SAO PAULO, Nov. 11, 2011 /PRNewswire/ --
Message from the CEO & Chairman
The third quarter of 2011 marked an important step towards the
consolidation of Marfrig's long-term strategy. The company improved
its operational efficiency, with the capture of synergies among the
business divisions, reduced costs and expenses and generated
R$310.5 million in operating cash
flow, all of which underlines our management team's commitment to
delivering consistent results and creating value for our
shareholders. Despite all the setbacks and uncertainties in the
global economic scenario throughout the quarter, including
inflationary pressure in the countries where we operate, exchange
rate volatility and still high grain and cattle prices, we recorded
robust net revenue growth of 45.1% over 3Q10 and of 3.8% over the
previous quarter.
We implemented several initiatives aimed at continuing with our
operational improvements and financial discipline, which resulted
in higher capacity utilization in our plants, better control and
management of working capital accounts, lower administrative and
selling expenses, and, as expected, a reduction in Capex
(R$92.9 million, excluding breeding
stock) over previous quarters. The virtuous combination of all
these factors allowed us to make considerable progress in regard to
the generation of free cash flow and led to a substantial increase
in operational profitability. The positive results show that our
strategy of building a complete portfolio of high value-added
products, strong brand loyalty and a global platform for the
development, production, sale and distribution of food products, is
increasingly aligned and integrated.
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Marcos
Antonio Molina dos Santos, CEO &
CHAIRMAN
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Key Financial Highlights
- Consolidated net operating revenue of R$5.52 billion, up 45% from R$3.81 billion in 3Q10
- Consolidated gross income of R$813.0
million in 3Q11, 34% up from the R$605.0 million (15.9% gross margin) in 3Q10
- Consolidated EBITDA of R$637.5
million, 169,3% up from the R$236.7
million in 3Q10
- Consolidated EBITDA margin stood at 11.5%, up 532bps and 632bps
on 3Q10 and 2Q11, respectively;
- Operating cash flow of R$310.5
million, versus R$109.4 million on June 30, 2011;
- The 3Q11 net loss of R$540.0
million was owed to the non-cash effect of Real currency
depreciation
- Short-term debt accounted for 20.1% of total debt, versus 22.7%
in 2Q11.
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Statement
(In million R$)
|
3Q11
|
2Q11
|
3Q10
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% Var 3Q11 x
2Q11
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% Var 3Q11 x
3Q10
|
|
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NET SALES
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5,524.2
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5,322.0
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3,807.2
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3.8%
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45.1%
|
|
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Cost of goods sold
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(4,711.2)
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(4,609.7)
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(3,202.2)
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2.2%
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47.1%
|
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GROSS INCOME
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813.0
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712.3
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605.0
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14.1%
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34.4%
|
|
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SG&A
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(574.4)
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(600.9)
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(494.4)
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-4.4%
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16.2%
|
|
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% over net
revenues
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-10.4%
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-11.3%
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-13.0%
|
90
bps
|
260
bps
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OPERATING REVENUE
(EXPENSES)
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(367.8)
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(611.8)
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(502.7)
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-39.9%
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-26.8%
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NET LOSS
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(540.0)
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(91.0)
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(68.6)
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493.6%
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687.2%
|
|
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EBITDA
|
637.5
|
277.8
|
236.7
|
129.5%
|
169.3%
|
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EBITDA Margin
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11.5%
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5.2%
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6.2%
|
630
bps
|
530
bps
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ADJUSTED
EBITDA(*)
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430.9
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288.7
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245.0
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49.3%
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75.9%
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ADJUSTED EBITDA
Margin
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7.8%
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5.4%
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6.4%
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240bps
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140
bps
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(*)Excludes Other operating
revenues/expenses
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About Marfrig
The Marfrig Group is one of the largest global food companies
based on beef, pork, poultry and fish. Its diversified and flexible
operating base is comprised of production, commercial and
distribution units, which are installed in 22 countries on 5
continents. Considered one of most international and diversified
Brazilian food companies, its products are present in more than 140
countries. With approximately 90,000 employees, the Marfrig Group
is the largest sheep producer in South
America, the largest beef company in Argentina, the largest poultry producer in the
United Kingdom and the largest
private company in Uruguay and
Northern Ireland.
Contact:
Remi Kaiber Junior
IR Director
Ph: 55 11 3728.8650
ri@marfrig.com.br
SOURCE Marfrig