Pilgrim's Pride Corporation (PPC) has been experiencing benefits from its strategic initiatives like focus on key customers, capacity expansion, brand fortification and reducing costs. The company has been witnessing market strength through its emphasis on value-added offerings and operational excellence. Let's Dig Deeper Pilgrim's Pride has been benefiting from strength of its Mexico operations for a while now. In first-quarter 2024, the Mexico business showed a significant improvement from the previous ye ...

Pilgrim's Pride Corporation (NASDAQ:PPC) Q1 2024 Earnings Conference Call May 2, 2024 9:00 AM ET Company Participants Andrew Rojeski - Head, Strategy, Investor Relations and Sustainability Fabio Sandri - President and Chief Executive Officer Matt Galvanoni - Chief Financial Officer Conference Call Participants Ben Theurer - Barclays Peter Galbo - Bank of America Ben Bienvenu - Stephens Heather Jones - Heather Jones Research, LLC Priya Ohri-Gupta - Barclays Operator Good morning and welcome to the First Quar ...

PART I. FINANCIAL INFORMATION [Item 1. Condensed Consolidated Financial Statements](index=2&type=section&id=Item%201.%20Condensed%20Consolidated%20Financial%20Statements) The unaudited condensed consolidated financial statements for Q1 2024 show significant year-over-year improvement in net sales, net income, and cash flow from operations [Condensed Consolidated Balance Sheets](index=3&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets slightly decreased to **$9.77 billion**, while total liabilities decreased, leading to an increase in stockholders' equity Balance Sheet Highlights (In thousands) | Balance Sheet Highlights | March 31, 2024 (In thousands) | December 31, 2023 (In thousands) | | :--- | :--- | :--- | | **Total Current Assets** | $4,171,877 | $4,204,471 | | **Total Assets** | $9,768,340 | $9,810,361 | | **Total Current Liabilities** | $2,279,745 | $2,495,867 | | **Total Liabilities** | $6,273,962 | $6,465,784 | | **Total Stockholders' Equity** | $3,494,378 | $3,344,577 | [Condensed Consolidated Statements of Income](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) Q1 2024 saw a significant profitability turnaround with net sales up **4.7%** to **$4.36 billion** and net income surging to **$174.4 million** Income Statement Highlights (In thousands) | Income Statement Highlights | Three Months Ended Mar 31, 2024 (In thousands) | Three Months Ended Mar 26, 2023 (In thousands) | | :--- | :--- | :--- | | **Net sales** | $4,361,934 | $4,165,628 | | **Gross profit** | $383,909 | $173,047 | | **Operating income** | $250,274 | $31,343 | | **Net income attributable to PPC** | $174,421 | $5,187 | | **Diluted EPS** | $0.73 | $0.02 | [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Operating cash flow significantly improved to **$271.0 million**, driven by higher net income and favorable working capital changes Cash Flow Summary (In thousands) | Cash Flow Summary | Three Months Ended Mar 31, 2024 (In thousands) | Three Months Ended Mar 26, 2023 (In thousands) | | :--- | :--- | :--- | | **Cash provided by (used in) operating activities** | $271,027 | $(161,704) | | **Cash used in investing activities** | $(106,212) | $(117,471) | | **Cash provided by financing activities** | $1,256 | $26,881 | | **Cash, cash equivalents, restricted cash... end of period** | $894,883 | $184,566 | [Notes to Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Detailed notes cover revenue recognition, risk management, debt, European restructuring, and significant legal contingencies including antitrust litigation [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=30&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management reported strong Q1 2024 results with **$174.4 million** net income and **5.7%** operating margin, driven by favorable pricing and lower feed costs Key Performance Indicators | Key Performance Indicators | Q1 2024 | | :--- | :--- | | Net Income attributable to Pilgrim's | $174.4 million | | Diluted EPS | $0.73 | | Net Sales | $4.4 billion | | Operating Margin | 5.7% | | Adjusted EBITDA | $371.9 million | - Global economic conditions saw declining inflation in Q1 2024, but levels remain above historical averages, impacting commodity, labor, and operating costs[142](index=142&type=chunk) - The Russia-Ukraine war continues to affect global energy markets, though its impact on grain markets has lessened[143](index=143&type=chunk) [Results of Operations](index=33&type=section&id=Results%20of%20Operations) Net sales increased **4.7%** to **$4.36 billion**, driven by the U.S. segment, while gross profit surged **121.9%** to **$383.9 million** due to lower feed costs Net Sales by Segment (in thousands) | Net Sales by Segment (in thousands) | Q1 2024 | Change from Q1 2023 | % Change | | :--- | :--- | :--- | :--- | | U.S. | $2,579,332 | $146,764 | 6.0% | | Europe | $1,267,903 | $28,639 | 2.3% | | Mexico | $514,699 | $20,903 | 4.2% | | **Total** | **$4,361,934** | **$196,306** | **4.7%** | Gross Profit by Segment (in thousands) | Gross Profit by Segment (in thousands) | Q1 2024 | Change from Q1 2023 | % Change | | :--- | :--- | :--- | :--- | | U.S. | $237,292 | $198,963 | 519.1% | | Europe | $92,165 | $7,972 | 9.5% | | Mexico | $54,452 | $3,940 | 7.8% | | **Total** | **$383,909** | **$210,862** | **121.9%** | - The decrease in U.S. cost of sales was primarily driven by lower live operations costs of **$122.8 million**, resulting from decreased feed ingredient costs for corn and soy[162](index=162&type=chunk) [Liquidity and Capital Resources](index=36&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains a strong liquidity position with **$870.8 million** cash and **over $1 billion** available credit, supported by **$271.0 million** operating cash flow Sources of Liquidity (as of Mar 31, 2024) | Sources of Liquidity (as of Mar 31, 2024) | Amount Available (in millions) | | :--- | :--- | | Cash and cash equivalents | $870.8 | | U.S. Credit Facility | $825.2 | | Mexico Credit Facility | $67.0 | | Europe Credit Facility | $189.3 | - The change in inventories provided **$114.5 million** in cash from operations, primarily due to lower feed ingredient costs which reduced the value of raw materials and finished goods inventories[180](index=180&type=chunk) - Capital expenditures for the quarter totaled **$108.4 million**, used for growth projects like the South Georgia protein conversion plant and other operational efficiency initiatives[184](index=184&type=chunk) [Item 3. Quantitative and Qualitative Disclosures about Market Risk](index=40&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) The company faces market risks from commodity prices, interest rates, and foreign currency, using derivatives to mitigate commodity price exposure - A hypothetical **10%** increase in primary feed ingredient prices would have increased cost of sales by **$89.1 million** for the three months ended March 31, 2024[205](index=205&type=chunk) - A hypothetical **10%** increase in interest rates would have decreased the fair value of the company's fixed-rate debt by **$112.5 million** as of March 31, 2024[208](index=208&type=chunk) - The company is exposed to foreign exchange risk from its Mexico and Europe operations[212](index=212&type=chunk) - A **10%** weakening of the British pound against the U.S. dollar would decrease the net assets of its Europe subsidiaries by **$386.1 million**[213](index=213&type=chunk) [Item 4. Controls and Procedures](index=44&type=section&id=Item%204.%20Controls%20and%20Procedures) Disclosure controls and procedures were effective as of March 31, 2024, with no material changes to internal controls, as a new ERP system implementation begins - Management concluded that as of March 31, 2024, the company's disclosure controls and procedures were effective[223](index=223&type=chunk) - No material changes to internal control over financial reporting were identified during the first quarter of 2024[224](index=224&type=chunk) - The company will begin a multi-year implementation of a new ERP system in 2024, not expected to materially affect internal controls over financial reporting[225](index=225&type=chunk) PART II. OTHER INFORMATION [Item 1. Legal Proceedings](index=45&type=section&id=Item%201.%20Legal%20Proceedings) Legal proceedings, including broiler antitrust litigation with significant accrued settlement costs, are incorporated by reference from Note 19 - Information regarding legal proceedings is incorporated by reference from Note 19 of the financial statements[227](index=227&type=chunk) - Key legal matters include the Broiler Antitrust Litigation, where PPC has entered into settlement agreements with certified classes for **$195.5 million** and has accrued **$537.4 million** for settlements with opt-out plaintiffs[132](index=132&type=chunk) [Item 1A. Risk Factors](index=45&type=section&id=Item%201A.%20Risk%20Factors) No material changes to risk factors were reported, referring investors to the 2023 Annual Report on Form 10-K for comprehensive details - The report refers to the 'Risk Factors' section of the company's 2023 Annual Report on Form 10-K for a discussion of potential risks and uncertainties[228](index=228&type=chunk) [Item 5. Other Information](index=45&type=section&id=Item%205.%20Other%20Information) No directors or executive officers adopted, modified, or terminated Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during the quarter - No directors or executive officers adopted, modified, or terminated a Rule 10b5-1 or non-Rule 10b5-1 trading arrangement during the quarter[229](index=229&type=chunk) [Item 6. Exhibits](index=45&type=section&id=Item%206.%20Exhibits) Exhibits include officer certifications under Sarbanes-Oxley Act and Inline XBRL documents filed with the Form 10-Q - The exhibits filed with the report include officer certifications pursuant to Sections 302 and 906 of the Sarbanes-Oxley Act and Interactive Data Files (Inline XBRL)[231](index=231&type=chunk) SIGNATURES - The report was duly signed on May 1, 2024, by Matthew Galvanoni, the Chief Financial Officer and Chief Accounting Officer[233](index=233&type=chunk)[234](index=234&type=chunk)

Pilgrim's Pride Reports First Quarter 2024 Results with $4.4 Billion in Net Sales and Operating Income of $250.3 Million GREELEY, Colo., May 1, 2024 (GLOBE NEWSWIRE) - Pilgrim's Pride Corporation (NASDAQ: PPC), one of the world's largest poultry producers, reports its first quarter 2024 financial results. First Quarter Highlights 1 • Net Sales of $4.4 billion. • Consolidated GAAP operating income margin of 5.7%. • GAAP Net Income of $174.9 million and GAAP EPS of $0.73. Adjusted Net Income of $182.9 million ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File number 1-9273 PILGRIM'S PRIDE CORPORATION Indicate by check mark whether the registrant is a large accelerated filer, an accelerated file ...

Pilgrim's Pride Corporation (NASDAQ:PPC) Q4 2023 Earnings Conference Call February 26, 2024 9:00 AM ET Company Participants Fabio Sandri - President & CEO Matt Galvanoni - CFO Andy Rojeski - Head of Strategy, IR, and Net Zero Programs Conference Call Participants Ben Theurer - Barclays Ben Bienvenu - Stephens, Inc. Andrew Strelzik - BMO Capital Markets Peter Galbo - Bank of America Adam Samuelson - Goldman Sachs Priya Ohri Gupta - Barclays Operator Good morning, everyone, and welcome to the Fourth Quarter a ...

| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |------------------------------------------------------------------------------------------|-------|-------------------|-------|-------|-----------------------------------------------------------|-------|-------------------|-------|-------------------| | | | December 31, 2023 | | | December 25, 2022 \n(In thousands, except per share data) | | December 31, 2023 | | December 25, 2022 | | Net income (loss) attributable to Pilgrim's | $ | 134,653 | $ ...

Pilgrim's Pride Reports Fourth Quarter and Year-End 2023 Results GREELEY, Colo., February 26, 2024 (GLOBE NEWSWIRE) - Pilgrim's Pride Corporation (NASDAQ: PPC), one of the world's largest poultry producers, reports its fourth quarter and year-end 2023 financial results. 2023 Highlights Fourth Quarter 1 In the 4 quarter, the U.S. portfolio continued to profitably grow as Case Ready and Small Bird realized benefits from additional promotional activity with Key Customers, more distribution, and increased retai ...

-9.3% 236,586 13.8% ▲ 26,192 28,763 0.0% △ 9.89 71,912 6.7% LQ 105,008 67,370 19,471 9,975 15,045 38,285 -26.4% ▲ 5.89 -2.8% 873,865 -3.4% ▲ Total Chicken Inventories 1,000,000 950,000 900,000 850,000 800,000 750,000 700,000 650,000 600,000 550,000 500,000 Source: USDA Jumbo Cutout 18.328 11,278 Thigh Meat 83,374 66,816 -19.5% ▲ Other 347,356 352.250 -1.4% 829,339 Industry Cold Storage Supplies Ended Q3 Total Inventories in September is below 5-year average. Breast meat inventories on par with end of Q2 lev ...

Pilgrim's Pride Corporation (NASDAQ:PPC) Q3 2023 Earnings Conference Call October 26, 2023 9:00 AM ET Company Participants Andy Rojeski - Head of Strategy, IR Fabio Sandri - President and CEO Matthew Galvanoni - CFO Conference Call Participants Ben Theurer - Barclays Ben Bienvenu - Stephens Incorporated Andrew Strelzik - BMO Capital Peter Galbo - Bank of America Adam Samuelson - Goldman Sachs Priya Ohri Gupta - Barclays Operator Good morning, and welcome to the Third Quarter 2023 Pilgrim's Pride Earnings Co ...