Tyson Foods Inc. (NYSE: TSN) shares surged 5.13% in pre-market trading on Monday, following the company's better-than-expected fiscal first-quarter 2025 earnings results. The strong performance was driven by robust demand for its beef and chicken products.
For the quarter ended December 28, 2024, Tyson Foods reported:
- Revenue of $13.62 billion, up 2.3% year-over-year and beating analysts' estimates of $13.44 billion.
- Adjusted earnings per share (EPS) of $1.14, up 65% year-over-year and surpassing analysts' expectations of $0.88.
- Adjusted operating income of $659 million, a 60% increase from the prior year, with an adjusted operating margin of 4.8%.
The strong results were driven by higher volumes and prices for Tyson's beef and chicken products. The company's beef segment saw a 5.6% increase in volumes, while chicken volumes rose 1.5%. Demand for beef remained robust despite higher prices, benefiting Tyson amidst tight cattle supplies.
Encouraged by the solid first-quarter performance, Tyson Foods raised its full-year 2025 guidance. The company now expects revenue to be flat to up 1% compared to fiscal 2024, up from its previous forecast of flat to down 1%. Additionally, Tyson raised its adjusted operating income outlook to a range of $1.9 billion to $2.3 billion, up from the previous range of $1.8 billion to $2.2 billion.