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
Tyson expects another year of beef-segment losses due to tight cattle supplies, even as chicken, pork, and prepared foods strengthen overall margins.
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