Escolar Documentos
Profissional Documentos
Cultura Documentos
Institutional Presentation
Including 2Q18 Results
1
About
JBS
Over 230 thousand direct
and 700 thousand indirect employees.
JBS has been a public company
Around 350 thousand since 2007 and its shares are traded on the New
Market of the São Paulo Stock Exchange (B3).
Customers in 150 countries.
2
A Unique
Global Platform
3% 5%
CANADA
EUROPE
USA
53%
15%
MEXICO
AFRICA AND ASIA
5% THE MIDDLE
EAST
3%
BRAZIL
12%
SOUTH 3%
AMERICA 1%
AUSTRALIA
AND NEW
ZEALAND
% of Total Revenues
GLOBAL
PLATFORM Beef
Lamb
Pork
Present
15 countries
Leather
Poultry
in over
with over 400 production units
and offices.
3
Global Management
Structure
Food Quality
and Safety
Gilberto Tomazoni
Global Chief
Operating Officer
Wesley Batista Filho
President of Operations
South America
André Nogueira
CEO of JBS USA
Bill Lovette Al Byers Marty Dooley Tim Schellpeper Brent Eastwood David Colwel Tom Lopez
Global CEO President of President of President of President of President of President of
of PPC JBS USA Beef JBS USA Pork JBS USA Fed Beef JBS Australia JBS Canada Plumrose USA
Regional
4
Strategy
Global and Diversified Production and
Distribution Platform evolving towards
value added products with brands
Branding
Value added
products
Production platform
+400 production units in
+15 countries
5
Consolidated
Exports
Japan 14.1%
3.5%
Africa & Middle East 11.1% 22.8%
6.3%
USA 10.3% 14.1%
10.3%
South Korea 9.2% 9.2%
Mexico 6.5% 6.5%
E.U. 6.3%
11.1%
Canada 3.5%
Others 13.2%
PE
Operational Platform BA
MT
~70,500 team members DF
4.9 million birds per day
SC
14 distribution centers
Production units located in the RS
south and mid-west regions
Main Brands
Production units located in the
south, southeast, northeast and
mid-west regions
R$1.6 Bn
Net Revenue LTM 2Q18 R$17.1 Bn EBITDA LTM 2Q18
9.1% Margin
8
JBS Brazil Brazil
Beef production in Brazil, in addition to
leather and other Related Business
PA CE
Operational Platform
AC TO PE
RO
BA
34,240 bovines per day
MT
100% in Brazil GO
~50,000 team members MG
70,434 hides per day
MI
NE
UT PA
~35,000 team members CO
Operational Platform
19 beef processing facilities AZ
42,533 bovines per day
06 feedlots GA
TX
28,130 in the US
03 tanneries
4,200 in Canada Australia and NZ
10,203 in Australia 08 carrier units
08 distribution centers
07 DCs in Australia
01 DC in New Zealand
08 carriers units in the US
US$1.7 billion
Net Revenue LTM 2Q18 US$21.9 Bn EBITDA LTM2Q18
7.7% Margin
10
JBS USA Pork
Pork and value added United States
production in the United States
MN
VT
Operational Platform IA
IL IN
92,000 hogs per day
02 distribution centers
Main Brands
US$724 million
Net Revenue LTM 2Q18 US$6.2 Bn EBITDA LTM 2Q18
11.7% Margin
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Pilgrim’s Pride
Poultry production in the United United States & Puerto Rico
States, Mexico, Puerto Rico and
MN
Europe WI
WA
VA
Operational Platform KY
Europe
AR TN NC
AL GASC
8.7 million birds per day TX
LA
22 distribution centers
21 located in Mexico
01 located in Porto Rico
Net Revenue LTM 2Q18¹ US$11.1 Bn EBITDA LTM 2Q18¹
US$1.3 billion
11.3% Margin
Note 1: includes Moy Park results in all quarters. 12
Evolution by
Business Units
2Q17 3Q17 4Q17 1Q18 2Q18 2Q17 3Q17 4Q17 1Q18 2Q18 2Q17 3Q17 4Q17 1Q18 2Q18 2Q17 3Q17 4Q17 1Q18 2Q18
1.7 1.6
1.5 1.5 1.4
570.1
324.2 405.1 395.9 308.2 255.8
177.8 186.9 177.7
103.4
2Q17 3Q17 4Q17 1Q18 2Q18 2Q17 3Q17 4Q17 1Q18 2Q18 2Q17 3Q17 4Q17 1Q18 2Q18 2Q17 3Q17 4Q17 1Q18 2Q18
448.9 463.6
241.0 271.8 282.5
2Q17 3Q17 4Q17 1Q18 2Q18 2Q17 3Q17 4Q17 1Q18 2Q18
¹ Adjusted EBITDA excluding the R$112.9 million impact from the truckers strike in Brazil at Seara.
² Adjusted EBITDA in accordance with PPC reported earnings release. 13
2Q18
Consolidated Results
14
2Q18 HIGHLIGHTS
¹ Adjusted EBITDA excluding the R$112.9 million impact from the truckers strike in Brazil at Seara
² Adjusted net income excluding the non-cash effect of FX variation 15
2Q18 Consolidated
Results
15.5%
14.8%
45,175.6
8.4% 6,987.5
6,159.1
41,674.8
13.5%
R$45.2Bn
Increase of 8.4% compared with 2Q17
R$7.0Bn
Increase in gross margin from 14.8% in 2Q17 to
15.5% in 2Q18
16
2Q18 Consolidated
Results
2,998.3
3,757.8 4,237.6
12.8%
309.8
2Q17 2Q18
-911.1
Adjusted EBITDA was Adjusted net income² was
R$4.2Bn R$3.0Bn
Increase in EBITDA margin from 9.0% in 2Q17 to Reported accounting loss was R$911.1 Mn
9.4% in 2Q18
¹ Adjusted EBITDA excluding the R$112.9 million impact from the truckers strike in Brazil at Seara
² Adjusted net income excluding the non-cash effect of FX variation 17
2Q18 Consolidated
Results
Operating Cash Flow (R$ million) Free Cash Flow (R$ million)
2Q17 2Q18
Geração de Caixa Operacional 2,493.1 1,929.6
177.2%
899.5
Cash flow from operational activities was Free cash flow was
R$2.5Bn R$1.9Bn
18
2Q18 Consolidated
Results
2.98x
3.38
3.42 3.24
3.26
from 4.07x in 2Q17 3.13 2.98
50.4 50.5
Leverage in R$ reduced to 45.5 45.3 45.5
19
2Q18 Consolidated
Results
R$20.3Bn
Five times higher than short-term debt Capital Markets
57%
JBS S.A.
33.4% US$ 96.0%
5.67% p.a.
Organic growth
Focus on deleveraging
Wo r l d - c l a s s G l o b a l C o m p l i a n c e P r o g r a m
21
Other
Relevant Topics
22
Compliance
JBS has implemented a number of initiatives to strengthen its compliance culture, such as the
Always Do It Right program, where each employee serves as a multiplier of best practices.
23
Sustainability
A satellite monitoring system maintained by JBS covers around 59 million hectares of the
Amazon region, including 437 municipalities, aiming environmental preservation
(deforestation) and indigenous land criteria and taking steps to combat labor analogous to slavery.
JBS operates in the circular economy (take, make and dispose) and uses its
raw material to produce leather and collagen. It also employs structured
programs to transform waste into biodiesel and fertilizer, reducing water
use and greenhouse gas emissions.
24
Animal
Well-Being
JBS Supply Chain Seal assesses all animal quality and well-being criteria, certifying
guaranteed beef sourcing. The protocol is certified by the SBC, the Brazilian Certification
Service.
In 2017, JBS was ranked one of the best companies in the world in Animal
Well-Being practices by the BBFAW.
25
Quality
JBS is ISO 9001 certified and the Brazilian company with the largest number of
facilities certified by the BRC (British Retail Consortium).
The company’s rigorous quality control procedures carry out over 120 international
audits every year in Brazil alone.
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OUR MISSION
“To be the best in all that we do, completely focused on our
business, ensuring the best products and services to our
customers, a relationship of trust with our suppliers,
profitability for our shareholders and the opportunity of a
better future for all of our team members.”
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