At the end of January, USDA revealed that the total US cattle population has fallen again to 86.2m head at 1 January 2026. This is down 0.35% compared with a year ago, and is the lowest in 75 years.
As Figure 1 shows, the US cattle population peaked at almost 132m head in 1975, but has been in steady decline since then. In this decade alone, the number of cattle on US farms has fallen by 7.6m, which is more than the entire cattle population of Ireland.
While milk output can be maintained or even increased by improved genetics and efficiency, it is more difficult to compensate for lower numbers in the beef sector.
Fewer cattle increase pressure on factory procurement and higher purchase prices squeeze margins.
Tyson Foods results
This is reflected in the trading results posted for the first quarter of their financial year by Tyson Foods, the largest meat processor in the US.
The beef processing part of their business recorded a 5.5% operating loss of $319m (€270m) for the quarter ending 31 December, with throughput volume falling by 7.3% compared with the same period the previous year.
This includes a legal contingency accrual of $90m (€76m) and restructuring and related charges of $86m (€73m). In November Tyson announced that it was closing one of the largest beef processing factories in the US in Lexington Nebraska.
As Figure 2 shows, negative results for Tyson’s beef processing business have been ongoing since 2023. After posting large profits in 2021 and 2022, its beef processing became loss-making in 2023 and that trend has continued since, with losses posted for the year to September 2025 at $1.135bn, the equivalent of €962m at the current exchange rate.
Factory closure and restructuring
With fewer cattle available it means the company has to pay more than it can recover from the market. This impacts on the profitability of the beef side of the business.
Reduced cattle supply also means that factories will be operating below their capacity, which undermines efficiency. Tyson has addressed this by closing one factory in Lexington, Nebraska and converting its factory in Amarillo, Texas to a single full capacity shift.
When it made the announcement in November, the company said that this decision would mean that “production will be increased at other company beef facilities, optimising volumes across our network.”
The closure happened in the middle of January, so it will be interesting to monitor the impact it has on results for the remainder of this year. Even if there is an improvement, the company is expecting a difficult trading year overall for beef in 2026.
In a note accompanying this week’s release, Tyson Foods indicated that its beef operation would record losses between S250m and $500m (£212m to €424m) for the year in total.
Comment: factories chasing cattle
For processors, cattle supply and markets are the two essential ingredients for success, and both have been an issue in the US.
Numbers are not expected to recover significantly in the short term and more factory closures or shift reduction could happen. Additionally, the export market for beef to China has essentially closed to US processors since March of 2025.
While the retaliatory tariffs were a burden, the greater issue has been the unwillingness of the Chinese government to reissue import permits for US beef processors.
US exports to Japan and Korea remain robust. However, there has been increased competition from Australia, which had record volumes of beef exports in 2025 from cattle that cost much less to buy than what was paid in the US. Processors are therefore squeezed at both ends of the supply chain and this is reflected in the bottom line.
C&J meats increased profits in 2024
C&J Meats recorded an operating profit of £1.005m (€1.169m) for the year to 30 November 2024, down from £1.597m (€1.857m) the previous year (See figure 1). This was achieved on a turnover of £80.025m (€93.053m), which was an increase on the £71.666m (€83.333m) recorded for the 2023 financial year.
The geographical spread of turnover was £39.3m (€45.7m) in the UK and 40.7m (€47.3m) in Europe. Net profit for the year was £510,867 compared with £57,548 the previous yearm which had included an exceptional item. Trade debtors who owe C&J meats money for purchases from the business, increased to £10.66m (€12.4m), up from £7.469m (€8.685m) the previous year
About C&J Meats
C&J Meats are headquartered in Portadown Co Armagh, where they have a substantial beef processing business. They also have an abattoir outside Lifford Co Donegal, which slaughters in excess of 20,000 cattle annually, and a one-third share in DMP Foods, a meat processing business in Ballymena, Co Antrim. John McCann and Colm Pyers are listed as the company directors, and both have a long association with cattle procurement and meat processing.
The business employed 55 people in the year to November 2024, three fewer than the previous year and total staff costs were £2.010m (€2.337m), slightly down on the 2023 financial year.
Comment: high turnover, low margins
Despite a turnover that has grown to over £80m or €93m, C&J Meats are one of the smaller beef processing businesses in the island of Ireland.
In the past they have been major buyers of carcase beef, mainly south of the border but less so in recent times since establishing their own abattoir in Co Donegal. They have a well-established customer portfolio across the UK and mainland Europe, and are considered to be a well-managed business.
Their operating profit in the year to November 2024 of just over £1m (€1.2m) is 1.25% of turnover, which reflects the low margin nature of the business.
At the end of January, USDA revealed that the total US cattle population has fallen again to 86.2m head at 1 January 2026. This is down 0.35% compared with a year ago, and is the lowest in 75 years.
As Figure 1 shows, the US cattle population peaked at almost 132m head in 1975, but has been in steady decline since then. In this decade alone, the number of cattle on US farms has fallen by 7.6m, which is more than the entire cattle population of Ireland.
While milk output can be maintained or even increased by improved genetics and efficiency, it is more difficult to compensate for lower numbers in the beef sector.
Fewer cattle increase pressure on factory procurement and higher purchase prices squeeze margins.
Tyson Foods results
This is reflected in the trading results posted for the first quarter of their financial year by Tyson Foods, the largest meat processor in the US.
The beef processing part of their business recorded a 5.5% operating loss of $319m (€270m) for the quarter ending 31 December, with throughput volume falling by 7.3% compared with the same period the previous year.
This includes a legal contingency accrual of $90m (€76m) and restructuring and related charges of $86m (€73m). In November Tyson announced that it was closing one of the largest beef processing factories in the US in Lexington Nebraska.
As Figure 2 shows, negative results for Tyson’s beef processing business have been ongoing since 2023. After posting large profits in 2021 and 2022, its beef processing became loss-making in 2023 and that trend has continued since, with losses posted for the year to September 2025 at $1.135bn, the equivalent of €962m at the current exchange rate.
Factory closure and restructuring
With fewer cattle available it means the company has to pay more than it can recover from the market. This impacts on the profitability of the beef side of the business.
Reduced cattle supply also means that factories will be operating below their capacity, which undermines efficiency. Tyson has addressed this by closing one factory in Lexington, Nebraska and converting its factory in Amarillo, Texas to a single full capacity shift.
When it made the announcement in November, the company said that this decision would mean that “production will be increased at other company beef facilities, optimising volumes across our network.”
The closure happened in the middle of January, so it will be interesting to monitor the impact it has on results for the remainder of this year. Even if there is an improvement, the company is expecting a difficult trading year overall for beef in 2026.
In a note accompanying this week’s release, Tyson Foods indicated that its beef operation would record losses between S250m and $500m (£212m to €424m) for the year in total.
Comment: factories chasing cattle
For processors, cattle supply and markets are the two essential ingredients for success, and both have been an issue in the US.
Numbers are not expected to recover significantly in the short term and more factory closures or shift reduction could happen. Additionally, the export market for beef to China has essentially closed to US processors since March of 2025.
While the retaliatory tariffs were a burden, the greater issue has been the unwillingness of the Chinese government to reissue import permits for US beef processors.
US exports to Japan and Korea remain robust. However, there has been increased competition from Australia, which had record volumes of beef exports in 2025 from cattle that cost much less to buy than what was paid in the US. Processors are therefore squeezed at both ends of the supply chain and this is reflected in the bottom line.
C&J meats increased profits in 2024
C&J Meats recorded an operating profit of £1.005m (€1.169m) for the year to 30 November 2024, down from £1.597m (€1.857m) the previous year (See figure 1). This was achieved on a turnover of £80.025m (€93.053m), which was an increase on the £71.666m (€83.333m) recorded for the 2023 financial year.
The geographical spread of turnover was £39.3m (€45.7m) in the UK and 40.7m (€47.3m) in Europe. Net profit for the year was £510,867 compared with £57,548 the previous yearm which had included an exceptional item. Trade debtors who owe C&J meats money for purchases from the business, increased to £10.66m (€12.4m), up from £7.469m (€8.685m) the previous year
About C&J Meats
C&J Meats are headquartered in Portadown Co Armagh, where they have a substantial beef processing business. They also have an abattoir outside Lifford Co Donegal, which slaughters in excess of 20,000 cattle annually, and a one-third share in DMP Foods, a meat processing business in Ballymena, Co Antrim. John McCann and Colm Pyers are listed as the company directors, and both have a long association with cattle procurement and meat processing.
The business employed 55 people in the year to November 2024, three fewer than the previous year and total staff costs were £2.010m (€2.337m), slightly down on the 2023 financial year.
Comment: high turnover, low margins
Despite a turnover that has grown to over £80m or €93m, C&J Meats are one of the smaller beef processing businesses in the island of Ireland.
In the past they have been major buyers of carcase beef, mainly south of the border but less so in recent times since establishing their own abattoir in Co Donegal. They have a well-established customer portfolio across the UK and mainland Europe, and are considered to be a well-managed business.
Their operating profit in the year to November 2024 of just over £1m (€1.2m) is 1.25% of turnover, which reflects the low margin nature of the business.
SHARING OPTIONS