March 31, 2014

For its 2013 full-year results, global meat company JBS has revealed net profits increased by 28.9% to BRL926.9 million (US$403.75 million), with net revenue posted at BRL92.9 million (US$40.47 million), up 22.7% on-year.

The company's earnings before interests, taxes, depreciation and amortisations (EBITDA) revealed an increase of 39% to BRL6.1 million (US$2.66 million).

The meat giant put the increase down to improved sales throughout all company business units, particularly to the Mercosur region in South America, where sales rose 43.3%, from BRL18.01 billion (US$7.85 billion) in 2012 to the current BRL25.82 billion (US$11.25 billion).

In JBS' US beef operations, revenue increased 6.5% - this included its businesses in Canada, Australia and the USA - while US pork sales were up 0.5%, and chicken (Pilgrim's Pride Corporation) was up 3.6%.

Wesley Batista, chief executive, JBS Global, said that the company's exports last year totalled approximately US$12 billion, up almost 20% on 2012. This US$2 billion increase in exports is essentially based on two factors: the first was an increase in consumption and demand in emerging markets, while the second was the increased number of countries it is exporting to.

Exports to Greater China increased 21.2% from 2012-3, while exports to Mexico increased 14.6% and were up 9.8% to Africa and the Middle East.

Batista added JBS has built up a strategic production platform in the world's most competitive regions. They have a granular distribution base in the largest consumer centres, which leads them to believe that their strategic decisions will continue to drive their results, creating value for their shareholders, development for society and convenience for consumers.

He predicted that the company's exports will be around US$15 billion in 2014 - up from US$12 billion in 2013.

Among the company's highlights for 2013 was the acquisition of Seara, as well as union with JBS Chicken Brazil, forming JBS Foods. The group said the new unit performed strongly in its first quarter of trading, with the acquisition enabling the firm to expand into the higher value-added product segments.