Trade Resources Company News Tyson Foods Makes Progress in Transition

Tyson Foods Makes Progress in Transition

Tyson Foods has made significant progress in its transition from a protein producer to a branded, value-added food company with stronger, more stable earnings, company executives told investors at the Consumer Analyst Group of Europe annual conference.

Donnie Smith, president and chief executive officer, said Tyson Foods is in a unique position to grow and create value.

"We're in categories growing at a rate higher than the total Food and Beverage category, our product mix is driving margin expansion, we're building brand advocates, and we're investing in growth," Smith said. "We're changing with the consumer, and that has led to the incredible innovation momentum we're generating. We've been able to consistently increase our new product vitality and deliver innovation numbers that put us among the top of branded food companies, and we're just getting started."

Dennis Leatherby, executive vice president and chief financial officer, said Tyson Foods is in a strong financial position that will enable future growth.

"With our current fiscal 2016 earnings guidance, which we raised during our last earnings call due to very strong first quarter results, the four-year projected CAGR (compound annual growth rate) is over 18 percent, easily surpassing our goal to deliver at least 10 percent annual earnings per share growth over time," Leatherby said.

He added that maintaining a solid balance sheet is a priority for the company due to the options it provides. "We are capable of making multiple strategic moves," he said. "We generate a lot of cash, and we have plenty of liquidity and debt capacity to take advantage of the right opportunities when they come along."

 

 

Source: http://savorysnacks.food-business-review.com/news/tyson-foods-making-progress-in-transition-230316-4846199
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