020802 Tyson Earnings Up Sharply

Springdale, AR (Reuters) - Tyson Foods Inc. , the largest U.S. poultry processor, said that quarterly earnings rose sharply from a year ago, helped by the purchase of beef and pork giant IBP Inc. last year.

Springdale, Arkansas-based Tyson reported fiscal third-quarter net income of $107 million, or 30 cents a share, compared with $19 million, or 9 cents a share, in the year-ago period.

Analysts on average were expecting 26 cents a share, according to Thomson First Call. The estimates ranged from 24 to 27 cents.

Gains from the IBP purchase in September offset pressure from a huge supply of beef, pork, and chicken during the quarter ended June 29.

Tyson also forecast that fourth-quarter earnings per share would range from 24 to 28 cents, and that fiscal 2002 earnings per share would be $1.08 to $1.12. This compares with analysts' mean expectations of 34 cents a share for the fourth quarter and $1.14 for the full year, according to First Call.

Third-quarter sales were $5.9 billion compared with $1.92 billion a year ago.

U.S. meat companies were hurt earlier this year when top poultry buyer Russia banned imports of U.S. poultry for one month beginning in March. That ban ended in early April but left a huge supply of chicken that was diverted to U.S. supermarkets, where it hurt prices and demand for beef and pork as well as chicken.

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