Vending

Tyson reports Q3 2023 sales and earnings fall, will close 4 plants

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August 7, 2023

Tyson Foods Inc. reported negative results for Q3 2023 against the prior year quarter and announced the closing of four chicken facilities, according to an earnings report. Highlights include:

• The company announced the closing of four chicken facilities to reduce costs and improve capacity utilization: North Little Rock, Arkansas, Corydon, Indiana, Dexter, Missouri and Noel, Missouri.
• Sales fell 3% from $13.5 billion in Q3 2022 to $13.14 billion for the quarter ending July 1, 2023.
• Net income fell from $753 million to a $435 million loss in the comparative quarters.
• GAAP EPS fell 157% from $2.14 to a $1.18 loss.
• Adjusted EPS fell 92% to 15 cents.
• Beef sales fell from $4.96 billion to $4.95 billion.
• Pork sales fell from $1.62 billion to $1.32 billion.
• Chicken sales fell from $4.36 billion to $4.21 billion.
• International/other sales rose from $602 million to $633 million.

Shares traded today at $51.65 against a 52-week range of $47.11 to $83.08.

The $13.14 billion in quarterly revenue missed Zacks estimate by 4.62% while the adjusted EPS of 15 cents missed Zacks estimate of 34 cents, according to Zacks.

"The difficult decision to close four chicken facilities in North Little Rock, Arkansas, Corydon, Indiana, Dexter, Missouri and Noel, Missouri, demonstrates our commitment to bold action and operational excellence as we drive performance, including lower costs and improving capacity utilization, and build on our strategy of making Tyson Foods stronger in the long-term," Donnie King, president and CEO, said in the press release.

The company expects fiscal 2023 sales to be $53 billion to $54 billion.