Hormel Foods Corp. today reported record net sales of $3 billion, up 24%, for its first quarter of 2022. The branded food giant said its organic net sales rose 13% in the first quartered over 2021's organic net sales for the same period.
- Volume of 1.2 billion lbs., up 2%; organic volume down 4%.
- Operating income of $320 million, up 19%.
- Operating margin of 10.5%, compared with 10.9% last year.
- Pretax earnings of $309 million, up 11%.
- Effective tax rate of 22.4%, compared with 19.7% last year.
- Diluted earnings per share of $0.44, up 7% compared with last year.
- Cash flow from operations of $384 million, up 87%.
"We continue to benefit from the strength of our brands and our strategy to meet consumers when and where they want to eat," Hormel president and chief executive Jim Snee. "Our foodservice businesses had another outstanding quarter, indicating the value of our direct selling organization and differentiated product portfolio.
"We also delivered another quarter of growth at retail," Snee continued, "led by strong performances from brands such as Columbus, Wholly, Applegate, Hormel Gatherings and Spam, and the contribution of the Planters business."
During the first quarter, Hormel said it completed the supply chain integration of its Planters and Corn Nuts businesses. Snee said the company will soon introduce such new innovations as Planters Sweet & Spicy Dry Roasted peanuts, along refresh the branding and packaging.