BRAZIL - JBS’ improving financial performance financial performance in 2014 continued through the second quarter of the year with a net income of R$29 billion.
This represents a growth of 32 per cent compared to the same period last year and 9.8 per cent compared to results for the first quarter of the year.
The revenue growth is through increased sales in all business units except the chicken operation in the United States, where sales remained stable.
The highlight of the quarter was in Mercosur where the companyregistered an increase in revenue of 15.8 per cent
The operations of JBS USA Beef and Pork recorded revenue growth resulting from higher average selling prices.
EBITDA (earnings before interest payments, taxes and amortization) was R$ 2.4 billion, an increase of 45.9 per cent compared to the same period last year.
This reflects the performance of the operation of poultry and pork in the United States, which recorded growth in EBITDA of 27.8 per cent and 124.3 per cent, respectively, and JBS Foods, which recorded EBITDA of R$440 million.
In the second quarter, JBS also raised its foreign sales.
The company saw exports of R$4.3 billion between April and June this year, a 45 per cent increase over the same period last year.
Sales for Greater China, which icludes the shipments made to China and Hong Kong, accounted for 18.5 per cent, while trade with South America was 12.6 per cent.
The net income of R$254.3 million in the second quarter of this year was 3.6 times higher than in the first quarter of 2014, when the company posted a net profit of R$70 million.
"The results of JBS shows a systematic increase in revenue, an improvement in operating results and a consequent reduction in our leverage.
“All these factors together allow the company to generate more value to all its stakeholders," said Wesley Batista, president of JBS Global.
TheMeatSite News Desk