- Pilgrim's Pride Corp (PPC) on Tuesday reported a quarterly loss instead of the profit Wall Street had expected, sending its shares down 8 percent, as the largest U.S. chicken producer faced much higher feed prices.
- For the first quarter ended on Dec. 29, the Pittsburg, Texas-based company said its loss had widened to $32.3 million, or 49 cents per share, from $8.7 million, or 13 cents per share, a year earlier. Excluding a one-time income tax charge of $13 million, the loss was 29 cents per share. On that basis, Wall Street analysts on average had expected a profit of 34 cents, according to Reuters Estimates. (to analysts --> "Oops")
- "Our feed-ingredient costs for the quarter, on a pro forma basis, rose 24 percent, or $157 million, when compared to the same period a year ago," Chairman Ken Pilgrim said in a statement. (hmm, I don't see anything like that in goverment reports - surely there must be an error on your side Mr. Pilgrim)
- "Those cost increases -- when coupled with labor shortages, higher production, freight and fuel costs during the quarter -- offset most of the improvements in market pricing and product mix," he said. (Mr. Pilgrim, Fed cuts solve everything - remember how the August Fed cuts helped? And the Halloween Fed cut helped? Now stop your whining and enjoy the Kool Aid with the rest of us... go buy a home builder stock or something! Always takes the edge off of 24% cost increases)
So yet another CEO who clearly has no clue. If only he would read the government reports he would see inflation is contained, and benign. Hence, we can cut interest rates to zero if we choose to. Because inflation would somehow still be contained and benign. Ah, those government reports - so awesome.
No position
