Tyson Foods, Inc. (NYSE: TSN) Monday reported first quarter earnings that topped estimate and raised full-year guidance, driven by strong beef and pork sales. The company said net income rose 38 percent to $1.59 per share in the quarter ended December 31, beating analysts’ average estimates of $1.27 per share. Revenue rose to $9.18 billion in the first quarter, compared with $9.15 billion a year earlier.
“The year is off to the best start in company history with record earnings, record operating income and record cash flows,” said Tom Hayes, president and chief executive officer of Tyson Foods. “Return on sales for each operating segment was in or above the normalized range. The tremendous returns generated in the Beef and Pork segments are providing fuel for growth in our value-added Chicken and Prepared Foods segments.
The company also raised its 2017 earning outlook to a range of $4.90 to $5.05 a share, representing a 12 percent from earnings per share of fiscal 2016.
“Due to our outstanding performance in Beef and Pork and strong market conditions in the first quarter, we are raising our annual earnings guidance to $4.90-5.05 per share. We expect the earnings cadence for the remainder of the fiscal year to follow more normal patterns, including the seasonality typical of our second quarter.” He said.