In the reporting period, the company’s revenue grew by 7% to $4.23 billion, exceeding analysts’ forecasts. Adjusted earnings reached 83 cents per share, compared to expectations of 68 cents. The growth was driven by strong demand, particularly as consumers increasingly cook at home amid tighter household budgets.
Within the sales structure, packaged meat sales rose by 4.3%, while fresh pork sales increased by 2.1%.
At the same time, the company expects the Middle East conflict to put additional pressure on costs. In particular, rising oil prices may impact fuel, logistics, and packaging costs, as well as corn prices, which traditionally correlate with energy markets.
Smithfield Foods CFO Mark Hall noted that although input costs are expected to remain elevated, they could be slightly lower in 2026 compared to 2025. To offset higher raw material costs, the company has already raised product prices.
Smithfield forecasts low single-digit growth in annual sales and expects adjusted operating profit to range between $1.33 billion and $1.48 billion. The company also anticipates continued strong demand for protein, with pork remaining a competitive and affordable option for consumers.
However, Smithfield emphasized that the full impact of geopolitical risks on costs remains uncertain.
PigUA.info, based on Reuters