Hormel Foods Corp. reported its fiscal first-quarter earnings to rise 37%, as margins improved and the company's refrigerated-foods and grocery-products businesses reflected strong profit growth.

The maker of Spam, Dinty Moore stew and other foods, revealed its full-year earnings Thursday to exceed Wall Street's expectations on the better-than-expected quarterly results.

Hormel, based in Austin, Minn., reduced some prices on commodity items, such as bacon, last year during an industry wide slip in meat demand, while, the company's wide range of packaged and convenience foods helped support its performance last year.

Hormel's earnings are reported to rise by 37 percent to $111.2 million, or 82 cents per share, for the quarter and a profit of $81.4 million, or 60 cents per share, in the prior-year period.

In addition, the revenue reportedly raised 2.3% to $1.73 billion and volume rose 3% and the gross margin rose to 18.4% from 16.1% amid reduced commodity costs.

Hormel also plans to expand its product offerings, disclosing earlier this month that it is acquiring Shedd's Country Crock chilled side-dish line from Unilever United States Inc., a move that adds potato and pasta side dishes to its product line.