Hormel Foods saw its share price slide today (18 June) after the Spam owner issued a profit warning.
The consumer branded meat and food products firm said it was lowering its fiscal 2013 earnings guidance, for the year to the end of October, from US$1.93 – $2.03 per share to $1.88 – $1.96 per share.
“Lower-than-expected results in our pork operations, higher input costs and softer sales of our retail products in our refrigerated foods segment are the primary reason for the expected shortfall in our second half results,” said CEO Jeffrey Ettinger.
“We remain very bullish about our future earnings potential. We will provide more details regarding the outlook during our Investor Day on June 26, 2013.”
The firm’s shares tumbled 4.62% to $38.77 at 10:21 EDT today.
Last month, Hormel booked a drop in first-half earnings, hurt by costs related to its acquisition of Skippy peanut butter from Unilever, higher grain costs and weak turkey prices.
