Tyson Foods Shares Fall 7.6 Percent Amid Trade Worries

July 31, 2018
Tyson President and CEO, Tom Hayes cites changing global trade policies and a challenging market environment as contributing factors to why the company cut its profit outlook.

Food Processing Top 100© list mainstay, Tyson Foods, made news yesterday when it revealed it would be revising its adjusting earnings for fiscal year 2018 to approximate $5.70-6.00 per share. According to a release on its website, Tyson Foods had expected adjusted earnings per share of $6.55-6.70.

“The combination of changing global trade policies here and abroad, and the uncertainty of any resolution, have created a challenging market environment of increased volatility, lower prices and oversupply of protein, said Tom Hayes, Tyson Foods president and chief executive officer. "We will continue to watch these conditions carefully."

Hayes went on to say that the company is working to stabilize the impact of freight and ingredient costs.

Tyson, a processor of chicken, pork, and beef as well as manufacturer of prepared foods, has been impacted not only by Chinese steel and aluminum tariffs, but also by Mexico's 10% tariff on chilled and frozen pork muscle cuts.

As we've reported on Food Processing, several countries are doubling down on President Trump's taxation and are retaliating by adding their own tariffs to numerous U.S. Agricultural products.

Learn more about how the trade worries prompted shares to fall via this article on CNBC

Sponsored Recommendations

Troubleshoot: Grittiness in gluten free cookies

Learn how to adjust gluten free cookie recipes for a softer texture.

Clabber Girl: Rising Success

Uncover how Clabber Girl Corporation achieved a remarkable 7% growth and improved manufacturing efficiency by seamlessly integrating Vicinity's batch manufacturing solution with...

Intelligent Blends: Taking Technology to the Next Level

Find out how our friends at Intelligent Blends use VicinityFood and Microsoft Dynamics GP to produce the best coffee around.

Key ingredient: Mother Murphy's Laboratories

Flavorings manufacturer Mother Murphy’s Laboratories integrates front office with production facility — improving operations from initial order to final invoice.