Seaboard Corporation, which owns a 52.5 stake in Butterball, reported a $6 million in net income for its investment in the turkey company during the third quarter of fiscal year 2024.
That is a 70% decline from the income it received in its investment during the third quarter of the previous year.
For the first nine months of the fiscal year, Seaboard reported a $21 million in income from Butterball, a $66 million year-over-year decline.
On a Form 10-Q that can be found on the Seaboard Corporation investor relations website, the company stated that those decreases in net income can be attributed to weaker pricing, partially offset by lower production costs.
“The average selling price decreased 10% and 8% for the three- and nine-months periods of 2024, respectively, primarily due to lower market prices. Sales volumes did not have a significant impact on the results of the three- and nine-month periods,” the Form 10-Q read.
Seaboard stated that its management anticipates its investment in Butterball to remain profitable for the remainder of the fiscal year.
Butterball, according to information from the WATTPoultry.com Top Poultry Companies Database, slaughtered 1.06 billion pounds of turkeys during the previous year. Company brands include Butterball, Carolina Turkeys, Just Perfect and Farm to Family.
