Written by StockNews.com

Tyson Foods, Inc. (NYSE: TSN) early Monday posted mixed fiscal second quarter earnings results and backed its full-year outlook, as it navigates a difficult and competitive business environment.

The Springdale, AR-based poultry producer reported Q2:

• earnings per share (EPS) of $1.01, which was $0.01 worse than the Wall Street consensus estimate of $1.02 [while]
• revenues fell 0.9% from last year to $9.08 billion, edging out analysts’ view for $9.07 billion.

Looking ahead, TSN:

• reaffirmed its full-year EPS guidance of $4.90 to $5.05, which is in-line with the Wall Street consensus of $5.02.

The company commented via press release:

“Our Beef and Pork segments generated tremendous operating income in the second quarter, allowing us to invest in the long-term growth of our value-added businesses.

Our Prepared Foods segment results were negatively affected by the on-going challenges in our pizza toppings and ingredients meats businesses discussed last quarter.

Unfortunately, we experienced fires in two chicken plants in our second quarter. Had it not been for the fires, our Chicken segment return on sales would have been within its normalized range.

We expect our results to improve as we continue to address operational efficiency and capacity through fiscal year 2018."

Tyson Foods, Inc. shares fell $1.17 (-1.85%) in premarket trading Monday. Year-to-date, TSN has gained 3.04%, versus a 7.70% rise in the benchmark S&P 500 index during the same period.

TSN currently has a StockNews.com POWR Rating of C (Neutral) and is ranked #37 of 61 stocks in the Food Makers category.