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JBS Shows Increased Revenue

by 5m Editor
17 November 2011, at 10:44am

BRAZIL - Brazilian meat procesing giant JBS has posted consolidated net revenue of R$15,567.8 million in the third quarter of the year, 10.6 per cent higher than in the third quarter of 2010.

JBS USA Beef showed revenue of US$4,210.6 million, an increase of 25.4 per cent over the third quarter of 2010 and the JBS USA Pork business unit net revenue totalled US$867.1 million, 12.3 per cent higher than the same quarter last year.

Pilgrim’s Pride Corporate (PPC) revenue was US$1,891.2 million, 10 per cent higher than in 2010.

JBS Mercosul posted revenue of R$3,906.7 million, an increase of 11.9 per cent year over year.

JBS said that the consolidated gross margin was 10.9 per cent, 102 bps higher than the previous quarter.

Consolidated EBITDA was R$786.8 million in the quarter with an EBITDA margin of 5.1 per cent, 101 bps higher compared to the second quarter of 2011.

JBS Mercosul EBITDA totaled of R$453.8 million, 21.4 per cent higher than the third quarter of 2010, with an EBITDA margin of 11.6 per cent.

JBS USA Beef business unit presented EBITDA of US$184.1 million, 77.9 per cent higher when compared to the same period in 2010, and an EBITDA margin of 4.4 per cent.

The EBITDA of the JBS USA Pork business unit was US$75.9 million with an EBITDA margin of 8.8 per cent.

JBS generated net cash from operating activities of R$897.0 million in the quarter, excluding capital expenditure (capex).

Net cash generation after capex was R$507.7 million in the quarter and the net cash variation was R$620.8 million positive.

The Company ended the quarter with R$5.6 billion in cash or cash equivalent, an increase of 12.5 per cent over 2Q11 and 100 per cent higher than the short-term debt.

Excluding the effect of FX variations in the net debt denominated in US dollars, the Company reduced its debt by R$530 million, approximately.

The company said that its effective hedge policy made possible to minimise the effects of exchange rate in the results.

The loss of R$67.5 million was impacted by approximately R$439 million, caused by Pilgrim’s Pride results and exchange rate variation which is a non-cash items. Excluding these items, net income would have been R$372 million approximately.