JBS SA reported a second quarter loss of over $47 million, citing the oversupply of chicken in the global market and tighter margins for its beef business in the U.S.
While the company’s earnings before interest, tax, depreciation and amortization (EBITDA) was inline with analyst’s expectations, it was 57% below the year-ago period.
JBS said its beef margins in North America shrank from a year ago. Citing a reduction in the supply of cattle, JBS said cattle prices rose 26% last quarter to $179/cwt while wholesale beef prices grew by 17% in the same period.
Also, in the U.S., its Pilgrim’s Pride division reported a 49% decline in EBITDA, and the pork division had a 15% annual drop in revenue. This is the second loss in 2023 for the company.
