What changed in this filing

/stocks — the workspaceLOADING

Item 1. Financial Statements

2026-04-28 compared with 2025-10-28 · 243 added, 601 removed, 541 unchanged (61% of the section changed)

3 unchanged sentences

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(in millions, except for share and per share data, and unaudited)

Three Months Ended Nine Months Ended

September 28,

2025 September 29,

2024 September 28,

2025 September 29,

(in millions, except share data and per share data, and unaudited)

Three Months Ended

2026 March 30,

Sales $ 3,800 $ 3,771

5 unchanged sentences

Interest expense, net 8 11

Non-operating gains ( 19 ) ( 7 ) ( 17 ) ( 13 )

Income from continuing operations before income taxes 318 276 876 745

Non-operating losses 1 6

Income before income taxes 323 304

Income tax expense 72 72

Loss (income) from equity method investments ( 4 ) ( 3 ) 4 ( 1 )

Net income from continuing operations 252 209 667 581

Net income from continuing operations attributable to noncontrolling interests 4 7 7 9

Net income from continuing operations attributable to Smithfield 248 202 660 572

Income from discontinued operations before income taxes — 49 — 187

Income tax expense (benefit) from discontinued operations — ( 41 ) — 8

Net income from discontinued operations — 90 — 179

Net income from discontinued operations attributable to noncontrolling interests — 1 — 2

Net income from discontinued operations attributable to Smithfield — 89 — 176

Loss from equity method investments 2 5

Net income 249 227

2 unchanged sentences

Net income per common share attributable to Smithfield:

Basic and diluted:

Continuing operations $ 0.63 $ 0.53 $ 1.68 $ 1.51

Discontinued operations — 0.23 — 0.46

Total $ 0.63 $ 0.77 $ 1.68 $ 1.97

Basic $ 0.63 $ 0.57

Diluted 0.62 0.57

Weighted-average shares outstanding:

6 unchanged sentences

(in millions and unaudited)

Three Months Ended Nine Months Ended

September 28,

2025 September 29,

2024 September 28,

2025 September 29,

Three Months Ended

2026 March 30,

Net income $ 249 $ 227

5 unchanged sentences

Comprehensive income 236 270

Comprehensive income (loss) attributable to noncontrolling interests 9 ( 6 ) 28 ( 18 )

Comprehensive income attributable to noncontrolling interests 1 3

Comprehensive income attributable to Smithfield $ 235 $ 267

4 unchanged sentences

(in millions, except share data, and unaudited)

September 28,

2026 December 28,

32 unchanged sentences

5,000,000,000 shares authorized;

393,112,711 shares issued and outstanding as of September 28, 2025 and 380,069,232 shares issued and outstanding as of December 29, 2024

393,477,263 shares issued and outstanding as of March 29, 2026 and 393,112,711 shares issued and outstanding as of December 28, 2025

Additional paid-in capital 3,292 3,338

8 unchanged sentences

(in millions and unaudited)

Nine Months Ended

September 28,

2025 September 29,

Three Months Ended

2026 March 30,

Cash flows from operating activities:

Net income $ 249 $ 227

Net income from discontinued operations — ( 179 )

Net income from continuing operations $ 667 $ 581

Adjustments to reconcile net income from continuing operations to net cash flows from operating activities of continuing operations:

Adjustments to reconcile net income to net cash flows used in operating activities:

Depreciation and amortization 83 83

Changes in operating and other assets and liabilities, net ( 390 ) ( 541 )

Net cash flows from operating activities of continuing operations 121 233

Other ( 8 ) 64

Net cash flows used in operating activities ( 65 ) ( 166 )

Cash flows from investing activities:

Capital expenditures ( 88 ) ( 79 )

Investments in partnerships and other assets ( 10 ) ( 5 )

Net expenditures from breeding stock transactions ( 6 ) ( 7 )

Proceeds from sale of property, plant and equipment and other assets 6 8

Insurance proceeds 7 2

Cash receipts on notes receivable 14 1

Net cash flows used in investing activities of continuing operations ( 239 ) ( 305 )

Net cash flows used in investing activities ( 80 ) ( 85 )

Cash flows from financing activities:

Payment of dividends ( 297 ) ( 270 )

Principal payments on long-term debt and finance lease obligations ( 1 ) ( 20 )

Repayments to Securitization Facility — ( 14 )

Proceeds from Securitization Facility — 14

Net repayments to revolving credit facilities — ( 1 )

Net proceeds from issuance of common stock — 236

Other ( 5 ) —

Net cash flows used in financing activities of continuing operations ( 64 ) ( 290 )

Effect of foreign exchange rate changes on cash from continuing operations 12 ( 12 )

Cash flows from discontinued operations:

Net cash flows from operating activities of discontinued operations — 221

Net cash flows used in investing activities of discontinued operations — ( 171 )

Net cash flows used in financing activities of discontinued operations — ( 143 )

Effect of foreign exchange rate changes on cash from discontinued operations — ( 5 )

Net change in cash and cash equivalents of discontinued operations — ( 98 )

Net cash flows from (used in) financing activities ( 5 ) 236

Effect of foreign exchange rate changes on cash ( 4 ) —

Net change in cash, cash equivalents and restricted cash ( 154 ) ( 15 )

Cash, cash equivalents and restricted cash at beginning of period (including discontinued operations) 943 751

Cash, cash equivalents and restricted cash at beginning of period 1,539 943

Cash, cash equivalents and restricted cash at end of period $ 1,386 $ 928

3 unchanged sentences

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY

(in millions and unaudited)

Three Months Ended September 28, 2025

(in millions, except share data, and unaudited)

Three Months Ended

March 29, 2026

Shares of Common Stock Additional

Capital Retained

Earnings Accumulated

Comprehensive

Shareholders’

Balance, June 29, 2025 $ 3,335 $ 3,398 $ ( 432 ) $ 6,301

Dividend — ( 99 ) — ( 99 )

Adjustment to redeemable noncontrolling interests ( 5 ) — — ( 5 )

Balance, December 28, 2025 393,112,711 $ 3,338 $ 3,776 $ ( 314 ) $ 6,801

Stock compensation expense — 3 — — 3

Comprehensive income:

Net income attributable to Smithfield — 248 — 248

Other comprehensive loss, net of tax — — 18 18

Balance, September 28, 2025 $ 3,333 $ 3,548 $ ( 414 ) $ 6,466

Three Months Ended September 29, 2024

Comprehensive

Shareholders’

Balance, June 30, 2024 $ 4,117 $ 3,864 $ ( 545 ) $ 7,436

Dividend — ( 88 ) — ( 88 )

European operations carve-out ( 1,125 ) ( 1,071 ) 143 ( 2,054 )

Settlement of restricted stock units 544,464 1 ( 1 ) — —

Withholding tax on settlement of restricted stock units ( 179,912 ) ( 4 ) — — ( 4 )

Adjustment to redeemable noncontrolling interests — ( 46 ) — — ( 46 )

Dividends declared ($ 0.3125 per share)

— — ( 123 ) — ( 123 )

Comprehensive income:

Net income attributable to Smithfield — — 246 — 246

Other comprehensive income, net of tax — — 39 39

Balance, September 29, 2024 $ 2,967 $ 2,997 $ ( 363 ) $ 5,601

Nine Months Ended September 28, 2025

Other comprehensive loss, net of tax — — — ( 11 ) ( 11 )

Balance, March 29, 2026 393,477,263 $ 3,292 $ 3,897 0 $ ( 325 ) $ 6,864

Three Months Ended

March 30, 2025

Shares of Common Stock Additional

Comprehensive

1 unchanged sentence

Balance, December 29, 2024 380,069,232 $ 3,102 $ 3,184 $ ( 452 ) $ 5,834

Dividend — ( 296 ) — ( 296 )

Net proceeds from issuance of common stock 236 — — 236

Issuance of common stock 13,043,479 236 — — 236

Stock compensation expense — 2 — — 2

Adjustment to redeemable noncontrolling interests — ( 15 ) — — ( 15 )

Other ( 6 ) — — ( 6 )

Dividends declared ($ 0.2500 per share)

— — ( 99 ) — ( 99 )

Comprehensive income:

1 unchanged sentence

Other comprehensive income, net of tax — — — 43 43

Balance, September 28, 2025 $ 3,333 $ 3,548 $ ( 414 ) $ 6,466

Nine Months Ended September 29, 2024

Comprehensive

Shareholders’

Balance, December 31, 2023 $ 4,152 $ 3,588 $ ( 500 ) $ 7,241

Dividend — ( 269 ) — ( 269 )

European operations carve-out ( 1,125 ) ( 1,071 ) 143 ( 2,054 )

Adjustment to redeemable noncontrolling interests ( 58 ) — — ( 58 )

Other ( 1 ) — — ( 1 )

Comprehensive income:

Net income attributable to Smithfield — 749 — 749

Other comprehensive loss, net of tax — — ( 6 ) ( 6 )

Balance, September 29, 2024 $ 2,967 $ 2,997 $ ( 363 ) $ 5,601

Balance, March 30, 2025 393,112,711 $ 3,325 $ 3,308 $ ( 408 ) $ 6,225

See Notes to Condensed Consolidated Financial Statements

6 unchanged sentences

We are an indirect, majority-owned subsidiary of Hong Kong-based WH Group Limited (“WH Group”).

These statements and notes should be read in conjunction with the audited consolidated financial statements and related notes included in our Annual Report on Form 10-K filed for the fiscal year ended December 28, 2025, which include a comprehensive description of our significant accounting policies and other information that is not included herein.

Sales, profitability and cash flow generation and use are impacted on a quarterly basis by the seasonal nature of our business.

Our sales and profitability are generally higher in the fourth quarter due to the Thanksgiving and Christmas holidays.

In addition, the timing of the Easter holiday can affect the comparability of our first and second quarters on both a quarter-to-quarter and year-over-year basis.

We typically build inventories of certain products in anticipation of seasonal demand fluctuations, as periods of higher sales for hams occur during major holidays, while sales of ribs, smoked sausages and hot dogs are generally higher during the summer months.

Hog prices also exhibit seasonal patterns, tending to rise as hog supplies decrease during the summer and decline as supplies increase during the fall and winter.

These fluctuations are driven by lower farrowing performance during the winter and slower animal growth rates during the summer, which can impact our cost structure and profitability throughout the year.

Our cash use is highest in the first quarter, primarily due to working capital needs related to payments to certain suppliers that are typically deferred in the fourth quarter.

Basis of Presentation

5 unchanged sentences

Certain prior period amounts have been reclassified to conform to the current period presentation.

These statements and notes should be read in conjunction with the audited consolidated financial statements and related notes for the year ended December 29, 2024, which include a comprehensive description of our significant accounting policies and other information that is not included herein.

Our elected fiscal year is the 52-week or 53-week period which ends on the Sunday nearest to December 31.

Unless otherwise noted, all references to the third quarter of 2025 and the three months ended September 28, 2025 are to the 13-week period ended September 28, 2025.

All references to the third quarter of 2024 and the three months ended September 29, 2024 are to the 13-week period ended September 29, 2024.

Each of the nine months ended September 28, 2025 and September 29, 2024 consisted of 39-weeks.

Each of the first quarters of fiscal years 2026 and 2025, which ended on March 29, 2026 and March 30, 2025, respectively, consisted of 13 weeks.

Principles of Consolidation

The condensed consolidated financial statements include the accounts of all wholly-owned subsidiaries, as well as majority-owned subsidiaries and other entities for which we have a controlling financial interest.

All intercompany transactions and accounts have been eliminated.

We evaluate contractual, equity and other variable interests in entities that may be deemed variable interest entities (“VIE”).

1 unchanged sentence

A VIE’s primary beneficiary has both (1) the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and (2) the obligation to absorb losses or the right to receive benefits from the VIE that could potentially be significant to the VIE.

All intercompany transactions and accounts have been eliminated.

Stock-Based Compensation

In connection with our initial public offering (“IPO”), we adopted an incentive plan under which eligible individuals may be granted equity-based incentive awards including stock options and restricted stock units (“RSUs”), among others.

We estimate the fair value of stock options on the grant date using the Black-Scholes option pricing model.

RSUs are measured at fair value as if they were vested and issued on the grant date.

We recognize stock-based compensation expense for stock options and RSUs granted to our employees using the straight-line method over the requisite service period.

We recognize forfeitures as they occur.

Stock-based compensation expense is included in selling, general and administrative expenses (“SG&A”) in the condensed consolidated statements of income.

Sales and profitability as well as cash flow generation and use are impacted on a quarterly basis by the seasonal nature of our business.

Generally, our sales and profitability are higher in the fourth quarter due to the Thanksgiving and Christmas holidays.

In addition, the timing of the Easter holiday can impact the comparability of our first and second quarters both on a quarter-to-quarter and year-over-year basis.

Our cash use is highest in the first quarter due to working capital needs related to payments to certain suppliers that are typically deferred in the fourth quarter.

Cash and Cash Equivalents

We maintain a cash management structure with one of our banking institutions that incorporates a master netting arrangement.

This structure utilizes concentration accounts, automated sweep mechanisms and zero‑balance disbursement accounts to fund disbursements, such as payroll and accounts payable.

All accounts under this structure are netted and presented in either cash and cash equivalents or accounts payable on the condensed consolidated balance sheet depending on whether the net balance is positive or in an overdraft position.

As of March 29, 2026 and December 28, 2025, the net overdraft balances were $ 32 million and $ 29 million, respectively, which were presented in accounts payable on the condensed consolidated balance sheets.

Recently Issued Accounting Pronouncements

New Accounting Pronouncements Recently Adopted

In July 2025, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2025-05 Financial Instruments—Credit Losses (Topic 326):

Measurement of Credit Losses for Accounts Receivable and Contract Assets , which simplifies the estimation of credit losses on current accounts receivable and contract assets arising from transactions accounted for under ASC 606.

The update was adopted and applied to assets within its scope in this Quarterly Report on Form 10-Q on a prospective basis.

The standard did not impact our financial position, results of operations or cash flows.

New Accounting Pronouncements Not Yet Adopted

In December 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No.

2023-09, Income Taxes (Topic 740):

Improvements to Income Tax Disclosures .

The standard requires enhanced rate reconciliation disclosures, including disclosure of specific categories and additional information for reconciling items that meet a quantitative threshold.

The standard also requires companies to disaggregate income taxes paid by federal, state and foreign jurisdictions.

The update is effective for our annual report on Form 10-K for fiscal year 2025, with early adoption permitted.

The standard will not impact our financial position, results of operations or cash flows.

In November 2024, the FASB issued ASU 2024-03 Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40):

8 unchanged sentences

Once adopted, this update will be applied prospectively to transactions within the scope of the guidance.

In July 2025, the FASB issued ASU 2025-05, Financial Instruments—Credit Losses (Topic 326):

The update is effective for fiscal year 2026, including interim periods within that fiscal year, with early adoption permitted.

Once adopted, this update will be applied prospectively to assets within the scope of the guidance.

We do not expect the adoption of this standard to have a material impact on our financial position, results of operations or cash flows.

In September 2025, the FASB issued ASU 2025-06 Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40) , which streamlines the capitalization guidance for internal-use software and supersedes prior guidance on website development costs.

5 unchanged sentences

We do not expect the adoption of this standard to have a material impact on our financial position, results of operations or cash flows.

In November 2025, the FASB issued ASU 2025‑09 Hedge Accounting Improvements , which enhances guidance related to hedge accounting, including provisions for component hedging.

The update is effective for fiscal year 2027, including interim periods within that fiscal year, with early adoption permitted.

Upon adoption, the update will be applied prospectively to open hedging relationships and to new hedges within the scope of the guidance.

We do not expect the adoption of this standard to have a material impact on our financial position, results of operations or cash flows.

In December 2025, the FASB issued ASU 2025‑10 Accounting for Government Grants , which provides authoritative guidance on the recognition, measurement, and disclosure of government grants.

The update is effective for fiscal year 2029, including interim periods within that fiscal year, with early adoption permitted.

We do not expect the adoption of this standard to have a material impact on our financial position, results of operations, or cash flows.

In December 2025, the FASB issued ASU 2025‑11 Interim Reporting (Topic 270):

Narrow-Scope Improvements , which clarifies interim reporting requirements and enhances consistency in disclosures.

The update is effective for fiscal year 2028, including interim periods within that fiscal year, with early adoption permitted.

We do not expect the adoption of this standard to have a material impact on our financial position, results of operations, or cash flows, as the amendments primarily clarify existing guidance.

In December 2025, the FASB issued ASU 2025‑12 Codification Improvements , which makes 33 incremental improvements to GAAP across a broad range of topics intended to address technical corrections, unintended application of the accounting standards codification, clarifications and other minor improvements.

This update is effective for fiscal year 2027, including interim periods within that fiscal year, with early adoption permitted.

We do not expect the adoption of this update to have a material impact on our financial position, results of operations, or cash flows.

REPORTABLE SEGMENTS

Our reportable segments are determined on the basis of our organizational structure and information that is regularly reviewed by our Chief Operating Decision Maker (“CODM”) for the purpose of making operating and resource allocation decisions and assessing the performance of the operating segments of our business.

Our reportable segments are determined on the basis of our organizational structure and information that is regularly reviewed by our Chief Operating Decision Maker (“CODM”) for the purpose of assessing the performance of the operating segments of our business and making operating and resource allocation decisions.

Our CODM is our Chief Executive Officer.

2 unchanged sentences

Therefore, we do not disclose assets by reportable segment.

Additionally, while segments are managed separately, our manufacturing and distribution activities are often integrated to optimize cost efficiencies, resulting in jointly utilized assets, including fixed assets, that are not tracked at the segment level.

Depreciation and amortization associated with these shared assets are generally allocated to reportable segments.

The measure of segment profit reviewed by our CODM is operating profit.

Our CODM uses operating profit to assess segment performance, compensate employees and allocate capital, personnel and other resources to each segment.

Following the carve-out and distribution of our European operations (see “Note 3:

Discontinued Operations”), we conduct our operations through three reportable segments:

We conduct our operations through three reportable segments:

Packaged Meats, Fresh Pork and Hog Production.

We also conduct operations through two other operating segments, Mexico and Bioscience, which are aggregated and reported as “Other.”

Packaged Meats

8 unchanged sentences

operations that process live hogs into a wide variety of primal, sub-primal and offal products, such as bellies, butts, hams, loins, picnics and ribs.

During the first nine months of 2025, the Fresh Pork segment sourced approximately 40 % of its raw materials from our Hog Production segment, compared to approximately 50 % d uring the same period in 2024, w ith the remainder from third-party farmers with whom we partner across the U.S.

The Fresh Pork segment sources approximately 40 % of its raw materials from our Hog Production segment, w ith the remainder from farmers with whom we partner across the U.S.

Approximately one-third of our fresh pork products, including the majority of hams, bellies and trimmings, is transferred to our Packaged Meats segment.

Externally, we sell our fresh pork products to domestic retail, foodservice and industrial customers, as well as to export markets, including, among others, China, Mexico, Japan, South Korea and Canada.

Externally, we sell our fresh pork products to domestic retail, foodservice and industrial customers, as well as to export markets, including, among others, Mexico, China, Japan, South Korea and Canada.

Hog Production

The Hog Production segment consists of our hog production operations in the U.S.

, which produce and raise our hogs on numerous Company-owned farms and farms that are owned and operated by third-party contract farmers.

, which produce and raise our hogs on numerous Company-owned farms and farms that are owned and operated by contract farmers.

Nearly all of the hogs produced by this segment are processed by our Fresh Pork segment.

The Hog Production segment also sells grains and feed to external customers.

The Hog Production segment also sells livestock feed and grains and provides transportation and other ancillary services to external customers.

The following tables provide certain financial information by reportable segment with a reconciliation to the consolidated totals.

Three Months Ended September 28, 2025

Packaged Meats Fresh Pork Hog Production Other (1)

Corporate (2)

Unallocated (3)

Intersegment Consolidated

(in millions)

Sales $ 2,090 $ 2,185 $ 813 $ 131 $ — $ — $ ( 1,473 ) $ 3,747

Cost of sales 1,770 2,135 714 116 — 5 ( 1,473 ) 3,268

Selling, general and administrative expenses 95 40 10 5 24 5 — 178

Operating gains — — — — — ( 9 ) — ( 9 )

Operating profit (loss) 226 10 89 10 ( 24 ) ( 1 ) — 310

Interest expense, net 11 11

Non-operating gains ( 19 ) ( 19 )

Income from continuing operations before income taxes $ 318

Other segment data:

Depreciation and amortization $ 33 $ 27 $ 14 $ 7 $ — $ 1 $ — $ 82

Capital expenditures 41 30 14 3 1 — — 88

Three Months Ended September 29, 2024

Packaged Meats Fresh Pork Hog Production Other (1)

Corporate (2)

Unallocated (3)

Intersegment Consolidated

(in millions)

Sales $ 1,917 $ 1,951 $ 738 $ 117 $ — $ — $ ( 1,389 ) $ 3,334

Cost of sales 1,578 1,878 685 92 — 15 ( 1,389 ) 2,859

Selling, general and administrative expenses 100 46 12 5 28 9 — 200

Operating gains — — — — — ( 10 ) — ( 10 )

Operating profit (loss) 239 28 40 20 ( 28 ) ( 15 ) — 285

Interest expense, net 17 17

Non-operating gains ( 7 ) ( 7 )

Income from continuing operations before income taxes $ 276

Other segment data:

Depreciation and amortization $ 31 $ 29 $ 15 $ 7 $ — $ 5 $ — $ 88

Capital expenditures 29 19 9 1 38 — — 95

________________

(1) Includes our Mexico and Bioscience operations.

Our Mexico operations include the raising of hogs and production of pork products that are sold primarily to customers in Mexico.

Our Bioscience operations use raw materials from hogs that we harvest to manufacture heparin products, including an active pharmaceutical ingredient that mitigates the risk of blood clots.

(2) Represents general corporate expenses for management and administration of the business.

(3) Represents certain items that we do not allocate to our segments.

Nine Months Ended September 28, 2025

Three Months Ended

March 29, 2026

Packaged Meats Fresh Pork Hog Production Other (1)

10 unchanged sentences

Non-operating losses 1 1

Income from continuing operations before income taxes $ 876

Income before income taxes $ 323

Other segment data:

1 unchanged sentence

Capital expenditures 45 33 8 1 2 — — 88

Nine Months Ended September 29, 2024

Three Months Ended

March 30, 2025

Packaged Meats Fresh Pork Hog Production Other (1)

9 unchanged sentences

Interest expense, net 11 11

Non-operating gains ( 13 ) ( 13 )

Income from continuing operations before income taxes $ 745

Non-operating losses 6 6

Income before income taxes $ 304

Other segment data:

3 unchanged sentences

(1) Includes our Mexico and Bioscience operations.

Our Mexico operations include the raising of hogs and production of pork products that are sold primarily to customers in Mexico.

Our Mexico operations raise hogs and produce pork products that are sold primarily to customers in Mexico.

Our Bioscience operations use raw materials from hogs that we harvest to manufacture heparin products, including an active pharmaceutical ingredient that mitigates the risk of blood clots.

(2) Represents general corporate expenses for management and administration of the business.

(3) Represents certain items that we do not allocate to our segments.

(3) We do not allocate certain items to our operating segments such as litigation charges, exit and disposal costs, insurance recoveries, gains and losses on the sale of property, plant and equipment and other assets, accelerated depreciation, and employee termination benefits, among others.

The following tables disaggregate our sales to customers by reportable segment and by major distribution channel.

Three Months Ended September 28, 2025

Foodservice (2)

Industrial (4)

Other / Unallocated (5)

Total External Sales (6)

Intersegment Consolidated

(in millions)

Packaged Meats $ 1,238 $ 719 $ 27 $ 102 $ 3 $ 2,090 $ — $ 2,090

Fresh Pork 506 71 414 284 1 1,275 910 2,185

Hog Production — — — — 251 251 562 813

— — — — 131 131 — 131

Intersegment — — — — — — ( 1,473 ) ( 1,473 )

Total $ 1,744 $ 790 $ 442 $ 386 $ 386 $ 3,747 $ — $ 3,747

Three Months Ended September 29, 2024

Foodservice (2)

Industrial (4)

Other / Unallocated (5)

Total External Sales (6)

Intersegment Consolidated

(in millions)

Packaged Meats $ 1,167 $ 634 $ 14 $ 98 $ 4 $ 1,917 $ — $ 1,917

Fresh Pork 479 57 391 267 1 1,195 756 1,951

Hog Production — — — — 106 106 632 738

— — — — 117 117 — 117

Intersegment — — — — — — ( 1,389 ) ( 1,389 )

Total $ 1,646 $ 691 $ 405 $ 365 $ 227 $ 3,334 $ — $ 3,334

________________

(1) Includes national and regional retailers in the U.S.

such as grocery supermarket chains, independent grocers and club stores.

(2) Includes foodservice distributors, fast food and other restaurant operators, hotel chains and other institutional customers in the U.S.

(3) Includes exports from the U.S.

to international retailers and wholesale distributors primarily in North America, Asia, Latin America and other emerging markets.

(4) Includes sales to industrial customers who use our raw materials in their finished goods production, including prepared meals, pharmaceutical production and pet food.

(5) Includes sales of grain, oilseeds, feed, breeding stock and market hogs, among others, in addition to external sales from our Mexico and Bioscience operations.

(6) Includes external sales from our Mexico operations of $ 129 million and $ 105 million in the three months ended September 28, 2025 and September 29, 2024, respectively.

All other external sales are sourced from our U.S.

(7) Includes our Mexico and Bioscience operations.

Nine Months Ended September 28, 2025

Three Months Ended

March 29, 2026

Foodservice (2)

10 unchanged sentences

Total $ 1,889 $ 693 $ 429 $ 366 $ 423 $ 3,800 $ — $ 3,800

Nine Months Ended September 29, 2024

Three Months Ended

March 30, 2025

Foodservice (2)

18 unchanged sentences

(5) Includes sales of grain, oilseeds, feed, breeding stock and market hogs, among others, in addition to external sales from our Mexico and Bioscience operations.

(6) Includes external sales from our Mexico operations of $ 341 million and $ 316 million in the nine months ended September 28, 2025 and September 29, 2024, respectively.

(6) Includes external sales from our Mexico operations of $ 169 million and $ 99 million for the three months ended March 29, 2026 and March 30, 2025, respectively.

All other external sales are sourced from our U.S.

(7) Includes our Mexico and Bioscience operations.

DISCONTINUED OPERATIONS

On August 26, 2024, we completed a carve-out and distribution of our European operations to WH Group.

The European carve-out represented a strategic shift in our geographical footprint.

Accordingly, where applicable, the historical results of operations, assets and liabilities, and cash flows of the European operations have been condensed into separate line items and presented in the condensed consolidated statements of income, the condensed consolidated balance sheets and the condensed consolidated statements of cash flows as discontinued operations.

The following table presents the major components of net income from discontinued operations included in the condensed consolidated statements of income.

Three Months Ended Nine Months Ended

September 28,

2025 September 29,

2024 September 28,

2025 September 29,

(in millions)

Sales $ — $ 626 $ — $ 2,362

Cost of sales — 542 — 2,037

Gross profit — 84 — 325

Selling, general and administrative expenses — 44 — 149

Operating gains — ( 4 ) — ( 15 )

Operating profit — 45 — 190

Interest expense — 2 — 4

Non-operating gains — ( 7 ) — —

Income from discontinued operations before income taxes — 49 — 187

Income tax expense (benefit) from discontinued operations (1)

Net income from discontinued operations $ — $ 90 $ — $ 179

________________

(1) Income tax expense (benefit) from discontinued operations for 2024 includes a $ 27 million income tax benefit recognized as a result of the carve-out of our European operations.

Acquisition within our Discontinued Operations

Prior to the carve-out and distribution of our European operations, we completed the following acquisition, which is included in discontinued operations.

On March 28, 2024, our former European operations purchased a 50.1 % stake in Argal Alimentacíon, S.A.

(“Argal”), a Spanish producer of packaged meats products with approximately 1,480 employees, for € 91 million ($ 98 million), subject to post-closing adjustments.

The amount paid at closing was € 82 million ($ 88 million) with the remaining balance due upon finalization of the purchase price.

In August 2024, an additional € 8 million ($ 9 million) was paid, which resulted in a final purchase price of € 90 million ($ 97 million).

ACQUISITION AND DISPOSITIONS

On July 30, 2024, we acquired a dry sausage production facility located in Nashville, Tennessee from Cargill Meat Solutions Corporation for $ 38 million.

The acquisition is part of our strategy to grow our value-added packaged meats business and serve the growing demand for high-quality pepperoni, deli, charcuterie and other dry sausage products.

The total cost of the asset acquisition was allocated based on the relative fair value of the assets acquired.

The allocated fair values of the assets acquired are as follows:

equipment valued at $ 17 million, buildings valued at $ 11 million, inventory valued at $ 5 million and land valued at $ 5 million.

On June 30, 2025, we closed our leased Elizabeth, New Jersey dry sausage production facility and consolidated production across our network.

Costs associated with closing the plant primarily include equipment that we disposed of prior to the end of the asset’s useful life.

The charges associated with the closing were not material.

This facility was accounted for in the Packaged Meats segment.

On August 30, 2024, we closed our Altoona, Iowa ham boning facility and consolidated production volume into other locations to improve manufacturing efficiencies.

Costs associated with closing the plant primarily include operating lease assets and equipment that we disposed of prior to the expiration of the lease term or end of the asset’s useful life.

The charges associated with the closing were not material.

This facility was accounted for in the Fresh Pork segment.

OPERATING GAINS AND NON-OPERATING GAINS

The following table provides details of operating gains and non-operating gains.

Three Months Ended Nine Months Ended

September 28,

2025 September 29,

2024 September 28,

2025 September 29,

PENDING ACQUISITION

Nathan’s Famous

On January 20, 2026, we entered into an agreement to acquire all of the issued and outstanding shares of Nathan’s Famous Inc.

(“Nathan’s”) for $ 102.00 per share in cash.

The acquisition is expected to be funded using cash on hand.

Since March 2014, we have held an exclusive license to manufacture, distribute, market and sell “Nathan’s Famous” branded hot dogs, sausages, corned beef and certain other ancillary products through retail outlets in the U.S.

and Canada and Sam’s Clubs in Mexico.

The license is scheduled to expire in March 2032.

Completion of the transaction remains contingent upon meeting several conditions specified in the merger agreement.

These include securing approval from the holders of a majority of Nathan’s outstanding common stock, obtaining clearance from the Committee on Foreign Investment in the United States (“CFIUS”), and fulfilling other standard closing requirements.

However, given the impact of the partial government shutdown on statutory deadlines for CFIUS’s review process, our anticipated closing timeline has shifted, and we now expect the transaction to close in the second half of 2026.

OPERATING GAINS AND NON-OPERATING LOSSES

The following table provides details of operating (gains) and non-operating (gains) losses.

Three Months Ended

2026 March 30,

(in millions)

Operating gains:

Insurance recoveries (1)

$ ( 2 ) $ ( 3 ) $ ( 37 ) $ ( 4 )

Gain on disposal of assets $ ( 1 ) $ ( 2 )

Insurance recoveries (1)

Other operating gains — ( 1 )

( 6 ) ( 2 ) ( 7 ) ( 3 )

Operating gains $ ( 1 ) $ ( 9 )

Non-operating gains:

Gain on nonqualified retirement plan assets (3)

$ ( 23 ) $ ( 9 ) $ ( 29 ) $ ( 18 )

Non-operating losses:

Loss on assets held in rabbi trusts (2)

Net pension and postretirement benefits cost (3)

Other non-operating gains ( 2 ) —

Non-operating gains

$ ( 19 ) $ ( 7 ) $ ( 17 ) $ ( 13 )

Non-operating losses

________________

(1) Consists of gains recognized in connection with settlements of insurance claims associated with property damage.

Also includes settlements of insurance claims in the second quarter of 2025 and the second and third quarters of 2024 for losses incurred in connection with past litigation.

(2) Includes a $ 6 million gain recognized in the third quarter of 2025 related to the settlement of a commercial dispute.

(3) Includes a $ 17 million gain recognized in the third quarter of 2025 for a one-time benefit on company-owned life insurance policies.

(1) Consists of a gain recognized in connection with a settlement of an insurance claim associated with property damage.

See “Note 15:

Regulation and Contingencies” for further discussion.

(2) Assets held in rabbi trusts are used to fund nonqualified defined benefit pension and deferred compensation plans.

(3) Includes the components of net pension and postretirement benefits cost other than service cost, which is included in operating profit.

These components consist of interest cost, expected return on plan assets, amortization of actuarial gains/losses and prior service costs/credits, and curtailment gains.

RESTRUCTURING

Hog Production Reform

Beginning in 2023, we undertook a number of actions to optimize the size of our Hog Production segment’s operations and improve its cost structure, including ceasing certain farm operations, terminating certain agreements with underperforming contract farmers and reducing the size of our hog production business (“Hog Production Reform”).

In the fourth quarter of fiscal year 2024, we became a member of a North Carolina-based company, Murphy Family Farms LLC (“Murphy Family Farms”), by contributing $ 3 million in cash in exchange for a 25 % minority interest.

We additionally sold approximately 150,000 sows and related inventories located on Company-owned and contract farms in North Carolina to Murphy Family Farms.

Subsequent to the end of fiscal year 2024, on December 30, 2024, we sold the commercial hog inventories associated with such sows to Murphy Family Farms.

Murphy Family Farms is now a hog supplier to us and supplies approximately 3.2 million hogs annually.

We supply animal feed and other supplies and provide certain support services to Murphy Family Farms.

On February 24, 2025, we became a member of a North Carolina-based company, VisionAg Hog Production, LLC (“VisionAg”), by contributing $ 450,000 in cash in exchange for a 9 % minority interest.

We additionally sold approximately 28,000 sows and the associated commercial hog inventories located on certain Company-owned and contract farms in North Carolina to VisionAg.

VisionAg is now a hog supplier to us and supplies approximately 600,000 hogs annually.

We supply animal feed and provide certain support services to VisionAg.

The following table details charges we recognized associated with Hog Production Reform in cost of sales in the condensed consolidated statements of income by major type of cost.

Three Months Ended Nine Months Ended Cumulative

September 28,

2025 September 29,

2024 September 28,

2025 September 29,

2024 September 28, 2025

(in millions)

Accelerated depreciation $ — $ — $ 2 $ — $ 172

Contract termination costs — — — 8 57

Employee termination benefits — — — 2 32

Loss on asset disposals — — — — 9

Other exit costs 1 3 1 4 111

Total $ 1 $ 3 $ 3 $ 13 $ 380

RESTRUCTURING AND OPTIMIZATION

Springfield, Massachusetts Facility

On February 6, 2026, we announced our decision to exit our leased Springfield, Massachusetts dry sausage production facility by the end of August 2026 and consolidate production across our network, including at our recently acquired Nashville, Tennessee facility.

The decision to close the Springfield facility is part of the Company’s ongoing efforts to optimize its manufacturing footprint and improve operational and cost efficiencies.

In the first quarter of 2026, we recognized $ 2 million in accelerated depreciation and employee termination benefits in cost of sales in the condensed consolidated statement of income.

We expect to recognize additional charges associated with the exit of the facility totaling approximately $ 8 million over the second and third quarters of fiscal year 2026.

Administrative Process Optimization

In the fourth quarter of 2025, we commenced an initiative to modernize and optimize certain of our administrative and transactional processes.

As part of this initiative, we will employ new and advanced technologies, including artificial intelligence and robotic process automation, that will allow us to drive significant improvements in operational efficiency and productivity.

As a result of this initiative, we recognized $ 1 million in restructuring costs in selling, general and administrative expenses (“SG&A”) in the condensed consolidated statement of income in the first quarter of fiscal year 2026 and anticipate additional one-time restructuring costs totaling approximately $ 10 million for the remainder of fiscal year 2026.

Workforce Reduction

1 unchanged sentence

We eliminated certain corporate and plant positions and recognized employee termination benefit costs totaling $ 9 million in the condensed consolidated statement of income in the first quarter of 2025 with $ 6 million classified in SG&A and $ 2 million classified in cost of sales.

Office Closures

In the second quarter of 2025, we announced a plan to close our satellite offices in Lisle, Illinois and Kansas City, Missouri and move work performed at those locations to our headquarters in Smithfield, Virginia.

As a result, we estimated and accrued $ 4 million of employee termination benefit costs in SG&A in the condensed consolidated statement of income in the second quarter of 2025 for personnel who are not expected to relocate.

EMPLOYEE RETENTION TAX CREDITS

In 2020, the World Health Organization publicly characterized COVID-19 as a pandemic.

The Company recognized a substantial amount of incremental costs during the pandemic, including costs to compensate employees who were not able to work due to facility closures, reduced work schedules or health related reasons.

The Coronavirus Aid, Relief, and Economic Security Act was signed into law in March 2020, which provided, among other things, an employee retention credit to eligible employers who paid qualified wages to employees during the pandemic.

The employee retention credit represents a government grant.

Our policy is to recognize government grants when they are reasonably assured of receipt.

We recognized employee retention tax credits totaling $ 10 million and $ 87 million in the second quarters of 2025 and 2024, respectively, after concluding the recognition threshold had been met.

All credits were classified in cost of sales in the condensed consolidated statements of income with the exception of $ 1 million in the second quarter of 2024, which was classified in SG&A.

ACCOUNTS RECEIVABLE

Accounts receivable, net is comprised of both receivables from contracts with customers and other receivables.

Our receivables from contracts with customers were $ 985 million and $ 494 million as of September 28, 2025 and December 29, 2024, respectively.

We monitor the credit risk associated with our accounts receivable and establish an allowance for credit losses expected to be incurred over the life of the receivable.

Accounts receivable is recorded net of this allowance.

calculate this allowance based on our history of write-offs, future economic conditions, level of past due accounts, the financial health of our customers and historical experience.

Our receivables from contracts with customers totaled $ 1,021 million and $ 963 million as of March 29, 2026 and December 28, 2025, respectively.

We monitor the credit risk associated with our accounts receivable and establish an allowance for credit losses expected to be incurred over the life of the receivable, which is recorded net of this allowance.

We calculate this allowance based on our history of write-offs, future economic conditions, level of past due accounts, the financial health of our customers and historical experience.

Our allowance for credit losses was not material for the periods presented.

Inventories, net consist of the following:

September 28,

2026 December 28,

31 unchanged sentences

Additionally, certain of our derivative contracts contain credit risk-related contingent features, which would require us to post additional cash collateral to cover net losses on open derivative instruments if our credit rating were sufficiently downgraded.

As of September 28, 2025, the net liability position of our open derivative instruments subject to credit risk-related contingent features was $ 30 million.

As of the end of the third quarter of 2025, we were not required to post any collateral to cover losses associated with this net liability position.

If our credit rating were sufficiently downgraded, we would be required to post $ 25 million in collateral.

As of March 29, 2026, the net liability position of our open derivative instruments subject to credit risk-related contingent features was not material.

The size and mix of our derivative portfolio vary from time to time based upon our analysis of current and future market conditions.

1 unchanged sentence

Assets Liabilities

September 28,

2026 December 28,

2024 September 28,

2025 March 29,

2026 December 28,

7 unchanged sentences

The following tables reconcile the gross amounts of derivative assets and liabilities to the net amounts presented in our condensed consolidated balance sheets and the related effects of cash collateral under netting arrangements that provide a legal right of offset of assets and liabilities.

September 28, 2025

March 29, 2026

Gross Amount of Derivative Assets/ Liabilities Netting of Derivative Assets/ Liabilities Net Derivative Assets/Liabilities Netting of Derivative and Cash Collateral Net Amount Presented in the Condensed Consolidated Balance Sheet (1)

7 unchanged sentences

Net derivative liabilities are recorded in accrued expenses and other current liabilities.

These balances include $ 50 million in cash collateral paid to and held by our brokers, $ 16 million of which represents the initial margin and exceeded the related open derivative liability position.

These balances include $ 19 million of cash collateral paid to and held by our brokers, $ 18 million of which represents initial margin.

December 28, 2025

4 unchanged sentences

________________

(1) Net derivative assets are recorded in prepaid expenses and other current assets.

(1) Net derivative assets are recorded in prepaid expenses and other current assets and include $ 7 million of cash collateral paid to and held by our brokers, which represents the initial margin, and $ 4 million of cash collateral paid to and held by us.

Net derivative liabilities are recorded in accrued expenses and other current liabilities.

These balances include $ 60 million of cash collateral paid to and held by one of our brokers, $ 37 million of which represents the initial margin and exceeded the related open derivative liability position.

Hedge Accounting Method

3 unchanged sentences

Lastly, we enter into foreign exchange contracts to manage our exposure to the variability in expected future cash flows attributable to changes in foreign exchange rates associated with the forecasted purchase or sale of assets denominated in foreign currencies.

As of September 28, 2025, substantially all of our commodity-related cash flow hedges were for transactions forecasted through April 2026.

As of September 28, 2025, the notional volumes associated with open derivative instruments designated in cash flow hedging relationships were as follows:

As of March 29, 2026, substantially all of our commodity-related cash flow hedges were for transactions forecasted through August 2026.

As of March 29, 2026, the notional volumes associated with open derivative instruments designated in cash flow hedging relationships were as follows:

Volume Metric

7 unchanged sentences

Three Months Ended Three Months Ended

September 28,

2025 September 29,

2024 September 28,

2025 September 29,

(in millions)

Commodity contracts $ ( 33 ) $ ( 3 ) $ ( 38 ) $ 37

Gains (Losses) Recognized in Other Comprehensive Income (Loss) on Derivative Gains (Losses) Reclassified from Accumulated Other Comprehensive Loss into Earnings

Nine Months Ended Nine Months Ended

September 28,

2025 September 29,

2024 September 28,

2025 September 29,

2026 March 30,

2025 March 29,

2026 March 30,

(in millions)

Commodity contracts $ ( 9 ) $ 45 $ 4 $ ( 10 )

Interest rate contracts — — ( 1 ) ( 1 )

Foreign currency contracts — 1 — 1

Total $ ( 71 ) $ ( 2 ) $ ( 52 ) $ 11

The amounts associated with option contracts as of and for the three and nine months ended September 28, 2025 were not material.

In the three and nine months ended September 29, 2024, we recognized $ 10 million and $ 48 million in expenses for option premiums, which are excluded from the assessment of hedge effectiveness.

As of September 29, 2024, accumulated other comprehensive income included $ 4 million of net gains associated with options for which the underlying hedged transactions had not yet impacted earnings.

This amount represents the difference between the change in the fair value of the options and the amount of option premiums amortized through earnings.

We expect to reclassify $ 7 million ($ 6 million net of tax) of deferred losses on closed derivative contracts included in accumulated other comprehensive loss as of September 28, 2025.

We are unable to estimate the amount of deferred gains or losses related to open derivative contracts to be reclassified into earnings within the next twelve months as their values are subject to change.

Deferred losses on closed derivative contracts included in accumulated other comprehensive loss as of March 29, 2026 and March 30, 2025 were not material.

We are unable to estimate the amount of deferred gains or losses

related to open derivative contracts to be reclassified into earnings within the next twelve months as their values are subject to change.

Fair Value Hedges

We enter into derivative instruments (primarily futures contracts) that are designed to hedge changes in the fair value of firm commitments to buy grains and hogs.

As of September 28, 2025, the notional volumes associated with open derivative instruments designated in fair value hedging relationships were as follows:

As of March 29, 2026, the notional volumes associated with open derivative instruments designated in fair value hedging relationships were as follows:

Volume Metric

2 unchanged sentences

Soybeans 1,040,000 Bushels

The carrying value of hedged firm commitments designated in fair value hedge relationships as of September 28, 2025 was $ 14 million.

The carrying value of hedged firm commitments designated in fair value hedge relationships as of December 29, 2024 was immaterial .

The carrying values of hedged firm commitments designated in fair value hedge relationships as of March 29, 2026 and December 28, 2025 were not material.

When the underlying inventories are acquired, the hedge relationship is discontinued and the fair value hedge adjustment is reclassified to inventories.

The amount of fair value hedge gains remaining in inventories for which hedge accounting has been discontinued were immaterial as of September 28, 2025 and December 29, 2024.

The amount of fair value hedge gains remaining in inventories for which hedge accounting has been discontinued were not material as of March 29, 2026 and December 28, 2025.

Mark-to-Market Method

As of September 28, 2025, the notional volumes associated with open derivative instruments using the “mark-to-market” method were as follows:

As of March 29, 2026, the notional volumes associated with open derivative instruments using the “mark-to-market” method were as follows:

Volume Metric

9 unchanged sentences

The following table presents the effect of derivatives on the condensed consolidated statements of income for the periods indicated.

Three Months Ended Nine Months Ended

September 28,

2025 September 29,

2024 September 28,

2025 September 29,

(in millions) (in millions)

Three Months Ended

2026 March 30,

(in millions)

Cash flow hedging — commodity contracts

1 unchanged sentence

Mark-to-market — commodity contracts

2 ( 3 ) ( 11 ) ( 7 )

Total derivative gain (loss) recognized in sales ( 37 ) 44 ( 65 ) 27

Total derivative loss recognized in sales ( 5 ) ( 2 )

Cost of sales:

Cash flow hedging — commodity contracts

1 ( 10 ) 2 ( 23 )

Fair value hedging — commodity contracts:

Change in fair value of open derivatives ( 7 ) 1 ( 20 ) 5

Change in fair value of derivatives ( 6 ) 2

Change in fair value of related hedged items 6 ( 1 )

Gain (loss) on closed derivatives (1)

( 4 ) 2 ( 4 ) 8

Mark-to-market — commodity contracts

7 ( 5 ) 15 ( 8 )

Total derivative gain (loss) recognized in cost of sales 4 ( 13 ) 12 ( 23 )

Selling, general and administrative expenses:

Mark-to-market — foreign currency contracts

Interest expense:

Cash flow hedging — interest rate contracts

— — ( 1 ) ( 1 )

Discontinued operations:

Cash flow hedging - foreign exchange contracts

Mark to market - foreign exchange contracts

Total derivative gain recognized in discontinued operations — 3 — 4

Total derivative gain recognized in cost of sales — 4

Total derivative gain (loss) $ ( 5 ) $ 2

2 unchanged sentences

EQUITY METHOD INVESTMENTS

Murphy Family Farms and VisionAg

On December 27, 2024, we became a member of a North Carolina-based company, Murphy Family Farms, by contributing $ 3 million in cash in exchange for a 25 % minority interest.

We account for Murphy Family Farms under the equity method of accounting.

On February 24, 2025, we became a member of a North Carolina-based company, VisionAg, by contributing $ 450,000 in cash in exchange for a 9 % minority interest.

We account for VisionAg under the equity method of

accounting as we have the ability to exercise significant influence over operating and financial policies through our representation on its board of directors.

Restructuring” for more information on Murphy Family Farms and VisionAg.

Monarch Sale Notice

On January 16, 2025, TPG Rise Climate (“TPG”), one of the other two equal joint venture partners in Monarch Bio Energy, LLC (“Monarch”), delivered a sale notice under the joint venture agreement, pursuant to which Monarch must pursue a sale of the joint venture.

In the event that a sale of Monarch is not consummated before January 17, 2026, TPG may require that Monarch purchase TPG’s ownership interests in Monarch.

Senior Unsecured Revolving Credit Facility

In February 2025, we refinanced our $ 2,100 million senior unsecured revolving credit facility (“Senior Revolving Credit Facility”), extending the maturity date from May 21, 2027 to February 12, 2030 with the option to extend the maturity date for up to two one-year periods, subject to obtaining the lenders’ consent and satisfaction of certain other conditions.

The Senior Revolving Credit Facility capacity remains at $ 2,100 million.

As part of the new agreement, there are no longer any subsidiary guarantors under the Senior Revolving Credit Facility which also released the subsidiary guarantors from our Senior Unsecured Notes.

The Senior Revolving Credit Facility bears interest at the Secured Overnight Financing Rate plus a margin ranging from 0.875 % to 1.50 % per annum, or, at our election, at a base rate plus a margin ranging from 0.00 % to 0.50 % per annum, in each case depending on our senior unsecured debt ratings.

The Senior Revolving Credit Facility also contains financial maintenance covenants requiring us to maintain a maximum total consolidated leverage ratio (ratio of consolidated funded debt to consolidated capitalization, each as defined in the Senior Revolving Credit Facility) of 0.50 to 1.00 (which we may elect to increase to 0.55 to 1.00 with respect to any fiscal quarter in which a material acquisition is consummated and the immediately following three consecutive fiscal quarters, subject to certain restrictions) and a minimum interest coverage ratio (“ratio of earnings before interest, taxes, depreciation and amortization (“EBITDA”) to consolidated interest expense, each as defined in the Senior Revolving Credit Facility”) of 3.50 to 1.00.

Our Senior Revolving Credit Facility contains customary covenants, including, but not limited to, restrictions on our ability and that of our subsidiaries to merge and consolidate with other companies, incur indebtedness, grant liens or security interests on assets subject to their security interest, or enter into transactions with affiliates, each subject to certain exceptions as set forth therein.

We are currently in compliance with the covenants under our Senior Revolving Credit Facility.

Accounts Receivable Securitization Facility

We maintain a $ 225 million accounts receivable securitization facility (“Securitization Facility”), which matures in November 2027.

As part of the Securitization Facility, certain accounts receivable of our major domestic meat processing subsidiaries are sold to a wholly-owned “bankruptcy remote” special purpose vehicle (“SPV”).

The SPV pledges all such accounts receivable not otherwise sold pursuant to the Monetization Facility (as defined below) as security for loans made, and letters of credit issued, by participating lenders under the Securitization Facility.

The SPV is included in our condensed consolidated financial statements and therefore the accounts receivable owned by it are included in our condensed consolidated balance sheets.

However, the accounts receivable owned by the SPV are separate and distinct from our other assets and are not available to our other creditors should we become insolvent.

As of September 28, 2025, the SPV held $ 632 million of accounts receivable.

We must maintain certain ratios related to the collection of our receivables as a condition of the Securitization Facility agreement.

As of September 28, 2025, we had $ 28 million in letters of credit issued under the Securitization Facility.

None of the letters of credit were drawn upon.

Monetization Facility

In addition to the Securitization Facility, until July 22, 2025, we maintained an uncommitted $ 250 million accounts receivable monetization facility (“Monetization Facility”).

At Smithfield’s election and subject to the purchasing banks’ approval, certain accounts receivable were sold by the SPV to purchasing banks, so long as the uncollected outstanding amount of accounts receivable sold pursuant to the Monetization Facility did not exceed $ 250 million in the aggregate at any time, among other limitations.

In the event of a sale, the purchasing banks assumed all credit risk related to the receivables while we maintained risk associated with customer disputes.

We accounted for the sale of receivables to a purchasing bank by derecognizing the receivables from our condensed consolidated balance sheet upon transfer of control to the purchasing bank, and recognized a discount on the sale in SG&A in the condensed consolidated statement of income.

The proceeds from the sale of receivables are included in net cash flows from operating activities in the condensed consolidated statement of cash flows.

On behalf of the purchasing banks, we serviced all receivables sold under the Monetization Facility.

In the first quarter of 2023, we sold $ 227 million of accounts receivable at a discount and received proceeds totaling $ 225 million.

We reinvested $ 24 million and $ 793 million of cash collections from customers in the revolving sale of accounts receivable to purchasing banks in the third quarter of 2025 and 2024, respectively, and $ 2,085 million and $ 2,836 million in the first nine months of 2025 and 2024, respectively.

We recognized charges totaling $ 3 million in the third quarter of 2024 and $ 5 million and $ 10 million in the first nine months of 2025 and 2024, respectively, attributable to the discount on the sale of accounts receivable in SG&A in the condensed consolidated statements of income.

The charges for the third quarter of 2025 were not material.

On July 22, 2025, we terminated the Monetization Facility and paid $ 232 million to participating banks to reacquire the outstanding balance of accounts receivable previously sold under the facility.

The Monetization Facility was originally established to provide us with additional liquidity and working capital flexibility.

In light of our liquidity position and internal capital resources as of July 22, 2025, we determined that the Monetization Facility was no longer cost-effective or necessary.

There were no early termination penalties or other material exit costs incurred in connection with the termination of the Monetization Facility.

In the second quarter of 2025, we amended the term of approximately 700 contracts with independent farmers who raise our hogs.

These contracts include a lease component for the use of the farmers’ facilities.

The amended contracts increased our operating lease obligation by $ 59 million.

The amended noncancellable term of the agreements is three years beginning in June 2025.

The contracts may be terminated by either party with three-years advance notice.

In the second quarter of 2025, Monarch refinanced its debt, repaying a debt facility of up to $ 61 million that Smithfield and certain other joint ventures partners in Monarch had jointly and severally guaranteed.

Smithfield was released from the guaranty and no longer provides a guaranty of Monarch’s debt.

Our effective tax rate attributable to continuing operations decreased to 22.2 % for the third quarter of 2025 compared to 25.0 % for the third quarter of 2024.

The decrease was primarily driven by a non-taxable gain recognized in the third quarter of 2025 for a one-time benefit on company-owned life insurance policies.

Our effective tax rate attributable to continuing operations increased to 23.4 % for the first nine months of 2025 compared to 22.2 % for the first nine months of 2024.

The increase was primarily attributable to the deductibility of certain officer compensation.

One Big Beautiful Bill

On July 4, 2025, the Tax Relief for American Families and Workers Act of 2025 (commonly known as the “One Big Beautiful Bill” or “OBBB”) was signed into law.

This comprehensive legislation made several significant changes to federal tax law, including:

• Permanently reinstating 100% bonus depreciation and adding 100% bonus deprecation for real property placed in service after January 19, 2025 and used in production activity.

• Permanently reinstating the immediate expensing of research and development (“R&D”) in the U.S, which impacted years 2022 and beyond.

• Permanently restoring the EBITDA-based limitation for interest deduction under Section 163(j) of the IRS Tax Code.

In the third quarter of 2025, following the enactment of the OBBB, the Company reclassified approximately $ 77 million of deferred tax assets related to R&D capitalization to current taxes receivable.

In the fourth quarter of fiscal year 2024, we contributed $ 3 million in cash in exchange for a 25 % minority interest in a North Carolina-based hog production company, Murphy Family Farms LLC (“Murphy Family Farms”).

In the first quarter of 2025 we contributed $ 450,000 in cash in exchange for a 9 % minority interest in another North Carolina-based hog production company, VisionAg Hog Production, LLC (“VisionAg”).

As part of the formation of these entities we collectively sold approximately 178,000 sows and related inventories located on Company-owned and contract farms in North Carolina to Murphy Family Farms and VisionAg.

We subsequently sold the commercial hog inventories associated with such sows to Murphy Family Farms and VisionAg.

Murphy Family Farms and VisionAg are now hog suppliers to us and supply approximately 3.9 million hogs annually.

We supply animal feed and other supplies and provide certain support services to Murphy Family Farms and VisionAg.

We account for Murphy Family Farms and VisionAg under the equity method of accounting as we have the ability to exercise significant influence over operating and financial policies through our ownership interest and representation on the boards of directors, respectively.

PENSION AND OTHER RETIREMENT PLANS

The following table presents the components of the net periodic pension cost for the periods indicated.

Three Months Ended Nine Months Ended

September 28,

2025 September 29,

2024 September 28,

2025 September 29,

Three Months Ended

2026 March 30,

(in millions)

4 unchanged sentences

Net periodic pension cost $ 3 $ 7

The components of net periodic pension cost other than service cost, which is included in operating profit, are included in non-operating gains in the condensed consolidated statements of income.

In addition to our funding requirement for our qualified pension plans in fiscal year 2025 of $ 6 million, we made a voluntary contribution of $ 44 million in the third quarter of 2025 to improve the funded status of the plans and reduce plan expenses .

The components of net periodic pension cost other than service cost, which is included in operating profit, are included in non-operating losses in the condensed consolidated statements of income.

REDEEMABLE NONCONTROLLING INTERESTS

2 unchanged sentences

At the end of each period we adjust the value of redeemable noncontrolling interests, if necessary, to the redemption value (as defined in the subsidiary’s operating agreement) through additional paid-in capital.

The following table presents the changes in redeemable noncontrolling interests for our continuing operations for the periods presented.

Three Months Ended Nine Months Ended

September 28,

2025 September 29,

2024 September 28,

2025 September 29,

The following table presents the changes in redeemable noncontrolling interests for the periods presented.

Three Months Ended

(in millions)

Beginning balance

Attribution of net income 4 7 7 9

Attribution of other comprehensive income (loss), net of tax 5 ( 14 ) 21 ( 29 )

Dividends ( 1 ) — ( 1 ) ( 1 )

Adjustment to redemption value (1)

Attribution of net income

Attribution of other comprehensive loss, net of tax

Ending balance

1 unchanged sentence

(1) See “Note 14:

Fair Value Measurements” for a discussion of the assessment of redemption value.

On January 17, 2025, the Company’s board of directors and shareholder approved a 380,069.232 -for-one stock split of its issued and outstanding shares of common stock, resulting in issued and outstanding shares of common stock of 380,069,232 , which was effected through filing of an amendment to the Company’s articles of incorporation on January 17, 2025.

As part of the amendment, the number of authorized shares of common stock was revised to 5,000,000,000 , the par value of which was not adjusted, and 100,000,000 shares of preferred stock were authorized.

All share and per share amounts for all periods presented in the accompanying financial statements have been adjusted retroactively to reflect this stock split.

Fair Value Measurements” for further discussion.

Initial Public Offering

On January 29, 2025, we completed our IPO of 26,086,958 shares of common stock, which represents 7 % of the total outstanding shares, at a price of $ 20.00 per share.

We issued 13,043,479 shares of common stock bringing the total number of outstanding shares to 393,112,711 .

On January 29, 2025, we completed our initial public offering (“IPO”) of 26,086,958 shares of common stock, representing 7 % of the total outstanding shares at the time, at a price of $ 20.00 per share.

We issued 13,043,479 shares of common stock.

The remaining 13,043,479 shares of common stock were sold by WH Group, through its indirect wholly owned subsidiary SFDS UK Holdings Limited (“SFDS UK”), our only shareholder at the time.

WH Group granted the underwriters a 30-day option to purchase up to 3,913,042 additional shares of our common stock.

On February 20, 2025, the underwriters partially exercised that option and purchased 2,506,936 additional shares of common stock from WH Group.

We received net proceeds from the IPO of $ 236 million after deducting underwriting discounts, commissions and fees.

Secondary Offering

In the third quarter of 2025, WH Group, through its indirect wholly owned subsidiary SFDS UK, sold another 22,461,452 shares of our common stock in a secondary offering.

The sale did not affect the number of shares outstanding, nor did we receive any proceeds from the sale of stock by WH Group.

Following this offering, WH Group owns approximately 87.0 % of our outstanding common stock.

Stock-Based Compensation

In connection with the IPO, we granted to certain of our directors and employees and certain directors and employees of WH Group:

(1) options to purchase 9,822,467 shares with an exercise price equal to the IPO price of $ 20.00 per share option and (2) 1,527,000 RSUs.

The options and substantially all RSUs vest over a five year period, with 20 % vesting each year.

We recognized compensation expense totaling $ 2 million and $ 6 million associated with these equity instruments during the three and nine months ended September 28, 2025, respectively.

Unrecognized compensation expense totaled $ 39 million as of September 28, 2025, which is expected to be recognized on a straight-line basis over the remaining vesting period of 4.3 years.

In connection with our IPO, we adopted the Smithfield Foods, Inc.

Omnibus Incentive Plan, under which we may grant equity-based incentives to eligible employees, non-employees and consultants.

As of March 29, 2026, there were 6,114,892 shares available for grant under this plan.

In the first quarter of 2025, we granted to certain of our directors and employees and certain directors and employees of WH Group options to purchase 9,822,467 shares of common stock at $ 20.00 per share and 1,527,000 restricted stock units (“RSUs”).

The stock options and substantially all RSUs vest over a five-year period, with 20 % vesting each year.

In the first quarter of 2026, we granted options to certain of our employees to purchase 2,128,291 shares of our common stock at $ 24.25 per share and 799,212 RSUs.

The stock options and RSUs vest over a three-year period, with one third vesting immediately on the grant date and one third vesting on each of the first and second anniversaries of the grant date.

We recognized stock-based compensation expense totaling $ 3 million and $ 2 million in the first quarters of 2026 and 2025, respectively.

Unrecognized compensation expense totaled $ 60 million as of March 29, 2026, which is expected to be recognized on a straight-line basis over the weighted average remaining vesting period of 3.1 years.

No compensation expense was recognized for stock options and RSUs granted to directors and employees of WH Group.

Such awards will be accounted for as a dividend upon issuance of the shares based on the grant-date fair value.

Such awards are accounted for as dividends upon settlement of the shares based on the grant-date fair value.

Accumulated Other Comprehensive Loss

The following tables present the beginning and ending balances of accumulated other comprehensive loss by component.

Three Months Ended September 28, 2025

Foreign Currency Translation Pension Accounting Hedge Accounting Accumulated Other Comprehensive Loss

(in millions)

Balance, June 29, 2025 $ 21 $ ( 410 ) $ ( 43 ) $ ( 432 )

Other comprehensive income, net of tax 10 4 4 18

Balance, September 28, 2025 $ 32 $ ( 406 ) $ ( 40 ) $ ( 414 )

Three Months Ended September 29, 2024

Foreign Currency Translation Pension Accounting Hedge Accounting Accumulated Other Comprehensive Loss

(in millions)

Balance, June 30, 2024 $ ( 205 ) $ ( 367 ) $ 27 $ ( 545 )

Other comprehensive income (loss), net of tax 65 3 ( 29 ) 39

European operations carve-out 143 — ( 1 ) 143

Balance, September 29, 2024 $ 3 $ ( 363 ) $ ( 3 ) $ ( 363 )

Nine Months Ended September 28, 2025

The following tables present the beginning and ending balances of accumulated other comprehensive income (loss) by component.

Three Months Ended

March 29, 2026

Foreign Currency Translation Pension Accounting Hedge Accounting Accumulated Other Comprehensive Loss

2 unchanged sentences

Other comprehensive income (loss), net of tax ( 5 ) 4 ( 10 ) ( 11 )

Balance, September 28, 2025 $ 32 $ ( 406 ) $ ( 40 ) $ ( 414 )

Nine Months Ended September 29, 2024

Balance, March 29, 2026 $ 37 $ ( 365 ) $ 3 $ ( 325 )

Three Months Ended

March 30, 2025

Foreign Currency Translation Pension Accounting Hedge Accounting Accumulated Other Comprehensive Loss

2 unchanged sentences

Other comprehensive income (loss), net of tax ( 1 ) 3 41 43

European operations carve-out 143 — ( 1 ) 143

Balance, September 29, 2024 $ 3 $ ( 363 ) $ ( 3 ) $ ( 363 )

Balance, March 30, 2025 $ ( 9 ) $ ( 414 ) $ 15 $ ( 408 )

Other Comprehensive Income (Loss)

1 unchanged sentence

Three Months Ended

September 28, 2025 September 29, 2024

Before Tax Tax After Tax Before Tax Tax After Tax

(in millions)

Continuing operations:

Foreign currency translation:

Translation gains (losses) (1)

$ 15 $ — $ 15 $ ( 67 ) $ — $ ( 67 )

Retirement benefits:

Amortization of actuarial losses and prior service credits reclassified to non-operating gains

5 ( 1 ) 4 4 ( 1 ) 3

Losses arising during the period ( 33 ) 8 ( 24 ) ( 3 ) 1 ( 2 )

(Gains) losses reclassified to sales 39 ( 10 ) 29 ( 47 ) 12 ( 35 )

(Gains) losses reclassified to cost of sales ( 1 ) — ( 1 ) 10 ( 3 ) 7

Total other comprehensive income (loss) from continuing operations $ 26 $ ( 3 ) $ 23 $ ( 102 ) $ 9 $ ( 93 )

Discontinued operations:

Foreign currency translation:

Translation gains (1)

$ — $ — $ — $ 118 $ — $ 118

Total other comprehensive income from discontinued operations $ — $ — $ — $ 118 0 $ — 0 $ 118

Total other comprehensive income $ 26 $ ( 3 ) $ 23 $ 16 $ 9 $ 25

Other comprehensive income (loss) attributable to noncontrolling interest 6 — 5 ( 14 ) — ( 14 )

Other comprehensive income attributable to Smithfield $ 20 $ ( 2 ) $ 18 $ 30 $ 9 $ 39

________________

(1) We consider the earnings in our non-U.S.

subsidiaries to be indefinitely reinvested, and accordingly, record no deferred income taxes on such amounts.

The three months ended September 28, 2025 and September 29, 2024 included $ 5 million of translation gains and $ 14 million of translation losses, respectively, attributable to noncontrolling interests, which are included in redeemable noncontrolling interests on the condensed consolidated balance sheet.

Nine Months Ended

September 28, 2025 September 29, 2024

March 29, 2026 March 30, 2025

Before Tax Tax After Tax Before Tax Tax After Tax

(in millions)

Continuing operations:

Foreign currency translation:

Translation gains (losses) (1)

Translation losses (1)

$ ( 8 ) $ — $ ( 8 ) $ ( 1 ) $ — $ ( 1 )

Retirement benefits:

Amortization of actuarial losses, prior service credits and curtailment gains reclassified to non-operating gains

Amortization of actuarial losses and prior service credits reclassified to non-operating losses

5 ( 1 ) 4 4 ( 1 ) 3

Losses arising during the period ( 71 ) 18 ( 53 ) ( 3 ) 1 ( 2 )

(Gains) losses reclassified to sales 53 ( 14 ) 39 ( 34 ) 9 ( 25 )

Gains (losses) arising during the period ( 9 ) 2 ( 7 ) 45 ( 11 ) 33

Losses reclassified to sales 2 — 1 9 ( 2 ) 6

(Gains) losses reclassified to cost of sales ( 6 ) 2 ( 4 ) 2 — 1

Losses reclassified to interest expense 1 — 1 1 — 1

Total other comprehensive income (loss) from continuing operations $ 57 $ 1 $ 58 $ ( 112 ) $ — $ ( 112 )

Discontinued operations:

Foreign currency translation:

Translation gains (1)

$ — $ — $ — $ 77 $ — $ 77

Derivative gains arising during the period — — — 1 — 1

Gains reclassified to sales — — — ( 1 ) — ( 1 )

Total other comprehensive income from discontinued operations $ — $ — $ — $ 76 0 $ — 0 $ 76

Total other comprehensive income (loss) $ ( 16 ) $ 2 $ ( 14 ) $ 58 $ ( 15 ) $ 43

$ 57 $ 1 $ 58 $ ( 36 ) $ — $ ( 36 )

Other comprehensive income (loss) attributable to noncontrolling interest 20 — 21 ( 29 ) — ( 29 )

Other comprehensive loss attributable to noncontrolling interest ( 3 ) — ( 3 ) — — —

Other comprehensive income (loss) attributable to Smithfield $ ( 14 ) $ 2 $ ( 11 ) $ 59 $ ( 15 ) $ 43

2 unchanged sentences

subsidiaries to be indefinitely reinvested, and accordingly, record no deferred income taxes on such amounts.

The nine months ended September 28, 2025 and September 29, 2024 included $ 21 million of translation gains and $ 29 million of translation losses, respectively, attributable to noncontrolling interests, which are included in redeemable noncontrolling interests on the condensed consolidated balance sheet.

The three months ended March 29, 2026 included $ 3 million of translation losses attributable to noncontrolling interests, which are included in redeemable noncontrolling interests on the condensed consolidated balance sheet.

EARNINGS PER SHARE

4 unchanged sentences

The following table provides the weighted-average shares used in the denominator for those computations.

Three Months Ended Nine Months Ended

September 28,

2025 September 29,

2024 September 28,

2025 September 29,

Three Months Ended

2026 March 30,

Basic weighted-average shares outstanding 393,285,796 388,812,663

3 unchanged sentences

__________________

(1) Approximately 6.8 million stock options were excluded from the computation of diluted weighted-average shares outstanding for the nine months ended September 28, 2025, because their effect would have been anti-dilutive.

No stock options were excluded from the computation for the three months ended September 28, 2025.

(1) We excluded 467,756 and 5,275,901 stock options from the computation of diluted weighted-average shares outstanding for the three months ended March 29, 2026 and March 30, 2025 , respectively, because their effect would have been anti-dilutive.

FAIR VALUE MEASUREMENTS

18 unchanged sentences

Assets and Liabilities Measured at Fair Value on a Recurring Basis

The following tables set forth, by level within the fair value hierarchy, our financial assets and liabilities, including assets held in a rabbi trust used to fund our non-qualified defined benefit plan, that were measured at fair value on a recurring basis.

September 28, 2025 December 29, 2024

The following tables set forth, by level within the fair value hierarchy, our financial assets and liabilities that were measured at fair value on a recurring basis.

March 29, 2026 December 28, 2025

Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total

2 unchanged sentences

Foreign exchange contracts — 1 — 1 — —

Exchange traded funds (1)

134 — — 134 135 — — 135

Mutual funds (1) (2)

73 — — 78 71 — — 78

Insurance contracts — 132 — 132 — 104 — 104

TPG Rise Climate, L.P.

investment fund (2) (3)

— — — 20 — — — 22

Total $ 226 $ 3 $ 1 $ 257 $ 232 $ 2 $ — $ 263

Commodity derivative contracts $ 19 $ 5 $ — $ 24 $ 3 $ — $ — $ 3

Total $ 40 $ 36 $ — $ 76 $ 32 $ 12 $ — $ 44

__________________

(1) Institutional funds that are not publicly traded are estimated at fair value using the net asset value per share of the investment as a practical expedient and are not categorized in the fair value hierarchy.

(1) Exchange traded funds and mutual funds are held in rabbi trusts to fund nonqualified defined benefit pension and deferred compensation plans.

These assets are restricted to satisfy our liabilities for these plans and are subject to the claims of our general creditors in the event of insolvency.

These trusts are VIEs and are included in our condensed consolidated financial statements.

These assets are classified in other assets on the condensed consolidated balance sheets except for the amount of participant distributions scheduled to occur within twelve months of the balance sheet dates, which are classified in prepaid expenses and other current assets.

(2) Funds that are not publicly traded are estimated at fair value using the net asset value (“NAV”) per share of the investment as a practical expedient and are not categorized in the fair value hierarchy.

Therefore, the sum of the values categorized in the fair value hierarchy above do not agree to the total.

(3) The TPG Rise Climate, L.P.

investment fund (“TPG fund”) is classified in other assets on the condensed consolidated balance sheets.

Our unfunded commitment to the TPG fund was $ 7 million and $ 5 million as of March 29, 2026 and December 28, 2025, respectively.

The TPG fund returns capital through periodic distributions, which are made at the discretion of the fund.

The TPG fund has a termination date of December 31, 2034 with no redemption rights prior to termination, and any remaining capital is returned at the end of the term through asset sales or final distributions.

The following are descriptions of the valuation methodologies and key inputs used to measure financial assets and liabilities recorded at fair value on a recurring basis:

5 unchanged sentences

Such unobservable inputs are significant to the diesel fuel derivative contract valuation methodology.

• Exchange-traded funds (“ETFs”)— ETFs consist of publicly traded investment funds that are valued using quoted market prices on active exchanges and are categorized in Level 1 within the fair value hierarchy.

• Mutual funds— Mutual funds consist of publicly traded funds and other institutional funds that are not publicly traded.

Publicly traded mutual funds are measured at fair value using quoted market prices and are categorized in Level 1 within the fair value hierarchy.

• Insurance contracts— Insurance contracts are valued at their cash surrender value using the daily asset unit value which is based on the quoted market price of the underlying securities and classified within Level 2.

Publicly traded mutual funds are measured at fair value using quoted market prices and are

categorized in Level 1 within the fair value hierarchy.

Institutional funds that are not publicly traded and estimated using the NAV per share of the investment as a practical expedient.

• TPG fund —The TPG fund is not publicly traded and does not have a readily determinable fair value.

Fair value is estimated using the NAV of the investment as a practical expedient.

The NAV is based on the fair value of the underlying assets owned by the fund, minus its liabilities, then multiplied by the percentage ownership of the fund.

Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis

1 unchanged sentence

that is, the assets and liabilities are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances, for example, when there is evidence of impairment.

For the three and nine months ended September 28, 2025 and September 29, 2024, we had no significant assets or liabilities that were measured and recorded at fair value on a nonrecurring basis after initial recognition.

For the three months ended March 29, 2026 and March 30, 2025, we had no significant assets or liabilities that were measured and recorded at fair value on a nonrecurring basis after initial recognition.

Redeemable Noncontrolling Interest

2 unchanged sentences

We estimate the redemption value of Altosano using an income and a market approach.

Under the income approach, fair value is determined by using the projected discounted cash flows.

Under the market approach, the fair value is determined by reference to guideline companies that are reasonably comparable;

the fair value is estimated based on the valuation multiples of EBITDA.

Under the income approach, fair value is estimated by discounting projected cash flows.

Under the market approach, the fair value is estimated by reference to guideline companies that are reasonably comparable based on the valuation multiples of earnings before interest, taxes, depreciation and amortization (“EBITDA”).

The significant unobservable inputs used in the determination of the fair value have an inherent measurement uncertainty that if changed could result in higher or lower fair value measurements as of the reporting date.

The following table provides the significant unobservable level 3 inputs used in the valuation.

Unobservable Inputs September 28, 2025 December 29, 2024

T he following table provides the significant unobservable level 3 inputs used in the valuation.

Unobservable Inputs March 29, 2026 December 28, 2025

Weighted-average cost of capital 10 % 10 %

6 unchanged sentences

The following table presents the fair value and carrying value of total debt.

September 28, 2025 December 29, 2024

March 29, 2026 December 28, 2025

Fair Value Carrying Value Fair Value Carrying Value

9 unchanged sentences

We perform periodic credit evaluations of our customers’ financial condition and generally do not require collateral.

As of September 28, 2025, we had accounts and notes receivable from Murphy Family Farms and VisionAg totaling $ 230 million and $ 42 million, respectively.

As of March 29, 2026, we had accounts and notes receivable from Murphy Family Farms and VisionAg totaling $ 232 million and $ 45 million, respectively.

A portion of these balances are secured by the breeding stock and inventories owned by Murphy Family Farms and VisionAg.

We have an agreement to purchase 3.2 million and 600,000 market hogs annually from Murphy Family Farms and VisionAg, respectively, which further mitigates our exposure to potential credit risk.

Additionally, as of September 28, 2025, 11.7 % of our accounts receivable balance was due from Walmart.

We have agreements to purchase approximately 3.2 million and 650,000 market hogs annually from Murphy Family Farms and VisionAg, respectively, which further mitigates our exposure to potential credit risk.

Additionally, as of March 29, 2026, 12.8 % of our accounts receivable balance was due from Walmart Inc., including its subsidiary Sam’s West, Inc.

No other single customer or customer group represented 10% or greater of our accounts receivable.

Our derivative counterparties primarily consist of financial institutions that are investment grade.

A portion of our financial instruments are exchange traded derivative contracts held with brokers and counterparties with whom we

maintain margin accounts that are settled on a daily basis, thereby limiting our credit exposure to non-exchange traded derivatives.

A portion of our financial instruments are exchange traded derivative contracts held with brokers and counterparties with whom we maintain margin accounts that are settled on a daily basis, thereby limiting our credit exposure to non-exchange traded derivatives.

Determination of the credit quality of our counterparties is based upon a number of factors, including credit ratings and our evaluation of their financial condition.

As of September 28, 2025, we had gross credit exposure of $ 6 million on non-exchange traded derivative contracts.

After taking into account the effect of netting arrangements, we had no credit exposure on non-exchange traded derivative contracts.

As of March 29, 2026, our gross credit exposure on non-exchange traded derivative contracts was not material.

REGULATION AND CONTINGENCIES

7 unchanged sentences

In addition, individuals may initiate litigation against us.

As of September 28, 2025 and December 29, 2024, we had contingent liabilities totaling $ 153 million and $ 141 million, respectively, in accrued expenses and other current liabilities on the condensed consolidated balance sheets related to litigation matters, including those described below.

Charges totaling $ 80 million were recorded in the nine months ended September 28, 2025, including those described below, in SG&A in the condensed consolidated statements of income.

None of these charges were recorded in the third quarter of 2025.

We did not record any significant charges for litigation matters in the three and nine months ended September 29, 2024.

As of March 29, 2026 and December 28, 2025, we had contingent liabilities totaling $ 149 million in accrued expenses and other current liabilities on the condensed consolidated balance sheets related to litigation matters, including those described below.

We did not record any significant charges for litigation matters in the three months ended March 29, 2026 and March 30, 2025.

These matters will not affect our profits or losses in future periods unless our accruals prove to be insufficient or excessive.

9 unchanged sentences

The plaintiffs in all of these cases also challenged the defendant pork producers’ use of benchmarking reports from defendant Agri Stats, Inc., alleging that the reports allowed the pork producers to share proprietary information and monitor each producer’s compliance with the supposed agreement to reduce supply.

Payments in the aggregate amount of $ 194 million were made by us to settle all class claims.

We made payments of $ 75 million, $ 42 million and $ 77 million in fiscal years 2023, 2022 and 2021, respectively, to settle all class claims.

In addition to the class actions, the Company has been named as a defendant in similar antitrust lawsuits and related claims brought by a number of individual parties who opted out of the classes.

16 unchanged sentences

The plaintiffs subsequently amended their complaint adding additional defendants, including our wholly-owned subsidiary, Murphy-Brown of Missouri, LLC (which has been dismissed voluntarily), and expanding the class period back to 2000.

Since the case was filed, several defendants have settled.

On April 5, 2024, the remaining defendants moved to dismiss the amended complaint.

On April 5, 2024, the non-settled defendants moved to dismiss the amended complaint.

On March 26, 2025, the court granted in part defendants’ motion to dismiss the amended complaint and held that certain of plaintiffs’ new allegations are barred by the statute of limitations.

We filed our answers to the amended complaint on May 9, 2025.

The parties have commenced discovery.

The parties have commenced discovery and all defendants other than the Smithfield defendants have now settled.

We intend to vigorously defend against these claims.

Maxwell Foods Litigation

On August 13, 2020, Maxwell Foods, LLC (“Maxwell”) filed a complaint against Smithfield Foods, Inc.

in the General Court of Justice, Superior Court Division for Wayne County, North Carolina.

The complaint alleged that Smithfield breached the Production Sales Agreement (“PSA”) between the parties (as well as the duty of good faith and fair dealing):

(1) by failing to provide Maxwell with the same pricing as other major hog suppliers in violation of a purported “Most-Favored-Nation Provision” found in a December 6, 1994 letter to Maxwell, (2) by failing to comply with an implicit duty to negotiate the PSA to provide alternative pricing to Maxwell when the Iowa-Southern Minnesota market allegedly ceased to be viable;

and (3) by failing to purchase Maxwell’s entire output of hogs since April 2020.

Smithfield filed a notice of removal to the U.S.

District Court of the Eastern District of North Carolina.

Smithfield also filed a motion to dismiss several of Maxwell’s claims.

On February 22, 2021, the U.S.

District Court granted Maxwell’s motion to remand the case to the Superior Court of Wayne County and left Smithfield’s partial motion to dismiss the complaint for consideration by the state court in Wayne County.

On March 1, 2021, Maxwell filed an amended complaint, which added a claim under the North Carolina Unfair and Deceptive Trade Practices Act (“UDTPA”).

Smithfield filed a notice of designation seeking assignment of the case to the North Carolina Business Court.

Maxwell objected to such designation, and on April 13, 2021 the Business Court overruled Maxwell’s objection.

The Business Court also dismissed two of Maxwell’s claims:

the implied duty to negotiate claim and the UDTPA claim.

Maxwell subsequently filed another amended complaint adding a fraudulent concealment claim and a new breach of contract claim, as well as a request for punitive damages.

The court dismissed the fraudulent concealment claim and the request for punitive damages.

The three remaining claims, all for breach of contract, are:

(1) the claim under the “Most-Favored-Nation Provision,” (2) the claim that Smithfield failed to purchase Maxwell’s entire output of hogs since April 2020, and (3) the claim that from time to time, Smithfield would calculate Maxwell’s payment for a delivery of hogs using an average of the preceding week’s weight rather than the actual weights of the hogs being delivered.

The parties filed cross-motions for summary judgment, and on December 30, 2024, the Business Court entered an order and opinion on those motions.

The Business Court held that:

(1) Maxwell’s claim for breach of a “Most-Favored-Nation Provision” was dismissed except as it relates to pricing given to one particular supplier;

(2) Smithfield is liable for breaching an output provision in the parties’ contract, with damages to be determined at trial;

and (3) Maxwell’s claim that Smithfield breached the pricing term of the parties’ contract by using live-weight pricing shall proceed to trial based on the allegation that Smithfield did not pay the correct live- weight price for certain deliveries, but not based on the allegation that use of live-weight pricing itself breaches the contract.

Business Court set a trial date of June 9, 2025, which was subsequently canceled.

On June 30, 2025, the parties filed a stipulation dismissing with prejudice all claims and counterclaims in the action, ending the litigation.

Insurance Claims

1 unchanged sentence

In the first quarter of 2025, we settled an insurance claim and received proceeds of $ 6 million in connection with a fire that occurred at our Tar Heel, North Carolina rendering facility in 2021.

We classified $ 4 million of the proceeds in investing activities in the condensed consolidated statements of cash flows with the remainder in operating activities.

The gain was recognized in operating gains in the condensed consolidated statements of income in the first quarter of 2025.

In the second quarter of 2025, we settled a claim against an insurance carrier and received $ 29 million in proceeds for the recovery of losses we incurred in connection with past litigation.

As a result, we recognized a $ 29 million gain on the insurance recovery in the second quarter of 2025.

The gain was recognized in operating gains in the condensed consolidated statement of income and we classified the proceeds in operating activities in the condensed consolidated statement of cash flows in the second quarter of 2025.

We classified $ 4 million of the proceeds in investing activities in the condensed consolidated statement of cash flows with the remainder in operating activities.

The $ 6 million gain was recognized in operating gains in the condensed consolidated statement of income in the first quarter of 2025.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements