Tyson Foods (NYSE:TSN) shares rose over 3% after the food supplier giant unveiled expectation-beating results for the first quarter.
Adjusted income, despite falling 9% to US$0.69 per share, outdid estimates by over two-thirds, as cost-cutting measures came into effect, the firm said on Monday.
Revenue climbed by 0.4% to US$13.32 billion, once again outdoing analysts' expectations, as higher prices helped bolster beef sales.
Sales of both chicken and pork products shrank, though margins for each improved.
“We saw the benefits of our diverse protein portfolio and realization of operational efficiencies from the strategic decisions we made in the past year,” chief executive Donnie King said.
“Although we still have work to do, I am pleased with our first quarter results and am confident we are on the right path to deliver long-term shareholder value.”
Tyson Foods (NYSE:TSN), which is the world’s second-largest processor of beef, chicken and pork, had announced the closure of several plants last year in a bid to cut costs.
Following the better-than-anticipated earnings, the company guided for adjusted operating income between US$1.0 billion and US$1.5 billion for the year, compared to US$933 in 2023, with sales sitting relatively flat.
Share climbed 3.35% to US$58.15.