Exclusive: Tyson Foods runs high-revenue, low-cost business

Tyson Foods is being transformed into a multi-protein consumer brands company that is defying earnings growth expectations. It’s on its way to eliminating perhaps a billion dollars in costs in three years and giving earning per share guidance of $4.20 to $4.30 in 2017. The catalyst for Tyson’s transformation from a commodity products company to consumer brands protein powerhouse is, of course, its acquisition of Hillshire Brands in 2014. In the world of mergers and acquisitions, investors and analysts are notoriously skeptical of the pre-acquisition rationale until the newly formed company puts up the numbers. Tyson is doing just that – with projected compound annual growth rate in earnings per share greater than 21 percent from fiscal year 2012 to 2016.