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Smithfield Foods Inc. (SFD+0.84%) has submitted its annual report on Form 10-K filing for the fiscal year ended December 29, 2024.
The filing details Smithfield's operations through three reportable segments: Packaged Meats, Fresh Pork, and Hog Production. The Packaged Meats segment processes fresh meat into various packaged products, while the Fresh Pork segment processes live hogs into primal and sub-primal cuts. The Hog Production segment involves the production and raising of hogs.
Smithfield reported sales of $14.1 billion for the fiscal year 2024, a decrease from $14.6 billion in 2023. The decline was attributed to decreased sales in the Hog Production segment, which fell by 9.5% due to a reduction in the number of hogs sold.
The company recorded a gross profit of $1.9 billion, up from $889 million in 2023. This increase was primarily driven by a reduction in cost of sales, which fell by 11% to $12.2 billion.
Operating profit for the year was $1.1 billion, compared to an operating loss of $56 million in the previous year. The improvement was largely due to lower selling, general, and administrative expenses, which decreased by 20.1% to $840 million.
Smithfield's net income from continuing operations was $798 million, compared to a loss of $133 million in 2023. The company attributed the turnaround to higher operating profit and lower interest expenses.
The filing also highlights Smithfield's strategic initiatives, including efforts to drive growth in the Packaged Meats segment, enhance Fresh Pork profitability, and optimize operational efficiencies.
Smithfield completed its initial public offering on January 29, 2025, raising approximately $236 million in net proceeds. The company's common stock is now listed on the Nasdaq Global Select Market under the ticker 'SFD'.
The filing discusses Smithfield's recent developments, such as the closure of its Altoona, Iowa facility and the carve-out of its European operations. The company also reported on its Hog Production Reform efforts, which included the sale of certain hog farms and the formation of new partnerships.
Smithfield's liquidity position remains strong, with $943 million in cash and cash equivalents and $2.3 billion of availability under its committed credit facilities as of December 29, 2024.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Smithfield Foods Inc. annual 10-K report dated March 25, 2025. To report an error, please email earnings@qz.com.