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Jun 30, 2024

Pilgrim's Pride Q2 2024 Earnings Report

Pilgrim's Pride experienced significant year-over-year profitability growth, driven by disciplined execution of strategies and expanding relationships with Key Customers.

Key Takeaways

Pilgrim's Pride reported strong Q2 2024 results with $4.6 billion in net sales and operating income of $440.8 million. The company saw growth across its U.S., Europe, and Mexico segments, driven by enhanced market conditions, operational excellence, and strategic partnerships.

Net Sales reached $4.6 billion.

Consolidated GAAP operating income margin was 9.7%.

GAAP Net Income was $326.5 million, with a GAAP EPS of $1.37.

Adjusted EBITDA was $655.9 million, representing a 14.4% margin.

Total Revenue
$4.56B
Previous year: $4.31B
+5.8%
EPS
$1.67
Previous year: $0.44
+279.5%
Adjusted EBITDA
$656M
Previous year: $249M
+163.7%
Adjusted EBITDA margin
14.4%
Previous year: 5.8%
+148.3%
Gross Profit
$683M
Previous year: $278M
+145.4%
Cash and Equivalents
$1.32B
Previous year: $731M
+80.2%
Free Cash Flow
$614M
Previous year: $96.1M
+538.6%
Total Assets
$10.1B
Previous year: $9.92B
+1.6%

Pilgrim's Pride

Pilgrim's Pride

Pilgrim's Pride Revenue by Geographic Location

Forward Guidance

Pilgrim's Pride is focused on driving profitable growth and mitigating operational risk through strategic investments and partnerships with Key Customers.

Positive Outlook

  • Ramping up new protein conversion plant in South Georgia.
  • Partnering with Key Customers to support future growth.
  • Expanding production capacity in Mexico.
  • Focusing on innovation of branded, value-added items across retail and food service.
  • Optimizing manufacturing network and increasing efficiencies in Europe.

Challenges Ahead

  • Exposure to risks related to product liability, product recalls, property damage and injuries to persons.
  • Restrictions imposed by, and as a result of, Pilgrim’s Pride’s leverage.
  • Changes in laws or regulations affecting Pilgrim’s Pride’s operations or the application thereof.
  • Risk of cyber-attacks, natural disasters, power losses, unauthorized access, telecommunication failures, and other problems on our information systems.
  • Uncertainties of litigation and other legal matters.

Revenue & Expenses

Visualization of income flow from segment revenue to net income