Rising feed costs and lower poultry prices lead to a significant drop in Astral Foods' earnings

From Yahoo Finance: 2025-05-19 09:19:00

Astral Foods reported a drop in first-half profits due to lower poultry prices and higher feed costs. Despite revenue growth to R10.7bn, operating profit fell by 50.7% to R271m, mainly from margin pressure in the poultry business. The poultry division saw a 1.5% revenue increase but swung to a R26m operating loss. The company faced cybersecurity issues, causing financial losses of around R20m.

Broiler margins declined to -1.1%, with sales volumes increasing to 5.6 million birds per week. Astral Foods warned of challenges ahead, including avian influenza threats and economic headwinds in South Africa. Rising unemployment and falling consumer demand for poultry products are key concerns. Global uncertainties may disrupt export opportunities under AGOA.



Read more at Yahoo Finance: Rising feed costs and falling poultry prices hit Astral Foods’ first-half earnings