Executives from Tyson Foods Inc. told investors Thursday at the Barclays Global Consumer Staples Conference in Boston that the company is producing higher, more stable earnings and sales volume growth.
“As stated on our last earnings call, our adjusted earnings guidance for fiscal 2016 of $4.40-4.50 per share is 40 percent more than last year and represents a four-year compound annual growth rate of approximately 22 percent, and we’re confident we can achieve high single-digit growth in fiscal 2017,” said Donnie Smith, Tyson Foods’ chief executive officer.
Tyson Foods is returning cash to shareholders through increasing dividends and share repurchases totaling 31 million shares in the previous 12 months through Aug. 8, Smith said. “Beyond dividends and share buybacks, we’ll use our substantial cash flows to invest in our business or make strategic acquisitions,” he said.
Tyson’s “Core 9” product lines, which feature the Tyson, Jimmy Dean, Hillshire Farm, Ball Park, Wright, Aidells and State Fair® brands, are growing and gaining momentum, according to Tom Hayes, Tyson Foods’ president.
“The investments we made in the Core 9 to spur volume growth are generating returns,” he said. “We continue to outpace retail food and beverage. Tyson Core 9 is leading in volume performance among the top 10 consumer packaged goods retail food manufacturers, and Tyson Foods is one of only three companies to show growth in the latest quarter.
“We’re growing sales volume, sales dollar sales and market share.”