Smithfield Foods Inc (SFD) 2025 Q1 法說會逐字稿

Good day and welcome to the Smithfield Foods first-quarter 2025 results conference call. (Operator Instructions) Please note, today's event is being recorded. I would now like to turn the conference over to Julie Macmedan, Vice President of Investor Relations. Please go ahead.

大家好，歡迎參加史密斯菲爾德食品 2025 年第一季業績電話會議。（操作員指示）請注意，今天的活動正在被記錄。現在，我想將會議交給投資者關係副總裁朱莉·麥克梅丹 (Julie Macmedan)。請繼續。

Thank you, operator, and good morning, everyone. Welcome to Smithfield's first-quarter 2025 earnings call. Earlier this morning, we announced our results. A copy of the release, as well as today's presentation, are available on our IR website, investors.smithfieldfoods.com.

謝謝接線員，大家早安。歡迎參加史密斯菲爾德 2025 年第一季財報電話會議。今天早上，我們公佈了我們的結果。新聞稿副本以及今天的簡報可在我們的 IR 網站 investors.smithfieldfoods.com 上查閱。

Today's presentation contains projections and other forward-looking statements that are being provided pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all comments reflecting our expectations, assumptions, or beliefs about future events or performance that do not relate solely to historical periods.

今天的簡報包含根據 1995 年私人證券訴訟改革法案的安全港條款提供的預測和其他前瞻性陳述。前瞻性陳述包括所有反映我們對未來事件或表現的預期、假設或信念的評論，這些評論不僅僅與歷史時期有關。

These statements are subject to risks and uncertainties that could cause actual results to differ materially from our expectations and projections. These risks and uncertainties include but are not limited to the factors identified in the release in our annual report on Form 10-K, our quarterly reports on Form 10-Q and our other filings with the Securities Exchange Commission.

這些聲明受風險和不確定性的影響，可能導致實際結果與我們的預期和預測有重大差異。這些風險和不確定性包括但不限於我們在 10-K 表年度報告、10-Q 表季度報告以及我們向證券交易委員會提交的其他文件中確定的因素。

The company under undertakes no obligation to update or revise publicly any forward-looking statements, whether because of new information, future events, or other factors. Please refer to our legal disclaimer on slide 2 of the presentation for more information.

無論是由於新資訊、未來事件或其他因素，本公司均不承擔更新或公開修改任何前瞻性聲明的義務。請參閱簡報第 2 張投影片上的法律免責聲明以取得更多資訊。

Today's presentation will also include certain non-GAAP measures, including but not limited to adjusted operating profit and margin, adjusted net income, adjusted earnings per share, and adjusted EBITDA. For reconciliation of these and other non-GAAP measures to the corresponding GAAP measures, please refer to our earnings press release and our slide presentation on our website.

今天的報告還將包括某些非公認會計準則指標，包括但不限於調整後的營業利潤和利潤率、調整後的淨收入、調整後的每股盈餘和調整後的 EBITDA。有關這些和其他非 GAAP 指標與相應的 GAAP 指標的調節，請參閱我們的收益新聞稿和我們網站上的幻燈片簡報。

With me this morning are Shane Smith, President and CEO; Mark Hall, CFO; Steve France, President of Packaged Meats; and Donovan Owens, President of Fresh Pork.

今天早上與我一起出席的有總裁兼執行長 Shane Smith、財務長 Mark Hall、Packaged Meats 總裁 Steve France 和 Fresh Pork 總裁 Donovan Owens。

I will now turn the discussion over to Shane. Shane.

現在我將討論交給 Shane。肖恩。

Thank you, Julie. Good morning, everyone. I am pleased to report that we are off to a solid start to fiscal 2025. We delivered first quarter adjusted operating profit of $326 million and adjusted operating profit margin of 8.6%. This marked an 86% increase compared to adjusted operating profit of $176 million and 5.1% in the first quarter of 2024. In fact, our first quarter operating profit and net income results were a record first quarter for the company.

謝謝你，朱莉。大家早安。我很高興地報告，我們在 2025 財政年度取得了良好的開端。我們第一季的調整後營業利潤為 3.26 億美元，調整後營業利益率為 8.6%。與 2024 年第一季的調整後營業利潤 1.76 億美元和 5.1% 相比，成長了 86%。事實上，我們第一季的營業利潤和淨收入結果創下了公司第一季的最高紀錄。

Interestingly, none of the business segments individually had a record quarter. The results were truly a reflection of strategy execution across the segments and the strength of our vertically integrated model. Our strong improvement reflects more favorable market conditions and hog production, as well as solid execution on our strategies across the business.

有趣的是，沒有一個業務部門單獨創下季度業績記錄。結果真實地反映了各部門的策略執行情況以及我們垂直整合模式的實力。我們的強勁成長反映了更有利的市場條件和生豬生產，以及我們在整個業務範圍內的策略的穩健執行。

Looking at profits by segments. Our Packaged Meats segment delivered adjusted operating profit of $266 million and an impressive adjusted operating profit margin of 13.1%, even as we navigated higher raw material input costs and a later Easter this year. We continue to increase sales of higher margin products such as packaged lunch meats and dry sausage, and we achieved operating efficiencies in our packaged meat segment.

按部門查看利潤。儘管今年原材料投入成本上升且復活節推遲，但我們的包裝肉類部門仍實現了 2.66 億美元的調整後營業利潤和令人印象深刻的 13.1% 的調整後營業利潤率。我們繼續增加高利潤產品的銷售，如包裝午餐肉和乾香腸，並且我們在包裝肉類部門實現了營運效率。

Our Fresh Pork segment reported adjusted operating profit of $82 million with an adjusted operating profit margin of 4%. Executing our strategy to maximize product values across multiple channels help offset the impact of the tighter industry market spread this year.

我們的新鮮豬肉部門報告調整後的營業利潤為 8,200 萬美元，調整後的營業利潤率為 4%。執行我們的策略以最大化多個管道的產品價值有助於抵消今年行業市場收緊的影響。

Our Hog Production segment delivered adjusted operating profit of just over a million dollars, which marks an outstanding turnaround from a loss of $174 million in the first quarter of 2024. The increase was driven by improved market conditions and a more efficient cost structure on our retained farms.

我們的豬隻生產部門實現了調整後的營業利潤略高於一百萬美元，這與 2024 年第一季 1.74 億美元的虧損相比實現了顯著扭轉。成長的動力來自於市場條件的改善以及我們保留的農場更有效率的成本結構。

Across the organization, our team's relentless focus on driving efficiencies and delivering cost savings paid off with lower manufacturing, distribution, and SG&A cost year-over-year. We continue to unlock value through operational improvements by fostering a culture of continuous improvement.

在整個組織中，我們的團隊堅持不懈地致力於提高效率和節省成本，這使得製造、分銷和銷售、一般及行政費用逐年降低。我們透過培育持續改善的文化，不斷透過營運改善釋放價值。

In summary, our strong Q1 profit growth versus last year reflects solid strategy execution across our Packaged Meats, Fresh Pork, and Hog Production segments, as well as dramatically improved market conditions in the hog production industry.

總而言之，我們第一季的利潤與去年同期相比強勁增長，反映了我們在包裝肉類、新鮮豬肉和生豬生產部門的穩健策略執行，以及生豬生產行業市場狀況的顯著改善。

Additionally, we continue to prioritize a strong balance sheet and financial position. We ended the quarter with a net debt to adjusted EBITDA ratio of just 0.7 times, well below our policy of 2 times. This gives us the financial flexibility to support our growth strategies and to deliver long term shareholder value.

此外，我們繼續優先考慮強勁的資產負債表和財務狀況。本季末，我們的淨負債與調整後 EBITDA 比率僅為 0.7 倍，遠低於我們的 2 倍政策。這為我們提供了財務靈活性，以支持我們的成長策略並實現長期股東價值。

Now turning to our outlook for fiscal 2025. Today, we reaffirmed our fiscal 2025 outlook that we introduced on March 25. Our 2025 outlook calls for increased sales and operating profit despite challenging market conditions, and Mark will review the details in a few moments. I'd like to briefly review the key initiatives underway to deliver growth.

現在來談談我們對 2025 財年的展望。今天，我們重申了 3 月 25 日提出的 2025 財年展望。儘管市場環境充滿挑戰，但我們對 2025 年的展望是銷售額和營業利潤仍將增加，馬克稍後將回顧詳細資訊。我想簡要回顧一下正在實施的促進成長的關鍵措施。

First, in Packaged Meats, we plan to continue to grow operating profit through ongoing product mix improvements, volume growth, and innovation. Packaged Meats is our largest and most profitable segment, representing 54% of consolidated sales with 98% of our Packaged Meats SKUs sold here in the United States. We remain focused on increasing the mix of higher margin product categories such as packaged lunch meat and dry sausage. This is evidenced by the shift in our mix away from large holiday hams to more everyday items.

首先，在包裝肉類方面，我們計劃透過持續改進產品組合、增加產量和創新來持續增加營業利潤。包裝肉類是我們規模最大、利潤最高的業務部門，佔合併銷售額的 54%，其中 98% 的包裝肉類 SKU 在美國銷售。我們仍然致力於增加利潤率更高的產品類別，例如包裝午餐肉和乾香腸。我們的產品組合已從大型節日火腿轉向更多日常用品，這證明了這一點。

From 2019 to 2024, our ham category volume decreased slightly while the unit velocity dramatically increased by 22% and the profit per pound improved significantly. Dry sausage is another way to improve our product mix. From 2019 to 2024, we grew dry sausage units by 37%. Our ability to grow this category has been supported by increased capacity, including the acquisition of the dry sausage facility in Nashville last summer. Sales of dry sausage products such as pepperoni and salami are expected to grow at a faster rate than the overall packaged meats category.

從 2019 年到 2024 年，我們的火腿類別產量略有下降，但單位速度大幅提高 22%，每磅利潤顯著提高。乾香腸是改善我們產品組合的另一種方式。從 2019 年到 2024 年，我們的乾香腸產量增加了 37%。我們擴大這一類別的能力得到了產能提升的支持，包括去年夏天收購納許維爾的乾香腸工廠。預計義大利辣香腸和薩拉米香腸等乾香腸產品的銷售成長速度將快於整體包裝肉品。

We have significant potential to expand distribution of our Carando and Margherita dry sausage brands, which have ACVs of about 40% compared to our Smithfield Consolidated ACV of 93%. During the first quarter, we executed well on our mixed shift strategy as evidenced by double digit volume growth in both lunch meat and dry sausage.

我們在擴大 Carando 和 Margherita 乾香腸品牌分銷方面具有巨大潛力，這兩個品牌的 ACV 約為 40%，而我們的 Smithfield Consolidated ACV 為 93%。在第一季度，我們的混合班次策略執行得很好，午餐肉和乾香腸的銷量都實現了兩位數的成長。

Turning to volume, we expect package meets volume to be up about 1% year-over-year. We are currently the number 2 branded provider of packaged meats by volume in the 25 key categories in which we compete. 10 of those categories have a market size of more than $1 billion and we strive to grow share in each of these categories.

談到數量，我們預計包裹配送量將年增約 1%。目前，在我們參與競爭的 25 個主要類別中，我們是按銷售計算的第二大包裝肉類品牌供應商。其中 10 個類別的市場規模超過 10 億美元，我們致力於在每個類別中擴大份額。

One of our major focus areas in 2025 is the continued growth in our Smithfield Prime Fresh Packaged Lunch Meats. Packaged Lunch Meat represents a $6.3 billion dollar market opportunity, and we have the number 5 position and an 8% share. Based on Circana data, Smithfield Prime Fresh posted the largest volume share gain of any branded packaged lunch meat for the 52 weeks ended March 30, 2025.

2025 年我們關注的重點領域之一是 Smithfield Prime 新鮮包裝午餐肉的持續成長。包裝午餐肉代表著 63 億美元的市場機會，我們位居第五，佔有 8% 的份額。根據 Circana 的數據，截至 2025 年 3 月 30 日的 52 週內，Smithfield Prime Fresh 在所有品牌包裝午餐肉中銷售份額增幅最大。

Consumers are increasingly looking for value and our portfolio offers quality branded products across multiple categories and price points. This helps us attract and retain consumers even as they may look to the lower price options. If they choose private label, we are well positioned to capture more private label sales volume.

消費者越來越注重價值，我們的產品組合提供跨多個類別和價位的優質品牌產品。這有助於我們吸引和留住消費者，即使他們可能正在尋找價格較低的選擇。如果他們選擇自有品牌，我們就有能力獲得更多的自有品牌銷售量。

Private label is a key competitive advantage for Smithfield. The elevation of private label with retailers and food service operators requires them to work with trusted partners like us who can consistently and reliably deliver high quality products.

自有品牌是史密斯菲爾德的關鍵競爭優勢。零售商和食品服務業者對自有品牌的重視程度的提升要求他們與我們這樣值得信賴的合作夥伴合作，以便能夠始終如一地可靠地提供高品質的產品。

Our strength and private label has helped transform the relationship we have with our customers into a strategic multi-year planning approach encompassing both our branded and private label products. This is exemplified by the recognition of our Smithfield Food sales team who are delivering outstanding service and category management to our retail customers. In March, our teams were recognized by Harris Teeter as 2024 Part of the Year for Meat and by Save Mart as 2024 Best Meat Supplier of the Year.

我們的優勢和自有品牌幫助我們將與客戶的關係轉變為涵蓋我們的品牌產品和自有品牌產品的策略性多年規劃方法。這體現在我們的史密斯菲爾德食品銷售團隊中獲得認可，他們為我們的零售客戶提供了出色的服務和類別管理。3 月份，我們的團隊被 Harris Teeter 評為 2024 年度肉類供應商，並被 Save Mart 評為 2024 年度最佳肉類供應商。

Finally looking at innovation. Addressing consumer trends to shift away from buying large holiday hams to more everyday purchases has been a focus of our innovation. Smithfield Prime Fresh has been one of our biggest wins in this endeavor while also addressing consumer convenience trends. Fixed quarterweight hams represent another successful product innovation to address more everyday use occasions for consumers.

最後來看創新。滿足消費者從購買大型節日火腿轉向日常購買的趨勢一直是我們創新的重點。Smithfield Prime Fresh 是我們在這項努力中最大的勝利之一，同時也滿足了消費者便利化趨勢。固定四分之一重量火腿代表了另一項成功的產品創新，可以滿足消費者更多日常使用場合的需求。

For the 52 weeks ended March 30, Smithfield branded quarter weight hams gained the most share of any branded or private label offering in the smoked ham specialty cuts category, according to Circana. We conduct consumer research to determine what is trending with consumers and attracting new purchasers. We have a strong pipeline of new products scheduled to launch throughout 2025. These new products target consumers through line extensions of our trusted brands, new flavors, and more convenient packaging and sizing options.

據 Circana 稱，截至 3 月 30 日的 52 週內，史密斯菲爾德品牌四分之一重量火腿在煙燻火腿特色切塊類別中佔據所有品牌或自有品牌產品的最大份額。我們進行消費者研究，以確定消費者的流行趨勢並吸引新的購買者。我們擁有一系列新產品，計劃於 2025 年推出。這些新產品透過我們值得信賴的品牌的產品線延伸、新口味以及更便捷的包裝和尺寸選擇來吸引消費者。

Moving to our second core growth strategy, optimizing our Fresh Pork operations. We see further opportunity to grow the Fresh Pork operating profit in 2025 by maximizing the net realizable value of each hog and driving best in class operating efficiency. We continue to closely monitor the tariff and geopolitical environment, which is very fluid.

轉向我們的第二個核心成長策略，優化我們的新鮮豬肉業務。我們認為，透過最大化每頭生豬的淨可實現價值並實現一流的營運效率，2025 年鮮肉營業利潤將進一步成長。我們將繼續密切關注變化無常的關稅和地緣政治環境。

We have an experienced team that has worked together for more than 20 years and has navigated through numerous cycles. While we are not immune to the impact of tariffs, we have built flexibility into our system and established multiple outlets for our Fresh Pork products.

我們擁有一支經驗豐富的團隊，共同合作超過20年，經歷過無數週期。雖然我們無法免受關稅的影響，但我們已在系統中建立了靈活性，並為我們的新鮮豬肉產品建立了多個銷售點。

I thought it would be helpful to explain how we determined the optimal sales channels for Fresh Pork. We utilize four main cell channels. The first and most important is producing and transferring high quality fresh raw materials to our Packaged Meat segment. We recognize a greater value for the company overall by further converting our Fresh Pork raw material and selling it through our Packaged Meat segment.

我認為解釋我們如何確定新鮮豬肉的最佳銷售管道會有所幫助。我們利用四個主要的細胞通道。第一個也是最重要的是生產和運輸高品質的新鮮原料到我們的包裝肉類部門。我們認識到，透過進一步轉化新鮮豬肉原料並透過包裝肉類部門銷售，可以為公司整體帶來更大的價值。

Second, we focus on our domestic retail and food service partnerships to look to increase margins by growing the mix of value-added products we offer. We are the market leader in marinated fresh pork with more than a 40% branded volume share in the category. We continue to innovate in Fresh Pork by meeting customer and consumer needs just as we do in packaged meats.

其次，我們專注於國內零售和食品服務合作夥伴關係，透過增加我們提供的增值產品組合來提高利潤率。我們是醃製鮮豬肉市場的領導者，在該類別中品牌銷售份額超過 40%。正如我們在包裝肉類方面所做的那樣，我們透過滿足客戶和消費者的需求來不斷創新新鮮豬肉。

Third, we have a well-established international sales channel, and we export to more than 30 countries around the globe. In 2024, Smithfield's export sales accounted for 13% of total company sales, with the vast majority of that from our Fresh Pork segment. The key to our export strategy is identifying the optimal market for our products. We continue to execute our next best sell strategy, evaluating our options in response to the recent tariff actions. We believe our 2025 operating profit outlook range for Fresh pork. addresses tariff risk.

第三，我們擁有完善的國際銷售管道，產品出口到全球30多個國家。2024 年，史密斯菲爾德的出口銷售額占公司總銷售額的 13%，其中絕大部分來自我們的新鮮豬肉部門。我們的出口策略的關鍵是確定我們產品的最佳市場。我們將繼續執行我們的下一個暢銷策略，評估我們針對最近的關稅行動的選擇。我們相信，2025 年新鮮豬肉的營業利潤前景範圍可以解決關稅風險。

Finally, we have adjacent business lines including skins for snacking, pet food and pet treats, and pharmaceuticals focusing on whole hog utilization. Our multiple scale channels represent a real point of differentiation for our business. Based on the dynamic market environment, we can uniquely pull different levers across our channels to maximize profitability. We believe this is one of the main competitive advantages of our leadership position as the number one pork processor in the industry.

最後，我們還有相鄰的業務線，包括零食皮、寵物食品和寵物零食，以及專注於整豬利用的藥品。我們的多規模管道代表了我們業務的真正差異點。根據動態的市場環境，我們可以在各個管道中以獨特的方式利用不同的槓桿來實現獲利能力的最大化。我們相信這是我們作為該行業第一大豬肉加工商的領先地位的主要競爭優勢之一。

Regardless of the external environment, our Fresh Pork segment maintains a relentless focus on improving operating efficiencies, and we expect to deliver additional savings in 2025. Our focus on optimizing our operations goes beyond our Packaged Meats and Fresh Pork segments.

無論外部環境如何，我們的鮮肉部門始終堅持不懈地致力於提高營運效率，我們預計在 2025 年將實現更多節約。我們對優化營運的關注不僅限於包裝肉類和新鮮豬肉領域。

In our Hog Production segment, we are pleased to report a $1 million dollar profit in the first quarter. This strong rebound from the first quarter of 2024 reflects both improved industry market conditions as well as our focus on operating a best-in-class cost structure on our retained farms through genetic transformation, herd health improvements, and procurement and nutrition savings.

在我們的生豬生產部門，我們很高興地報告第一季的利潤為 100 萬美元。從 2024 年第一季開始的強勁反彈既反映了行業市場狀況的改善，也反映了我們專注於透過基因改造、畜群健康改善以及採購和營養節省，在我們保留的農場上運營一流的成本結構。

We are making great progress toward actively resizing our business. We have reduced the number of company-owned hogs produced from a high point of 17.6 million in 2019 to an expected roughly 11.5 million in 2025. Over the medium term, we plan to further reduce our internally produced hog volume to approximately 30% of the needs of our Fresh Pork segment.

我們在積極調整業務規模方面正在取得巨大進展。我們已將公司自有生豬出欄量從 2019 年的 1,760 萬頭高點減少至 2025 年預計的 1,150 萬頭左右。從中期來看，我們計劃進一步將內部飼養的生豬數量減少到新鮮豬肉部門需求的約 30%。

The recent transition of 3.8 million hogs to external producers is going very smoothly. These agreements assure a consistent supply of hogs from established farming operations with long-standing relationships with Smithfield, and we'll reduce our exposure in the commodity markets as we reduce the number of hogs we directly own.

最近向外部生產商轉移 380 萬頭生豬的工作進展非常順利。這些協議確保了與史密斯菲爾德有著長期合作關係的成熟農場能夠持續供應生豬，而且隨著我們減少直接擁有的生豬數量，我們將減少在商品市場的曝光率。

Across the entire company, we drive a culture of continuous improvement. Each year, we look for new ways to improve operating efficiency and to reduce our cost basis with a goal to more than offset inflation. We expect efficiency savings to again contribute to enhanced profitability in 2025. We achieve improvements across our manufacturing platform through initiatives such as automation.

在整個公司，我們推動持續改善的文化。每年，我們都會尋找新的方法來提高營運效率並降低成本基礎，目標是抵消通貨膨脹。我們預計，到 2025 年，效率節約將再次有助於提高獲利能力。我們透過自動化等措施實現了整個製造平台的改進。

Within our supply chain, we strive to improve services to our customers while optimizing cost. And in procurement and SG&A, we are continuously looking for ways to reduce overall spend. In conjunction with this effort, we reduced headcount in certain corporate and operations functions during the first quarter, streamlining our operations and improving our overall cost structure. And finally, we continue to evaluate opportunistic M&A in North America to support our growth strategies.

在我們的供應鏈中，我們努力在優化成本的同時改善對客戶的服務。在採購和銷售、一般及行政費用方面，我們一直在尋找降低整體支出的方法。為配合這項努力，我們在第一季減少了某些公司和營運職能部門的員工數量，從而精簡了我們的營運並改善了我們的整體成本結構。最後，我們繼續評估北美的機會性併購，以支持我們的成長策略。

In summary, we delivered solid first quarter results that positioned as well to achieve our outlook for 2025 and to support our growth over the long term.

總而言之，我們第一季取得了穩健的業績，這也為實現 2025 年的願景和支持我們的長期成長奠定了基礎。

With that, I'll turn it over to Mark to review our financials in more detail.

說完這些，我將把任務交給馬克，讓他更詳細地審查我們的財務狀況。

Thanks, Shane, and good morning to everyone joining the call. In the first quarter, we delivered $326 million in adjusted operating profit, an increase of 86% versus the prior year. This outstanding growth reflects improved Hog Production profitability, as well as solid execution of our strategies in our Packaged Meats and fresh Pork Segments that partially mitigated tough year-over-year market headwinds. Underscoring what Shane mentioned. We ended the first quarter with a strong balance sheet, and we have the financial flexibility to invest in growth and return value to our shareholders.

謝謝，Shane，各位參加電話會議的人早安。第一季度，我們的調整後營業利潤為 3.26 億美元，較上年增長 86%。這一出色的成長反映了生豬生產獲利能力的提高，以及我們在包裝肉類和新鮮豬肉領域策略的穩健執行，這在一定程度上緩解了同比嚴峻的市場逆風。強調 Shane 提到的內容。我們以強勁的資產負債表結束了第一季度，我們擁有投資成長和為股東帶來回報的財務靈活性。

Turning to the details of our first quarter results, starting with consolidated results and then a review of our performance by segment. Consolidated sales in the first quarter were $3.8 billion which is a 9.5% increase compared to the prior year. This was primarily driven by higher feed and hog sales in our Hog Production segment, as well as higher average sales prices across our Fresh Pork and Packaged Meat segments.

談到我們第一季業績的細節，首先是合併業績，然後是各部門業績的回顧。第一季綜合銷售額為 38 億美元，比上年成長 9.5%。這主要是由於我們的豬隻生產部門的飼料和生豬銷售增加，以及我們的新鮮豬肉和包裝肉類部門的平均銷售價格上漲。

As I stated earlier, we delivered adjusted operating profit of $326 million and an adjusted operating profit margin of 8.6% compared to adjusted operating profit of $176 million or 5.1% in the first quarter of 2024. First quarter of 2025 adjusted net income from continuing operations was $227 million compared to $123 million in the first quarter of 2024. Adjusted EPS was $0.58 per share compared to $0.32 per share in the first quarter of 2024.

正如我之前所說，我們的調整後營業利潤為 3.26 億美元，調整後營業利潤率為 8.6%，而 2024 年第一季的調整後營業利潤為 1.76 億美元，調整後營業利潤率為 5.1%。2025 年第一季調整後的持續經營淨收入為 2.27 億美元，而 2024 年第一季為 1.23 億美元。調整後每股收益為 0.58 美元，而 2024 年第一季為每股 0.32 美元。

Now turning to our first quarter segment results. Our Package Meat segment delivered first quarter adjusted operating profit of $266 million and a robust adjusted operating profit margin of 13.1% in spite of higher raw material costs. The first quarter Package Meats sales of $2 billion increased by 1.2% compared to the first quarter of 2024, a 5.7% increase in average sales price more than offset volume declines of 4.2%, which were driven by lower sales due to the later Easter holiday this year.

現在來看看我們第一季的分部業績。儘管原物料成本上漲，我們的包裝肉部門第一季調整後營業利潤仍達 2.66 億美元，調整後營業利潤率仍達 13.1%。第一季包裝肉類銷售額為 20 億美元，與 2024 年第一季相比成長了 1.2%，平均銷售價格上漲 5.7%，抵消了 4.2% 的銷量下降，後者是由於今年復活節假期較晚導致銷售額下降。

The higher average selling price was driven by higher market prices for the pork value chain, with key raw materials such as bellies and trim up 15% and 30% respectively year-over-year. Additionally, the higher average selling price was influenced by our continued favorable mix shift to higher margin items such as lunch meat and dry sausage.

平均售價上漲是由於豬肉價值鏈的市場價格上漲所致，其中五花肉和邊角料等主要原料的價格分別比去年同期上漲了 15% 和 30%。此外，較高的平均售價受到我們持續轉變為午餐肉和乾香腸等利潤率較高的商品的影響。

Turning to Fresh Pork. For the first quarter of 2025, we delivered operating profit of $82 million and an operating profit margin of 4%. This was down from $110 million and 5.7% in the first quarter of 2024 when we benefited from an unusually strong industry market spread between the USDA cutoff and hog prices.

轉向新鮮豬肉。2025 年第一季度，我們的營業利潤為 8,200 萬美元，營業利益率為 4%。這一數字低於 2024 年第一季的 1.1 億美元和 5.7%，當時我們受益於美國農業部截止價格和生豬價格之間異常強勁的行業市場價差。

In Q1 2025, the industry market spread was compressed as evidenced by a 14% increase in the CME Lean Hog price year-over-year, while the USDA cutout rose only 6% in the same time frame. We were able to partially offset the tighter industry market spread with our continuous improvement initiatives to deliver cost savings in manufacturing and distribution. Fresh Pork segment sales of $2 billion increased 4.9% year-over-year. This was driven by an average sales price increase of 4.8% and flat volume. Lower pork supply and steady demand drove USDA pork market prices up year-over-year.

2025 年第一季度，產業市價差被壓縮，芝加哥商品交易所瘦肉豬價格年增 14%，而美國農業部分切價格同期僅上漲 6%。我們能夠透過持續改善措施來節省製造和分銷成本，從而部分抵消行業市場緊張的影響。新鮮豬肉部門銷售額為 20 億美元，較去年同期成長 4.9%。這是由於平均銷售價格上漲 4.8% 且銷售量持平所致。豬肉供應減少和需求穩定推動美國農業部豬肉市場價格較去年同期上漲。

Turning now to Hog Production. We're pleased to report a $1 million profit for the first quarter of 2025 versus a loss of $174 million in the first quarter of 2024. The substantial increase was driven by improved commodity markets, as well as actions we've taken to optimize our operations.

現在來談談生豬生產。我們很高興地報告，2025 年第一季的利潤為 100 萬美元，而 2024 年第一季的虧損為 1.74 億美元。大幅成長的動力來自於商品市場的改善以及我們為優化營運所採取的措施。

First quarter of 2025, Hog Production segment sales of $932 million increased by 32% year-over-year, despite a 21% or 800,000 head decrease in the number of hogs produced. The Q1 sales increase was primarily due to the following factors. First, as we transitioned internally produced hogs to external operators, we recognized approximately $155 million for the sale of commercial hog inventories.

2025 年第一季度，豬隻生產部門銷售額為 9.32 億美元，年增 32%，儘管生豬出欄數量減少了 21% 或 80 萬頭。第一季銷售額成長主要得益於以下因素。首先，當我們將內部生產的生豬轉移給外部經營者時，我們確認了約 1.55 億美元的商業生豬庫存銷售收入。

Second, our average market hog sales price increased primarily due to a 14% year-over-year increase in the CME Lean Hog Index. And finally, we increased external grain and feed sales by $73 million primarily due to our new external operators.

其次，我們的平均市場生豬銷售價格上漲主要是因為芝加哥商品交易所瘦肉豬指數年增 14%。最後，由於我們新的外部營運商，我們的外部穀物和飼料銷售額增加了 7,300 萬美元。

Taking a look at our Other segment, which includes our Mexico and BioScience operations, it outperformed the prior year by $23 million posting an operating profit of $14 million in the first quarter of 2025. This was led by strong performance in Mexico. Our corporate expenses also came in $3 million below the prior year as we looked for ways to lower our cost bases throughout our organization, including SG&A.

看看我們的其他部門，其中包括墨西哥和生物科學業務，其業績比前一年高出 2,300 萬美元，2025 年第一季的營業利潤為 1,400 萬美元。這主要得益於墨西哥的強勁表現。由於我們不斷尋找降低整個組織成本基礎（包括銷售、一般和行政費用）的方法，我們的企業支出也比前一年減少了 300 萬美元。

Turning now to our strong balance sheet and financial position. At the end of the first quarter, our net debt to adjusted EBITDA ratio was 0.7 times, well below our policy of less than 2 times. Our liquidity at quarter end was $3.2 billion including $928 million in cash and cash equivalents. This is well above our policy threshold of $1 billion, despite the first quarter historically being a high working capital period.

現在來談談我們強勁的資產負債表和財務狀況。在第一季末，我們的淨負債與調整後 EBITDA 的比率為 0.7 倍，遠低於我們低於 2 倍的政策。本季末我們的流動資金為 32 億美元，其中包括 9.28 億美元的現金和現金等價物。儘管歷史上第一季是營運資本較高的時期，但這仍遠高於我們 10 億美元的政策門檻。

In the first quarter of 2025, we used $166 million of net cash flows and operating activities versus $219 million last year. Capital expenditures in the quarter were $79 million compared to $92 million in the first quarter of 2024. More than 50% of our planned CapEx investments this year are to fund projects that will drive both top and bottom-line growth. This consists primarily of various plant expansion, automation, and improvement projects as we continue to lower our manufacturing cost structure and better utilize labor.

2025 年第一季度，我們使用了 1.66 億美元的淨現金流和營運活動，而去年為 2.19 億美元。本季資本支出為 7,900 萬美元，而 2024 年第一季為 9,200 萬美元。我們今年計劃的資本支出中有 50% 以上將用於資助能夠推動營收和利潤成長的項目。這主要包括各種工廠擴建、自動化和改進項目，因為我們將繼續降低製造成本結構並更好地利用勞動力。

On April 22 of this year, we paid a quarterly dividend of $0.25 per share, reinforcing our commitment to return value to shareholders, and we expect to pay $1 per share in annual dividends this year, subject to the Board's discretion.

今年 4 月 22 日，我們支付了每股 0.25 美元的季度股息，這強化了我們向股東回報價值的承諾，並且我們預計今年將支付每股 1 美元的年度股息，但須經董事會酌情決定。

Now turning to our outlook for fiscal 2025, which we reaffirmed this morning. In the face of a dynamic consumer spending and tariff environment, we expect to continue to grow profitability by executing our core strategies that Shane reviewed. First, we anticipate that total company sales to increase in the low to mid-single digit percent range compared to fiscal 2024.

現在談談我們對 2025 財年的展望，我們今天早上重申了這一點。面對動態的消費者支出和關稅環境，我們希望透過執行 Shane 審查的核心策略來繼續提高獲利能力。首先，我們預期與 2024 財年相比，公司總銷售額將成長低至個位數百分比。

Our outlook for segment adjusted operating profit is as follows. For our Packaged Meats segment, we anticipate adjusted operating profit in the range of $1.05 billion to $1.15 billion. For Fresh Pork, we anticipate adjusted operating profit of between $150 million to 250 million. As Shane mentioned, we continue to execute our best sales strategy in response to recent tariff actions, and we believe our 2025 range for Fresh Pork addresses tariff risk.

我們對分部調整後營業利潤的展望如下。對於我們的包裝肉類部門，我們預計調整後的營業利潤將在 10.5 億美元至 11.5 億美元之間。對於新鮮豬肉，我們預計調整後的營業利潤將在 1.5 億至 2.5 億美元之間。正如 Shane 所提到的，為了回應最近的關稅行動，我們將繼續執行最佳銷售策略，我們相信 2025 年的新鮮豬肉系列可以解決關稅風險。

For Hog Production, we anticipate adjusted operating profit to range between a loss of $50 million to a profit of $50 million. And we anticipate total company adjusted operating profit in the range of $1.1 billion to $1.3 billion. Our total company operating profit outlook reflects continued efforts to more than offset inflation through cost savings and efficiency initiatives. We anticipate capital expenditures of between $400 million and $500 million for fiscal 2025. And finally, we anticipate an effective tax rate of between 23% and 25% for fiscal 2025.

對於生豬生產，我們預計調整後的營業利潤將在虧損 5,000 萬美元至獲利 5,000 萬美元之間。我們預計公司調整後的總營業利潤將在 11 億美元至 13 億美元之間。我們對公司整體營業利潤的展望反映了我們透過成本節約和效率措施持續努力抵消通貨膨脹的影響。我們預計 2025 財年的資本支出將在 4 億至 5 億美元之間。最後，我們預計 2025 財年的實際稅率將在 23% 至 25% 之間。

In summary, today, we reaffirmed our outlook for 2025 based on solid Q1 results and our continued expectation that we can generate operating profit growth even as we navigate a challenging consumer spending and tariff environment.

總而言之，今天，我們基於穩健的第一季度業績以及我們持續預期即使在充滿挑戰的消費者支出和關稅環境中也能實現營業利潤增長，重申了對 2025 年的展望。

Now I'll ask the operator to open up the call for Q&A. Operator?

現在我請接線生開始電話問答環節。操作員？

(Operator Instructions)

（操作員指示）

Megan Clapp, Morgan Stanley.

摩根士丹利的梅根·克拉普。

Hey. Good morning, Shane and Mark. Thanks so much. I guess we could just start maybe with tariffs. Obviously, a very dynamic situation. You said the guide addresses tariff risks. Wondering if you could just expand on that. Are you including the 145% China tariff rate as it stands today and what exactly does that mean in terms of how you're thinking about your own export demand?

嘿。早安，Shane 和 Mark。非常感謝。我想我們可以從關稅開始。顯然，這是一個非常動態的情況。您說該指南解決了關稅風險。想知道您是否可以進一步闡述這一點。您是否將目前 145% 的中國關稅稅率納入？就您如何考慮自己的出口需求而言，這究竟意味著什麼？

I ask because some of the third-party data we've seen would suggest some pretty meaningful reductions in exports to China recently, so just wondered if you could provide a little bit more detail on maybe what you're seeing specifically if that's different than the industry and what's included in your outlook. Thank you.

我之所以問這個問題，是因為我們看到的一些第三方數據顯示，最近對中國的出口出現了相當顯著的減少，所以我想問您是否可以提供一些更詳細的信息，具體說明您所看到的情況與行業情況有何不同，以及您的展望中包含了哪些內容。謝謝。

Yeah. Thanks, Megan. So as it relates to China, from an industry standpoint, we can't underestimate the importance that China has been to the overall industry. Last year, 2024, China was responsible for about a little over a billion dollars of sales coming out of the US and that helped keep the overall revenue profile up in hog prices and meat.

是的。謝謝，梅根。因此，就中國而言，從產業角度來看，我們不能低估中國對整個產業的重要性。去年，也就是 2024 年，中國從美國獲得的銷售額略高於 10 億美元，有助於維持生豬價格和肉類的整體收入水準。

With China no longer essentially being available, we really had to pivot our business. And Donovan, I'll let you talk to this, but it's -- what we've built over the last few years is really a lot of different levers in fresh pork that we can pull, so we're able to ebb and flow with different markets

由於中國市場不再具有競爭力，我們不得不調整業務。多諾萬，我讓你談談這個，但這是——我們在過去幾年裡建立的，實際上是我們可以利用的新鮮豬肉的許多不同槓桿，所以我們能夠隨著不同的市場而起伏。

For us, China represents in total about 3% of our revenue. And so, while it's important we do believe we have other options and other again levers we can pull through the channels that we discussed a little bit earlier. So Donovan, you want to talk to specifics about what we've been doing?

對我們來說，中國市場占我們總收入的約3%。因此，雖然這很重要，但我們確實相信我們還有其他選擇和其他槓桿，我們可以透過我們之前討論過的管道來實現。那麼多諾萬，你想具體談談我們所做的事情嗎？

Yeah. Thanks, Shane, I appreciate it, and thanks Megan for the question. We understand how important the topic is, and I think we alluded to this in our last call. But it's in the narrative that was talked to by Mark and Shane earlier, we kind of put this in perspective. We believe our -- we're better positioned than others to navigate due to our team. We've been through this before. It's nothing new to us. We fully expected this tariff interruption as we came into 2025.

是的。謝謝，Shane，我很感激，也感謝 Megan 提出這個問題。我們理解這個主題的重要性，我想我們在上次通話中已經提到了這一點。但在馬克和肖恩之前談到的敘述中，我們對此進行了某種程度的闡述。我們相信，憑藉我們團隊的力量，我們比其他人擁有更好的導航優勢。我們以前也經歷過這樣的事。這對我們來說並不是什麼新鮮事。進入 2025 年，我們完全預料到了這次關稅中斷。

So first and foremost, it was alluded to, but it's specifically as what Shane mentioned. Our best customer, we're going to focus on Packaged Meats, and we're going to focus on our Fresh Pork segment first and domestic fresh pork segment, I'll say, in our higher value Fresh Pork items. So we understand and we've talked a lot about China. It seems to be a continuing topic, but we've got 30 other export markets we sell to. So -- and we're utilizing our next best sales strategy that we continue to talk about here.

因此，首先，它被暗示了，但它具體就像 Shane 提到的那樣。我們的最佳客戶，我們將專注於包裝肉類，我們將首先專注於我們的新鮮豬肉部分和國內新鮮豬肉部分，我想說的是，我們的更高價值的新鮮豬肉產品。所以我們理解並且我們已經談論了很多關於中國的事情。這似乎是一個持續的話題，但我們的產品也銷往其他 30 個出口市場。所以——我們正在利用我們在這裡繼續討論的下一個最佳銷售策略。

So albeit that, this is China, 145% is not a viable sales market for us at the moment. We do believe and we hope that things will continue to work and progress to a settlement there, but if it does not, we've got a strategy to mitigate and to improve our sales and to use our next best sales strategy to pretty much mitigate as much as we can from the China aspect.

因此，儘管這是中國，但 145% 目前對我們來說並不是一個可行的銷售市場。我們確實相信並且希望事情會繼續進展並達成和解，但如果沒有，我們會制定策略來緩解和提高我們的銷售，並使用我們的下一個最佳銷售策略來盡可能地緩解中國方面的影響。

And we got to remember too that we're one component in this and we are a large component, but everybody faces the same China struggles that we do. So -- and most importantly, I want to say that that we've got this fully integrated into our 2025 operating profit outlook. So we feel comfortable about our profitability range, and we also feel pretty good about where we sit with alternative markets as -- in respects to the products that are currently going to China.

我們還必須記住，我們是其中的一個組成部分，而且是一個很大的組成部分，但每個人都面臨著與我們一樣的中國困境。所以——最重要的是，我想說我們已經將其完全融入我們的 2025 年營業利潤展望中。因此，我們對我們的獲利範圍感到滿意，並且就目前銷往中國的產品而言，我們對我們在其他市場的地位也感到相當滿意。

Thanks. That's really helpful. A lot of detail there. Maybe a follow up somewhat related, just on Hog Production. Maybe you can talk about your current view, I guess two-part question, part A, your current view on industry hog supply and demand as we think about the remainder of '25 and whether that's -- how the tariff environment's impacting that outlook relative to a month ago.

謝謝。這真的很有幫助。那裡有很多細節。也許有一些相關的後續內容，僅涉及生豬生產。也許您可以談談您目前的看法，我想這個問題分為兩部分，第一部分，當我們考慮 25 年剩餘時間時，您對行業生豬供需的當前看法，以及關稅環境相對於一個月前如何影響這一前景。

And as it relates to your own hog production outlook, you had some strong performance in in 1Q and the curve would continue to suggest that profitability should remain pretty strong in 2Q and 3Q. So any updated views there as it relates to the tariff environment, how that's impacting your own hog production assumptions would be helpful.

就您自己的豬隻生產前景而言，您在第一季度表現強勁，曲線將繼續表明盈利能力在第二季度和第三季度應該保持相當強勁。因此，任何與關稅環境相關的最新觀點，以及其如何影響您自己的生豬生產假設，都會有所幫助。

Yeah. Where we've seen the impact from tariffs as it relates specifically to Hog Production was really on the revenue side. And so in the immediate 10 days following the announcement of the tariffs, we saw a tremendous amount of volatility in Hog Production, again from the revenue side. That has since rebounded. We've seen that come back. But it did at one point, the industry had seen about a $12 a head swing just from the revenue standpoint.

是的。我們看到關稅對生豬生產的影響其實是在收入方面。因此，在關稅宣布後的 10 天內，我們看到生豬生產出現了巨大的波動，同樣是從收入來​​看。此後，這一數字已出現反彈。我們已經看到它再次出現。但確實，從收入角度來看，該產業一度出現每人約 12 美元的波動。

As it relates to the input cost, the hogs that we raised here, we feed corn and soybean mill that's grown here, and those hogs are sold here in the US. So not a big impact on the raising cost side. Just more related to, again, to the potential impacts on the revenue side.

就投入成本而言，我們在這裡飼養的豬，我們用這裡種植的玉米和大豆餵養，然後這些豬在美國出售。因此對提高成本方面的影響並不大。這只是與收入方面的潛在影響更相關的。

Now we've seen meat remain strong and that's helped elevate hog prices back up to more normalized levels and we did have a, as you mentioned, a really nice Q1. In Hog Production, the futures curve does indicate that Q2 and Q3 will remain strong, and then in Q4, what we see is that normal return to seasonality.

現在我們看到肉類價格保持強勁，這有助於將生豬價格推高至更正常的水平，正如您所說，我們確實有一個非常好的第一季。在豬隻生產方面，期貨曲線確實表明第二季和第三季將保持強勁，然後在第四季度，我們看到的是正常的季節性回歸。

From an overall supply and demand balance standpoint, I think my personal opinion is, we're in a balanced situation now. We're not hearing anything about any expansion going on. However, that could change, as profitability moves back into hog production, more normalized cycles return, but what we're hearing today and what we're seeing is a pretty balanced industry at this point.

從整體供需平衡的角度來看，我個人認為，我們現在處於平衡狀態。我們沒有聽到任何有關擴張的消息。然而，隨著盈利能力回歸生豬生產，更加正常的周期回歸，這種情況可能會發生變化，但我們今天聽到的和看到的是，目前這個行業相當平衡。

Great. Thanks, Shane.

偉大的。謝謝，肖恩。

Ben Theurer, Barclays.

巴克萊銀行的 Ben Theurer。

Hey. Good morning, Shane, Mark, congrats on the, on a good result for 1Q. Two quick ones. So first, when we look at the results for the first quarter, and I know we just spoke about four weeks ago on your fourth quarter results. Back then it felt like you were a little bit more cautious on the first quarter. So just wanted to understand if you could maybe break down what your initial expectations were for q! and how it then ultimately turned out in the first quarter. What were the upside surprises within the different segments? That would be my first question, and I have a quick follow up. Thank you.

嘿。早安，Shane、Mark，恭喜你們第一季取得好成績。兩個簡單的。首先，當我們查看第一季的業績時，我知道我們四周前剛剛談到了你們第四季的業績。當時感覺你對第一季更加謹慎。所以只是想了解您是否可以分解一下您對 q 的最初期望！以及第一季的最終結果如何。不同細分市場有哪些令人驚喜的驚喜？這是我的第一個問題，我有一個快速的後續問題。謝謝。

Yeah, Ben, it's Mark, thinking back to the, to the quarter or to the year-end call, really the caution was around the later Easter holiday, as we saw it coming into the first quarter. So with Easter three weeks later, this year, some of that volume is pushed into the second quarter. Additionally, with the higher raw material input costs, primarily, bellies and trimmings being up 15% and 30% respectively year-over-year, allowing time for our formula pricing to catch up.

是的，本，我是馬克，回想一下，到本季度或年終電話會議，真正的謹慎是在復活節假期後期，正如我們在第一季看到的那樣。因此，今年復活節推遲了三週，部分交易量被推遲到第二季。此外，由於原料投入成本較高，主要是五花肉和邊角料分別比去年同期上漲了 15％ 和 30％，這使我們的配方定價有時間跟上。

And then just a cautious outlook from the consumers in general, trading down across the portfolio. But really that plays to our strength where we have a solution, as we've discussed, to meet that consumer wherever they are in their budgetary constraints with the quality branded or private label products. So just a little bit of a trade down in the consumer environment was leading up to the caution in the first quarter.

然後，消費者總體上持謹慎態度，整個投資組合的交易量都在下降。但實際上，這發揮了我們的優勢，正如我們所討論的，我們有一個解決方案，可以透過優質的品牌或自有品牌產品滿足消費者的需求，無論他們身在何處，預算有限。因此，消費環境的輕微下滑導致了第一季的謹慎情緒。

Okay, got it. And then second, if we just come back maybe to the Packaged Meats business which obviously you've flagged it in your prepared remarks but wanted to dig a little bit deeper into some of the initiatives you're doing on the Lunch Meats side where you see the largest opportunities. What portion maybe of CapEx or of focus of growth investments are you planning for the next couple of years to really drive that position of yours up in the packaged lunch meat, which seems a great opportunity as to further grow the Packaged Meats business.

好的，明白了。其次，如果我們回到包裝肉類業務，顯然您已經在準備好的發言中提到了這一點，但我想更深入地探討一下您在午餐肉方面所做的一些舉措，您認為這些舉措蘊藏著最大的機遇。未來幾年，您計劃將多少比例的資本支出或成長投資重點用於真正提升您在包裝午餐肉領域的地位，這似乎是進一步發展包裝肉類業務的絕佳機會。

Yeah, Ben. I'll take the capital question, and I'll throw over to Steve to talk a little bit more about the strategy. But again, as we said, the expectation is to spend between $400 million and $500 million annually on CapEx and about half of those -- half of that spend is on return on investment type projects. So adding capacity in high margin categories, expanding our capabilities, and really about improving our cost structure as well, whether it's through automation or repurposing labor against higher value yielding positions within the facilities, and the other half is going to be basically on maintenance -- repairs and maintenance type spend.

是的，本。我將回答資本問題，然後交給史蒂夫進一步討論策略。但正如我們所說，預計每年在資本支出上花費 4 億至 5 億美元，其中約一半用於投資回報型項目。因此，我們要增加高利潤類別的產能，擴大我們的能力，並且真正改善我們的成本結構，無論是透過自動化還是重新利用勞動力來提高設施內更高價值的收益，另一半基本上將用於維護——維修和維護類型的支出。

But I would say that the skew of the spending again from a segment basis will be more heavily to the Packaged Meats and Fresh Pork segments for the capital moving forward. So I'll turn it to Steve to talk a little bit more about the strategies.

但我想說，從細分市場來看，未來資本支出將更多地流向包裝肉類和新鮮豬肉領域。因此，我將請史蒂夫進一步討論這些策略。

Sure. So I appreciate the question. So when you think about the -- I guess a couple ways to answer this. So when you think about the lunch meat category, so one way we think about lunch or lunch day part, and when you think about lunch day part, the key thing about that is we've been making gains in this space really due to the targeted approach that we have to consumers and also from an innovation standpoint.

當然。我很感謝你提出這個問題。所以當你思考這個問題時——我想有幾種方法可以回答這個問題。因此，當您考慮午餐肉類別時，我們會考慮午餐或午餐日部分，當您考慮午餐日部分時，關鍵在於我們一直在這一領域取得進展，這確實歸功於我們對消費者採取的有針對性的方法，也是從創新的角度出發。

So when we think about the lunch date part, we actually break that down into three categories. So we talk about the bulk deli lunch meat as a category. We also talk about packaged lunch meat, and then portable meals. And the thing about all three of those categories when you look at the results in Q1, is that all three of those categories we grew share, and then in addition to that, the ACV was up a total of 4 points in Q1.

因此，當我們考慮午餐約會部分時，我們實際上將其分為三類。因此，我們將散裝熟食午餐肉作為一個類別來討論。我們也討論了包裝午餐肉，以及便攜餐。當您查看第一季的結果時，您會發現這三個類別的份額均有所增長，除此之外，第一季的 ACV 總共上漲了 4 個百分點。

So when you think specifically about one of the categories that we've talked about in the past with Prime Fresh and freshly sliced deli on the Prime Fresh side, that is the fastest growing brand within that space. So when you look at Q1, we're up 0.7 points for packaged lunch meat on the branded side. And again, that outpaced everybody else in the category.

因此，當您具體考慮我們過去討論過的 Prime Fresh 和 Prime Fresh 方面的新鮮切片熟食的類別之一時，您會發現這是該領域增長最快的品牌。因此，當您查看第一季時，我們會發現品牌包裝午餐肉的銷售量上漲了 0.7 個百分點。並且，這項成績再次超越了同類產品中的其他所有產品。

Likewise, we also saw gains in share in the bulk deli meat. So as Mark had mentioned, it is a big focus for us. We continue to see some big wins, not only from distribution gains, but also consumer acceptance and velocity that we continue to see increasing within this specific space. So it's a big category for us and it's a big focus, and we continue to see a lot of opportunity as we go through this year.

同樣，我們也看到散裝熟食肉的份額有所增長。正如馬克所提到的，這是我們關注的重點。我們繼續看到一些巨大的勝利，不僅來自分銷收益，而且我們繼續看到消費者接受度和速度在這個特定領域不斷提高。所以這對我們來說是一個很大的類別，也是一個很大的焦點，而且我們今年繼續看到很多機會。

Got it. Thanks, Steve.

知道了。謝謝，史蒂夫。

Leah Jordan, Goldman Sachs.

高盛的利亞喬丹 (Leah Jordan)。

Good morning. Thank you for taking my question. I just wanted to stick with Packaged Meats a little bit, seeing if you could provide more detail on how the volumes trended by month throughout the quarter, just so we can isolate the impact of Easter. And just how you were thinking about the balance of volumes and price in that segment as we go throughout the year?

早安.感謝您回答我的問題。我只是想稍微關註一下包裝肉類，看看您是否可以提供更多關於整個季度每月銷售趨勢的細節，這樣我們就可以隔離復活節的影響。您如何看待全年該領域的銷量和價格平衡？

Sure. No, I appreciate the question. So I'll talk about it in a couple weeks. So when you think about the Packaged Meat side, we're going to break it down into, really the retail side of the business and the food service side of the business. So when you think specifically about Q1 in the retail side, as Mark and Shane had already mentioned, I would say there's a few different factors that impacted the results in Q1.

當然。不，我很感謝你提出這個問題。所以我將在幾週後談論它。因此，當您考慮包裝肉類方面時，我們將其分解為業務的零售方面和業務的食品服務方面。因此，當您具體考慮零售方面的第一季時，正如馬克和肖恩已經提到的那樣，我會說有幾個不同的因素影響了第一季的業績。

So first off, we have the shift and the volume shift that we have between Q1 and Q2 because of Easter with Easter occurring three weeks later. Obviously, a sizable piece of our business is seasonal hams, so we see that volume shift from Q1 into Q2. In addition to that, we also saw higher raw material input costs, versus last year. Mark had already mentioned bellies were up 15%, trim up 30%, and we also have [Beef 50] up about 19%. So all those had an impact on our overall profit margin percent. And then finally, we are starting to see some consumers trade down to less expensive alternatives.

首先，由於復活節在三週後到來，我們在第一季和第二季之間出現了變化和數量變化。顯然，我們業務的很大一部分是季節性火腿，因此我們看到銷量從第一季轉移到第二季。除此之外，與去年相比，我們也發現原物料投入成本上升。馬克已經提到過，五花肉價格上漲了 15%，邊角料價格上漲了 30%，而我們的 [Beef 50] 價格也上漲了約 19%。所有這些都對我們的整體利潤率產生了影響。最後，我們開始看到一些消費者選擇更便宜的替代品。

So I'll quickly address each of those. So when you think about the Easter volume shift that you're asking about, the reality is we see that volume coming through into Q2. And the reality is when we look at where we're going to be for the year, we still expect, as Shane had mentioned, to be up about 1% in total volume for the year. So we do see that volume coming back the way we expected from an Easter standpoint.

因此我將快速解決每一個問題。因此，當您考慮所詢問的復活節交易量變化時，實際情況是我們看到該交易量進入第二季度。而現實情況是，當我們展望今年的前景時，正如 Shane 所提到的那樣，我們仍然預計今年的總量將增加約 1%。因此，從復活節的角度來看，我們確實看到交易量以我們預期的方式回升。

When you think about the pricing in the raw material markets that we're dealt with, so although timing varies by category and product line, our formula prices on private label will help mitigate some of those higher raw material costs that we saw in Q1. And also, we are seeing slightly, although they've come down, we're still seeing slightly higher markets in Q2 versus where we were a year ago.

當您考慮我們所處理的原材料市場的定價時，儘管時間因類別和產品線而異，但我們自有品牌的配方價格將有助於緩解我們在第一季看到的一些較高的原材料成本。此外，我們也看到，儘管有所下降，但與一年前相比，第二季的市場仍略有上漲。

And then the other one is the key point is when you start to see that consumer shift that's taking place. To me, that really highlights the benefits of our strong brand portfolio. So we can really help mitigate some of these factors that we typically consider uncontrollable and really staying focused on our current strategies.

另一個關鍵點是當你開始看到正在發生的消費者轉變。對我來說，這確實凸顯了我們強大品牌組合的優勢。因此，我們可以真正幫助緩解一些我們通常認為無法控制的因素，並真正專注於我們當前的策略。

So our diverse brand portfolio that we have this really provides us the ability to market our products to customers and consumers across multiple categories and price points. So as those consumers start to shift down that you're hearing a lot about. So if they decide to shift down and they're buying a premium product, they're going to shift from a premium product down to mid-tier or mid-tier down to value or opening price point. If that consumer does decide to trade out of brands into private label, we have a good opportunity to capture that sale at that point because of the breadth and depth of private label that we produce for a lot of our retail partners.

因此，我們擁有的多樣化品牌組合確實使我們能夠向多個類別和價位的客戶和消費者推銷我們的產品。因此，正如您所聽到的，這些消費者開始減少。因此，如果他們決定降低價格併購買高端產品，他們將從高端產品轉向中端產品，或從中端產品轉向價值或起始價格點。如果消費者確實決定放棄品牌而選擇自有品牌，那麼我們就有很好的機會抓住這個銷售機會，因為我們為許多零售合作夥伴生產的自有品牌具有廣泛的深度和廣度。

So all those things combined really had an impact in Q1. But I would say that the strategy that we have in place and staying focused on really the portfolio that we have and the way we can cover that pricing spectrum, the mix optimization that you've heard us talk about and how we continue to shift that mix to higher margin products and not be tied to so much commodity product, which is really -- certainly be impact because of the higher raw material costs, the innovation that we continue to bring to the market, and then as Shane and Mark both mentioned the operational efficiencies, which is a big focus that we have.

因此，所有這些因素確實對第一季產生了影響。但我想說的是，我們制定的策略確實專注於我們擁有的產品組合，以及我們覆蓋價格範圍的方式，您聽到我們談論的組合優化，以及我們如何繼續將組合轉向利潤率更高的產品，而不是局限於太多的商品產品，這確實 - 肯定會受到原材料成本上漲的影響，我們繼續向市場推出的創新，然後正如 Shane 和 Mark 都提到的，重點是我們提到的營運效率。

So all those things combined, the reality is we're sticking with the guidance that Mark had already mentioned on Packaged Meats when we look at the remainder of 2025.

因此，綜合所有這些因素，現實情況是，當我們展望 2025 年剩餘時間時，我們將堅持馬克已經提到的有關包裝肉類的指導。

Thank you. That's all really helpful color. Just kind of in a related follow up, speaking about the consumer trading down, I know you have a range of price points across your brands. Just what are you seeing in the competitive environment within package meets, maybe how did promotional activity track versus your expectations in the quarter and just how are you thinking about the promotion environment as we go through the year?

謝謝。這些都是非常有用的顏色。就像在相關的後續問題中，談到消費者的降級消費，我知道您的品牌有一系列的價格點。您在包裝會議的競爭環境中看到了什麼？也許本季的促銷活動與您的預期相比如何？您如何看待全年的促銷環境？

Yeah. So I would say that, from a promotional standpoint from a competitive set, it's nothing new. So it's always going to vary depending on what their specific strategy is at the time. So whether somebody decides to try and grab share short term through increased promotions to drive in trade to drive some volume. The reality is, we've always dealt with that. So we're very consistent with how we drive our overall business.

是的。所以我想說，從競爭的促銷角度來看，這並不是什麼新鮮事。因此，它總是會根據他們當時的具體策略而改變。因此，是否有人決定嘗試透過增加促銷來短期搶佔份額，以推動貿易並增加銷售量。事實是，我們一直在處理這個問題。因此，我們推動整體業務的方式非常一致。

And the way we look at this business is it would be very easy to grab share short term by increasing our trade or promotional strategy. But the reality is that's really not the right way to really manage that business because it's short term. And if you're going to gain it on price, you're probably going to lose it on price. So when we look at opportunities to grow our business, we're focused on the long term. So how do we gain that consumer acceptance and drive the consistent volume and repeat purchases with that consumer versus just trying to drive a one-time purchase by having a low price point out there.

我們看待這個行業的方式是，透過增加貿易或促銷策略，可以輕鬆地在短期內搶佔市場份額。但事實上，這確實不是管理該業務的正確方法，因為它是短期的。如果你要在價格上獲利，那麼你很可能也會在價格上虧損。因此，當我們尋找發展業務的機會時，我們會著眼於長遠發展。那麼，我們如何獲得消費者的認可，並推動消費者持續的購買量和重複購買，而不是僅僅透過低價來推動一次性購買？

Great. Thank you.

偉大的。謝謝。

Thomas Palmer, Citi.

花旗銀行的托馬斯·帕爾默。

Good morning and thanks for the questions. I wanted to I guess first just ask on the Hog Production outlook. The first quarter was fractionally profitable in a seasonally weak quarter. And then your messaging when answering one of Megan's questions about 2Q and 3Q seemed pretty positive. So I guess was there a at least the contemplation in terms of boosting the Hog Production outlook or at least raising the low end of the outlook because it does seem like the next couple of quarters should be positive at least.

早安，感謝您的提問。我想先詢問一下生豬生產的前景。由於季節性疲軟，第一季僅實現了微弱的利潤。然後，當您回答梅根關於 2Q 和 3Q 的問題時，您的訊息似乎非常積極。因此，我想，是否至少考慮過提高生豬生產前景，或至少提高前景的低端，因為看起來至少接下來的幾季應該是正面的。

Yeah, Tom, we do again see 2Q, second quarter and third quarter, again, looking at the futures curve, they do look to be strong. Looking at the fourth quarter, right now it looks like normal seasonal losses will occur, but we are a little bit cautious. We saw the impact of the tariff announcements, what that did to the revenue side of the business, and we believe we've appropriately priced that in when you look at our forecast for the year in Hog Production.

是的，湯姆，我們再次看到第二季和第三季度，再次看看期貨曲線，它們確實看起來很強勁。縱觀第四季度，目前看來會出現正常的季節性損失，但我們還是有點謹慎。我們看到了關稅公告的影響，以及它對業務收入方面的影響，我們相信，當您查看我們對今年生豬生產的預測時，我們已經適當地將其計入價格。

Okay. Thanks for that. And then I just had a follow up on the second quarter. You've noted some of the discreet headwinds that that maybe are a little more isolated to 1Q in terms of Easter and some of the raw material factors. I guess as we're thinking about Package Meats, especially any help on kind of how you're thinking about the flow through of profitability. I mean, I would assume sequential improvement is expected in the second quarter, but any help, I guess is we're thinking about last year in terms of puts and takes?

好的。謝謝。然後我對第二季度進行了跟進。您已經注意到一些謹慎的不利因素，這些因素可能與第一季的復活節和一些原料因素有關。我想，當我們正在考慮包裝肉類時，特別是關於您如何考慮盈利流程的任何幫助。我的意思是，我認為第二季預計會出現連續改善，但有什麼幫助嗎，我想我們是在考慮去年的投入和產出嗎？

Tom, you're cutting in and out in the question, so I didn't get it. So could you repeat the question again, please?

湯姆，你的問題時斷時續，所以我沒聽懂。那麼你能再重複一次這個問題嗎？

Yeah, sorry about that. Yeah, just on the Packaged Meat segment, you noted some of the puts and takes, it sounds like the weight on 1Q maybe and then become a benefit in the second quarter. So it did seem like the message was sequential improvement, wondering how that might compare on a year-over-year basis for profitability in Packaged Meats?

是的，很抱歉。是的，僅在包裝肉類部分，您就指出了一些利弊，聽起來可能是第一季的壓力，然後在第二季度變成好處。因此，這看起來確實像是在傳達一種連續改善的訊息，想知道與去年同期相比，包裝肉類的獲利能力如何？

Yeah. Again, I think that cautious consumer that we mentioned and trade downs across the pricing portfolio could compress margins year over year, certainly. And again, as Steve indicated, while costs have come down -- raw material costs have come down from the first quarter, they're still inflated versus the second quarter of last year. So with our formula pricing, it does take a little bit of time to catch up. So I would say there'll be a little bit of margin compression as we move into the second quarter as compared to last year.

是的。再次，我認為，我們提到的謹慎的消費者和整個價格組合的降價肯定會逐年壓縮利潤率。正如史蒂夫所指出的，雖然成本已經下降——原材料成本從第一季開始下降，但與去年第二季度相比仍然高。因此，按照我們的公式定價，確實需要一點時間才能趕上。因此我想說，與去年相比，進入第二季度，利潤率將會有所壓縮。

Okay. Thanks for that.

好的。謝謝。

Yasmine Deswandhy, Bank of America.

美國銀行的 Yasmine Deswandhy。

Hey, guys. Thank you so much for the question. So I just had a similar question that Tom asked, but on Fresh pork instead. So quarter to date, we've been seeing some continued compression and implied spreads in Fresh Pork processing. So how should we think about that impacting 2Q profits for Fresh Pork?

嘿，大家好。非常感謝您的提問。所以我剛剛問了一個和湯姆類似的問題，不過是關於新鮮豬肉的。因此，本季度迄今為止，我們看到新鮮豬肉加工領域持續存在壓縮和隱含價差。那我們該如何看待這對鮮豬肉第二季獲利的影響呢？

Yeah. So I'll start to turn over to Donovan. But seasonally, second and third quarter, you do see compression in that market spread overall, with higher hog prices as we've discussed. But Donovan and the team have done a great job of reducing and improving the cost structure overall so that we're not necessarily as bound by the industry market spread as we have been in the past, additionally, by looking to sell up the value-added side of our portfolio, whether it's case ready or marinated, driving incremental sales margins. But you will continue to see that seasonal compression in the market spread which will impact profitability overall.

是的。因此我將開始把麥克風交給多諾萬。但從季節性來看，第二季度和第三季度，你確實會看到整個市場價差出現收縮，正如我們所討論的，生豬價格上漲。但多諾萬和他的團隊在降低和改善整體成本結構方面做得非常出色，因此我們不必像過去那樣受到行業市場價差的束縛，此外，通過尋求銷售我們產品組合中增值的部分，無論是成品還是醃製產品，都能推動銷售利潤率的提升。但你將繼續看到市場價差的季節性壓縮，這將影響整體獲利能力。

Donovan?

多諾萬？

Yeah, Mark. Totally agree with that assessment. I mean, we're going to go through that seasonal compression, it's not unexpected. So -- but what I'd like to talk about is the focus of our strategy is more related than on our significant efficiency gains through automation improvements. Shane talked about it earlier. I think it's been a common theme here.

是的，馬克。完全同意這個評估。我的意思是，我們將經歷季節性壓縮，這並不出乎意料。所以——但我想談的是，我們的策略重點不僅在於透過自動化改進來實現顯著的效率提升。Shane 之前已經談過這一點。我認為這是一個共同的主題。

We are really attacking our cost structure on Fresh Pork. And that's going to continue. And that only helps this unknown aspect of compression in the market spread. So we know we're going to go through it. We don't know how wide it will be. But we look -- we're very optimistic about how our cost structure compares to that.

我們確實在努力改進新鮮豬肉的成本結構。這種情況將會持續下去。這只會幫助市場價差中未知的壓縮方面。所以我們知道我們將會經歷它。我們不知道它會有多寬。但我們認為——我們對我們的成本結構與之相比非常樂觀。

So I just want to give you some solace in that our market outlook looks very favorable. Market already addressed that we've got this factored into our outlook and profitability of Fresh Pork, and we've got bandwidth when it comes to these efficiency gains I'm talking about. We're very excited about that and hope to talk more about it in our future calls.

因此，我只想讓你們感到安慰，因為我們的市場前景看起來非常樂觀。市場已經解決了這個問題，我們已經將其納入了新鮮豬肉的前景和盈利能力中，並且當談到我所說的效率提升時，我們已經擁有了頻寬。我們對此感到非常興奮，並希望在未來的電話會議中進一步討論這個問題。

The only other thing I would add as it relates to Fresh Pork, and we talked about this in the context of packaged meats, is the timing of Easter. While with it being three weeks later in Fresh Pork, we have seen a delay in some of that traditional promotional activity that would take place for Fresh Pork. So we expect what we typically would see in April, pushing a little further into May and June, from a promotional standpoint.

關於新鮮豬肉，我唯一想補充的是復活節的時間，我們在包裝肉類的背景下討論了這個問題。由於新鮮豬肉的上市時間晚了三週，我們發現一些針對新鮮豬肉的傳統促銷活動有所延遲。因此，從促銷的角度來看，我們預計 4 月的銷售情況將推遲到 5 月和 6 月。

Okay, great. Thank you so much, guys.

好的，太好了。非常感謝你們，夥伴們。

Heather Jones, Heather Jones Research.

希瑟瓊斯，希瑟瓊斯研究。

Good morning. Thanks for the question. I want to start on the Hog Production side and on the genetics piece. I was just wondering if -- it's a two-part question. First, wondering if you could just qualitatively give us a sense of how much of those benefits have you already realized versus how much is still in the [com] And then I would presumably the benefits are related to [sow] productivity, but I was just wondering if there are any offsets that we need to be aware of with that genetics change.

早安.謝謝你的提問。我想從生豬生產方面和遺傳學方面開始談。我只是想知道——這是一個由兩部分組成的問題。首先，我想知道您是否可以從品質上告訴我們，您已經實現了多少好處，以及有多少好處仍然在[玉米]中。然後我推測這些好處與[母豬]生產力有關，但我只是想知道，在基因變化方面，我們是否需要注意任何抵消因素。

Yeah. So from a genetic standpoint, we are in the last time frame, so the last six months of having the new genetics across our commercial herds. So this has been about a five-year project, Heather. So we're in the last phases of that. We are beginning to see the impacts of that manifest in our financial statements. With the grow out cycle of a hog, it's 10 months from the time that new genetic sow has a market pig that is ready to come to the market, we are beginning to see that.

是的。因此，從遺傳學的角度來看，我們正處於最後的時間範圍內，也就是在我們的商業牛群中引入新基因的最後六個月。所以這是一個大約五年的項目，希瑟。所以我們正處於最後階段。我們開始在財務報表中看到其影響。隨著豬的生長週期，從新基因母豬產下可以上市的小豬需要 10 個月的時間，我們開始看到這一點。

And you're correct, most of that is on the sow productivity side. We've seen things like our, PMSY, really expand exponentially, which is helping our overall cost structure. So the sow productivity is a big piece of that. From a trade-off standpoint, as you know, there's always trade-offs and one of the things we've learned in this new genetic is it is a little more difficult from a health perspective.

您說得對，其中大部分與母豬生產力有關。我們已經看到像 PMSY 這樣的產品確實呈指數級增長，這有助於我們改善整體成本結構。因此，母豬生產力是其中很重要的因素。從權衡的角度來看，正如你所知，總是有權衡的，我們從這個新基因中學到的一件事是，從健康角度來看，這有點困難。

And so we do see a little bit of trade-off in health across our herds. But again, we've implemented a number of practices to include to improve the health status of our herd. So that's something we feel like we can overcome. So I would tell you we're almost done, and we really expect to really begin seeing the full impact of that as we continue to move through 2025 indefinitely in 2026.

因此，我們確實看到我們的牛群的健康狀況出現了一些變化。但同樣，我們已經實施了許多措施來改善我們牛群的健康狀況。所以我們覺得我們可以克服這個問題。所以我想告訴你，我們快完成了，我們真的希望在 2026 年繼續無限期地度過 2025 年時真正開始看到它的全部影響。

Thank you for that. And then just talking about industry health and all, I mean, numbers, process volumes have just significantly lagged expectations early part of this year and my understanding a lot of this based on industry challenges with disease and all. I was just wondering what your thoughts are on that as far as how quickly that'll be resolved. And -- or do you expect that to be a challenge for the industry for much of '25?

謝謝你。然後，僅談論行業健康狀況和所有一切，我的意思是，數字、處理量在今年年初已經大大落後於預期，而我的理解很大程度上是基於行業面臨的疾病等挑戰。我只是想知道您對此有何看法，這個問題多久能解決。或者您預計這會成為 2025 年大部分時間在該行業面臨的挑戰？

You know we are coming out of coming out of the winter months. We are hearing more as it relates to disease across the industry. I think you can see some of that in the futures market, how people feel about disease across the industry. For us, we have seen depending on the region, some slightly elevated cases, but I don't think to the level that some in the industry are facing. So I do think it's going to be an issue for the industry as we kind of continue to move through 2025. And we'll see as we get out into the later parts of this year, the second half, and really into the fourth quarter, if we have any holes coming in our process.

你知道我們即將走出冬季。我們聽到了更多關於整個行業疾病的消息。我認為你可以在期貨市場上看到一些關於人們對整個行業疾病的看法。對我們來說，根據地區的不同，我們看到一些病例增加，但我認為還沒有達到一些業內人士所面臨的水平。因此我確實認為，隨著我們繼續邁向 2025 年，這將成為業界面臨的問題。我們將看到，隨著今年下半年、下半年，甚至第四季的到來，我們的流程中是否會出現任何漏洞。

Donovan?

多諾萬？

Yeah. I mean the only thing I'll add is I agree with everything Shane just mentioned. We do see, I mean, numbers are tighter. I think that's a fact. And I think our summertime period, I think we'll see tighter numbers. You can see that currently in the cash market for hogs right now. But all in all, it, that's something else we expected. I think the industry expected I think we're balanced. I think. As far as pork is concerned, we look at it, we see or expect a pretty balanced model throughout the summer and the rest of 2025.

是的。我唯一要補充的是，我同意 Shane 剛才提到的一切。我們確實看到，我的意思是，數字更加緊張。我認為這是事實。我認為在夏季，我們會看到更嚴格的數字。您可以看到，目前生豬現貨市場的情況。但總而言之，這是我們所期待的另一件事。我認為業界預期我們是平衡的。我認為。就豬肉而言，我們看到或預計整個夏季以及 2025 年剩餘時間的豬肉供應將保持相當平衡。

Wonderful. Thank you so much. I appreciate it.

精彩的。太感謝了。我很感激。

Thank you. This includes the question-and-answer session. I'd like to turn the conference back over to President and CEO, Shane Smith for closing remarks.

謝謝。其中包括問答環節。我想將會議交還給總裁兼執行長 Shane Smith 並請他致閉幕詞。

Well, thanks everyone for joining our call today. As we mentioned, we are off to a great start in 2025. We do have a seasoned team that is prepared to navigate a really dynamic macroeconomic environment, and we believe again that we're well positioned to deliver long term growth and increase value for our shareholders, and we look forward to updating you on our progress following Q2 results.

好吧，感謝大家今天參加我們的電話會議。正如我們所提到的，2025 年我們將有一個好的開始。我們確實擁有一支經驗豐富的團隊，準備好應對真正動態的宏觀經濟環境，我們再次相信，我們已做好準備實現長期增長並為股東增加價值，我們期待在第二季度業績公佈後向您通報我們的進展情況。

Thank you. The conference has now concluded, and we thank you all for attending today's presentation. You may now disconnect your lines, and have a wonderful day.

謝謝。會議現已結束，感謝大家參加今天的演講。現在您可以斷開線路，享受美好的一天。