Pork exports contribute to Smithfield’s profit comeback

Smithfield Foods Inc., based in Virginia, cites pork exports to Canada, along with other countries, as contributing to quarterly earnings that far exceeded expectations.

In the quarter ending in January, Smithfield, the world’s largest pork producer, exported 24 per cent of its production. According to published reports, chief executive Larry Pope credited double digit increases in sales to Japan, China Korea and Canada. As a result, Smithfield revenue rose 10 per cent to $3.19 billion, above the $3.16 billion average analyst forecast. The hog production unit still lost money, but it was only $2.3 million compared to $78.3 million a year before as higher hog prices made up for expensive feed.

Better Pork - June 2011