Tyson Foods’ Earnings Down
by February 19, 2001 12:00 am 78 views
Earnings for the first quarter of fiscal 2001 at Springdale’s Tyson Foods Inc. were down 52.6 percent from the same period in 2000, from $57 million to $27 million.
Its total sales dropped during the same period from $1.78 billion to $1.74 billion, or a 2 percent decrease.
Tyson still blames the oversupply of chicken on the market for the negative impact on sale prices.
Its earnings per share dropped from 25 cents per share during the first quarter of 2000 to 12 cents in the first quarter of 2001. Sales decreased 2 percent, with a 4.9 percent decrease in volume in the first quarter of 2001 from the first quarter of 2000.
Tyson cut back on the number of chickens produced since November 1999.
Tyson recently extended its offer deadline to IBP Inc. shareholders to Feb. 20, the fourth such deadline since IBP originally accepted the offer Jan. 1. Tyson is offering a total package of $4.7 billion for IBP, a leading beef and pork producer headquartered in Dakota Dunes, S.D.
The package includes a cash and stock offer of $3.2 billion with an additional assumption of about $1.5 billion of IBP debt.
Tyson is still awaiting a final review of IBP’s accounting practices from the Securities and Exchange Commission.