$TSN (+3.39%) Foods delivered its third consecutive quarter of YoY growth in sales, operating income, and EPS. Revenue increased by 2.3% YoY to $13.62B, driven by strong performance in the Chicken segment. The company improved execution across its portfolio, achieving an operating margin of 4.3%.
📊 Key Financial Metrics (YoY Growth):
▫️ Revenue: $13.62B (+2.3%)
▫️ Net Income: $359M (+237%)
▫️ Adj. EPS: $1.14 (+65%)
▫️ Gross Margin: 8.0%
▫️ Operating Margin: 4.3%
📍 Segment Breakdown:
▫️ Chicken: $4.07B revenue, $351M operating income – strongest segment
▫️ Beef: $5.34B revenue, $(64)M operating loss due to supply constraints
▫️ Pork: $1.62B revenue, $59M operating income
▫️ Prepared Foods: $2.47B revenue, $209M operating income
▫️ International/Other: $584M revenue, $25M operating income
💰 Income Statement Highlights:
▫️ Gross Profit: $1.10B (8.0% margin)
▫️ SG&A Expenses: $515M
▫️ Interest Expense: $120M
▫️ Effective Tax Rate: 23.5%
💰 Balance Sheet Highlights:
▫️ Cash & Equivalents: $2.29B
▫️ Accounts Receivable: $2.32B
▫️ Inventories: $5.11B
▫️ Total Assets: $37.31B
▫️ Total Debt: $9.81B
▫️ Total Shareholders' Equity: $18.63B
📈 Future Outlook:
▫️ Revenue Guidance: Flat to +1% YoY growth
▫️ Adj. Operating Income Guidance: $1.9B - $2.3B
▫️ Segment Outlook:
Chicken: $1.0B - $1.3B adj. operating income
Beef: $(0.4)B - $(0.2)B adj. operating loss
Pork: $0.1B - $0.2B adj. operating income
Prepared Foods: $0.9B - $1.1B adj. operating income
International: Expected improvement
▫️ CapEx: $1.0B - $1.2B
▫️ Free Cash Flow: $1.0B - $1.6B
🔎 Key Takeaway: Tyson Foods continues to capitalize on protein demand, with strong execution in Chicken offsetting beef weakness.