Smithfield earnings fell in the fiscal third quarter of 2026 as weaker pork commodity markets challenged its fresh pork and hog businesses. The company reported operating profit of $127 million, down from $310 million a year earlier, despite higher profit in packaged meats.

Key Takeaways

  • Quarterly sales fell 8.3% to $3.4 billion, while diluted earnings declined to $0.23 per share from $0.63.
  • Packaged Meats operating profit rose to $230 million, but Fresh Pork posted an $89 million operating loss.
  • Smithfield updated its full-year outlook and completed its acquisition of Nathan’s Famous on October 26.

Smithfield earnings and segment results

For the quarter ended September 27, 2026, Smithfield reported adjusted operating profit of $145 million, compared with $310 million in the same quarter of 2025. Adjusted diluted earnings were $0.26 per share, down from $0.58. The company’s third-quarter results identify both adjusted measures as non-GAAP.

Packaged Meats operating profit increased from $226 million a year earlier, with its operating margin rising to 11.6% from 10.8%. Fresh Pork moved to an $89 million operating loss from a $10 million profit, while Hog Production operating profit fell to $34 million from $89 million.

Chief Executive Officer Shane Smith said lower pork commodity markets challenged the company’s upstream segments. He said Smithfield expects that pressure to continue in the fourth quarter.

Full-year outlook and acquisition

Smithfield’s updated fiscal 2026 outlook calls for total sales to decline by a low-single-digit percentage from fiscal 2025. It forecasts adjusted operating profit of $900 million to $1 billion, including $1.09 billion to $1.14 billion from Packaged Meats.

The company expects Fresh Pork adjusted operating results to range from a $50 million loss to breakeven and Hog Production results to range from a $25 million loss to a $25 million profit. These are forecasts, not completed results.

Smithfield completed its Nathan’s Famous acquisition on October 26, after the quarter ended. Its outlook covers 53 weeks and includes approximately two months of results from the acquired business. Smithfield also expects capital spending of $350 million to $375 million, excluding investment in its proposed Sioux Falls processing facility.

Cash generation and dividend

For the first nine months of fiscal 2026, operating cash flow was $365 million, an increase of $244 million from the comparable 2025 period. Smithfield ended the quarter with $1.18 billion in cash and cash equivalents.

The company anticipates one remaining quarterly dividend of $0.3125 per share for fiscal 2026. Any declaration remains subject to board discretion.

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