Tyson Foods is forecasting another financial year of rising sales after reporting top-line growth for the 12 months just ended.
The US meat titan expects its net sales to rise 2-4% in its new financial year, which started on 28 September.
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In the year just completed, the Hillshire Farm owner generated sales of $54.44bn, up 2.1% on the year before.
Sales rose 3.3% excluding the impact of a $653m increase in “legal contingency accruals”, which Tyson recognised as a reduction to sales.
Operating income fell 22% to just under $1.1bn amid bigger operating losses from the company’s beef and pork division, legal contingency accruals and an impairment on the beef business.
However, Tyson recorded an adjusted operating income of $2.29bn, which the company said was up 26% from the year before.
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By GlobalDataThe beef business still ran up an adjusted operating loss but, on that metric, the pork unit was in the black.
Operating income from Tyson’s chicken division grew year on year.
The group booked annual net income attributable to the business of $474m, down from $800m the previous year.
“We delivered year-over-year growth in sales, adjusted operating income and adjusted earnings per share, reflecting the strength of our multi-protein, multi-channel portfolio,” president and CEO Donnie King said. “This fiscal year’s progress demonstrates our commitment to operational excellence while meeting the evolving needs of our customers and consumers.”
Tyson is forecasting its beef division will generate an adjusted operating loss of $400-600m in the new financial year.
The company said it anticipates an adjusted operating income of $150-$250m from pork, $1.25-1.5bn from chicken and $950m-1.06bn from prepared foods.
