HORMEL FOODS CORP /DE/ (HRL) Risk Factors

Recent key developments

Concrete developments — dated events, named agreements and instruments, legal proceedings — that HORMEL FOODS CORP /DE/ surfaced in its latest filing.

• Purchase of a minority interest in Garudafood in fiscal 20232023
• Divestiture of Hormel Health Labs, LLC in fiscal 20242024
• Divestiture of Mountain Prairie, LLC in fiscal 20252025
• Recognized a $163.7 million impairment charge on Garudafood investment in fiscal 20252025
• Impairment recognized on the Planters® trade name for $59.1 million in fiscal 20252025
• Impairment recognized on the Chi-Chi's® trade name for $2.9 million in fiscal 20252025
• International reporting unit had a goodwill balance of $258.9 million identified as at heightened risk of impairment
• Justin's® trade name was identified as having heightened risk of impairment
• As of October 26, 2025, total carrying value of indefinite-lived intangible assets considered at heightened risk was $683.3 million2025-10-26
• A fire occurred at the Little Rock, Arkansas peanut butter production facility in the fourth quarter of fiscal 20252025
• Transform and Modernize initiative began in second half of fiscal 20232023
• Corporate restructuring plan commenced in fourth quarter of fiscal 20252025
• Walmart accounted for approximately 16 percent of consolidated gross sales less returns and allowances during fiscal 20252025
• Top five customers collectively represented approximately 38 percent of consolidated gross sales less returns and allowances during fiscal 20252025
• Fourth quarter fiscal 2025: voluntary class 1 recall of certain chicken products sold in foodservice channels2025
• Third quarter fiscal 2024: voluntary recall of a limited number of Planters® products due to potential Listeria monocytogenes contamination2024
• HPAI was detected within the Company’s turkey supply chain during fiscal 2024 and fiscal 20252024-2025
• Outbreaks of ASF have impacted hog herds in China, Asia, Europe, and the Caribbean