JBS reports strong first quarter for Seara unit

Net revenue and sales rise for South American business unit.

Roy Graber Headshot
Seara Shawaya Roasting Chicken
Courtesy JBS

JBS reported that its Seara business unit achieved a 4.8% year-over-year increase in net revenue for the first quarter of fiscal year 2024, as well as increased sales both in the Brazilian and international markets.

JBS released the financial results for the quarter on May 14.

While JBS, in its earnings release, acknowledged that Seara’s results for 2023, were “below expectations,” the company made some modifications to improve its financial performance, including “focus on people management as well as discipline in executing the action plan to capture opportunities.” Lower grain costs and a better supply-demand balance were also advantageous during the most recent quarter.

Seara, the business unit with includes JBS’s South American poultry operations, recorded a net revenue of US$2.08 billion for the quarter, which is slightly down from the US$2.11 billion for the most recent quarter, but up from the US$1.99 billion reported during the fourth quarter of fiscal year 2023.

Sales in the domestic market, which accounted for half of the unites revenue, were up 0.5% for the quarter, with volumes increasing by 5% but prices decreasing by 2.9%. In the export market, Seara achieved a 7% growth in average prices in dollars but a 3% decrease in volumes.

In the earnings report, JBS Global CEO Gilberto Tomazoni said he was optimistic Seara will continue to perform well throughout the remainder of 2024.

“The closing of some operational gaps, the normalization of grain costs and the growth in volume in the domestic market reinforce promising prospects for Seara this year. We maintain our focus on identifying consumer preferences and capturing operational opportunities,” said Tomazoni.

JBS is the world’s largest poultry producer, having slaughtered more than 4.4 billion broilers in 2023. Of those, roughly 2.04 billion were slaughtered for Seara.

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