Tyson Foods saw sales increase for the third quarter of 2022 and has announced a partnership with Saudi Arabian company, Tanmiah.
“We delivered solid results during the third quarter, focusing on operational excellence and aggressive cost management,” said Tyson CEO Donnie King in a media call. “The turnaround of our chicken business continues, and we continue to be the market share leader in many of our retail business lines.”
Sales
Despite roadblocks like lower product volume and supply chain issues, poultry sales increased by 8% — not the case, however, for beef and pork. According to Tyson executives, one in five U.S. households purchased a Tyson poultry product during the quarter with one of the most popular products being the company’s branded value-added chicken.
Executives also argued that higher poultry pricing is to compensate for an increase in cost of goods and resources. A civil probe lead by New York Attorney General Letitia James, however, alleges that Tyson, among other companies, has been price-gouging during the pandemic.
Tyson has not responded to a request for comment.
Saudi Arabia partnership
Tyson also announced the signing of a strategic partnership with Tanmiah, which provides meat and animal feed and health products. Tyson will acquire a 15% equity stake in Tanmiah subsidiary Agriculture Development Company and a 60% equity stake in Supreme Foods Processing Company.
“This investment will enable us to access poultry supplies in Saudi Arabia to meet the growing demand for protein in the Middle East and other markets,” said Chris Langholz, president of international for Tyson Foods. “Expansion into international markets is a key part of our strategic growth plan, and we’re pleased to better serve customers in this region.”
