The company now expects fiscal 2026 adjusted operating income of US$1.85 billion to US$2.05 billion, down from its previous forecast of US$2.1 billion to US$2.3 billion. Revenue growth is now expected at 1.5% to 2.0%.
The beef segment is expected to record an adjusted operating loss of US$625 million to US$775 million, compared with the previous forecast of a US$500 million to US$650 million loss. Tyson said the outlook reflects the impact of lower cattle prices on the value of live cattle inventories, alongside continued margin pressure.
Tyson described the U.S. cattle shortage as one of the most severe in the country’s history, with the resulting industry-wide cattle-cycle dynamics intensifying pressure on the beef business.
“The beef pressures that have intensified this quarter reflect industry-wide cattle-cycle dynamics that required decisive action,” said Donnie King, president and CEO of Tyson Foods. “As announced in August, we are restructuring our beef network around three strategically located facilities in the central United States to create a more efficient and competitive footprint for the long term. We expect these actions to begin reducing operating cost pressures as we enter fiscal 2027.”
