Tyson Q2 profits reach $68 million

Earnings per share during the quarter ended March 31, 2007, reached $0.19, compared to a loss of $0.37 per share in the same quarter last year, which included $59 million, or $0.11 per share, of costs related to beef and prepared foods plant closings. Sales during the quarter were up slightly at $6.5 billion, compared to $6.3 billion for the same period last year, while operating income reached $158 million, compared to an operating loss of $142 million in 2006. "Quarterly operating income improved $300 million over the same period last year," said Richard Bond, president and CEO. "All segments were profitable, and it was our strongest performance since the fourth quarter of fiscal 2005. Our beef segment is back in the black, and our pork business is well within our target margin objectives. Chicken showed improvement despite a substantial year-over-year increase in grain costs. "The company continues to strengthen and gain momentum across all core businesses by accelerating innovation and driving operational discipline," Mr Bond added. "Some important milestones we reached include unveiling our new Discovery Center, our renewable energy strategic alliance and our progress toward the $200 million Cost Management Initiative target, which we are confident we will exceed." The company has revised its outlook for fiscal 2007 earnings per share to be in the range of $0.65 to $0.90.