030161 Tyson's 1st Quarter Earnings FallJanuary 27, 2003Little Rock, AR - Meat producer Tyson Foods Inc. reported its earnings fell sharply in its first fiscal quarter, citing a slow economy, a meat oversupply and increased grain costs. The results fell short of analysts' consensus forecast, but were within the company's projections that it revised lower last month. Springdale-based Tyson earned $39 million, or 11 cents a share, for the three months ended Dec. 28, down from $127 million, or 36 cents a share, a year earlier. Excluding one-time items, Tyson earned 15 cents a share. That was a penny per share below the consensus forecast of analysts surveyed by Thomson First Call. Sales were $5.8 billion compared to $5.9 billion for the period a year prior. Tyson shares fell $1.25, or 10.9%, to close Monday at $10.24 on the New York Stock Exchange. Analyst Christine McCracken of Midwest Research said Tyson is trimming supplies to help increase prices. This month, Tyson launched a $100 million campaign to sell lines of beef and pork products under the Tyson name, which had been reserved for its chicken products. "That was an extension of things they talked about in the past," McCracken said. "That's what they need to do to improve the brand image across the board." Tyson chairman and chief executive John Tyson said the company is making improvements and is working to increase earnings over the long term.
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