In this file:
· Brazil Meat Processor JBS Reports 1Q Loss
· JBS posts double-digit revenue growth in Q1
· Coronavirus to Slow U.S. Meat Production for Months, CEO Says
· Brazil's JBS faces 'enormous volatility' amid global COVID-19 pandemic
Brazil Meat Processor JBS Reports 1Q Loss
By Jeffrey T. Lewis, MarketScreener
SÃO PAULO--Brazil's JBS SA, the world's largest meat processor, said Thursday it posted a loss in the first quarter as its financial expenses jumped.
The meatpacking giant reported a loss of 5.9 billion reais ($1 billion) for the first quarter, compared with net income of 1.1 billion reais a year earlier.
JBS reported adjusted net income, which excludes certain one-time items, of 803.2 million reais.
Adjusted earnings before interest, taxes, depreciation and amortization rose 22.6% to 3.9 billion reais. Net revenue rose 27.3% to 56.5 billion reais.
The company reported net financial expenses of 9.1 billion reais in the first quarter, compared with net financial expenses of 1.3 billion reais a year earlier.
Included in the financial expense was an exchange rate variation of 8.2 billion reais.
JBS said the outbreak of the coronavirus pandemic had an impact in March...
JBS posts double-digit revenue growth in Q1
International Leather maker
15 May, 2020
The São Paulo headquartered meat processing giant has posted a 27.3% increase in net revenue for the first quarter of 2020 compared with the same quarter in 2019.
JBS’ net revenue totalled R$56.5 billion (US$5.72 billion) in the first quarter of the year, up 27.3% year-on-year. Gross profit amounted to R$7.3 billion (US$1.25 billion), representing a 24.6% increase with gross margin of 12.9%. Adjusted EBITDA was R$3.9 billion (US$671 million), 22.6% higher than in the same quarter of 2019, with an Adjusted EBITDA margin of 6.9%. Adjusted net income was R$803.2 million (US$138.2 million) and reported loss was R$5.9 billion (US$1 billion), impacted by non-cash foreign exchange effect of R$8.2 billion (US$1.4 billion) in the quarter, according to JBS.
JBS Brazil, which includes the JBS Couros tanning Group, recorded net revenue of R$8.2 billion (US$1.4 billion) in the first quarter, up 20.6% compared with the same quarter in 2019. In the domestic market, net revenue was R$4.9 billion (US$843 million), up 28.6%, attributed to a 7.2% growth in volumes and 19.9% in prices. Beef exports for JBS USA Beef in the U.S. is said to have performed above the American industry’s rates, which grew 10.5% when compared to the volume exported in the same period in 2019. The main import markets for U.S. beef products in the quarter were Japan, South Korea, Mexico and Canada. In Australia, JBS said the challenging cattle availability scenario, coupled with temporary and seasonal shutdown of some plants in the northern region of the country, which occurred due to the rains, impacted production volumes for the quarter. JBS Australia exports grew 4% in the annual comparison, due to higher prices and foreign exchange rate impact.
Gilberto Tomazoni, Global CEO, JBS, said exports from the Brazilian protein sector also had a strong quarter, with beef, chicken and pork sales growing 5.2%, 9.5% and 33.7% respectively, over the same period of the previous year, with the main highlight being China. JBS has the largest number of protein plants in Brazil, certified in Brazil for export to China, with a total of 25 plants.
Fighting the coronavirus pandemic ...
Coronavirus to Slow U.S. Meat Production for Months, CEO Says
Head of the biggest U.S. beef producer says JBS is revamping operations and has hired 1,000 workers to do extra cleaning
By Jacob Bunge, The Wall Street Journal (WSJ)
May 15, 2020
The coronavirus will likely hamper U.S. meat production for months, as new safety measures and reduced staffing slow plant operations, said the head of the biggest U.S. beef producer.
JBS USA Holdings Inc., which slaughters 23% of the country’s cattle and produces nearly one-fifth of its pork, is revamping plant operations to space workers farther apart while about 10% of its workforce has been sent home because of their higher risk from Covid-19, Chief Executive Andre Nogueira said...
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Brazil's JBS faces 'enormous volatility' amid global COVID-19 pandemic
Reporting by Ana Mano, Editing by Franklin Paul, Reuters
May 15, 2020
SAO PAULO, May 15 (Reuters) - Brazilian meat company JBS SA , which gets a large chunk of its revenues in the United States, said on Thursday there remains “enormous volatility” related to cost and product prices because of the health crisis caused by the novel coronavirus.
During a conference call to discuss first-quarter results, JBS executives said consumer demand shifted from food service, a trend seen in all markets. While there are no significant differences in margins on food service and retail meat sales...