Tyson Foods(US:TSN) Zhi Tong Cai Jing·2026-02-02 14:21Core Viewpoint - Tyson Foods (TSN.US) reported better-than-expected Q1 2026 results, highlighting significant beef price increases and strong chicken demand, reflecting persistent inflation in the U.S. food sector [1][5][6] Financial Performance - Tyson Foods achieved total revenue of $14.313 billion in Q1, exceeding Wall Street expectations with a year-over-year growth of 5.1% [2] - The beef segment saw an 8.2% revenue increase to $5.771 billion, with beef prices rising 17% year-over-year [2] - Adjusted earnings per share were approximately $0.97, a 15% decline year-over-year but above the analyst consensus of $0.95 [2] Business Segment Insights - The beef division recorded an adjusted operating loss of $143 million, which was weaker than analyst expectations, despite the 17% price increase supporting sales growth [2] - The chicken segment experienced a 3.6% revenue increase to $4.212 billion, with prices remaining stable compared to the previous year [2][5] Supply Chain Dynamics - The U.S. cattle supply is at its lowest level in 75 years, exacerbated by drought conditions and high feed costs, leading to reduced herd sizes [3][4] - Tyson's closure of a beef plant in Nebraska and reduction of operations in Texas aims to manage supply pressures and potentially lower beef prices [3][4] Market Trends - The demand for protein remains robust, with consumers increasingly turning to chicken as a more affordable protein option, which is expected to drive chicken prices upward [4][5] - Tyson's performance is indicative of the broader trend of persistent food inflation in the U.S., particularly in the beef sector, which is expected to maintain high price levels for an extended period [6]