Tyson Foods, Inc. stock research
FY2025 Q1
Tyson Foods (TSN) Gross Margin — Quarter Ended Dec 28, 2024
Revenue and cost of revenue were stable compared to the prior quarter, while gross profit held steady, leading to a slight improvement in gross margin. Versus the same quarter last year, revenue and gross profit were higher with cost of revenue unchanged, resulting in a notable gross margin expansion.
Gross margin takeaway
Quarter ended Dec 28, 2024 · FY2025 Q1
Revenue and cost of revenue were stable compared to the prior quarter, while gross profit held steady, leading to a slight improvement in gross margin. Versus the same quarter last year, revenue and gross profit were higher with cost of revenue unchanged, resulting in a notable gross margin expansion.
- The gross profit amount increased relative to the prior year while cost of revenue remained the same, which directly improved the gross margin. Sequentially, the slight margin gain came from a marginally higher gross profit on the same revenue base.
- Compared to the immediately preceding quarter, gross margin improved slightly as gross profit and revenue were essentially unchanged. Compared to the same quarter one year earlier, gross margin strengthened significantly, driven by higher gross profit on the same cost of revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
8.0%
Gross profit
$1.1B
Revenue
$13.6B
Cost of revenue
$12.5B
Quarter-over-quarter change
+0.2 pts
Year-over-year change
+1.9 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Mar 30, 2024 | $13.1B | $866.0M | $12.2B | 6.6% |
| Jun 29, 2024 | $13.4B | $878.0M | $12.5B | 6.6% |
| Sep 28, 2024 | $13.6B | $1.1B | $12.5B | 7.8% |
| Dec 28, 2024 | $13.6B | $1.1B | $12.5B | 8.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 28, 2024
+0.2 pts
Year-over-year change
Dec 30, 2023
+1.9 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross profit amount increased relative to the prior year while cost of revenue remained the same, which directly improved the gross margin. Sequentially, the slight margin gain came from a marginally higher gross profit on the same revenue base.
Compared to the immediately preceding quarter, gross margin improved slightly as gross profit and revenue were essentially unchanged. Compared to the same quarter one year earlier, gross margin strengthened significantly, driven by higher gross profit on the same cost of revenue.
Monitor whether gross profit can continue to grow while cost of revenue remains stable, as this pattern has been the key to margin improvement.