Tyson Foods reported a jump in sales and volume for the second quarter of fiscal year 2018, but saw its net income decline for the period that ended March 31.
The company released its quarterly financial results on May 7.
Net income attributable to Tyson Foods went from $341 million during the second quarter of fiscal year 2017 to $315 million for the most recent quarter. Its net sales for the quarter were $9.8 billion, up from the nearly $9.1 billion for the same period one year ago.
“Sales, volume, adjusted operating income and adjusted EPS all increased in the fiscal second quarter vs. the same period last year. Up against challenging conditions, we delivered solid results in all four of our segments,” Tyson Foods CEO Tom Hayes said in a press release.
“We’ve built a strong foundation of sustainable growth that positions us well for the second half of the fiscal year and beyond. We’re outpacing the food and beverage industry today - and looking ahead, we'll keep challenging the status quo and drive growth across our iconic brands.”
Chicken segment performance
Tyson Foods reported that its sales volume for the chicken segment was up for the first six months and second quarter of fiscal 2018 due to strong demand for our chicken products along with the incremental volume from the AdvancePierre acquisition.
The average sales price increased for the first six months and second quarter of fiscal 2018 due to sales mix changes.
Operating income remained strong for the six-month period and second quarter of fiscal 2018 as the company benefited from $37 million and $23 million, respectively, of Financial Fitness Program cost savings, in addition to positive impacts from incremental AdvancePierre results and slightly lower feed costs, partially offset by increased labor, freight and growout expenses and one-time cash bonus to frontline employees of $51 million incurred in the second quarter of fiscal 2018.
The company also reported sales volume increases for both periods in its beef and prepared foods segments, but sales volume declines in the pork segment.
