Smithfield Foods Reports Record H1 2026 Operating Profit

Smithfield, Va., USA - Smithfield Foods, Inc. (Nasdaq: SFD), an industry leader in value-added packaged meats and fresh pork, reported its financial results for the fiscal 2026 second quarter and first half ended June 28, 2026. The company delivered a record first half operating and adjusted operating profit, highlighting the resilience of its vertically integrated business model.

Financial Highlights

During the second quarter of fiscal 2026, Smithfield generated net sales of $3.7 billion, representing a 2.3% decrease year-over-year. This decline was primarily driven by non-recurring sales to Hog Production joint ventures in the prior-year period and an earlier Easter holiday. Despite lower net sales, operating profit reached $290 million, up 11.6% from the second quarter of 2025, with an adjusted operating profit of $300 million.

For the first six months of fiscal 2026, net sales stood at $7.5 billion, down 0.8% compared to the first half of 2025. Operating profit for the same period increased 7.1% to $623 million, while adjusted operating profit rose 2.3% to a record $638 million.

Financial Highlights

• Second quarter net income of $238 million, up 26.6% year-over-year.
• First half net income of $484 million, up 17.6% from the first half of 2025.
• Second quarter diluted earnings per share of $0.60 and adjusted diluted earnings of $0.62 per share.
• First half net cash flows from operating activities of $204 million, an increase of $96 million compared to the prior-year period.

Outlook and Dividend Update

In response to ongoing external macroeconomic challenges, including cautious consumer spending and higher input costs, Smithfield updated its full-year 2026 outlook for adjusted operating profit across several segments while maintaining capital expenditure and tax rate projections. Additionally, the Board of Directors declared a quarterly cash dividend of $0.3125 per share, payable on August 27, 2026.