Tyson Foods Inc. on Monday reported profits and sales for its first quarter that missed analysts' estimates, with the company's various meat segments declining while the prepared foods segment showed strength.
The company's shares sagged on the news, falling about 6% at the start of trading Monday.
Tyson Foods reported net income of $316 million, or 88 cents per share, for its fiscal 2023 first quarter ended Dec. 31 compared to $1.1 billion, or $3.07 per share, for the year ago quarter. A consensus estimate of nine analysts put net income at $1.36 per share, according to Yahoo Finance.
Springdale-based Tyson Foods reported sales for its first quarter of fiscal 2023 of $13.26 billion, up 2.5% from $12.93 a year ago. A consensus estimate by nine analysts for the period was $13.5 billion.
The company said the prepared food segment did well while its beef, pork and chicken segments lagged.
Executives pointed to market dynamics, including inflation and economic pressure on consumers as well as operational inefficiencies for its results. But the company said it believed things would improve in the second half of the year. The quarter also saw improved staffing levels and that investments in automation are paying off, Tyson Foods reported.