BRAZIL – FriGol, a leading beef processor in Brazil, has reported a 15.6% increase in net revenue for the third quarter of 2024, reaching US$153.4 million.
This growth reflects the company’s strong performance, driven by both domestic and international markets.
During this period, the company processed 174,000 cattle, a 14.3% rise compared to the same quarter in 2023.
The company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) reached US$8.4 million, a 2.4% improvement from last year, with an EBITDA margin of 5.5%.
FriGol’s net income stood at US$2.2 million, showing no change from the third quarter of 2023.
Over the past 12 months, FriGol’s net revenue totaled US$561 million, marking a 13.4% increase year-on-year.
EBITDA for the period surged by 136%, reaching US$32.2 million, while the company’s net income improved to US$5.3 million from a break-even result in the previous year.
“We’ve seen solid results in both domestic and foreign markets this quarter,” said Eduardo Miron, CEO of FriGol.
“Strong demand in Brazil and growth in value-added product sales, alongside strategic market development abroad, have contributed to our success. Brazil remains a top choice for international buyers.”
Domestic sales accounted for 46% of FriGol’s revenue, with the remaining 54% coming from exports.
Exports to new markets were a significant highlight, as sales to other destinations rose to 11% from just 3% in the previous year.
This expansion included FriGol’s first shipments to the Philippines, adding to its existing exports to Indonesia and Singapore.
The company also increased its sales to North America, with several shipments to Canada.
China remains FriGol’s largest export market, accounting for 74% of export revenue, down from 86% last year.
Exports to Israel rose to 12%, while sales to Hong Kong remained stable at 3%.
The company’s financial health also showed improvement, with its Net Debt/EBITDA ratio dropping to 1.2x from 1.3x in the previous quarter.
Operating cash flow was reported at US$6.6 million, reflecting a significant increase in cash conversion from EBITDA.
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