In the first nine months of 2024, BRF has already achieved its best year in history, reporting a record net profit of R$ 1.137 billion for the third quarter, compared to a loss of R$ 262 million in the same period last year, according to its financial statement.
The company also announced a dividend payout of R$ 946 million, in the form of interest on equity, as approved by its board of directors. This marks the first dividend payment since 2016.
The company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) amounted to R$ 2.97 billion in Q3, an impressive annual increase of 146.4%, with an EBITDA margin of 19.1%.
BRF’s net revenue grew by 12.4% in the period, reaching R$ 15.5 billion, another new record for the company.
The strong net profit and free cash flow generation of R$ 1.8 billion allowed BRF to reduce its net debt by 34% year-on-year, achieving its lowest leverage ratio in history at 0.71x, compared to 2.66x a year ago.
CEO Miguel Gularte stated, “The growing numbers were driven by efficiency gains, expanding export destinations, and the increase in processed product sales.”
The BRF+ efficiency program generated an additional R$ 330 million in operational improvements in Q3, bringing the total efficiency capture for the year to R$ 1.1 billion.
Export Expansion
On the export front, BRF opened 13 new markets in Q3, bringing the total to 70 market openings in 2024. The company estimates that these market openings in 2023 and 2024 generated an additional R$ 1.2 billion in revenue.
Fábio Mariano, BRF’s Vice President of Finance and Investor Relations, highlighted that the company achieved its best operational cash generation ever, with nearly R$ 3.4 billion in the quarter. He also pointed out that BRF extended its average debt maturity from 8 to 8.5 years and reached the lowest leverage in its history.
Mariano emphasized that BRF is now well-positioned for investments, particularly in enhancing its production capacity, and anticipates growth in its frozen products segment. “We are more confident about making investments next year, with a focus on frozen products, primarily targeting the domestic market, though not exclusively,” he said.
