May 8, 2013
Pilgrim's Pride reports strong revenue growth in Q1
US poultry processor Pilgrim's Pride, reported steady first quarter 2013 earnings with net sales of US$2.0 billion, compared to US$1.9 billion in sales in the first quarter of 2012.
The company is bouncing back from a particularly difficult 2011, when it posted a streak of losses due to surging feed costs and weak prices for chicken meat during a historically large glut in supplies. The downturn was part of a long-running boom-and-bust cycle that has over many years forced chicken processors to consolidate or shut down.
Pilgrim's CEO Bill Lovette stated, "We delivered better results year over year despite US$141 million of increased feed ingredient costs. By focusing on creating value with our key customers, we have diversified our product mix, honed our execution and are seeing our portfolio of business become a more profitable model."
Lovette also said that Pilgrim had an improved safety record, significantly better than the industry average. It also made significant steps on its strategy to strengthen the company and the balance sheet.
"We are reducing our turnover and measuring quality at every level of the organisation. Despite challenging environmental conditions, Mexico continues to outperform due to its effective business model and the versatility and value that chicken provides to consumers," Lovette adds.
