© Reuters. FILE PHOTO: Logos of Brazilian meatpacker BRF SA are seen within the headquarters in Curitiba, Brazil October 1, 2019. REUTERS/Rodolfo Buhrer
By Ana Mano
SAO PAULO (Reuters) -Brazilian meals processor BRF SA (NYSE:) turned a revenue within the last quarter of 2021, historically a great interval for meals gross sales because of the vacation season, serving to it safe its third consecutive 12 months within the black.
BRF posted a 932 million reais ($184.4 million) achieve within the fourth quarter, up 3.3% from the identical year-ago interval, it stated in an earnings assertion on Tuesday.
The consequence was bolstered by an almost 20% rise in internet income, to 13.7 billion reais within the quarter, though value pressures and declining client confidence in Brazil, the place it derives most of its gross sales by quantity, damage the enterprise.
Components together with home inflation, earnings loss and uncertainty associated to the COVID-19 pandemic weighed, in addition to weather-related points, which compromised South American grain manufacturing and brought on feed costs to spike.
“The meals trade continues to be underneath stress from rising commodity costs and disruptions in provide chains,” BRF stated.
Regardless of the headwinds, BRF was capable of put up a 437 million actual revenue for 2021. Nonetheless, this was down 68.5% from 2020, when general margins had been higher.
On worldwide markets, BRF pointed to a drop in each pork export volumes and costs in gross sales to key buyer China throughout the fourth quarter, following a restoration in native manufacturing and a fall in consumption amid the pandemic.
This affected the phase’s gross margins, however was partially offset by an increase in greenback costs for merchandise bought to Japan and South Korea, BRF stated.
The corporate benefited within the Halal meat sector, wherein meals merchandise are ready based on Muslim dietary necessities, from a pickup in financial exercise.
As volumes and costs rose in Halal gross sales, each in Gulf international locations and in Turkey, BRF grew income by respectively 33% e 11% in these markets, the earnings assertion stated.
($1 = 5.0545 reais)
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