Hormel Foods third-quarter net sales were $2.96 billion; diluted EPS was $0.11

Hormel Foods Corporation (NYSE: HRL) reported net sales of $2.96 billion for the third quarter ended July 26, 2026. Organic net sales were down 2%. Diluted earnings per share were $0.11; adjusted diluted earnings per share were $0.37. Those amounts are from the company’s August 27, 2026 earnings release, furnished the same day as Exhibit 99 to Form 8-K accession 0000048465-26-000053.

Operating income was $111 million, or 3.7% of net sales. Adjusted operating income was $266 million, or 9.0%. Earnings before income taxes were $103 million; adjusted earnings before income taxes were $258 million. Those are different measures. Cash flow from operations was $241 million, up 54%. For fiscal 2026, the company now expects net sales of $12.1 billion to $12.2 billion, organic net sales growth of 1% to 2%, diluted EPS of $1.06 to $1.12, and adjusted diluted EPS of $1.45 to $1.51. Those ranges replace prior sales of $12.2 billion to $12.5 billion, organic growth of 1% to 4%, GAAP EPS of $1.28 to $1.37, and adjusted EPS of $1.43 to $1.51. Adjusted operating income is guided at $1.08 billion to $1.12 billion.

The EDGAR index, the Form 8-K wrapper, and Exhibit 99 were re-read independently. Item 2.02 says Hormel issued an earnings release for the third quarter ended July 26, 2026, furnished as Exhibit 99. Furnished Item 2.02 information is not deemed “filed” for purposes of Section 18 of the Exchange Act unless the issuer expressly says otherwise. The 8-K wrapper does not restate the tables. The highlight lines round net sales to $2.96 billion, operating income to $111 million, and cash from operations to $241 million; the income-statement and cash-flow thousands sit in Figures and are not substituted here for that rounding.

Significant discrete pre-tax items included a $56 million loss related to the Brazil divestiture, a $48 million non-cash impairment of a minority investment in Indonesia, and a $38 million litigation settlement. The effective tax rate was 42.3%, compared with 22.3% a year earlier, and the release says it was significantly impacted by one-time items. Cash on hand, excluding assets held for sale, was $840 million. Inventories were $1.8 billion. The company returned $161 million to stockholders through dividends.

Retail volume was down 9%, net sales down 4%, organic net sales down 3%, and segment profit down 4%. Foodservice volume was down 1%, net sales up 2%, organic net sales up 2%, and segment profit up 3%; the release calls that the 12th consecutive quarter of organic net sales growth for Foodservice. International volume was down 11%, net sales down 5%, organic net sales down 4%, and segment profit down 254%, with adjusted segment profit flat.

Why it matters

GAAP operating income of $111 million is not adjusted operating income of $266 million, and GAAP diluted EPS of $0.11 is not adjusted diluted EPS of $0.37. The fiscal 2026 sales and GAAP EPS ranges were lowered; the adjusted EPS range was raised at the low end and narrowed. The Brazil Ceratti sale was announced in the third quarter and closed in the early part of the fourth quarter; the company says those expected impacts are in the updated guidance.

Context

Jeff Ettinger is interim chief executive officer. John Ghingo is president and chief executive officer-elect. A conference call was webcast at 8 a.m. CT on August 27, 2026. This page uses the furnished exhibit; it does not invent Q&A.