Tyson Foods, Inc. (NYSE:TSN) Q2 2015 Earnings Conference Call - Final Transcript

May 04, 2015 • 09:00 am ET

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Tyson Foods, Inc. (NYSE:TSN) Q2 2015 Earnings Conference Call - Final Transcript

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Q & A
Executive
Donald Smith

Analyst
Timothy Ramey

Great. And then just on food service, wondering if you're seeing any mix change in reaction to perhaps limited supply of liquid eggs, or the beef supply being so difficult. QSRs, is there incremental shift in kind of what the menu looks like?

Executive
Donald Smith

We think that, of course, 50s have been pretty soft, but 90s have remained very, very high. So, we think as we -- and it seems to us that the cutout is shifting a bit, and you've seen 50s prices firm back up. So, as we look at that, what we think that's going to do is drive incremental growth particularly at QSR in chicken. We also are seeing, fortunately, and because the QSR Mexican category is growing the most -- so, QSR Chicken's probably up 8%, QSR Mexican is up 11%. And QSR Mexican favors our portfolio in a couple of ways. It uses dark meat, and it also is a pretty heavy user of protease, so that's good for our business, too. So, as we look at the trend going through the summer, we feel very good about it being favorable to our business.

Analyst
Timothy Ramey

Excellent. Thanks.

Executive
Donald Smith

You bet. So, before we go, I'd like to say again that we are building momentum at Prepared Foods. We're capturing synergies, and we're transitioning to a less volatile, higher-return business that gives us the confidence that we'll achieve our annual guidance of $3.30 to $3.40 adjusted EPS this year and at least 10% EPS growth next year. Thanks for your time today and have a great week.

Operator
operator

Thank you, speakers. That concludes today's conference. Thank you for participating. You may now disconnect.