Tyson Foods sales drop 12.8 percent; CEO to step down

Features Reuters

Traders gather at the post that trades Tyson Foods on the floor of the New York Stock Exchange June 3, 2014. REUTERS/Brendan McDermid (Copyright Reuters 2016)

Tyson Foods Inc reported a 12.8 percent drop in quarterly revenue, hurt by lower sales of beef and chicken, and said Chief Executive Donnie Smith would step down at the end of the year.

Continue Reading Below

Tyson's shares were down 7.7 percent in premarket trading on Monday.

The company said its president, Tom Hayes, will succeed Smith as chief executive.

The No. 1 U.S. meat processor said sales in the fourth quarter ended Oct. 1 fell to $9.16 billion from $10.51 billion a year earlier.

However, net income attributable to Tyson rose to $391 million, or $1.03 per share, from $258 million, or 63 cents per share, a year earlier.

(Reporting by Sruthi Ramakrishnan in Bengaluru; Editing by Martina D'Couto)