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Hormel stock sinks toward 15-month low after earnings miss, amid inflation pressures, supply chain issues and volume weakness

Shares of Hormel Foods Corp. HRL, -4.56% took 5.1% hit toward a more than 15-month low in premarket trading Thursday, after the branded foods company, with brands including Planters, Skippy, Spam and Natural Choice, reported fiscal first-quarter results that missed expectations, citing inflationary pressures, supply chain inefficiencies and weak sales volumes. 

Net income for the quarter to Jan. 29 fell to $217.7 million, or 40 cents a share, from $239.6 million, or 44 cents a share, in the year-ago period. The FactSet consensus was for earnings per share of 45 cents. Sales fell 2.4% to $2.97 billion, below the FactSet consensus of $3.08 billion, with both retail and foodservice sales down 2% but international sales down 8%. Volume declined 13% for retail, dropped 6% for foodservice and sank 14% for international. 

Cost of sales fell less than sales, down 1.2% to $2.48 billion, as gross margin contracted to 16.7% from 17.7%. For the full year, the company expects EPS of $1.70 to $1.82, below the FactSet consensus of $1.88, and expects sales growth of 1% to 3%, while the current FactSet consensus of $12.76 billion implies a 2.4% rise. The stock, on track to open at the lowest price seen since Nov. 30, 2021, has lost 8.0% over the past three months through Wednesday, while the S&P 500 SPX, +0.76% has declined 3.0%.

Source : Swine Web

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World Pork Expo: Tackling oxidative stress at critical stages in swine production

Video: World Pork Expo: Tackling oxidative stress at critical stages in swine production

Dr. Marlin Hoogland, veterinarian and Director of Innovation and Research at Feedworks, speaks to The Pig Site's Sarah Mikesell just after World Pork Expo about how metabolic imbalance – especially during weaning, late gestation and disease outbreaks – can quietly undermine animal health and farm profitability.

In swine production, oxidative stress may be an invisible challenge, but its effects are far from subtle. From decreased feed efficiency to suppressed growth rates, it quietly chips away at productivity.

Dr. Hoogland says producers and veterinarians alike should be on alert for this metabolic imbalance, especially during the most physiologically demanding times in a pig’s life.