Tyson Foods Lowers Profit Forecast Amid Cattle Shortage
Tyson Foods has cut its annual profit outlook due to rising cattle costs outpacing beef prices, leading to a projected loss in the beef segment. The company now expects fiscal 2026 adjusted operating income of $2.1 billion to $2.3 billion, down from previous guidance. Beef volumes fell by nearly 16%, while prices rose over 12%. A shrinking U.S. cattle herd and import restrictions have worsened the situation. In contrast, Tyson's chicken business has performed well, with margin growth of 11.2% as consumers shift to more affordable proteins amid beef price concerns. Total revenue for the quarter came in at $13.87 billion, below expectations. The company now forecasts full-year revenue growth between 2.5% and 3.5%, down from earlier projections.
Tickers: $TSN
Topics: beef industry cattle prices profit outlook revenue miss