Tyson Foods Inc (NYSE:TSN) shares climbed 4.4% in pre-market trading on Monday after the company lifted its annual revenue forecast and delivered third-quarter results ahead of Wall Street expectations.
The group reported a strong performance in its chicken and prepared foods divisions, offsetting ongoing challenges in its beef business, where tight US cattle supplies continue to squeeze margins.
The Arkansas-based food giant now expects revenue to rise by 2% to 3% in fiscal 2025, ahead of its earlier guidance.
Chicken remains a bright spot, with Tyson raising its forecast for annual adjusted operating income in the division to as much as $1.4 billion.
Quarterly sales rose 4% to $13.88 billion, beating analyst estimates compiled by LSEG, as demand for frozen and ready-to-eat products stayed robust. Adjusted earnings reached 91 cents per share, well above forecasts.
Despite the continued pressure on beef, investors welcomed Tyson’s improved outlook and the resilience of its broader portfolio.
Ahead of the bell, the shares were marked $2.32 higher to $54.85.