Tyson Foods(US:TSN)2026-02-02 12:03Financial Performance - Sales for Q1 2026 were $14,313 million, a 5.1% increase from $13,623 million in Q1 2025[1] - GAAP operating income decreased by 48% to $302 million, while adjusted operating income fell by 13% to $572 million[4] - Net income per share attributable to Tyson was $0.24, down 76% from $1.01 in the prior year[4] - Net income for the three months ended December 27, 2025, was $90 million, down 75.5% from $366 million for the same period in 2024[26] - EBITDA for the three months ended December 27, 2025, was $591 million, compared to $918 million for the same period in 2024, reflecting a decline of approximately 35.5%[39] - Total adjusted EBITDA for the twelve months ended December 27, 2025, was $3.632 billion, up from $3.550 billion in the previous year[39] Liquidity and Capital Expenditures - Total liquidity as of December 27, 2025, was $4.5 billion, with a minimum liquidity target of $1.0 billion[4][18] - The company expects capital expenditures of $0.7 billion to $1.0 billion in fiscal 2026[16] - Cash provided by operating activities was $942 million, a decrease of 8.6% compared to $1,031 million in the prior year[26] - Cash and cash equivalents at the end of the period were $1,278 million, down from $2,292 million, a decline of 44.3%[26] - Free cash flow for the three months ended December 27, 2025, was $690 million, down from $760 million for the same period in 2024[41] - Free cash flow is anticipated to be between $1.1 billion and $1.7 billion for fiscal 2026[19] Debt and Equity - Total assets decreased to $36,019 million from $36,658 million, a decline of 1.75%[24] - Total current liabilities decreased to $6,203 million from $6,389 million, a reduction of 2.9%[24] - Long-term debt decreased to $7,453 million from $7,921 million, a decline of 5.9%[24] - Total gross debt as of December 27, 2025, was $8.830 billion, an increase from $8.362 billion in the previous year[39] - Total shareholders' equity decreased to $18,163 million from $18,227 million, a decline of 0.35%[24] - Net debt/Adjusted EBITDA ratio improved to 2.1x for the twelve months ended December 27, 2025, compared to 2.0x in the previous year[39] Future Outlook - The company anticipates total adjusted operating income of $2.1 billion to $2.3 billion for fiscal 2026[14] - Sales are expected to grow by 2% to 4% in fiscal 2026 compared to fiscal 2025[15] - Segment operating income for Chicken is projected to be between $1.65 billion and $1.90 billion in fiscal 2026[10] - The effective tax rate is expected to approximate 25% in fiscal 2026[20] - The company plans to continue optimizing operations and exploring acquisition opportunities to enhance growth[44] - Forward-looking statements indicate potential impacts from global pandemics, commodity price fluctuations, and changes in consumer preferences[44] Cash Flow Activities - Cash used for investing activities was $183 million, a decrease from $233 million in the previous year, reflecting a reduction of 21.5%[26] - Cash used for financing activities increased to $718 million from $195 million, an increase of 268.2%[26] - Cash provided by operating activities for the three months ended December 27, 2025, was $942 million, compared to $1.031 billion for the same period in 2024[41] Workforce - The company had approximately 133,000 team members as of September 27, 2025[42]