Net income for Pilgrim’s increased 80 percent during the first quarter of 2014, jumping to $98.1 million from the $54.6 million reported during the first quarter of 2013. The Pilgrim’s first quarter of 2014 ended on March 30.
Releasing the Pilgrim’s financial results for the first quarter of the 2014 fiscal year, the company also reported an 87 percent increase in earnings before interest, taxes depreciation and amortization (EBITDA), reaching $203.5 million.
"Consistent with the progress we've made for the past three years, we remain committed to operational improvement year after year," said Bill Lovette, Pilgrim's CEO. "We continue to execute against our strategy that combines focusing on key customers, relentless pursuit of operational excellence and growing value added exports while rapidly adapting to changing market conditions.
"Our teams continue to raise the standard and drive accountability deeper into the organization, from cost control through the implementation of zero-based budgets to gains in efficiency and superior mix management, providing us with a competitive advantage in the market. The strong results, combined with effective management of our working capital, have enabled us to pay off the balance of our exit credit facility, reducing our cost of capital and freeing up cash flow to support investments directed at growing our business. We already started our growth project in Mexico, and with a strong balance sheet, we are prepared to deploy resources where we see a complement to our existing portfolio.”
Lovette added that the current environment for the chicken industry indicates robust prospects for 2014, and with the improvements Pilgrim’s has implemented, the company is in a good position to reap the benefits.