WH Group (288) H2 2025 earnings summary

Executive summary

• Revenue reached $28.026 billion in 2025, up 8% year-over-year, with EBITDA up 9.7% and operating profit up 8.7%.

• Profit attributable to owners rose 8.2% to $1.591 billion, with basic EPS up 8.2%.

• Packaged Meat remained the core segment, contributing 50.6% of revenue and 82% of profit, while Pork contributed 40% of revenue and saw significant profit growth.

• North America led regional performance, contributing 54.3% of revenue and 53% of profit; China and Europe followed.

• Special and final dividends, including a distribution in specie of Smithfield shares, were declared, totaling over $1 billion.

Financial highlights

• Pork sales volume increased 8.6% to 4.089 million tons; Packaged Meat volume declined 1.5% to 3.054 million tons.

• Operating cash flow was $2.526 billion; CapEx totaled $611 million.

• Profit attributable to owners rose 8.2% to $1.591 billion; basic EPS was $0.124.

• Total borrowing at year-end was $3.633 billion; debt-to-equity ratio at 0.28.

• Net profit margin improved to 6.8%; EBITDA margin at 12.0%.

Outlook and guidance

• China Packaged Meats strategy in 2026 will focus on volume growth, with profit per ton expected to slightly decline but remain historically high.

• U.S. Packaged Meats expects both volume and profitability growth in 2026, driven by advertising, promotion, and strong brand positioning.

• The Group aims to maintain stable operations amid uncertainties, focusing on core packaged meats, cost control, and European expansion.

• Hog prices in China projected to be about 10% lower in 2026, with a gradual recovery in the second half.

• U.S. Hog Production capacity to be rationalized to 10 million hogs medium-term, with a slight increase in 2026 due to productivity gains.