BRAZIL – Brazilian beef giant Marfrig unexpectedly reported a net profit of 75.4 million reais (US$13.78 million) for the second quarter of 2024, defying analysts’ predictions of a loss.
The company attributed this positive outcome to significant operational improvements and robust sales performance across various segments.
Despite forecasts from LSEG analysts projecting a US$119.7 million real loss, Marfrig’s financial results for the April-June period showed a marked turnaround.
The company’s adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) surged by 65% compared to the same quarter last year, reaching US$3.37 billion —well above the anticipated US$1.88 billion.
Marfrig’s net revenue climbed 16.5% year-on-year, driven by sales growth across most of its business areas.
Particularly noteworthy was the performance of BRF, a Brazilian poultry producer in which Marfrig secured a controlling stake last year.
In a statement, Marfrig Chairman Marcos Molina dos Santos highlighted the company’s continued operational advancements and stable financial standing, emphasizing the strength of the quarterly results.
As of 2019, Marfrig held a market share of approximately 4.5% to 7.5% in the Brazilian beef industry.
That year, the company operated 12 production units in Brazil, with a daily slaughtering capacity of 13,000 heads, generating 9% of its total revenues from its operations in the country.
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