THE RESULTS: Meat producer Tyson Foods had a profitable second quarter because of improvements in its chicken business and higher beef and pork revenue. Demand also picked up for exports and in restaurants at home.
THE SUPPLY: The industry has been cutting supply to boost prices and improve profits, to make up for weak demand and volatile ingredient costs. CEO Donnie Smith says improvements happened sooner than Tyson expected.
THE YEAR: Tyson expects chicken demand to improve the rest of the year, and prices to increase as inventories are depleted. Beef should also improve as restaurant demand picks up.
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