São Paulo, May 7, 2024 – FriGol, one of the largest and most traditional beef processors in Brazil, ended the first quarter with net revenue of R$822 million, 18% higher than the same period in 2023. Ebitda (profit before interest, taxes, depreciation and amortization) was R$22 million, reversing the negative EBITDA of R$2.6 million in the quarterly comparison. In the last 12 months, Ebitda was R$172 million, with a margin of 5.3%. The net profit for the quarter was a loss of R$5 million, an improvement of 67% compared to the loss of R$15 million in the first quarter of 2023.

“It was the second best first quarter recorded by the company, reinforcing our belief that operationally – that is, in execution – and strategically we are on the right track”, explains Eduardo Miron, CEO of FriGol. “In the annual comparison, we recovered sales and reaped the benefits of the expansion of production carried out in our units at the beginning of last year: we produced more, with diluted costs and improved margins”, he adds.

In the first quarter, the expansion in slaughter was 44% in the annual comparison and the sales volume increased by 30% year over year.

In the domestic market, volume increased by 19%, while, in the export market, the increase was 66%, driven especially by China, where the increase was 82%, reversing the losses suffered in the same period of 2023. In the case of Israel, the second main buyer of the company, sales were stable. For other destinations, the increase in sales volume was 76%, the result of the market diversification strategy.

In the quarter, finally, there was a balance in sales to the domestic and export markets, with each representing 50% of the company’s revenue.

Continuing with FriGol’s management and financial discipline, the company ended the month of March with a leverage of 1.6x Net Debt/EBITDA, considered an extremely healthy level for the segment, according to Eduardo Masson, CFO of FriGol.

Gross debt reduced by 5% in the last 12 months and by 2.5% when compared to the annual closing. The 12-month accumulated EBITDA of R$172 million – margin of 5.3%, was 11% higher when compared to the first quarter of 2023, reflection of the increase in production and more adverse market factors in the first quarter of last year.

“Our 2024 financial agenda is to accelerate the continuous process of improving the capital structure, both with local and international counterparts, such as the &Green Fund”, states the CFO.

About FriGol 

 Frigol is one of the main and most traditional beef slaughterhouses in Brazil. Founded in 1992, by the Gonzaga Oliveira family, which has been operating in the meat industry since 1970, FriGol is strategically located in the states of São Paulo and Pará. The company currently has an important share in the national and international market, with a presence in more than 60 countries, distributed across South and North America, Europe, the Middle East, Asia and Africa.

Find out more at FriGol website.