Sanderson Farms Q4 Profit Declines

(RTTNews) - Sanderson Farms Inc. (SAFM) Thursday reported a decline in fourth quarter net income to $72.87 million from $75.96 million in the prior year. On a per share basis, earnings decreased to $3.20 from $3.36 a year ago.

On average, 11 analysts polled by Thomson Reuters expected the company to earn $3.5 per share. Analysts estimates usually exclude special items.

Net sales for the quarter increased to $919.94 million from $790.81 million in the same period last year. The company reported a higher cost of sales and selling, general and administrative expenses. Wall Street was looking for revenue of $911.3 million.

Joe Sanderson, Jr., chairman and chief executive officer of Sanderson Farms said, "Market conditions weakened during our fourth fiscal quarter of 2017, as market prices declined seasonally after Labor Day. The seasonal decrease in demand was exacerbated by hurricane disruptions and higher than expected chicken production caused by higher than expected live weights."