FDBusiness.com

Brazil meatpacker JBS profit triples on strong exports, hedging

 Breaking News
  • Nestlé to Sell Skin Health Business For €9 Billion Nestlé has entered into exclusive negotiations with a consortium led by EQT and a wholly owned subsidiary of the Abu Dhabi Investment Authority (ADIA) for the sale of Nestlé Skin Health for a value of SFr10.2 billion (€9.0 billion). Nestlé Skin Health had net sales of SFr2.8 billion in 2018. The proposed transaction will be [...]...
  • Bakkavor Group Expands in UK Desserts Category Bakkavor Group, the leading provider of fresh prepared food in the UK, is acquiring Blueberry Foods, a desserts business owned by Samworth Brothers for an undisclosed price. Blueberry operates from a custom-built facility in Leicestershire with approximately 420 employees and produces a range of desserts for the UK’s leading grocery retailers. A capital investment of more [...]...
  • Waitrose Plans to Treble the Size of Online Operations Waitrose & Partners has announces plans to treble the size of its successful online grocery operation to a £1 billion business over the next three years, working in partnership with Today Development Partners (TDP) . The move with TDP, which is headed by Jonathan Faiman and Mo Gawdat, will accelerate the development of Waitrose.com through [...]...
  • Müller Revolutionises the UK’s Favourite Yogurt Brands Müller is set to revolutionise the UK yogurt category with new and improved recipes for the nation’s two favourite yogurt brands, Müllerlight and Müller Corner[1]. The dairy company has also revealed details of its biggest ever marketing campaign. As the business continues to strengthen its core brands, and inspire people to live healthier and happier lifestyles, [...]...
  • Guardians of Grub Crusade to Beat Food Waste A bold new industry campaign has been launched to tackle nearly £3 billion worth of food that is wasted every year across the entire UK hospitality and food service sector, of which 75% could have been eaten. The Guardians of Grub campaign was developed by WRAP as part of its ambitious work to cut food [...]...

Brazil meatpacker JBS profit triples on strong exports, hedging

Brazil meatpacker JBS profit triples on strong exports, hedging
November 12
11:46 2015

Brazil’s JBS SA , the world’s largest beef exporter, said on Thursday that third-quarter net profit more than tripled from a year earlier thanks to gains in currency hedging and strong exports.

JBS earned 3.44 billion reais ($914 million) in the three months ending Sept 30, compared with 1.1 billion reais a year earlier, beating analysts expectations of a profit of 3.24 billion reais.

JBS’s adjusted earnings before interest, taxes, depreciation and amortization – a measure of cash flow known as EBITDA – totaled 3.83 billion reais in the quarter, missing the 4.17 billion reais expected in a Reuters poll.

The bulk of JBS’s profit came from a 2.7-billion-real net financial gain. The 9.5 billion reais of non-cash earnings from derivatives more than totally covered a 6.1-billion-real currency-exchange loss.

In the second quarter, JBS posted profit of just 80 million reais due to expenses related to currency hedging.

The result came as Brazil’s worst recession in a generation had a strong impact on demand for beef and poultry sales at JBS’s main Brazilian units, JBS Foods and JBS Mercosur. Beef demand by weight fell 13.1 percent from a year ago and 8.7 percent from the previous quarter in Brazil.

Some of that was made up by stronger demand for poultry, which rose 25 percent from a year earlier but fell 8.4 percent from the second quarter.

Weakness in Brazil was made up for by higher prices and bigger exports. Poultry and pork exports were up 36 percent from a year ago. Beef exports rose 3.2 percent from a year ago and 29 percent from the previous quarter.

On July 1, JBS said it was buying Cargill Inc’s U.S. pork business for $1.45 billion and said it received regulatory approval on Oct 30. The deal would expand its position as one of the largest and most powerful meat companies in the United States. ($1 = 3.7617 Brazilian reais)

About Author

admin

admin

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • June 18, 2019Multimodal 2019
  • June 25, 2019BevExpo 2019
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber

Subscribe Here



Advertisements