Tyson Foods Sounds Alarm on Poultry Supply Chain Constraints.
- The largest meat producer and processor in the United States, Tyson Foods, presented its quarterly earnings report on Monday, August 8. The results caused the stock to plunge 10%, marking the worst day fall in the past two years.
- During the most recent fiscal quarter, the company increased chicken prices by more than 20% while maintaining the same level of profitability. But inflationary pressures, including the need for higher pay, rising fuel costs, and the cost of feed ingredients, increased the company's costs this quarter by $145 million over the same period last year.
- Global chicken prices reached an all-time high in June, which helped Tyson's sales totals up despite a 2% decline in volume. And Tyson's chicken division recorded $4.37 billion in revenue for the third quarter of the fiscal year, a 25% increase from the same period last year.