Hormel Foods Corporation (HRL)
Gross profit margin
| Oct 31, 2024 | Oct 27, 2024 | Oct 31, 2023 | Oct 29, 2023 | Oct 31, 2022 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 2,022,140 | 2,022,140 | 1,999,840 | 1,999,840 | 2,164,690 |
| Revenue | US$ in thousands | 11,920,800 | 11,920,800 | 12,110,000 | 12,036,600 | 12,458,800 |
| Gross profit margin | 16.96% | 16.96% | 16.51% | 16.61% | 17.37% |
October 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $2,022,140K ÷ $11,920,800K
= 16.96%
Based on the provided data, Hormel Foods Corporation's gross profit margin has demonstrated some fluctuations over the period under review.
- As of October 31, 2022, the gross profit margin stood at 17.37%, indicating that the company retained 17.37% of its total revenue as gross profit after accounting for the cost of goods sold.
- The margin slightly decreased to 16.61% by October 29, 2023, pointing towards a potential increase in the cost of goods sold relative to revenue during that period.
- It further decreased to 16.51% by October 31, 2023, suggesting ongoing challenges in maintaining profitability amidst cost pressures.
- By October 27, 2024, the margin increased to 16.96%, indicating a potential improvement in managing costs or enhancing pricing strategies.
- The margin remained at 16.96% as of October 31, 2024, indicating stability in the company's ability to generate gross profit relative to revenue.
Overall, the analysis of Hormel Foods Corporation's gross profit margin reflects a mix of performance outcomes over the period, with fluctuations suggesting potential shifts in cost structures, pricing strategies, or operational efficiencies. It would be important to further investigate the underlying reasons behind these changes to assess the company's overall financial health and strategic direction.