Hormel Foods reported a modest organic top-line advancement in Q2 FY2025, with net sales of $2.90 billion and a 1% organic growth, alongside a 16.7% gross margin and an 8.56% operating margin. Reported net income was $180.0 million, with diluted EPS of $0.33 and adjusted diluted EPS of $0.35, in line with expectations. The quarter featured continued strength in Retail led by Planters and Applegate, resilient Foodservice momentum, and robust international growth (notably in exports and China). Management emphasized the Transform and Modernize (T&M) initiative as a key driver of operating leverage and margin expansion into the second half, with 66 T&M projects executed in the quarter and ongoing benefits from network optimization (e.g., Memphis distribution center) and portfolio rationalization (e.g., closure of a California dry sausage facility). The company reaffirmed its full-year guidance for organic net sales growth of 2%–3% and adjusted diluted EPS of $1.58–$1.68, while signaling a stronger second half aided by value-added Turkey, Planters momentum, and continued top-line growth across segments. The earnings call highlighted strategic milestones (Planters recovery, Turkey value-added growth, and international expansion) and elevated advertising investments in H2 to support brand equity. Looking ahead, Hormel remains focused on capital expenditure of $275–$300 million for 2025 and a commitment to dividend growth as a dividend aristocrat, while navigating macro headwinds including commodity costs and tariff considerations.