Nov 10 (Reuters) - Tyson Foods (TSN.N) , opens new tab on Monday forecast annual revenue above analysts' estimates, betting on demand for chicken products to offset weaknesses in its beef business.

Shares of the Ball Park hotdogs maker rose nearly 4% in premarket trading

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Persistent inflation and uncertainty arising from the Trump administration's trade policies have led consumers, especially those from lower-income households, to opt to cook at home instead of dining out, benefiting packaged food makers.

Sales for the company's chicken products remained resilient, supported by demand for the relatively inexpensive source of protein and falling prices due to market oversupply

However, U.S. cattle herd sizes have shrunk to their lowest in nearly 75 years following prolonged droughts, raising costs for meatpackers. Tight supplies also drove beef prices to record highs this year in a blow to consumers.

CEO Donnie King said in August that ranchers likely started the process of rebuilding the cattle herd by keeping female cows, known as heifers, on farms for breeding. Supplies will remain tight because it takes roughly two years to raise full-grown cattle.

U.S. President Donald Trump on Friday accused meatpacking companies of driving up U.S. beef prices through manipulation and collusion, and ordered the Justice Department to investigate.

The country could quadruple low-tariff imports of beef from Argentina to help bring down U.S. prices, a White House official said, last month, infuriating U.S. ranchers.

Springdale, Arkansas-based Tyson Foods expects fiscal 2026 revenue to rise between 2% and 4%, largely above analysts' estimate of 2.3% growth, according to data compiled by LSEG.

The company's net sales rose 2.2% to $13.86 billion in the fourth quarter ended September 27, below analysts' average estimate of $13.97 billion.

In Tyson's chicken unit, quarterly sales volumes rose 3.8%. Volumes in Tyson's beef business fell 8.4%, but sales grew 4.3% as prices jumped 17%.

https://www.reuters.com/business/retail-consumer/tyson-foods-forecasts-annual-revenue-rise-chicken-demand-offsets-beef-woes-2025-11-10/