BRF reported net profit for third quarter
Brazilian food company BRF SA swung to a profit in the third quarter after three consecutive quarterly losses as the company bounced back from a national food safety scandal, but it missed the analyst consensus of a larger rebound. BRF, Brazil’s largest chicken exporter, reported net profit of 138 million reais (42.44 million USD) in the period, missing a Thomson Reuters consensus estimate of 178 million reais.
Earnings before interest, tax, depreciation and amortization, a gauge of operating profitability, came in at 1.1 billion reais, above the consensus of 980.75 million reais. BRF’s results earlier in the year were partly affected by fallout from the “Weak Meat” food safety scandal in Brazil that alleged food inspectors accepted bribes, resulting in plant closures and an ensuing management shakeup.
BRF S.A. is a multinational Brazilian company that owns a diverse portfolio of products and is a producer of foods. The Company’s segments include Brazil, Latin America (LATAM), Europe, Middle East and North of Africa (MENA), Asia, Africa and Other Segments. These segments include sales of all distribution channels and operations subdivided in to poultry, pork and other, processed, and other sales. The poultry operations include the production and sale of whole poultry and in-natura cuts. The pork and other operations involve the production and sale of in-natura cuts. The processed operations include the production and sale of processed foods, frozen and processed products derived from poultry, pork and beef, margarine, vegetable and soybean-based products. The other sales operations include the commercialization of flour for food service and others. Other segments include sale of in-natura beef cuts, agricultural products and animal feed.