(Bloomberg) -- Brazilian meat producers are set to return to expansion mode after slashing debt as they seek to further capitalize on a surge in chicken profits.
Both JBS SA and BRF SA expect to boost capital spending in 2025, reversing the course seen over the past couple of years, the companies said Thursday in conference calls with analysts.
Meat companies are awash with cash. An impressive rebound in profits following last year’s plunge allowed them to quickly pay down debt and return capital to shareholders. The windfall has been fueled by higher chicken profits, which have benefited from a major drop in feed costs and booming consumer demand.
JBS, the world’s largest meat supplier, is looking to expand chicken production capacity both in Brazil and the US, as well as in its North American pork business, according to Chief Financial Officer Guilherme Cavalcanti. BRF said it’s planning to expand capacity in chicken and processed food in Brazil, as well as in Middle East plants.
©2024 Bloomberg L.P.
免責聲明：投資有風險，本文並非投資建議，以上內容不應被視為任何金融產品的購買或出售要約、建議或邀請，作者或其他用戶的任何相關討論、評論或帖子也不應被視為此類內容。本文僅供一般參考，不考慮您的個人投資目標、財務狀況或需求。TTM對信息的準確性和完整性不承擔任何責任或保證，投資者應自行研究並在投資前尋求專業建議。