LAUREL — Poultry processor Sanderson Farms Inc. said today that its third-quarter profit fell 16 percent as sales dipped.
The results fell short of Wall Street forecasts, and its shares dropped $2.16, or 5 percent, to $41 in pre-market trading.
Chairman and CEO Joe F. Sanderson Jr. said high temperatures were partly to blame for the quarter’s results, because the warm weather made it difficult for chickens to gain weight. That means the company was able to sell fewer pounds of meat. Market prices were also lower.
For the three-month period that ended July 31, Sanderson reported net income of $36.1 million, or $1.55 per share, down from $43 million, or $2.06 per share, a year ago.
Sales fell 3 percent to $489.1 million from $504.8 million a year earlier.
Analysts surveyed by Thomson Reuters expected the company to earn $1.87 per share on revenue of $519 million.
BEFORE YOU GO…
… we’d like to ask for your support. More people are reading the Mississippi Business Journal than ever before, but advertising revenues for all conventional media are falling fast. Unlike many, we do not use a pay wall, because we want to continue providing Mississippi’s most comprehensive business news each and every day. But that takes time, money and hard work. We do it because it is important to us … and equally important to you, if you value the flow of trustworthy news and information which have always kept America strong and free for more than 200 years.
If those who read our content will help fund it, we can continue to bring you the very best in news and information. Please consider joining us as a valued member, or if you prefer, make a one-time contribution.Click for more info