Hormel Foods Corporation (HRL)
Operating profit margin
| Jan 31, 2025 | Oct 31, 2024 | Oct 27, 2024 | Jul 31, 2024 | Jul 28, 2024 | Apr 30, 2024 | Apr 28, 2024 | Jan 31, 2024 | Jan 28, 2024 | Oct 31, 2023 | Oct 29, 2023 | Jul 31, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 31, 2023 | Jan 29, 2023 | Oct 31, 2022 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 1,053,983 | 1,062,346 | 1,020,186 | 978,026 | 1,025,771 | 1,073,516 | 1,091,233 | 1,108,950 | 1,041,271 | 973,592 | 999,353 | 1,018,768 | 1,091,461 | 1,241,866 | 1,313,232 | 1,314,820 | 1,360,096 | 1,327,660 | 1,280,171 | 1,308,806 |
| Revenue (ttm) | US$ in thousands | 12,163,430 | 12,073,060 | 11,822,320 | 11,549,900 | 11,648,370 | 11,728,510 | 12,039,240 | 12,352,980 | 12,319,370 | 12,285,720 | 12,065,280 | 11,856,860 | 11,848,700 | 12,187,250 | 12,473,890 | 12,537,310 | 12,664,070 | 12,477,150 | 12,257,230 | 12,250,940 |
| Operating profit margin | 8.67% | 8.80% | 8.63% | 8.47% | 8.81% | 9.15% | 9.06% | 8.98% | 8.45% | 7.92% | 8.28% | 8.59% | 9.21% | 10.19% | 10.53% | 10.49% | 10.74% | 10.64% | 10.44% | 10.68% |
January 31, 2025 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $1,053,983K ÷ $12,163,430K
= 8.67%
The operating profit margin of Hormel Foods Corporation has displayed fluctuating trends over the given period, ranging from a high of 10.74% in October 31, 2022, to a low of 7.92% in October 31, 2023. The company's operating profit margin started declining from July 30, 2023, and reached its lowest point at 7.92% in October 31, 2023, indicating potential challenges in generating profits from its operations during that period.
However, there was a slight recovery in the operating profit margin by January 28, 2024, which increased to 8.45%. This improvement continued into April 30, 2024, with the operating profit margin further increasing to 9.15%. Despite this improvement, the operating profit margin witnessed a downward trend in the subsequent quarters, with fluctuations between 8.47% to 8.80% from July 31, 2024, to October 31, 2024.
Overall, the fluctuating operating profit margin of Hormel Foods Corporation suggests varying levels of profitability from its core business operations during the analyzed period. Further analysis of the company's cost management strategies, revenue streams, and market conditions could provide more insights into the factors influencing these fluctuations.