Smithfield Foods reported record results for fiscal year 2014. The subsidiary of Chinese pork company WH Group reported net income of $556.1 million for the year, more than quadrupling its net income of $120.7 million in fiscal year 2013.
Smithfield’s net income for the fourth quarter was $152 million, substantially topping its net income of $34.7 million during the fourth quarter of 2014.
The company also saw an increase in sales in 2014. Sales for the fourth quarter of 2014 were $4.1 billion, up 5 percent. Sales for 2014 were $15.0 billion, an improvement of 8 percent.
In 2014, Smithfield reduced its debt by $705.6 million since it was acquired by WH Group. The acquisition was finalized in September, 2013.
"Our record earnings underscore Smithfield's evolution into a branded packaged meats company. We made significant progress on a number of fronts this year across all of our divisions and I am proud to report that we continued to strengthen our marketing and brand building efforts to drive product mix improvements, while maximizing our manufacturing platform to operate more efficiently. This allowed us to deliver strong margins plus volume, market share and distribution gains across a number of our core brands and strategic product categories, despite extremely high raw material costs. Our performance in the bacon category with our Smithfield brand was particularly robust with strong double-digit gains in volume, market share and distribution," said C. Larry Pope, president and CEO of Smithfield Foods.