“So yes, we will be passing prices on, but it will still be the cheapest form of protein for Australian consumers, so we expect that that will still mean [chicken is] a popular choice for families who are managing a budget.”

The $1 billion chicken producer is struggling to recover from supply chain disruptions, inflationary pressures, labour issues, and challenges to its farming operations, reporting losses across earnings, net profits, and dividends. Staffing shortages contributed to a drop in the fertility levels of breeding roosters, resulting in lower poultry volumes.

Ingham’s net profits of $17.2 million was a 55 per cent drop compared to the same half the previous year, while its earnings (EBITDA) of $197 million represented a 10.6 per cent slide.

The company will pay a fully franked dividend of 4.5¢ per share, a 30.8 per cent drop on dividends paid this time last year.

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Around noon, Ingham’s share price slid nearly 2 per cent to $2.70 as shareholders processed the results.

While net profit results undershot E&P Financial’s estimates, retail analyst Phillip Kimber noted that EBITDA was 4 per cent better than expected, signalling a lift in earnings.

“For those investors happy to look through another tough [second half], assuming feed costs remain stable (or fall further), future earnings ... would support a higher share price,” Kimber said in a note to investors.

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