Tyson Foods Q4 Earnings: Revenue And EPS Beat, Beef Gains Outshine Chicken Dip & More

Zinger Key Points
  • Tyson Foods reports Q4 adjusted EPS of 92 cents, beating estimates, with strong beef and pork volumes driving a 1.6% revenue increase.
  • Tyson expects a 1% sales decline for FY25 but forecasts strong operating income, while raising its quarterly dividend to $0.50 per share.

Tyson Foods, Inc. TSN shares are trading higher on Tuesday.

The company reported fourth-quarter adjusted earnings per share of 92 cents beating the street view 69 cents. Quarterly revenues of $13.565 billion (+1.6%) outpaced the analyst consensus of $13.392 billion.

“Our multi-protein, multi-channel portfolio, combined with our best-in-class team, iconic brands and focus on operational excellence positions us well for Fiscal 2025 and beyond,” said Donnie King, President & CEO of Tyson Foods.

Beef volumes rose 3.7%, Pork volumes gained 3.2%, while chicken volumes fell 0.7%.

The company posted an adjusted operating income of $512 million, a 117% increase from the prior year. Its total adjusted operating margin was 3.8%. As of September 28, 2024, liquidity stood at approximately $4.0 billion.

The company exited the quarter with a long-term debt of $9.713 billion.

Also Read: Wall Street Futures Show Weakness As Investors Look To Lock In Gains After Strong Post-Election Rally: ‘Bull Market Sentiment Remains Intact,’ Says Wharton Economist

Outlook: Tyson Foods expects sales to be down 1% to flat in fiscal 2025. The company sees total company adjusted operating income of $1.8 billion to $2.2 billion for fiscal 2025.

“Looking ahead, we are optimistic about our outlook and our ability to deliver long-term value to our shareholders,” the CEO added.

The USDA projects a 2% decrease in domestic beef production for fiscal 2025 compared to fiscal 2024, and Tyson expects an adjusted operating loss between $(0.4) billion and $(0.2) billion.

For pork, the USDA anticipates a 2% increase in domestic production, and Tyson expects adjusted operating income between $0.1 billion and $0.2 billion. USDA projects chicken production to rise by 3%, and Tyson anticipates adjusted operating income of $1.0 billion to $1.2 billion for fiscal 2025.

The company stated that it expects its total liquidity, which was $4.0 billion as of September 28, 2024, to stay above the minimum liquidity target of $1.0 billion.

Dividend: The company announced that, effective November 8, the Board of Directors approved an increase in the quarterly dividend to $0.50 per share for Class A common stock and $0.45 per share for Class B common stock. The higher dividend will be payable on December 13, to shareholders of record as of November 29, and a similar dividend has been declared to be payable on March 14, 2025.

Price Action: TSN shares are trading higher by 5.85% to $62.25 premarket at last check Tuesday.

Photo via Shutterstock

Read Next:

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Date
ticker
name
Actual EPS
EPS Surprise
Actual Rev
Rev Surprise
Posted In: EarningsEquitiesLarge CapNewsGuidanceMarketsMoversGeneralBriefsStories That Matterwhy it's moving
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!