HORMEL FOODS CORPORATION (HRL)

Consumer Staples · Food Processing · Price $21.34
Updated: Aug 29, 2026
Gross Profit (TTM)
$1.9B
Trailing 12 Months
Growth Rate
-2.58%
Log-Linear Regression (16Q)
Gross Margin
15.68%
Pricing Power
Revenue
$12.1B
Top Line Sales
Operating Income
$998.6M
After OpEx

📈 Gross Profit History (16 Quarters)

🧮 HRL Gross Profit Breakdown

Gross Profit = Revenue - Cost of Revenue
Revenue (Total Sales) $12.1B
Less: Cost of Revenue (COGS) $10.2B
Equals: Gross Profit $1.9B

Understanding Gross Profit

Gross Profit is Revenue minus Cost of Revenue (also called Cost of Goods Sold or COGS). It measures how much a company earns from selling its products before subtracting operating expenses. For HRL, the trailing twelve month gross profit is $1.9B.

Why Gross Profit Matters

Gross margin (Gross Profit / Revenue) is one of the most important indicators of pricing power and competitive advantage. Companies with high and stable gross margins typically have differentiated products, strong brands, or unique capabilities.

HRL's gross profit growth rate of -2.58% (based on log-linear regression of 16 quarters) indicates relatively flat or slightly declining gross profit.

Gross Margin: The Key Metric

HRL's gross margin of 15.68% shows what percentage of each sales dollar remains after paying direct production costs. Gross margins below 25% are typical of highly commoditized or low-margin businesses.

Gross Profit vs Other Profitability Metrics

Operating Income: $998.6M →

Gross Profit minus operating expenses (SG&A, R&D). Shows profitability after all operating costs but before interest and taxes.

Net Income: $693.3M →

The bottom line after all expenses including interest and taxes. The final measure of accounting profit.

Free Cash Flow: $577.5M →

Actual cash generated after capital expenditures. Can differ significantly from gross profit due to working capital and capex.

Revenue: $12.1B →

The top line that gross profit is derived from. Gross margin shows what percentage becomes gross profit.

Summary: HRL Gross Profit Trend

HORMEL FOODS CORPORATION (HRL) has a gross margin of 15.68% — below the 20% floor Zyberno applies to this type of business, limiting the ability to absorb cost increases. Gross profit grew at -2.58% annually — a negative trend — revenue erosion that warrants monitoring. For complete financial analysis, view the full HRL stock report on Zyberno.

Frequently Asked Questions

What is HRL's current gross profit?

HORMEL FOODS CORPORATION's trailing twelve month (TTM) gross profit is $1.9B, growing at -2.58% annually — a negative trend — revenue erosion that warrants monitoring.

Is HRL's gross profit growing?

HORMEL FOODS CORPORATION (HRL) has a gross margin of 15.68% — below the 20% floor Zyberno applies to this type of business, limiting the ability to absorb cost increases. Gross profit grew at -2.58% annually — a negative trend — revenue erosion that warrants monitoring.

What is HRL's gross margin?

HORMEL FOODS CORPORATION (HRL) has a gross margin of 15.68% — below the 20% floor Zyberno applies to this type of business, limiting the ability to absorb cost increases. Gross profit grew at -2.58% annually — a negative trend — revenue erosion that warrants monitoring.

What is the difference between gross profit and net income?

Gross profit is Revenue minus Cost of Revenue only. Net income also subtracts operating expenses, interest, and taxes. HRL's gross profit is $1.9B versus net income of $693.3M.

📊 Valuation Trilogy
Three interconnected metrics built on Owner Earnings
💎
Intrinsic Value
DCF Fair Value
$13.30
🛡️
Margin of Safety
Valuation Gap
-60.4%
🎯
Expected Return
Projected Annual
-12.8%
Click any metric for full methodology and detailed analysis

📊 Full HRL Stock Report

See HRL's intrinsic value, margin of safety, DCF valuation, and complete financial analysis with 250+ metrics.

💵 HRL Free Cash Flow

Compare to Free Cash Flow which subtracts all capital expenditures, not just maintenance CapEx.

💰 HRL Owner Earnings

Compare to Buffett's Owner Earnings metric which uses maintenance CapEx instead of total capital expenditures.

📈 HRL Earnings Per Share

Analyze EPS trends, P/E ratio, earnings yield, and per-share profitability metrics.

🎯 HRL Earnings Surprise (SUE)

See whether HRL is beating or missing its own earnings trend — Standardized Unexpected Earnings and post-earnings drift.

📊 HRL Revenue

Analyze revenue trends, growth rate, P/S ratio, and top-line sales performance.

💰 HRL Net Income

Analyze the bottom-line profit, P/E ratio, and net profit margin trends.

🔶 HRL Operating Income

Analyze EBIT, operating margin, and core business profitability before interest and taxes.

💜 HRL Gross Profit

Analyze gross margin, pricing power, and profitability before operating expenses.

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