Hershey vs Hormel: Revenue, Profit and Business Model
Hershey had $11.7B of annual revenue in FY2025 and $883.3M of net income. Hormel had $12.1B of annual revenue in FY2025 and $478.2M of net income.
Latest financial snapshot
Financial summary
Hershey
Hershey's net sales grew from $7.44 billion in 2016 to $11.69 billion in 2025, with the biggest jumps in 2021 (+10.1%) and 2022 (+16.1%) as pricing and acquisitions kicked in. Net income peaked at $2.22 billion in 2024, then fell to $883.3 million in 2025 when record cocoa prices flowed through costs; fourth-quarter 2025 adjusted gross margin dropped 650 basis points to 38.3%. 2026 is a recovery year: first-half net sales rose 8.7% to $5.89 billion, and after the second quarter Hershey guided to 4.5%-5% net sales growth and adjusted EPS of $8.36-$8.52, up 32.5%-35%. The Hershey Company is a monumental American multinational manufacturer of baked goods and chocolates, commanding a market valuation frequently exceeding $40 billion.
Hormel
Revenue has been flat at roughly $11.9-$12.5 billion since FY2022, while net earnings slid from about $1.0 billion in FY2022 to $478 million in FY2025 as turkey, commodity and restructuring costs bit. Fiscal 2026 shows a split picture: Q3 net sales fell 2.4% to $2.96 billion and GAAP diluted EPS was $0.11 after Brazil divestiture, Indonesia impairment and litigation charges, but adjusted EPS rose 6% to $0.37. Hormel ended Q3 with $840 million of cash, has paid dividends since 1928, and is an S&P 500 Dividend Aristocrat. Hormel Foods Corporation is a major American food processing company, maintaining a market valuation generally exceeding $15 billion.
Revenue and profit by year
Hershey
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $11.7B | $883.3M | 7.6% | +4.4% | Source |
| FY2024 | $11.2B | $2.2B | 19.8% | +0.3% | Source |
| FY2023 | $11.2B | $1.9B | 16.7% | +7.2% | Source |
| FY2022 | $10.4B | $1.6B | 15.8% | +16.1% | Source |
| FY2021 | $9B | $1.5B | 16.5% | +10.1% | Source |
| FY2020 | $8.1B | $1.3B | 15.7% | +2.0% | Source |
| FY2019 | $8B | $1.1B | 14.4% | +2.5% | Source |
| FY2018 | $7.8B | $1.2B | 15.1% | +3.7% | Source |
| FY2017 | $7.5B | $783M | 10.4% | +1.0% | Source |
| FY2016 | $7.4B | $720M | 9.7% | — | Source |
Hormel
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $12.1B | $478.2M | 4.0% | +1.6% | Source |
| FY2024 | $11.9B | $805M | 6.8% | -1.6% | Source |
| FY2023 | $12.1B | $793.6M | 6.6% | -2.8% | Source |
| FY2022 | $12.5B | $1000M | 8.0% | +9.4% | Source |
| FY2021 | $11.4B | $908.8M | 8.0% | +18.5% | Source |
| FY2020 | $9.6B | $908.1M | 9.5% | +1.2% | Source |
| FY2019 | $9.5B | $978.8M | 10.3% | -0.5% | Source |
| FY2018 | $9.5B | $1B | 10.6% | +4.1% | Source |
| FY2017 | $9.2B | $846.7M | 9.2% | -3.7% | Source |
| FY2016 | $9.5B | $890.1M | 9.3% | — | Source |
Where the revenue comes from
Hershey
- North America Confectionery~81%
Chocolate, candy, mints, gum, and seasonal confectionery brands including Reese's, Hershey's, Kisses, Twizzlers, and U.S. Kit Kat licensing.
- North America Salty Snacks~11%
SkinnyPop, Dot's, Pirate's Booty, and related salty-snack brands that diversify occasions beyond chocolate.
- International~8%
Sales in markets outside the United States and Canada, including Mexico, Brazil, China, and other international operations.
- Licensing and Other
Included in segments
Licensing and partner economics associated with selected brands, formats, and international arrangements.
Hormel
- Retail~62%
Retail generated $7.455 billion in FY2025 net sales from branded products sold through grocery, club, mass, convenience, and other retail channels.
- Foodservice~33%
Foodservice generated $3.942 billion in FY2025 net sales from products sold to restaurants, distributors, operators, and away-from-home customers.
- International~6%
International generated $709 million in FY2025 net sales from branded and foodservice products sold outside the United States.
Business model and strategy
Hershey
How it makes money
Hershey is a branded consumer packaged goods manufacturer. It buys cocoa, sugar, dairy, peanuts and packaging, converts them into branded chocolate, candy and snacks in its own plants, and sells them wholesale to retailers such as Walmart, grocery chains, convenience stores, dollar stores and club stores.
Growth strategy
Under Kirk Tanner, Hershey's ONE Hershey strategy aims to lead U.S. snacking across sweet and salty occasions. The salty push began with Amplify Snack Brands (SkinnyPop) in 2018, followed by Pirate's Booty (2018), Dot's Homestyle Pretzels and Pretzels Inc. (2021), and LesserEvil, closed in November 2025 for a reported $750 million.
Competitive advantage
Hershey's advantage is a portfolio of category-leading U.S. brands, led by Reese's, plus scale in retail merchandising and seasonal candy. The company describes itself as No. 1 in U.S. confection and No. 2 in U.S. snacking. Its exclusive U.S. license for Kit Kat and the Hershey Trust's voting control also give it unusual stability against takeovers and short-term activist pressure.
Hormel
How it makes money
Hormel buys commodity inputs (mainly pork, turkey, peanuts and other nuts) and sells them as branded, value-added foods. A raw pound of pork earns thin margins; cured, sliced and branded as Hormel pepperoni, Black Label bacon or a Columbus charcuterie tray, it earns more.
Growth strategy
Hormel's growth plan centers on priority brands (Planters, SPAM, Applegate, Hormel chili, Jennie-O value-added turkey), foodservice prepared proteins, and portfolio shaping. Under its Transform and Modernize initiative it is cutting costs and investing in data and technology.
Competitive advantage
Hormel's edge is a portfolio of brands that lead their niches (SPAM in canned meat, Skippy in peanut butter, Planters in snack nuts, Hormel pepperoni and Jennie-O in turkey), plus a foodservice business that sells labor-saving prepared proteins to operators. Foodservice posted its 12th straight quarter of organic sales growth in Q3 fiscal 2026.
Questions about Hershey vs Hormel
Which company has higher revenue — The Hershey Company or Hormel Foods Corporation?
The Hershey Company had $11.7B (FY2025), while Hormel Foods Corporation had $12.1B (FY2025). By latest annual revenue, Hormel Foods Corporation is the larger business, with The Hershey Company showing a smaller revenue base.
What is the market cap of The Hershey Company vs Hormel Foods Corporation?
The Hershey Company's market capitalisation stands at $34.1B, while Hormel Foods Corporation's is $11.3B. The Hershey Company carries the higher market valuation, reflecting investors' expectations of its future earnings power relative to Hormel Foods Corporation.
How does revenue per employee compare for The Hershey Company and Hormel Foods Corporation?
The Hershey Company has $597k / employee in revenue per employee, while Hormel Foods Corporation has $605k / employee. Headcounts may use different dates, so the ratio alone does not establish which business operates more efficiently.
How do The Hershey Company and Hormel Foods Corporation make money?
The Hershey Company and Hormel Foods Corporation generate revenue in fundamentally different ways. The Hershey Company: Hershey is a branded consumer packaged goods manufacturer. Hormel Foods Corporation: Hormel buys commodity inputs (mainly pork, turkey, peanuts and other nuts) and sells them as branded, value-added foods.
Which company is valued higher relative to revenue — The Hershey Company or Hormel Foods Corporation?
On a price-to-sales (P/S) basis, The Hershey Company trades at 2.9x P/S and Hormel Foods Corporation at 0.9x P/S. The Hershey Company commands a higher revenue multiple, typically indicating that investors expect faster growth or higher future margins compared to Hormel Foods Corporation. A higher multiple is not inherently better — it may also signal that the stock is priced for perfection.
Is The Hershey Company bigger than Hormel Foods Corporation?
By last reported revenue, Hormel Foods Corporation ($12.1B (FY2025)) is the larger company compared to The Hershey Company ($11.7B (FY2025)). Revenue scale is one dimension of size — market capitalisation, employee count, and geographic reach are also relevant depending on the context.
Figures come from each company's filings and the sources linked beside them. Amounts reported in another currency are shown in US dollars at an approximate rate and marked with ~. Back to the Hershey vs Hormel overview