Business
Pilgrim’s Pride Reports First Quarter 2022 Results with $4.24 Billion in Net Sales and Operating Income Margin of 9.5%
GREELEY, Colo., April 27, 2022 (GLOBE NEWSWIRE) -- Pilgrim’s Pride Corporation (NASDAQ: PPC), one of the world's largest poultry producers, reports its first
About this update from Pilgrim's Pride Corporation
[{"type":"text","content":"GREELEY, Colo., April 27, 2022 (GLOBE NEWSWIRE) -- Pilgrim’s Pride Corporation (NASDAQ: PPC), one of the world's largest poultry producers, reports its first quarter 2022 financial results. First Quarter Highlights Net Sales of $4.24 billion, up nearly 30% from prior year.Consolidated GAAP operating income margin of 9.5% with GAAP operating income margins of 13.8% in U.S., 14.7% in Mexico and -1.8% in Europe.GAAP Net Income of $280.6 million and GAAP EPS of $1.15. Adjusted Net Income of $287.2 million or adjusted EPS of $1.18.Adjusted EBITDA of $501.8 million, or an 11.8% margin, 97.7% higher than a year ago.Our diversified portfolio across geographies, brands, and products coupled with our long-term investments in operational excellence, including automation, and focus on service for key customers continued to improve our results and drive further earnings resilience.Our US foodservice business improved year-over-year, achieving pre-pandemic sales volumes, while retail volumes remained strong. Our margins improved significantly within the commodity large bird deboning business, while we continue to face higher inputs, increased operating costs, and less than optimal product mix resulting from ongoing labor shortages in all our business.Brand momentum continues throughout US retail as Just Bare® was up 49%, Pilgrim’s® fully cooked grew over 150%, and e-commerce more than tripled year over year.We continue to grow in Mexico, especially in our branded product lines, while profitability followed the normal seasonality of the business.Our combined European business was severely impacted by ongoing labor shortages, increasing input costs and unprecedented inflation. Our live pork operations were also challenged by excess supply conditions throughout Europe. The UK teams are focused on leveraging the combined strengths of the businesses to drive operational improvements and capture synergies.Our liquidity position remains strong with an adjusted EBITDA net leverage ratio at 1.75x. (Unaudited) Three Months Ended March 27,2022 March 28,2021 Y/Y Change (In millions, except per share and percentages)Net sales $4,240.4 $3,273.4 +29.5%U.S. GAAP EPS $1.15 $0.41 +180.5%Operating income $402.0 $158.5 +153.6%Adjusted EBITDA(1) $501.8 $253.8 +97.7%Adjusted EBITDA margin(1) 11.8% 7.8% +4.0pts (1) Reconciliations for non-U.S. GAAP measures are pro...