor in the market, and that new competitor is technologically at the top of the industry in being able to compete at a lower cost, somebody may have to leave,” Hurt said.Hormel recently invested $80 million to update a slaughter facility in Austin that supplies the company but is officially owned and operated by Dallas-based Quality Pork Processors. The fight ended up at the World Trade Organization, which ruled that the tariffs were too high. Hormel China’s current processing capacity stands at a combined 25,000 tonnes. Two Hormel Foods Corp. subsidiaries closed factories over the weekend, idling hundreds of workers, in the latest blow to food producers from the … The company currently operates in China through Hormel (China) Investment Co., Ltd. What we didn’t hear were the details, warnings or implications of this record-breaking transfer of […] “This was not an easy decision,” Snee said, but was necessary “given the changes in the market.”Hormel expects it will spend $15 million to $20 million to relocate some of processing functions from Fremont to other company-owned facilities and pay down pension commitments.WholeStone plans to make a big investment to upgrade the facility.
After that, the U.S.D.A. Along with its latest results, Hormel said Thursday it is being paid $30 million in cash for its pork plant in Fremont, Neb., shown here.