For the quarter to 29 September 2018, it registered $9.99bn in total sales, down from $10.14bn in the same period last year. Its beef, pork and poultry divisions were all hit with fluctuating prices due to supply issues.
Tyson’s prepared foods division saw a volume sales drop during the period due to business divestitures.
Highlights from the quarter included Tyson agreeing to acquire Keystone Foods from Marfrig Global Foods for $2.16bn.
Noel White, Tyson’s president and CEO, said: “Tyson Foods produced solid earnings in fiscal 2018, demonstrating the strength of our differentiated portfolio and diversified business model.
“We exceeded our revised guidance due to a strong finish in the fourth quarter in the Beef and Pork segments. Prepared Foods drove margin expansion, while the Chicken segment closed the gap from earlier in the year with increased promotional activity.
White took over as CEO earlier this year when Tom Hayes stood down from the role suddenly.
“While we’re not presently in a position to provide GAAP guidance, we believe fiscal 2019 adjusted earnings will be $5.75 to $6.10 per share, based on current assumptions,” White said. “Our outlook excludes any potential impact from the closing of the Keystone acquisition and is relatively equal to fiscal 2018 earnings when excluding the income from businesses held for sale before they were divested. We expect continued strong cash flow generation as we grow sales and volume, particularly in value-added and branded products.
“I am confident in our team members and their ability to execute our strategy to sustainably feed the world with the fastest growing protein brands. Our strategy is working, and it has allowed us to produce good returns this year and will enable continued long-term growth.”
Looking ahead, it reported that the USDA estimated that domestic protein production (beef, pork, chicken and turkey) should increase approximately 3% from fiscal 2018 levels, but Tyson expects domestic availability of protein to increase approximately 2% as export markets should absorb a portion of the increase in production.