Tyson Foods Surges on Rising Chicken Demand
Tyson Foods outperforms Q1 expectations driven by strong chicken sales and steady beef and pork growth, signaling robust protein demand.
Bill McColl brings over 25 years of expertise as a senior producer and writer in TV, radio, and digital media, leading teams in delivering impactful news coverage on major stories.
Highlights
- Robust chicken demand propels Tyson Foods past first-quarter profit and revenue forecasts.
- Beef and pork segments also contribute to revenue growth.
- Company projects full-year sales to remain stable or grow slightly by 1%.
Tyson Foods (TSN), the leading poultry producer in the U.S., saw its shares rise sharply Monday following impressive first-quarter results fueled by strong chicken sales.
The company reported adjusted earnings per share (EPS) of $1.14 for fiscal 2025 Q1, exceeding analyst expectations by approximately 33%. Revenue increased 2.3% year-over-year to $13.6 billion, surpassing market predictions.
Chicken revenue grew 0.8% to $4.07 billion despite a slight 0.7% dip in average prices, supported by a 1.5% increase in volume. Beef sales rose 6.2% to $5.34 billion with prices up 0.6% and volumes climbing 5.6%. Pork prices jumped 7.0%, pushing sales up 6.6% to $1.67 billion, although volumes declined marginally by 0.4%.
CEO Highlights Outstanding Chicken Performance
CEO Donnie King described this quarter as Tyson's strongest in over two years, attributing success to "exceptional results in chicken." He emphasized that consumers continue to prioritize protein intake, benefiting the company’s product lines.
Tyson anticipates full-year revenue to hold steady or increase by up to 1% compared to $53.3 billion in 2024. This outlook improves upon prior guidance, though slightly trails the $53.7 billion consensus estimate.
Shares, which had remained mostly flat over the past year, gained 3% in early Monday trading.
Have a news tip for our reporters? Email us at tips@investopedia.com
Discover the latest news and current events in Company News as of 04-10-2024. The article titled " Tyson Foods Surges on Rising Chicken Demand " provides you with the most relevant and reliable information in the Company News field. Each news piece is thoroughly analyzed to deliver valuable insights to our readers.
The information in " Tyson Foods Surges on Rising Chicken Demand " helps you make better-informed decisions within the Company News category. Our news articles are continuously updated and adhere to journalistic standards.