First quarter profits fell sharply for US meat giant Tyson Foods thanks to low chicken and pork prices.

Tyson, which is the largest meat processor in the US, reported net profits for the first quarter of its 2019 financial year of $551m (€487m), which is down 66% on the same period last year.

Tyson blamed the drop in profits on tighter margins as a result of rising labour costs and higher animal feed costs for chicken and pigs.

Tyson said sales in its beef division fell due to reduced cattle supplies

The company reported sales of $10.2bn (€9bn), which was in line with the same period last year.

Adjusted operating profits for the period fell 11% to $841m (€745m), as profit margins fell from 9.2% last year to 8.3% in the first quarter of its 2019 financial year.

Tyson said sales in its beef division fell due to reduced cattle supplies.

However, profits from its beef division grew by 20% to $305m as a result of higher sales prices for beef and strong export demand.

Profits from Tyson’s chicken and pork divisions were both down 40% on last year to $160m (€142m) and $95m (€84m) respectively.