May 13, 2011
JBS gains from sales of Middle East and Africa
The allocation of Middle Eastern and African countries in the earnings of the Brazilian group, JBS, the world's major processor of animal protein, has risen, according to media.
JBS exported US$389 million to Middle East and Africa in the first quarter, which represented 16% of its total foreign sales.
According to the results announced this week, JBS exported the equivalent of US$2.45 billion in the first quarter this year. Out of that total, 15.9% was shipped to countries in Africa and the Middle East, at a value of US$389 million.
Total revenues from exports in the first quarter represent an increase of 17.4% over the first three months of 2010. During that period, 14.9% of the products exported were shipped to Africa and the Middle East. In the first quarter of last year, exports reached US$1.765 billion, of which Africa and the Middle East accounted for 16%.
In a report, the JBS group informed that it posted a net profit of BRL147 million (US$90.8 million) in the first three months of this year. This is 47.9% more than the same period of 2010 so losses incurred in the last quarter of last year due to the restructuring of units purchased were reversed.
Net revenues reached BRL14.672 billion (US$9.1 billion) and grew by 20.2% in the first quarter of this year. The EBITDA (earnings before interest, taxes, depreciation and amortisation) reached BRL835.9 million (US$516 million), 3% less than the same period last year.
In a statement, JBS claimed that all of its units recorded double-digit increases in revenues from the first quarter of 2010 to the first quarter of 2011. JBS ascribed the increase to higher average prices, especially in foreign countries.
In Brazil, JBS owns 17 brands, such as Swift, Faixa Azul, Leco, Friboi, Danubio and Vigor. In the US and Australia, the company controls Swift, Pilgrim's, LaHerencia, Country Pride and Angus Select, among others, at a total of 27 brands. JBS is the world's leading producer of bovine and ovine meat, the second leading poultry producer, and the leading producer of leathers. In 2010, the company posted revenues of BRL54 billion (US$33.3 billion). In the Arab countries, the company operates with a distribution centre in Egypt and commercial offices in the United Arab Emirates and Algeria.
