Tyson Foods said Monday that net income surged in the second quarter by 48 percent and sales increased by more than 10 percent, results that company leaders said outpaced initial expectations.
Tyson, one of the world's largest meat producers, reported net income in the second quarter was $311 million, up from $210 million in the second quarter of 2014. Net income attributable to Tyson was $310 million, or 75 cents per share, up from $213 million, or 60 cents per share, last year.
"This was another great quarter and better than we initially expected," President and CEO Donnie Smith said in a statement. "Our fiscal second quarter is seasonally challenging, but we came in above our projections due to strong performances by our Prepared Foods and Chicken segments."
Sales in the quarter were up 10.5 percent from about $9 billion last year to nearly $10 billion in the most recent quarter.
Smith noted Tyson's purchase of Hillshire Brands "played an important role in Tyson Foods' transformation." And, he said, Tyson's range of products positions it to "produce consistent, sustainable growth."
"We have structured our company to capitalize on the tailwinds and to manage through the headwinds in the parts of our business that are subject to commodity markets," Smith said. "By producing innovative, protein-centric foods, we are uniquely positioned to meet consumers' needs for all meal occasions and all day parts, at home and away from home."
Tyson posted a sales increase even as chicken, beef and pork segments saw small declines in second-quarter sales and international sales were down more than 30 percent. The overall increase was powered by the prepared foods segment, which increased more than 70 percent from $861 million in last year's second quarter to $1.87 billion in 2015.
A conference call on the results is set for 8 a.m. Monday. It can be accessed by calling (888) 455-8283 and using the pass code "Tyson Foods." A telephone replay will be posted at (866) 465-0340 and playable using pass code 54816. The call and replay will also be available on the company website.