Released on October 26, 2023, Pilgrims Pride Corp (PPC, Financial), one of the world's largest poultry producers, announced its third quarter 2023 financial results. Despite market challenges, the company reported net sales of $4.4 billion and an operating income of $206.4 million.
Financial Highlights
The company's GAAP Net Income stood at $121.6 million, with GAAP EPS of $0.51. Adjusted Net Income was reported at $136.7 million, translating to an Adjusted EPS of $0.58. The consolidated GAAP operating income margin was 4.7%. The company also reported an Adjusted EBITDA of $324.0 million, marking a 7.4% margin.
Performance Across Regions
PPC's diversified portfolio drove improved margins across all regions relative to the prior quarter. The U.S. Fresh business continued to improve over prior quarters, with strong performance in Small Bird. The U.S. Prepared Foods business increased its momentum through additional distribution, differentiated offerings, and promotional activities across both Retail and Food Service. Branded growth was a key driver as both Just Bare® and Pilgrim’s® collectively grew 65% year over year.
Financial Tables Summary
The company's balance sheet as of September 24, 2023, showed total assets of $9.9 billion, with total liabilities standing at $6.8 billion. The total stockholders' equity was reported at $3.1 billion. The net income attributable to Pilgrims Pride Corporation per share of common stock outstanding was $0.51 for the third quarter of 2023.
Company's Outlook
Despite uneven market conditions and persistent consumer inflation, the company's profitability improved across all regions. The U.S. Big Bird commodity business continued to drive sequential profitability improvements under volatile market conditions. The expansion at the Athens complex remains on schedule, and the construction of the protein conversion facility in South Georgia is also progressing as planned.
ESG Commitments
With the publication of its 2022 Sustainability Report, Pilgrims Pride Corp reinforced its progress towards becoming a leader in the food and agriculture industry in ESG. The company has reduced its plant GHG emissions intensity by 20% and highlighted continued investments in its communities and team members through its Hometown Strong and Better Futures programs.
Explore the complete 8-K earnings release (here) from Pilgrims Pride Corp for further details.
