Current Cattle Market Daily Headlines for November 17, 2020

americancattlemarkets

5 years ago

Strong beef and pork results propel Tyson performance

Tyson Foods Inc. has posted a 40 percent increase in their fourth quarter adjusted operating income compared to the same time period in 2019.
Strong beef and pork sales contributed to this gain and helped the company offset weaknesses in their chicken and international units.
Adjusted beef sales in the fourth quarter reached $4.0 billion, up 2.7 percent from year-ago levels. Adjusted net income for beef rose 19 percent to $483 million.
Pork adjusted sales rose 1 percent to $1.3 billion in the fourth quarter and adjusted net income for pork skyrocketed 500 percent to $162 million.
Tyson did report losses in their poultry sector with sales declining by 8 percent to $3.2 billion, adjusted prepared foods sales fell 2 percent to $2.1 billion and international sales declined 11 percent to $456 million.
Tyson’s 2020 fiscal year saw adjusted net income increase by 5 percent to $3.1 billion. The company’s adjusted sales stayed level at $42.4 billion.

Gross income for cattle in the United States for 2019 totaled $66.68 billion, down $793.3 million from the previous year.
Missouri saw the greatest loss in cattle income between the two years with a loss of $306.1 million.
A few notable states:
- Nebraska saw a loss of $100.2 million
- South Dakota saw a loss of $22.2 million
- Montana saw a loss of $2.9 million
- Wyoming saw a loss of $55.3 million

As President elect Joe Biden begins his transition into the White House, names are beginning to surface for Secretary of Agriculture.
One of the top contenders, former North Dakota Senator Heidi Heitkamp, has criticized the Trump administration for their trade policies and has been working to educate the Democrats on the many issues facing rural America.
Minnesota Senator Amy Klobuchar, is also a front runner for the position. Klobuchar has been an advocate for increasing support of agriculture commodities, disaster programs and federal crop insurance. She is also being considered for Attorney General.
Another candidate is Marcia Fudge. Fudge currently serves as chair of the Nutrition Subcommittee, which oversees USDA operations. She has fought to protect nutrition programs and has focused on increasing USDA’s conservation programs. Additionally, Fudge led the way during the 2018 Farm Bill to protect water quality.