Tyson Foods sees 2024 revenue relatively flat vs. 2023, consensus $52.91B

The company said, “For fiscal 2024, the United States Department of Agriculturendicates domestic protein production should increase slightly compared to fiscal 2023 levels. The following is a summary of the updated outlook for each of our segments, as well as an outlook for revenues, capital expenditures, net interest expense, liquidity and tax rate for fiscal 2024. Certain of the outlook numbers include adjusted operating income for each segment. The Company is not able to reconcile its full-year fiscal 2024 projected adjusted results to its fiscal 2024 projected GAAP results because certain information necessary to calculate such measures on a GAAP basis is unavailable or dependent on the timing of future events outside of our control. Therefore, because of the uncertainty and variability of the nature of and the amount of any potential applicable future adjustments, which could be significant, the Company is unable to provide a reconciliation for these forward-looking non-GAAP measures without unreasonable effort. Adjusted operating income should not be considered a substitute for operating income or any other measures of financial performance reported in accordance with GAAP. Investors should rely primarily on the Company’s GAAP results and use non-GAAP financial measures only supplementally in making investment decisions. Beef USDA projects domestic production will decrease approximately 2% in fiscal 2024 as compared to fiscal 2023. We anticipate adjusted operating income between (400) million and breakeven in fiscal 2024. Pork USDA projects domestic production will increase approximately 2% in fiscal 2024 as compared to fiscal 2023. We anticipate adjusted operating income of breakeven to $100 million in fiscal 2024. Chicken USDA projects chicken production will be flat in fiscal 2024 as compared to fiscal 2023. We anticipate adjusted operating income of $500 million to $700 million for fiscal 2024. Prepared Foods We anticipate adjusted operating income of $800 million to $1 billion in fiscal 2024. International/Other We anticipate improved results from our foreign operations in fiscal 2024 on an adjusted basis. Total Company We anticipate total company adjusted operating income of $1.0 billion to $1.5 billion for fiscal 2024. Revenue We expect sales to be relatively flat in fiscal 2024 as compared to fiscal 2023. Capital Expenditures We expect capital expenditures between $1.0 billion and $1.5 billion for fiscal 2024. Capital expenditures include investments in profit improvement projects as well as projects for maintenance and repair. This includes completion of capacity expansion projects as well as new equipment, automation technology and processes for product innovation. Net Interest Expense We expect net interest expense to approximate $400 million for fiscal 2024. Liquidity We expect total liquidity, which was approximately $3.7 billion as of December 30, 2023, to remain above our minimum liquidity target of $1.0 billion. Tax Rate We currently expect our adjusted effective tax rate to be 23% to 24% for fiscal 2024.”