Hormel Foods (HRL) FY2016 results: revenue $9.5 billion, up 2.8% on the year
Hormel Foods Corp. (HRL) reported revenue of $9.5 billion for fiscal 2016, the year ended 30 October 2016, up 2.8% on the year before. Net income was $890 million, up 29.7%, and diluted earnings per share $1.64. The figures are the company's own, from the 10-K it filed with the SEC on 21 December 2016.
Revenue
$9.5 billion
+2.8% on the year
FY2009FY2016
Operating margin
13.9%
11.5% a year earlier
FY2009FY2016
Net income
$890 million
+29.7% on the year
FY2009FY2016
Diluted EPS
$1.64
+29.1% on the year
FY2009FY2016
this yearthe year beforeHover a bar for its figure.
The year in brief
Income statement (profit and loss)
$ million
FY2016
FY2015
FY2014
On the year
Last 8 years
Revenue
9,523
9,264
9,316
+2.8%
Cost of revenue
7,365
7,455
7,751
-1.2%
Gross profit
2,158
1,809
1,565
+19.3%
Gross margin
22.7%
19.5%
16.8%
Research and development
34.7
32.0
29.9
+8.4%
Selling, general and administrative
872
744
651
+17.3%
Operating income
1,324
1,067
932
+24.0%
Operating margin
13.9%
11.5%
10.0%
Interest expense
12.9
13.1
12.7
-1.8%
Pre-tax income
1,317
1,057
922
+24.6%
Income tax
427
370
316
+15.4%
Effective tax rate
32.4%
35.0%
34.3%
Net income
890
686
603
+29.7%
Net margin
9.3%
7.4%
6.5%
Diluted EPS
$1.64
$1.27
$1.11
+29.1%
$ million except per share. Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.
Cash flow
$ million
FY2016
FY2015
FY2014
On the year
Last 8 years
Operating cash flow
1,040
992
747
+4.8%
Capital expenditure
256
144
159
+77.4%
Free cash flow
784
848
588
-7.5%
Free cash flow margin
8.2%
9.2%
6.3%
Cash from investing
-409
-901
n/a
Cash from financing
-557
-70.6
n/a
Depreciation and amortisation
132
133
130
-1.1%
Share-based compensation
17.8
15.7
14.4
+13.4%
Buybacks
87.9
24.9
58.9
+252.6%
Dividends paid
296
251
203
+18.2%
Dividend per share
$0.58
$0.50
$0.40
+16.0%
Diluted shares, weighted
542m
541m
540m
+0.3%
Balance sheet
$ million
FY2016
FY2015
FY2014
On the year
Last 8 years
Shareholders' equity
4,448
3,998
3,606
+11.3%
Non-controlling interest
3.4
3.2
6.4
+6.4%
Debt
250
435
250
-42.5%
Other liabilities
2,275
1,703
1,594
+33.5%
Total liabilities and equity
6,976
6,140
5,456
+13.6%
Fixed assets
1,105
1,012
1,002
+9.3%
Goodwill
1,834
1,699
1,226
+7.9%
Intangible assets
903
827
555
+9.2%
Cash and equivalents
415
347
334
+19.6%
Receivables
591
606
610
-2.4%
Inventory
986
993
1,055
-0.8%
Other assets
1,141
655
674
+74.1%
Total assets
6,976
6,140
5,456
+13.6%
10-K for the year ended 30 October 2016, filed 21 December 2016: the filing.