Tyson Foods (NYSE: TSN) reported Q1 EPS of $1.58, $0.01 better than the analyst estimate of $1.57. Revenue for the quarter came in at $10.19 billion versus the consensus estimate of $10.37 billion.

• GAAP EPS of $1.50, down 66% from record prior year (prior year included a one-time tax benefit of $2.68)
• Adjusted EPS of $1.58, down 13% from record prior year
• GAAP operating income of $807 million; Adjusted operating income of $841 million
• Total Company GAAP operating margin of 7.9%; Adjusted operating margin of 8.3%
• Record Prepared Foods GAAP operating margin of 12.3% and record Adjusted operating margin of 12.5%
• Closed the Keystone Foods acquisition on November 30, 2018
• Repurchased 1.4 million shares for $83 million

Guidance

• Reaffirming Adjusted1 EPS guidance for fiscal 2019 of $5.75-$6.10.

“Our diversified business model continues to set Tyson Foods apart,” said Noel White, Tyson’s president and chief executive officer. “The Prepared Foods and Beef segments delivered strong results in our fiscal first quarter, while the Pork and Chicken segments performed well given market conditions. We’re proud of the growth Prepared Foods has achieved in the past five years and the role it has played in stabilizing volatility while growing earnings. Moving forward, we will remain focused on growing Prepared Foods as well as our value-added and international businesses.

“In the first quarter, we completed the acquisition of Keystone Foods. I’m pleased with the progress of the integration and remain confident Keystone will play an important role as we execute our growth strategy, particularly with strategic customers and in key international markets.

“Fiscal 2019 holds many opportunities for Tyson Foods. Global protein demand remains strong, and we are well positioned to meet the demand with our diversified business model and differentiated portfolio. Our cash flow and strong balance sheet support our capital commitments and our growth strategy. Our team is focused on the success of our stakeholders, and I am confident in our ability to deliver on our fiscal 2019 outlook of $5.75-6.10 adjusted earnings per share while enabling long-term, sustainable growth.”

GUIDANCE:

Tyson Foods sees FY2019 EPS of $5.75-$6.10, versus the consensus of $5.94. Tyson Foods sees FY2019 revenue of $43 billion, versus the consensus of $41.36 billion.

For earnings history and earnings-related data on Tyson Foods (TSN) click here.