Tyson Foods (NYSE: TSN) posted first-quarter results Monday, with profits that nearly doubled and surpassed estimates. Shares rose 10% following the news and have risen 13% throughout 2022.
An American multinational corporation reported earnings of USD2.87 per share, compared to the expected USD1.93 a share. Revenue amounted to USD12.93 Billion, higher than analysts anticipated USD12.17 Billion.
“We’re pleased with the results of the first quarter and of the steps that we are taking to improve productivity,” said Donnie King, President, and CEO of Tyson Foods. “Our performance reflects the resilience of our multi-protein portfolio even with continued volatility in the marketplace. We remain committed to winning with our team members, winning with our customers and consumers, and winning with excellence. We have the right team who are taking the right actions and as a result, we believe our future is bright.”
According to the company, average beef prices are up almost 32%, causing a decline in volume amid supply chain issues. This action helped Tyson’s operating margin to grow to 11.3%, an increase from the previous year’s 6.7%.
Furthermore, sales for beef rose approximately 25% to USD5 Billion, boosting Tyson’s sales 23.6% to USD12.93 Billion within the first quarter that ended January 1. Meanwhile, analysts predicted revenue of USD12.18 Billion, according to IBES data from Refinitiv.