Marfrig Net Revenue Grows 60% in the Third Quarter, with Market Share Gains in Brazil
SAO PAULO, Nov. 16, 2010 /PRNewswire-FirstCall/ — Marfrig ended the third quarter with net revenue of R$3.9 billion, the highest in its history and 60% more than the R$2.4 billion recorded in the same period last year. In comparison with the prior quarter, net revenue grew by 8.3%.
Driven once again by strong sales in Brazil, Marfrig recorded gross revenue of R$4.2 billion in the third quarter, 63.9% more than in the same period last year and 10.3% (or R$400 million) higher than in the previous quarter. In the nine months to September, gross revenue has already surpassed R$11.3 billion. In the food service sales channel, sales volume and average price increased 9% and 8%, respectively, on the same period last year. Marfrig’s market share in beef exports expanded to 18.9%, up from 15.7% in the prior quarter and 11.6% in the third quarter of 2009.
Adjusted EBITDA was R$283 million, increasing by 38.7% on the same period of 2009 and by 13.3% on the prior quarter.
The third quarter was also marked by important developments for both the Marfrig Group and the world food industry. According to Marcos Antonio Molina dos Santos, the group’s CEO, “Marfrig is positioning itself closer and closer to its main clients (final consumers and food service chains), while expanding its market share, especially at its units in Brazil, adding new higher value added products and making rapid progress in capturing synergies and creating a common corporate culture based on ethics and sustainability.”
Marfrig’s third quarter results include the consolidation of the results from O’Kane Poultry, a company from Northern Ireland acquired at the end of August that added daily production capacity of 120,000 chickens and 5,000 turkeys to the Company’s operations. The process to acquire Keystone Foods was concluded at the end of October and its results will be consolidated into the financial statements only in the coming quarter.
In the quarter, we invested R$143 million to maintain, modernize and expand our operational units, with the highlight the start of construction works on the Rosario D’Oeste agroindustrial complex in the state of Mato Grosso, which will support stronger growth in our poultry and pork operations in Brazil’s Midwest region.
Important communication vehicles specializing in business and economics have recognized the success of Marfrig’s trajectory. The company was elected the “Best Agribusiness Company” by the Best and Biggest guide published by Exame magazine in July, the “Best Management of Financial Sustainability” by Isto Ãƒ“° Dinheiro magazine in August and the “Best Meat Company” by Globo Rural magazine in September.
The Marfrig Group recently received first place in the Premio Produz Brasil 2010 awards in the category Environmental Responsibility for its project “Installation of Biodigesters at the Unit in Diamantino, MT”. Marfrig also received an award in the Social Responsibility category for its project “Social and Environmental Monitoring of the Amazon Biome”. The Produz Brasil awards are an initiative of Produz magazine in partnership with the SÃƒ£o Paulo State Agricultural Federation (FAESP).
For further information, please contact Marfrig's Investor Relations area: Investor Relations Phone: (55 11) 3728-8650 email@example.com
SOURCE Marfrig Alimentos S.A.