By Karl Plume and Praveen Paramasivam
(Reuters) -Soaring meat prices helped Tyson Foods Inc overcome pandemic-related labor shortages at its plants as the top U.S. meat packer reported a stronger-than-expected quarterly profit on Monday and forecast improved revenue in the year ahead.
The Springdale, Arkansas-based company reported a double-digit jump in sales and earnings in the fiscal fourth-quarter ended Oct. 2, including a record quarter in its beef segment despite a 20% surge in cattle prices.
Tyson shares were up around 4% in midmorning trading.
Rising meat prices and improving demand from restaurants have boosted U.S. meat companies including Tyson after the COVID-19 pandemic kept many diners at home last year. Meat packers have also seen record demand for American beef from China and amid diplomatic tensions between Beijing and supplier Australia.
Increased costs for labor, transportation and items such as feed grain and packaging have created headaches, however.