Tyson Foods sharply raised prices on beef, chicken, and pork, pulling its profits and sales above estimates in the most recent quarter.
The Arkansas-based meat giant—which produces around 20 percent of all U.S. beef chicken, and pork—said it had lifted prices across all of its major business units.
“Inflation has clearly had an impact on the business,” chief executive Donnie King said on Monday. “Our commercial teams have successfully pursued inflation justified pricing, delivering top-line growth for the business to offset the cost increases. As rates of inflation continue, so will our pricing actions.”
Sales jumped 20 percent in the fourth quarter and 11 percent during the fiscal full year, which the company concludes on October 2nd.
“Our sales gains were largely driven by higher average sales price,” King said. “Our teams have worked together with our customers to pass along that inflation through price increases. ”
The company said it has had to increase wages and faced increased costs for shipping, packaging, raw materials, logistics, and items such as feed grain.
“We have raised wages and across our business today we pay an average of $24 per hour, which includes full medical, vision, dental, and other benefits like access to retirement plan and sick pay,” King said.
Tyson shares rose by around four percent Monday morning.