Hormel reports strong performance in 2007

Hormel reports strong performance in 2007

Hormel Foods Corp. announced the largest dividend increase in the company’s history.

Its annual dividend rate raised by 23% to 74 cents a share.

Overall sales increased by 8% from 2006 to about $6.19 billion, while volume was up 3%.

In detail operating profits of the different sectors developed as follows: Grocery Products increased 3% (volume up 2%), Refrigerated Foods went up 17% (volume up 3%), Jennie-O Turkey Store fell down 17% (volume up 1%) and Specialty Foods rose 27% (volume up 4). All other operating profit increased 34% (volume up 20).

For the twelve months ended October 28, 2007, net earnings were $301.9 million (up 6 percent), compared to $286.1 million a year ago.

Looking ahead, Hormel said it expects 2008 per share earnings of $2.30 to $2.40.

Source: Hormel Foods Corp.