Tyson Foods to Launch Meatless Products This Year
Author By Sophia VidaPosted on Vegetarians have something to be excited about. Tyson Foods will be launching meatless products starting this summer.
Tyson, which once was an investor in Beyond Meat, which made its debut on the NASDAQ last week, has announced that it would make its own plant-based meat substitutes.
Beyond Meat exploded an amazing 163% its first day of trading, making it the biggest market debut so far this year.
Tyson Foods CEO Noel White told analysts on the quarterly conference call on Monday that the plant-based product will launch this summer on a limited basis. It will then have a wider rollout in October and November.
Shares of Beyond Meat fell about 6% at the open after Tyson’s announcement.
White also stated on the call, “Our earnings of $1.20 per share, and a 6.3% operating margin demonstrate the strength of diversified business model. The prepared foods segments results were a Q2 record, and the Beef and Pork segments executed well despite several significant weather events. Although parts of our Chicken segment had challenges, we are past what is typically our toughest quarter and we’re driving changes to improve our results.”
“As we move ahead with the integration of Keystone foods, I continue to be encouraged by the opportunities we see both domestically and internationally. The integration process has gone well and we’re leveraging the international operation and the team’s expertise, as we strengthen our capabilities. We’re confident in our ability to achieve our announced synergies as we improve efficiencies and optimize supply chain and production resources.”
Beyond Meat’s CEO, Ethan Brown, told CNBC that the company is trying to capture the meat industry’s customers.
According to Bloomberg Intelligence, the Beyond Meat success will push companies like Kellogg Co., Conagra Brands Inc. and Kraft Heinz Co. to spend more on plant innovation.
Disclaimer: We have no position in Tyson Foods, Inc. (NYSE: TSN) nor Beyond Meat Inc. (NASDAQ: BYND) and have not been compensated for this article.
