Hormel 2Q profits hurt by turkey business - Bring Me The News

Hormel 2Q profits hurt by turkey business


Hormel Foods Corp., the maker of Spam canned ham and Dinty Moore stew, posted a net income of $125.5 million in its second-quarter, down 2 percent from a profit of $127.9 million a year earlier, the Wall Street Journal reports,

Revenue during the three-month period climbed 7 percent to $2.15 billion.

Reuters notes operating profit at the company's Jennie-O Turkey Store business was down 26 percent, while sales fell 2 percent.

"We expect results in our Jennie-O Turkey Store segment will turn the corner as pressures from higher commodity grain prices and weaker turkey commodity meat prices begin to moderate in the back half of the year,'' chief executive Jeffrey Ettinger said in a statement.

The Austin-based packaged-foods producer bought the Skippy peanut-butter business from Unilever for about $700 million earlier this year.

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