Tyson Foods is seeing a major boost to its financial earnings as it recently released its fourth quarter report. Immediately off the bat, the protein provider reported $12.8 billion in sales for Q4 2021 compared to $11.4 billion in 2020. For the total twelve months, the meat company reported $47.0 billion in 2021 compared to $43.1 billion in 2020.
“We delivered double-digit sales and earnings growth during the fourth quarter and full year, and our performance was supported by our diverse portfolio and continued strength in consumer demand for protein,” said Donnie King, President and Chief Executive Officer of Tyson Foods. “We delivered a record performance in our beef segment and experienced share gains in our retail core business lines, which include our Tyson, Jimmy Dean, Hillshire Farm, and Ball Park iconic brands, while supporting the continued recovery in foodservice.”
Key highlights provided in the financial for Fiscal 2021 include:
Additionally, the meat provider reported it closed the sale of its Pet Treats business during the fourth quarter. According to the release, the sale was closed for $1.2 billion, increasing the provider’s operating income during the quarter by $784 million. It was partially offset by the impact of inflationary market conditions including a $520 million increase in raw material costs during fiscal 2021, increased supply chain costs, and a challenging labor environment.
Other Q4 highlights provided in the report include:
Beginning in fiscal 2022, Tyson also announced it will be launching a new productivity program, which is designed to drive a better, faster, and more agile organization that is supported by a culture of continuous improvement and faster decision making.
“To foster continuous improvement and faster decision making, we’re launching a new productivity program designed to deliver more than $1 billion in annual savings by the end of 2024,” King noted. “The focus of this plan includes operational and functional excellence, digital solutions and automation, and advanced technologies.
The company noted it has set targeting limits at $300 million to $400 million in fiscal 2022, relative to a fiscal 2021 cost baseline, to meet this goal.
“We have a tremendous opportunity ahead as we work to fulfill growing global demand for safe and nutritious protein products,” concluded King. “We’re entering fiscal 2022 with great momentum and are committed to delivering strong returns for shareholders into the future.”
To further explore the company’s results, click here.
How will this new avenue of funding help build the meat maven’s growth strategy? Stick with Deli Market News as we report.