LUBBOCK, TEXAS (RFD NEWS) — Tyson Foods posted stronger second-quarter results overall, but beef remained the company’s weak spot as tight cattle supplies and high livestock costs continued to pressure margins.
Tyson said second-quarter sales rose to $13.65 billion, while it still expects its beef segment to post an adjusted operating loss of $350 million to $500 million in fiscal 2026.
The company’s better-performing protein businesses helped offset that drag. Tyson expects fiscal 2026 adjusted operating income of $250 million to $300 million in pork, $1.9 billion to $2.05 billion in chicken, and $1.25 billion to $1.35 billion in Prepared Foods.
Management credited chicken and prepared foods with driving momentum and market-share gains in the quarter.
Tyson is also still reshaping its beef footprint. In November, the company said it would close its Lexington, Nebraska, beef plant and convert its Amarillo, Texas, facility to a single full-capacity shift while increasing output at other plants.
Farm-Level Takeaway: Tyson’s second-quarter results showed how hard it is to process beef profitably — even as pork, chicken, and prepared foods perform better.
Tony St. James, RFD News Markets Specialist
In June, prices were down 77% compared to the highest weekly price in 2022.
For many people, raising cattle isn’t just a job —it’s a legacy passed down from generation to generation.
According to the USDA Outlook Board, margins could improve for producers depending on a decrease in cases of High-Path Avian Flu (HPAI).
According to surveys by the University of Georgia in 2015, feral hogs caused approximately $100 million in agricultural damage just in that state. They continue to be a costly problem for rural communities across the state, reports Damon Jones of Georgia Farm Monitor.
Chaley Harney, Executive Director of the Montana Beef Council, and Jonna Jones, Director of Marketing for Wentana, LLC, say it’s a great time for both cattle producers and beef consumers to celebrate one of America’s favorite proteins.
