AUSTIN, Minn. (
has raised its 2010 guidance after reporting a stellar first quarter.
Hormel is raising its full-year guidance from $2.63 to $2.73 a share to $2.68 to $2.78 a share. The company anticipates higher hog costs as it progresses through the year. Analysts have been predicting 2010 earnings of $2.66 a share.
Hormel for the first quarter reported net earnings of $111.3 million compared with $81.4 million the previous year on net sales of 1.7 billion, up 2.3%. It reported earnings per share of 82 cents, up 37% from the previous year. Hormel's refrigerated foods operating profit was up 53% and its grocery products operating profit was up 37%. Wall Street's consensus earnings estimate was 68 cents a share on revenue of $1.67 billion.
Effective February 15, 2010, Hormel paid its 326th consecutive quarterly dividend, at the annual rate of 84 cents. The was no change in the dividend rate from the prior quarter.
-- Reported by Andrea Tse in New York
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