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Dec 28, 2024
Tyson Foods Q1 2025 Earnings Report
Reported year-over-year top and bottom-line growth and raised fiscal year 2025 guidance.
Key Takeaways
Tyson Foods reported a strong start to fiscal year 2025, delivering its third consecutive quarter of year-over-year growth in sales, operating income, and EPS, driven by improved execution and strong performance in the chicken segment.
Sales increased by 2.3% year-over-year to $13,623 million.
GAAP operating income rose by 151% year-over-year to $580 million.
GAAP EPS increased by 237% year-over-year to $1.01.
The company maintains strong liquidity with $4.5 billion as of December 28, 2024.
Tyson Foods
Tyson Foods
Tyson Foods Revenue by Segment
Revenue by Segment
Beef Revenue
CapyFin.comPork Revenue
CapyFin.comChicken Revenue
CapyFin.comPrepared Foods Revenue
CapyFin.comInternational/Other Revenue
CapyFin.com Forward Guidance
For fiscal year 2025, Tyson Foods anticipates increased domestic protein production and has provided outlooks for each segment, revenue, capital expenditures, net interest expense, liquidity, free cash flow, and tax rate.
Positive Outlook
- USDA projects domestic protein production to increase approximately 1% compared to fiscal 2024.
- Expect total liquidity to remain above the minimum target of $1.0 billion.
- Anticipate adjusted operating income of $0.1 billion to $0.2 billion in Pork segment for fiscal 2025.
- Expect free cash flow to be between $1.0 billion and $1.6 billion for fiscal 2025.
- Anticipate improved results from foreign operations in fiscal 2025 on an adjusted basis.
Challenges Ahead
- USDA projects domestic beef production will decrease approximately 1% in fiscal 2025 as compared to fiscal 2024.
- Anticipate adjusted operating loss between $(0.4) billion and $(0.2) billion in beef segment in fiscal 2025.
- Expect sales to be flat to up 1% in fiscal 2025 as compared to fiscal 2024.
- Expect net interest expense to approximate $375 million for fiscal 2025.
- Currently expect the adjusted effective tax rate to approximate 25% for fiscal 2025.
Revenue & Expenses
Visualization of income flow from segment revenue to net income