JBS releases its 2019 Annual and Sustainability Report, which discloses the Company's economic, social and environmental performance in 2019. In the document, the company presents its practices for management, corporate governance, compliance and the structure of its businesses.
The report demonstrates JBS' commitment to conduct its operations with a focus on high quality, innovation, food safety and best sustainability practices throughout the entire value chain. During the year, the company made investments of R$1.9 billion in sustainability, more than R$120 million in innovation and R$931 million in food quality and safety.
This year, JBS developed the reports of activities by business unit. Thus, the report was divided according to the following chapters:
- JBS, which addresses the Company's profile globally and issues related to corporate governance, compliance, safety and quality and innovation;
- Commitment to Sustainability, which presents the management and results of the priority themes for sustainability in the Company's global businesses;
- Our Business, which describes the activity, operational performance, sustainable practices and animal welfare by business unit; and
- Performance and Perspectives, which presents the economic results and the awards obtained by JBS in 2019, the year in which the Company had a record net revenue, exceeding R$200 billion.
Achievements that reflect a great year
Throughout the year, JBS made solid investments that result in important advancements and achievements. Among the sustainability pillars globally, R$699 million were invested in health and safety, an increase of 133% in relation to 2018, in addition to R$475 million in animal welfare, another R$32 million was dedicated to actions of social responsibility and R$699 million in environmental management. For the year, the company registered more than 1 million tons of reused waste and a 3.9% reduction in water consumption per ton of product.
Another highlight of the period was the CDP result, the largest and most respected global platform for corporate sustainability information, which places JBS as one of the best companies in its sector by the platform's criteria, including factors related to climate change, water security, forest: livestock, soy and timber products.
The year was also positively marked by several compliance achievements.
The Global Conflicts of Interest Policy has been approved andimplemented globally. In addition, 94% of professionals in the administrative area of JBS in Brazil were trained in anti-corruption practices. It is also worth highlighting the more than 9 thousand supplier due diligence evaluations using a tool developed by JBS, in partnership with an international consultancy firm, which allows for a complete reputational analysis of the supplier.
The 2019 Annual and Sustainability Report also includes a broad overview of the company's strategic and operational and financial performance.
In 2019, JBS presented another year of solid results and financial strength, which reflects the focus management has on operational excellence, innovation and sustainability. For the year, the Company's net revenue totaled R$204.5 billion, with an Adjusted EBITDA of R$19.9 billion, 33.9% higher than 2018. The Company also presented a strong free cash flow generation, reaching R$9.5 billion for the period, and reduced the dollar leverage to 2.13x.
The report was prepared following the guidelines proposed by the Global Reporting Initiative (GRI) Standards and presents the Financial Statements, audited by Grant Thornton Auditores Independentes, and prepared under the International Financial Reporting Standards (IFRS) that follows accounting rules issued by the International Accounting Standards Board (IASB).