Tyson Foods raises 2021 revenue forecast on strong beef demand

[August 09, 2021]  (Reuters) -Tyson Foods Inc on Monday raised its forecast for fiscal 2021 revenue, as the largest U.S. meat processor benefited from strong demand for its beef products after restaurants and hotels resumed businesses across the country.

Pent-up demand for a dine-in experience following the easing of restrictions boosted sales for U.S. meat packers, which also benefited from a recent boom in pork demand from China after the Asian country reported African swine fever outbreaks.

The Jimmy Dean hotdogs maker said it expects sales to be about $46 billion-$47 billion for fiscal 2021, compared with an earlier forecast range of $44 billion to $46 billion. Analysts on average expect sales of $45.09 billion, according to IBES data from Refinitiv.

Sales in the third quarter ended July 3 rose to $12.48 billion from $10.02 billion in the year-ago period. Analysts on average were expecting sales of $11.49 billion, according to IBES data from Refinitiv.

Net income attributable to Tyson increased to $749 million, or $2.05 per share, from $526 million, or $1.44 per share, a year earlier.

(Reporting by Praveen Paramasivam in Bengaluru and Tom Polansek in Chicago, Editing by Sherry Jacob-Phillips)

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