How Heinz and Hormel fared in the quarter

Here's a look at how H.J. Heinz Co. and Hormel Foods Corp. fared in the most recent quarter, the results of which they reported Thursday:

HORMEL: The Austin, Minn.-based company makes Spam and Jennie-O Turkey, among other products.

OVERVIEW: Revenue was up 10 percent, helped by higher prices charged to customers, but profit fell 9 percent as greater meat, fuel and other costs outweighed the price increases.

WEAKNESS: The Jennie-O segment was hurt as costs for fuel and feed rose $53 million. Hormel raised prices but said it didn't cover the added cost. It said a production cut will be felt in a few months and that'll help prices.

ANALYST TAKE: D.A. Davidson analyst Tim Ramey said he expected poor margins at Jennie-O in the next quarter, but lower feed costs in the first quarter of the next year and higher pricing should help margins too.

HEINZ: The Pittsburgh-based company makes Heinz Ketchup, Weight Watchers Smart Ones products and Ore-Ida potatoes.

OVERVIEW: First-quarter profit rose 11 percent on double-digit sales growth in North America and Europe. It raised prices an average of 5.2 percent to offset rising commodity costs.

WEAKNESS: Sales in the food service division, like restaurants, fell 2.8 percent, while pricing led to a sales increase of 1.5 percent. People are eating more at home to save money, skipping on meals out.

ANALYST TAKE: Citigroup analyst David Driscoll wrote in a research note that the company's portfolio of products, which focus on health and value, "tend to outperform in tough macro-economic conditions."

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