Tyson Foods Reports Second Quarter 2025 Results
Il segmento Pollame ha mostrato una forte performance con un utile operativo rettificato di 312 milioni di dollari, mentre i segmenti Manzo e Suino hanno incontrato alcune difficoltà. L'azienda ha mantenuto una solida liquidità di 3,2 miliardi di dollari e ha ridotto il debito totale di 738 milioni durante il trimestre.
Per l'anno fiscale 2025, Tyson prevede un utile operativo rettificato totale dell'azienda tra 1,9 e 2,3 miliardi di dollari, con vendite stabili o in crescita fino all'1%. L'azienda si aspetta un flusso di cassa libero tra 1,0 e 1,6 miliardi di dollari e investimenti in capitale compresi tra 1,0 e 1,2 miliardi di dollari.
El segmento de Pollo mostró un desempeño sólido con un ingreso operativo ajustado de 312 millones de dólares, mientras que los segmentos de Carne de Res y Cerdo enfrentaron desafíos. La compañía mantuvo una fuerte liquidez de 3,2 mil millones de dólares y redujo la deuda total en 738 millones durante el trimestre.
Para el año fiscal 2025, Tyson espera un ingreso operativo ajustado total de la compañía entre 1,9 y 2,3 mil millones de dólares, con ventas proyectadas estables o con un aumento de hasta el 1%. La empresa anticipa un flujo de caja libre entre 1,0 y 1,6 mil millones de dólares y gastos de capital entre 1,0 y 1,2 mil millones de dólares.
닭고기 부문은 3억 1,200만 달러의 조정 영업이익으로 강한 실적을 보였으며, 소고기 및 돼지고기 부문은 어려움을 겪었습니다. 회사는 32억 달러의 강력한 유동성을 유지했으며, 분기 동안 총 부채를 7억 3,800만 달러 감축했습니다.
2025 회계연도에 Tyson은 총 조정 영업이익을 19억~23억 달러로 예상하며, 매출은 전년과 비슷하거나 최대 1% 증가할 것으로 전망합니다. 또한, 자유 현금 흐름은 10억~16억 달러, 자본 지출은 10억~12억 달러로 예상하고 있습니다.
Le segment Poulet a affiché une solide performance avec un résultat opérationnel ajusté de 312 millions de dollars, tandis que les segments Bœuf et Porc ont rencontré des difficultés. L'entreprise a maintenu une forte liquidité de 3,2 milliards de dollars et a réduit sa dette totale de 738 millions au cours du trimestre.
Pour l'exercice 2025, Tyson prévoit un résultat opérationnel ajusté total compris entre 1,9 et 2,3 milliards de dollars, avec un chiffre d'affaires prévu stable ou en légère hausse jusqu'à 1%. L'entreprise anticipe un flux de trésorerie disponible compris entre 1,0 et 1,6 milliard de dollars et des dépenses d'investissement entre 1,0 et 1,2 milliard de dollars.
Der Geflügelsektor zeigte eine starke Leistung mit einem bereinigten Betriebsergebnis von 312 Millionen US-Dollar, während die Rindfleisch- und Schweinefleischsegmente Herausforderungen hatten. Das Unternehmen hielt eine solide Liquidität von 3,2 Milliarden US-Dollar und reduzierte die Gesamtschulden im Quartal um 738 Millionen US-Dollar.
Für das Geschäftsjahr 2025 erwartet Tyson ein bereinigtes Betriebsergebnis des Gesamtunternehmens zwischen 1,9 und 2,3 Milliarden US-Dollar, mit einem Umsatz, der stabil bleibt oder um bis zu 1 % steigt. Das Unternehmen rechnet mit einem freien Cashflow zwischen 1,0 und 1,6 Milliarden US-Dollar sowie Investitionen in Höhe von 1,0 bis 1,2 Milliarden US-Dollar.
- Adjusted operating income increased 27% to $515 million in Q2
- Adjusted EPS grew 48% to $0.92 in Q2
- Strong performance in Chicken segment with adjusted operating income of $312 million
- Debt reduction of $738 million during the quarter
- Maintained strong liquidity position of $3.2 billion
- Six-month adjusted operating income up 44% to $1.17 billion
- GAAP operating income declined 68% to $100 million in Q2
- GAAP EPS fell 95% to $0.02 in Q2
- Beef segment reported operating loss of $258 million
- Pork segment reported operating loss of $195 million
- Legal contingency accruals reduced sales by $343 million
- Free cash flow declined by $174 million from prior year
Insights
Tyson's Q2 shows divergent results: adjusted metrics up while GAAP numbers declined, with protein segments performing unevenly.
Tyson Foods' Q2 2025 results reveal a stark contrast between adjusted and GAAP performance. While reported sales remained flat at
This significant divergence stems largely from
Performance across protein segments varied dramatically. The Beef segment reported a substantial operating loss of
The company's financial position improved with debt reduction of
The results highlight how Tyson's diversified protein portfolio provides resilience, with strong performance in Chicken and Prepared Foods offsetting weakness in red meat segments. Management's optimization efforts are yielding results in certain areas, yet the company faces ongoing challenges in its beef and pork operations amid changing market conditions.
Strong Execution Drives Top and Adjusted Bottom-Line Gains
SPRINGDALE, Ark., May 05, 2025 (GLOBE NEWSWIRE) -- Tyson Foods, Inc. (NYSE: TSN), one of the world’s largest food companies and a recognized leader in protein with leading brands including Tyson, Jimmy Dean, Hillshire Farm, Ball Park, Wright, Aidells, ibp and State Fair, reported the following results:
| (in millions, except per share data) | Second Quarter | Six Months Ended | |||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| Sales | $ | 13,074 | $ | 13,072 | $ | 26,697 | $ | 26,391 | |||||||
| Operating Income | $ | 100 | $ | 312 | $ | 680 | $ | 543 | |||||||
| Adjusted1 Operating Income (non-GAAP) | $ | 515 | $ | 406 | $ | 1,174 | $ | 817 | |||||||
| Net Income Per Share Attributable to Tyson | $ | 0.02 | $ | 0.41 | $ | 1.03 | $ | 0.71 | |||||||
| Adjusted1 Net Income Per Share Attributable to Tyson (non-GAAP) | $ | 0.92 | $ | 0.62 | $ | 2.06 | $ | 1.31 | |||||||
1 The Company reports its financial results in accordance with U.S. generally accepted accounting principles (GAAP). As used in this table and throughout this earnings release, adjusted operating income (loss) and adjusted net income per share attributable to Tyson (Adjusted EPS) are non-GAAP financial measures. Refer to the end of this release for an explanation and reconciliation of these and other non-GAAP financial measures used in this release to comparable GAAP measures.
First Six Months Highlights
- Sales of
$26,697 million , up1.2% from prior year; legal contingency accruals reduced sales by$343 million , or1.3% - GAAP operating income of
$680 million , up25% from prior year - Adjusted operating income of
$1,174 million , up44% from prior year - GAAP EPS of
$1.03 , up45% from prior year - Adjusted EPS of
$2.06 , up57% from prior year - Total Company GAAP operating margin of
2.5% - Total Company adjusted operating margin (non-GAAP) of
4.3% - Cash provided by operating activities of
$846 million , down$331 million from prior year - Free cash flow (non-GAAP) of
$382 million , down$174 million from prior year
Second Quarter Highlights
- Sales of
$13,074 million , flat from prior year; legal contingency accruals reduced sales by$343 million , or2.6% - GAAP operating income of
$100 million , down68% from prior year - Adjusted operating income of
$515 million , up27% from prior year - GAAP EPS of
$0.02 , down95% from prior year - Adjusted EPS of
$0.92 , up48% from prior year - Total Company GAAP operating margin of
0.8% - Total Company adjusted operating margin (non-GAAP) of
3.8% - Liquidity of
$3.2 billion as of March 29, 2025; reduced total debt$738 million during the quarter
"We delivered another solid quarter with growth in both sales and adjusted operating income, driven by strong execution across the business. Our consistent focus on operational excellence, winning with customer and consumers, leveraging data and digital, and enhancing our financial strength has resulted in four consecutive quarters of year-over-year improvements in our top and adjusted bottom lines," stated Donnie King, President & CEO of Tyson Foods. "Looking ahead, our diversified multi-channel, multi-protein portfolio positions us well to capitalize on consumer demand for high-quality protein and deliver continued value to our shareholders."
SEGMENT RESULTS (in millions)
| Sales | ||||||||||||||||||||
| (for the second quarter and six months ended March 29, 2025, and March 30, 2024) | ||||||||||||||||||||
| Second Quarter | Six Months Ended | |||||||||||||||||||
| Volume | Avg. Price | Volume | Avg. Price | |||||||||||||||||
| 2025 | 2024 | Change | Change2 | 2025 | 2024 | Change | Change2 | |||||||||||||
| Beef | $ | 5,196 | $ | 4,954 | (1.4 | )% | 8.2 | % | $ | 10,531 | $ | 9,977 | 2.0 | % | 4.5 | % | ||||
| Pork | 1,244 | 1,486 | (3.8 | )% | 4.3 | % | 2,861 | 3,003 | (2.1 | )% | 5.7 | % | ||||||||
| Chicken | 4,141 | 4,065 | 3.0 | % | (1.1 | )% | 8,206 | 8,098 | 2.2 | % | (0.9 | )% | ||||||||
| Prepared Foods | 2,396 | 2,404 | (2.6 | )% | 2.3 | % | 4,869 | 4,947 | (2.9 | )% | 1.3 | % | ||||||||
| International/Other | 566 | 580 | (1.5 | )% | (0.9 | )% | 1,150 | 1,162 | 1.4 | % | (2.4 | )% | ||||||||
| Intersegment Sales | (469 | ) | (417 | ) | n/a | n/a | (920 | ) | (796 | ) | n/a | n/a | ||||||||
| Total | $ | 13,074 | $ | 13,072 | — | % | 2.6 | % | $ | 26,697 | $ | 26,391 | 0.8 | % | 1.7 | % | ||||
| Operating Income (Loss) | ||||||||||||||||||||
| (for the second quarter and six months ended March 29, 2025, and March 30, 2024) | ||||||||||||||||||||
| Second Quarter | Six Months Ended | |||||||||||||||||||
| Operating Margin | Operating Margin | |||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Beef | $ | (258 | ) | $ | (35 | ) | (5.0 | )% | (0.7 | )% | $ | (322 | ) | $ | (241 | ) | (3.1 | )% | (2.4 | )% |
| Pork | (195 | ) | (1 | ) | (15.7 | )% | (0.1 | )% | (136 | ) | 38 | (4.8 | )% | 1.3 | % | |||||
| Chicken | 262 | 158 | 6.3 | % | 3.9 | % | 613 | 335 | 7.5 | % | 4.1 | % | ||||||||
| Prepared Foods | 244 | 230 | 10.2 | % | 9.6 | % | 453 | 473 | 9.3 | % | 9.6 | % | ||||||||
| International/Other | 47 | (40 | ) | n/a | n/a | 72 | (62 | ) | n/a | n/a | ||||||||||
| Total | $ | 100 | $ | 312 | 0.8 | % | 2.4 | % | $ | 680 | $ | 543 | 2.5 | % | 2.1 | % | ||||
ADJUSTED SEGMENT RESULTS (in millions)
| Adjusted Operating Income (Loss) (Non-GAAP)1 | ||||||||||||||||||||
| (for the second quarter and six months ended March 29, 2025, and March 30, 2024) | ||||||||||||||||||||
| Second Quarter | Six Months Ended | |||||||||||||||||||
| Adjusted Operating Margin (Non-GAAP) | Adjusted Operating Margin (Non-GAAP) | |||||||||||||||||||
| 2025 | 2024 | 20252 | 2024 | 2025 | 2024 | 20252 | 2024 | |||||||||||||
| Beef | $ | (149 | ) | $ | (34 | ) | (2.8 | )% | (0.7 | )% | $ | (181 | ) | $ | (151 | ) | (1.7 | )% | (1.5 | )% |
| Pork | 55 | 33 | 3.7 | % | 2.2 | % | 114 | 101 | 3.7 | % | 3.4 | % | ||||||||
| Chicken | 312 | 160 | 7.5 | % | 3.9 | % | 680 | 352 | 8.3 | % | 4.3 | % | ||||||||
| Prepared Foods | 244 | 233 | 10.2 | % | 9.7 | % | 478 | 497 | 9.8 | % | 10.0 | % | ||||||||
| International/Other | 53 | 14 | n/a | n/a | 83 | 18 | n/a | n/a | ||||||||||||
| Total | $ | 515 | $ | 406 | 3.8 | % | 3.1 | % | $ | 1,174 | $ | 817 | 4.3 | % | 3.1 | % | ||||
2 Average Price Change and Adjusted Operating Margin (Non-GAAP) for the Beef and Pork segments and Total Company for the three and six months ended March 29, 2025 exclude the impact of
OUTLOOK
For fiscal 2025, the United States Department of Agriculture (USDA) indicates domestic protein production (beef, pork, chicken and turkey) will increase approximately
Beef
USDA projects domestic production will be relatively flat in fiscal 2025 as compared to fiscal 2024. We anticipate adjusted operating loss between
Pork
USDA projects domestic production will increase slightly in fiscal 2025 as compared to fiscal 2024. We anticipate adjusted operating income of
Chicken
USDA projects chicken production will increase approximately
Prepared Foods
We anticipate adjusted operating income of
International/Other
We anticipate improved results from our foreign operations in fiscal 2025 on an adjusted basis.
Total Company
We anticipate total company adjusted operating income of
Revenue
We expect sales to be flat to up
Capital Expenditures
We expect capital expenditures between
Net Interest Expense
We expect net interest expense to approximate
Liquidity
We expect total liquidity, which was
Free Cash Flow
We expect free cash flow to be between
Tax Rate
We currently expect our adjusted effective tax rate to approximate
| TYSON FOODS, INC. CONSOLIDATED CONDENSED STATEMENTS OF INCOME (In millions, except per share data) (Unaudited) | |||||||||||||||
| Three Months Ended | Six Months Ended | ||||||||||||||
| March 29, 2025 | March 30, 2024 | March 29, 2025 | March 30, 2024 | ||||||||||||
| Sales | $ | 13,074 | $ | 13,072 | $ | 26,697 | $ | 26,391 | |||||||
| Cost of Sales | 12,474 | 12,206 | 25,002 | 24,702 | |||||||||||
| Gross Profit | 600 | 866 | 1,695 | 1,689 | |||||||||||
| Selling, General and Administrative | 500 | 554 | 1,015 | 1,146 | |||||||||||
| Operating Income | 100 | 312 | 680 | 543 | |||||||||||
| Other (Income) Expense: | |||||||||||||||
| Interest income | (17 | ) | (14 | ) | (42 | ) | (24 | ) | |||||||
| Interest expense | 110 | 111 | 230 | 216 | |||||||||||
| Other, net | (23 | ) | 12 | (16 | ) | (13 | ) | ||||||||
| Total Other (Income) Expense | 70 | 109 | 172 | 179 | |||||||||||
| Income before Income Taxes | 30 | 203 | 508 | 364 | |||||||||||
| Income Tax Expense | 16 | 55 | 128 | 102 | |||||||||||
| Net Income | 14 | 148 | 380 | 262 | |||||||||||
| Less: Net Income Attributable to Noncontrolling Interests | 7 | 3 | 14 | 10 | |||||||||||
| Net Income Attributable to Tyson | $ | 7 | $ | 145 | $ | 366 | $ | 252 | |||||||
| Net Income Per Share Attributable to Tyson: | |||||||||||||||
| Class A Basic | $ | 0.02 | $ | 0.42 | $ | 1.05 | $ | 0.73 | |||||||
| Class B Basic | $ | 0.01 | $ | 0.37 | $ | 0.94 | $ | 0.65 | |||||||
| Diluted | $ | 0.02 | $ | 0.41 | $ | 1.03 | $ | 0.71 | |||||||
| Dividends Declared Per Share: | |||||||||||||||
| Class A | $ | 0.500 | $ | 0.490 | $ | 1.010 | $ | 0.990 | |||||||
| Class B | $ | 0.450 | $ | 0.441 | $ | 0.909 | $ | 0.891 | |||||||
| Sales Growth | — | % | 1.2 | % | |||||||||||
| Margins: (Percent of Sales) | |||||||||||||||
| Gross Profit | 4.6 | % | 6.6 | % | 6.3 | % | 6.4 | % | |||||||
| Operating Income | 0.8 | % | 2.4 | % | 2.5 | % | 2.1 | % | |||||||
| Net Income Attributable to Tyson | 0.1 | % | 1.1 | % | 1.4 | % | 1.0 | % | |||||||
| Effective Tax Rate | 51.0 | % | 26.9 | % | 25.1 | % | 28.0 | % | |||||||
| TYSON FOODS, INC. CONSOLIDATED CONDENSED BALANCE SHEETS (In millions) (Unaudited) | |||||||
| March 29, 2025 | September 28, 2024 | ||||||
| Assets | |||||||
| Current Assets: | |||||||
| Cash and cash equivalents | $ | 992 | $ | 1,717 | |||
| Accounts receivable, net | 2,385 | 2,406 | |||||
| Inventories | 5,395 | 5,195 | |||||
| Other current assets | 396 | 433 | |||||
| Total Current Assets | 9,168 | 9,751 | |||||
| Net Property, Plant and Equipment | 9,278 | 9,442 | |||||
| Goodwill | 9,805 | 9,819 | |||||
| Intangible Assets, net | 5,740 | 5,875 | |||||
| Other Assets | 2,289 | 2,213 | |||||
| Total Assets | $ | 36,280 | $ | 37,100 | |||
| Liabilities and Shareholders’ Equity | |||||||
| Current Liabilities: | |||||||
| Current debt | $ | 896 | $ | 74 | |||
| Accounts payable | 2,350 | 2,402 | |||||
| Other current liabilities | 2,248 | 2,311 | |||||
| Total Current Liabilities | 5,494 | 4,787 | |||||
| Long-Term Debt | 8,172 | 9,713 | |||||
| Deferred Income Taxes | 2,240 | 2,285 | |||||
| Other Liabilities | 1,843 | 1,801 | |||||
| Total Tyson Shareholders’ Equity | 18,400 | 18,390 | |||||
| Noncontrolling Interests | 131 | 124 | |||||
| Total Shareholders’ Equity | 18,531 | 18,514 | |||||
| Total Liabilities and Shareholders’ Equity | $ | 36,280 | $ | 37,100 | |||
| TYSON FOODS, INC. CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS (In millions) (Unaudited) | |||||||
| Six Months Ended | |||||||
| March 29, 2025 | March 30, 2024 | ||||||
| Cash Flows From Operating Activities: | |||||||
| Net income | $ | 380 | $ | 262 | |||
| Depreciation and amortization | 700 | 722 | |||||
| Deferred income taxes | (41 | ) | (21 | ) | |||
| Other, net | 146 | 142 | |||||
| Net changes in operating assets and liabilities | (339 | ) | 72 | ||||
| Cash Provided by Operating Activities | 846 | 1,177 | |||||
| Cash Flows From Investing Activities: | |||||||
| Additions to property, plant and equipment | (464 | ) | (621 | ) | |||
| Purchases of marketable securities | (33 | ) | (13 | ) | |||
| Proceeds from sale of marketable securities | 30 | 12 | |||||
| Acquisition of equity investments | (2 | ) | (26 | ) | |||
| Other, net | 55 | 27 | |||||
| Cash Used for Investing Activities | (414 | ) | (621 | ) | |||
| Cash Flows From Financing Activities: | |||||||
| Proceeds from issuance of debt | 31 | 2,327 | |||||
| Payments on debt | (816 | ) | (308 | ) | |||
| Proceeds from issuance of commercial paper | — | 1,649 | |||||
| Repayments of commercial paper | — | (2,240 | ) | ||||
| Purchases of Tyson Class A common stock | (16 | ) | (31 | ) | |||
| Dividends | (349 | ) | (342 | ) | |||
| Stock options exercised | 19 | 8 | |||||
| Other, net | (1 | ) | (12 | ) | |||
| Cash (Used for) Provided by Financing Activities | (1,132 | ) | 1,051 | ||||
| Effect of Exchange Rate Changes on Cash | (25 | ) | 2 | ||||
| (Decrease) Increase in Cash and Cash Equivalents and Restricted Cash | (725 | ) | 1,609 | ||||
| Cash and Cash Equivalents and Restricted Cash at Beginning of Year | 1,717 | 573 | |||||
| Cash and Cash Equivalents and Restricted Cash at End of Period | 992 | 2,182 | |||||
| Less: Restricted Cash at End of Period | — | — | |||||
| Cash and Cash Equivalents at End of Period | $ | 992 | $ | 2,182 | |||
Non-GAAP Financial Measures
Adjusted Operating Income (Loss), Adjusted Income before Income Taxes, Adjusted Income Tax Expense, Adjusted Net Income Attributable to Tyson and Adjusted EPS, EBITDA, Adjusted EBITDA, net debt to EBITDA, net debt to Adjusted EBITDA and Free Cash Flow are presented as supplemental financial measures in the evaluation of our business that are not required by, or presented in accordance with GAAP. The non-GAAP financial measures are tools intended to assist our management and investors in comparing our performance on a consistent basis for purposes of business decision-making by removing the impact of certain items that management believes do not directly reflect our core operations on an ongoing basis. These non-GAAP measures should not be a substitute for their comparable GAAP financial measures. Investors should rely primarily on our GAAP results and use non-GAAP financial measures only supplementally in making investment decisions. We believe the presentation of these non-GAAP financial measures helps management and investors to assess our operating performance from period to period, including our ability to generate earnings sufficient to service our debt, enhances understanding of our financial performance and highlights operational trends. These measures are widely used by investors and rating agencies in the valuation, comparison, rating and investment recommendations of companies. Our calculation of non-GAAP measures may not be comparable to similarly titled measures reported by other companies and other companies may not define these non-GAAP financial measures in the same way, which may limit their usefulness of comparative measures.
Definitions
EBITDA is defined as net income before interest, income taxes, depreciation and amortization. Net debt to EBITDA (Adjusted EBITDA) represents the ratio of our debt, net of cash, cash equivalents and short-term investments, to EBITDA (and to Adjusted EBITDA). EBITDA, Adjusted EBITDA, net debt to EBITDA and net debt to Adjusted EBITDA are presented as supplemental financial measurements in the evaluation of our business.
Adjusted EBITDA, Adjusted Operating Income (Loss), Adjusted Income before Income Taxes, Adjusted Income Tax Expense, Adjusted Net Income Attributable to Tyson and Adjusted EPS are defined as EBITDA, Operating Income (Loss), Income before Income Taxes, Income Tax Expense, Net Income Attributable to Tyson and diluted earnings per share, respectively, excluding the impacts of any items that management believes do not directly reflect our core operations on an ongoing basis.
Free Cash Flow is defined as Cash Provided by Operating Activities minus payments for Property, Plant and Equipment.
TYSON FOODS, INC.
GAAP Results to Non-GAAP Results Reconciliations
(In millions, except per share data)
(Unaudited)
| Results for the second quarter ended March 29, 2025 | |||||||||||||||
| Sales | Cost of Sales | Selling, General and Administrative | Operating Income | Other (Income) Expense | Income before Income Taxes | Income Tax Expense | Net Income Attributable to Tyson | EPS Impact | |||||||
| GAAP Results | $ | 100 | $ | 30 | $ | 16 | $ | 7 | $ | 0.02 | |||||
| Brand discontinuation | — | — | 6 | 6 | — | 6 | 1 | 5 | 0.02 | ||||||
| Network optimization plan charges | — | 43 | — | 43 | — | 43 | 5 | 38 | 0.10 | ||||||
| Legal contingency accruals | 343 | — | — | 343 | — | 343 | 81 | 262 | 0.73 | ||||||
| Plant closures and disposals | — | 23 | — | 23 | — | 23 | 6 | 17 | 0.05 | ||||||
| Adjusted Non-GAAP Results | $ | 515 | $ | 445 | $ | 109 | $ | 329 | $ | 0.92 | |||||
| Results for the second quarter ended March 30, 2024 | |||||||||||||||
| Sales | Cost of Sales | Selling, General and Administrative | Operating Income | Other (Income) Expense | Income before Income Taxes | Income Tax Expense | Net Income Attributable to Tyson | EPS Impact | |||||||
| GAAP Results | $ | 312 | $ | 203 | $ | 55 | $ | 145 | $ | 0.41 | |||||
| The Netherlands facility5 | — | 54 | — | 54 | — | 54 | — | 54 | 0.15 | ||||||
| Restructuring and related charges | — | (3 | ) | 4 | 1 | — | 1 | — | 1 | — | |||||
| Plant closures and disposals | — | 39 | — | 39 | — | 39 | 19 | 20 | 0.06 | ||||||
| Adjusted Non-GAAP Results | $ | 406 | $ | 297 | $ | 74 | $ | 220 | $ | 0.62 | |||||
| Results for the six months ended March 29, 2025 | |||||||||||||||||||||
| Sales | Cost of Sales | Selling, General and Administrative | Operating Income | Other (Income) Expense | Income before Income Taxes | Income Tax Expense | Net Income Attributable to Tyson | EPS Impact | |||||||||||||
| GAAP Results | $ | 680 | $ | 508 | $ | 128 | $ | 366 | $ | 1.03 | |||||||||||
| Production facility fire insurance proceeds, net of costs incurred4 | — | — | — | — | (7 | ) | (7 | ) | (2 | ) | (5 | ) | (0.01 | ) | |||||||
| Brand discontinuation | — | — | 12 | 12 | — | 12 | 3 | 9 | 0.03 | ||||||||||||
| Network optimization plan charges | — | 114 | 2 | 116 | — | 116 | 22 | 94 | 0.26 | ||||||||||||
| The Netherlands facility5 | — | — | — | — | — | — | 9 | (9 | ) | (0.03 | ) | ||||||||||
| Legal contingency accruals | 343 | — | — | 343 | — | 343 | 81 | 262 | 0.73 | ||||||||||||
| Plant closures and disposals | — | 23 | — | 23 | — | 23 | 6 | 17 | 0.05 | ||||||||||||
| Adjusted Non-GAAP Results | $ | 1,174 | $ | 995 | $ | 247 | $ | 734 | $ | 2.06 | |||||||||||
| Results for the six months ended March 30, 2024 | |||||||||||||||||||||
| Sales | Cost of Sales | Selling, General and Administrative | Operating Income | Other (Income) Expense | Income before Income Taxes | Income Tax Expense | Net Income Attributable to Tyson | EPS Impact | |||||||||||||
| GAAP Results | $ | 543 | $ | 364 | $ | 102 | $ | 252 | $ | 0.71 | |||||||||||
| Production facility fire insurance proceeds, net of costs incurred4 | — | (24 | ) | — | (24 | ) | (3 | ) | (27 | ) | (6 | ) | (21 | ) | (0.06 | ) | |||||
| The Netherlands facility5 | — | 80 | — | 80 | — | 80 | — | 80 | 0.22 | ||||||||||||
| Restructuring and related charges | — | — | 31 | 31 | — | 31 | 8 | 23 | 0.06 | ||||||||||||
| Plant closures and disposals | — | 114 | — | 114 | — | 114 | 38 | 76 | 0.22 | ||||||||||||
| Legal contingency accruals | — | 73 | — | 73 | — | 73 | 18 | 55 | 0.16 | ||||||||||||
| Adjusted Non-GAAP Results | $ | 817 | $ | 635 | $ | 160 | $ | 465 | $ | 1.31 | |||||||||||
| TYSON FOODS, INC. Adjusted Operating Income (Loss) Non-GAAP Reconciliations (In millions) (Unaudited) | ||||||||||||||||||
| Adjusted Operating Income (Loss) | ||||||||||||||||||
| (for the second quarter ended March 29, 2025) | ||||||||||||||||||
| Beef | Pork | Chicken | Prepared Foods | International/ Other | Total | |||||||||||||
| Reported operating income (loss) | $ | (258 | ) | $ | (195 | ) | $ | 262 | $ | 244 | $ | 47 | $ | 100 | ||||
| Add: Brand discontinuation | — | — | 6 | — | — | 6 | ||||||||||||
| Add: Network optimization plan charges | 16 | — | 21 | — | 6 | 43 | ||||||||||||
| Add: Legal contingency accruals | 93 | 250 | — | — | — | 343 | ||||||||||||
| Add: Plant closures and disposals | — | — | 23 | — | — | 23 | ||||||||||||
| Adjusted operating income (loss) | $ | (149 | ) | $ | 55 | $ | 312 | $ | 244 | $ | 53 | $ | 515 | |||||
| Adjusted Operating Income (Loss) | ||||||||||||||||||
| (for the second quarter ended March 30, 2024) | ||||||||||||||||||
| Beef | Pork | Chicken | Prepared Foods | International/ Other | Total | |||||||||||||
| Reported operating income (loss) | $ | (35 | ) | $ | (1 | ) | $ | 158 | $ | 230 | $ | (40 | ) | $ | 312 | |||
| Add: The Netherlands facility5 | — | — | — | — | 54 | 54 | ||||||||||||
| Add: Restructuring and related charges | — | — | (2 | ) | 3 | — | 1 | |||||||||||
| Add: Plant closures and disposals | 1 | 34 | 4 | — | — | 39 | ||||||||||||
| Adjusted operating income (loss) | $ | (34 | ) | $ | 33 | $ | 160 | $ | 233 | $ | 14 | $ | 406 | |||||
| Adjusted Operating Income (Loss) | ||||||||||||||||||
| (for the six months ended March 29, 2025) | ||||||||||||||||||
| Beef | Pork | Chicken | Prepared Foods | International/ Other | Total | |||||||||||||
| Reported operating income (loss) | $ | (322 | ) | $ | (136 | ) | $ | 613 | $ | 453 | $ | 72 | $ | 680 | ||||
| Add: Brand discontinuation | — | — | 12 | — | — | 12 | ||||||||||||
| Add: Network optimization plan charges | 48 | — | 32 | 25 | 11 | 116 | ||||||||||||
| Add: Legal contingency accruals | 93 | 250 | — | — | — | 343 | ||||||||||||
| Add: Plant closures and disposals | — | — | 23 | — | — | 23 | ||||||||||||
| Adjusted operating income (loss) | $ | (181 | ) | $ | 114 | $ | 680 | $ | 478 | $ | 83 | $ | 1,174 | |||||
| Adjusted Operating Income (Loss) | ||||||||||||||||||
| (for the six months ended March 30, 2024) | ||||||||||||||||||
| Beef | Pork | Chicken | Prepared Foods | International/ Other | Total | |||||||||||||
| Reported operating income (loss) | $ | (241 | ) | $ | 38 | $ | 335 | $ | 473 | $ | (62 | ) | $ | 543 | ||||
| Less: Production facility fire insurance proceeds, net of costs incurred4 | — | — | (24 | ) | — | — | (24 | ) | ||||||||||
| Add: The Netherlands facility5 | — | — | — | — | 80 | 80 | ||||||||||||
| Add: Restructuring and related charges | 4 | 1 | 2 | 24 | — | 31 | ||||||||||||
| Add: Plant closures and disposals | 41 | 34 | 39 | — | — | 114 | ||||||||||||
| Add: Legal contingency accruals | 45 | 28 | — | — | — | 73 | ||||||||||||
| Adjusted operating income (loss) | $ | (151 | ) | $ | 101 | $ | 352 | $ | 497 | $ | 18 | $ | 817 | |||||
| TYSON FOODS, INC. EBITDA and Adjusted EBITDA Non-GAAP Reconciliations (In millions) (Unaudited) | |||||||||||||||
| Six Months Ended | Fiscal Year Ended | Twelve Months Ended | |||||||||||||
| March 29, 2025 | March 30, 2024 | September 28, 2024 | March 29, 2025 | ||||||||||||
| Net income | $ | 380 | $ | 262 | $ | 822 | $ | 940 | |||||||
| Less: Interest income | (42 | ) | (24 | ) | (89 | ) | (107 | ) | |||||||
| Add: Interest expense | 230 | 216 | 481 | 495 | |||||||||||
| Add: Income tax expense | 128 | 102 | 270 | 296 | |||||||||||
| Add: Depreciation | 566 | 602 | 1,159 | 1,123 | |||||||||||
| Add: Amortization3 | 129 | 115 | 229 | 243 | |||||||||||
| EBITDA | $ | 1,391 | $ | 1,273 | $ | 2,872 | $ | 2,990 | |||||||
| Adjustments to EBITDA: | |||||||||||||||
| Less: Production facility fire insurance proceeds, net of costs incurred4 | $ | (7 | ) | $ | (27 | ) | $ | (104 | ) | $ | (84 | ) | |||
| Add: Brand discontinuation | 12 | — | 8 | 20 | |||||||||||
| Add: Network optimization plan charges | 116 | — | — | 116 | |||||||||||
| Add: Legal contingency accruals | 343 | 73 | 174 | 444 | |||||||||||
| Add: Plant closures and disposals | 23 | 114 | 182 | 91 | |||||||||||
| Add: Restructuring and related charges | — | 31 | 31 | — | |||||||||||
| Add: The Netherlands facility5 | — | 80 | 86 | 6 | |||||||||||
| Less: Depreciation and amortization included in EBITDA adjustments6 | (51 | ) | (92 | ) | (129 | ) | (88 | ) | |||||||
| Total Adjusted EBITDA | $ | 1,827 | $ | 1,452 | $ | 3,120 | $ | 3,495 | |||||||
| Total gross debt | $ | 9,787 | $ | 9,068 | |||||||||||
| Less: Cash and cash equivalents | (1,717 | ) | (992 | ) | |||||||||||
| Less: Short-term investments | (10 | ) | — | ||||||||||||
| Total net debt | $ | 8,060 | $ | 8,076 | |||||||||||
| Ratio Calculations: | |||||||||||||||
| Gross debt/EBITDA | 3.4x | 3.0x | |||||||||||||
| Net debt/EBITDA | 2.8x | 2.7x | |||||||||||||
| Gross debt/Adjusted EBITDA | 3.1x | 2.6x | |||||||||||||
| Net debt/Adjusted EBITDA | 2.6x | 2.3x | |||||||||||||
3 Excludes the amortization of debt issuance and debt discount expense of
4 Relates to a fire at a Chicken production facility in the fourth quarter of fiscal 2021.
5 Relates to a fire at our production facility in the Netherlands in the first quarter of fiscal 2024 and subsequent decision to sell the facility.
6 Removal of accelerated depreciation of
| TYSON FOODS, INC. Free Cash Flow Non-GAAP Reconciliation (In millions) (Unaudited) | |||||||
| Six Months Ended | |||||||
| March 29, 2025 | March 30, 2024 | ||||||
| Cash Provided by Operating Activities | $ | 846 | $ | 1,177 | |||
| Additions to property, plant and equipment | (464 | ) | (621 | ) | |||
| Free cash flow | $ | 382 | $ | 556 | |||
About Tyson Foods, Inc.
Tyson Foods, Inc. (NYSE: TSN) is a world-class food company and recognized leader in protein. Founded in 1935 by John W. Tyson, it has grown under four generations of family leadership. The Company is unified by this purpose: Tyson Foods. We Feed the World Like Family™ and has a broad portfolio of iconic products and brands including Tyson®, Jimmy Dean®, Hillshire Farm®, Ball Park®, Wright®, State Fair®, Aidells® and ibp®. Tyson Foods is dedicated to bringing high-quality food to every table in the world, safely, sustainably, and affordably, now and for future generations. Headquartered in Springdale, Arkansas, the company had approximately 138,000 team members on September 28, 2024. Visit www.tysonfoods.com.
Conference Call Information and Other Selected Data
A conference call to discuss the Company's financial results will be held at 9 a.m. Eastern Monday, May 5, 2025. A link for the webcast of the conference call is available on the Tyson Investor Relations website at https://ir.tyson.com. The webcast also can be accessed by the following direct link: https://events.q4inc.com/attendee/209117459. For those who cannot participate at the scheduled time, a replay of the live webcast and the accompanying slides will be available at https://ir.tyson.com. A telephone replay will also be available until June 5, 2025, toll free at 1-877-344-7529, international toll 1-412-317-0088 or Canada toll free 855-669-9658. The replay access code is 2970433. Financial information, such as this news release, as well as other supplemental data, can be accessed from the Company's web site at https://ir.tyson.com.
Forward-Looking Statements
Certain information in this release constitutes forward-looking statements as contemplated by the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to, current views and estimates of our outlook for fiscal 2025, other future economic circumstances, industry conditions in domestic and international markets, our performance and financial results (e.g., debt levels, return on invested capital, value-added product growth, capital expenditures, tax rates, access to foreign markets and dividend policy). These forward-looking statements are subject to a number of factors and uncertainties that could cause our actual results and experiences to differ materially from anticipated results and expectations expressed in such forward-looking statements. We wish to caution readers not to place undue reliance on any forward-looking statements, which are expressly qualified in their entirety by this cautionary statement and speak only as of the date made. We undertake no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. Among the factors that may cause actual results and experiences to differ from anticipated results and expectations expressed in such forward-looking statements are the following: (i) global pandemics have had, and may in the future have, an adverse impact on our business and operations; (ii) the effectiveness of financial excellence programs; (iii) access to, and inputs from, foreign markets together with foreign economic conditions, including currency fluctuations, import/export restrictions and foreign politics; (iv) cyber attacks, other cyber incidents, security breaches or other disruptions of our information technology systems; (v) risks associated with our failure to consummate favorable acquisition transactions or integrate certain acquisitions’ operations; (vi) the Tyson Limited Partnership’s ability to exercise significant control over the Company; (vii) fluctuations in the cost and availability of inputs and raw materials, such as live cattle, live swine, feed grains (including corn and soybean meal) and energy; (viii) market conditions for finished products, including competition from other global and domestic food processors, supply and pricing of competing products and alternative proteins and demand for alternative proteins; (ix) outbreak of a livestock disease (such as African swine fever (ASF), avian influenza (AI) or bovine spongiform encephalopathy (BSE)), which could have an adverse effect on livestock we own, the availability of livestock we purchase, consumer perception of certain protein products or our ability to conduct our operations; (x) changes in consumer preference and diets and our ability to identify and react to consumer trends; (xi) effectiveness of advertising and marketing programs; (xii) significant marketing plan changes by large customers or loss of one or more large customers; (xiii) our ability to leverage brand value propositions; (xiv) changes in availability and relative costs of labor and contract farmers and our ability to maintain good relationships with team members, labor unions, contract farmers and independent producers providing us livestock; (xv) issues related to food safety, including costs resulting from product recalls, regulatory compliance and any related claims or litigation; (xvi) compliance with and changes to regulations and laws (both domestic and foreign), including changes in accounting standards, tax laws, environmental laws, agricultural laws and occupational, health and safety laws; (xvii) the effect of climate change and any legal or regulatory response thereto; (xviii) adverse results from litigation; (xix) risks associated with leverage, including cost increases due to rising interest rates or changes in debt ratings or outlook; (xx) impairment in the carrying value of our goodwill or indefinite life intangible assets; (xxi) our participation in a multiemployer pension plan; (xxii) volatility in capital markets or interest rates; (xxiii) risks associated with our commodity purchasing activities; (xxiv) the effect of, or changes in, general economic conditions; (xxv) impacts on our operations caused by factors and forces beyond our control, such as natural disasters, fire, bioterrorism, pandemics, armed conflicts or extreme weather; (xxvi) failure to maximize or assert our intellectual property rights; (xxvii) effects related to changes in tax rates, valuation of deferred tax assets and liabilities, or tax laws and their interpretation; and (xxviii) the other risks and uncertainties detailed from time to time in our filings with the Securities and Exchange Commission, including those included under the captions "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in our most recent Annual Report on Form 10-K and Quarterly reports on Form 10-Q.
| Media Contact: Laura Burns, 479-713-9890 Investor Contact: Sean Cornett, 479-466-0401 | Source: Tyson Foods, Inc. Category: IR, Newsroom |
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