BRF CEO Miguel Gularte stated that the company just achieved the “best second quarter in its history.”
The Brazil-based meat and poultry company released the financial results for the second quarter of fiscal year 2024 on August 14.
Gularte noted that the company improved its profitability for the sixth consecutive quarter, with a margin of 17.6%, revenue growth of 22.3% and Earnings Before Interest, Taxes, Depreciation and Amortization of BRL2.6 billion (US$480 million), which was nearly a 520% increase when compared to the second quarter of fiscal year 2023. The net income for the quarter was BRL1.094 billion.
“The progress we have made so far has been based on the consolidation of a high-performance culture, with the right people in the right positions,” Gularte said. “All the achievements of this quarter have one important factor in common: the dedication and commitment of each and every one of our employees. We are grateful for the commitment and continuous work of our almost 100,000 staff, and support our chairman Marcos Molina, the board of directors and our shareholders, as well as the permanent partnership of our integrated farmers, clients, suppliers and the communities where we operate.”
Brazil business segment
BRF’s Brazil business segment saw a 71.6% year-over-year increase in adjusted EBITDA, a 5.8% increase in net operating revenues and a 47.9% increase in gross profit.
BRF noted in its management report that there was an increase in sales volume in all of the categories in which it operates, with the highest growth concentrated in processed food products. The company reported 10,400 new points of sale during the quarter, totaling 302,000 customers.
A more favorable scenario for food consumption in Brazil was noticed for the quarter, reflecting the high occupation of the labor market and a 5.8% year-over-year increase in average disposable income.
International business segment
For the BRF international business segment, significant improvements were also seen, with a 516.2% increase in adjusted EBITDA, a 16.8% increase in net operating revenues and a 29.1% increase in gross profit.
Part of this improvement was attributed to BRF gaining 32 new export authorizations during the quarter.
BRF also reported a growth in volume of halal processed food products, which contributed to maximizing occupancy at its facilities in Damman, Saudi Arabia, and Kezad, United Arab Emirates.
BRF is the world’s third largest poultry producer, having slaughtered 1.67 billion chickens during 2023.
