Financial Results For The Fourth Quarter Ended December 28th, 2025 Pilgrim's Pride Corporation (NASDAQ: PPC) Cautionary Notes and Forward-Looking Statements ▪ Statements contained in this press release that state the intentions, plans, hopes, beliefs, anticipations, expectations or predictions of the future of Pilgrim's Pride Corporation and its management are considered forward-looking statements. Without limiting the foregoing, words such as "anticipates," "believes," "estimates," "expects," "intends," "m ...

Lochem, 12 February 2026 ForFarmers strengthens position in Polish market through value chain integration ForFarmers strengthens position in the growing poultry market in Poland in a joint venture with KPS Food Group (KPS), a leading, innovative player in poultry production, slaughtering and food processing. Both ForFarmers’ current joint venture in Poland (Tasomix) and the activities of KPS will be merged into a new joint venture ForFarmers Polska.ForFarmers will have a controlling (50.5%) stake and will ...

Core Viewpoint - Almunajem Foods Co. and Balady Poultry have entered a seven-year processing and distribution partnership aimed at enhancing market share and operational efficiency in the poultry sector in Saudi Arabia [1][4] Group 1: Partnership Details - The partnership involves Balady Poultry producing and packaging poultry products for both companies under a profit-sharing agreement, while Almunajem Foods will handle marketing and distribution [1] - The agreement is designed to support shared growth and improve the quality of locally produced poultry products in the Saudi market [4] Group 2: Financial Performance - Almunajem Foods reported a 2.2% increase in revenue for Q3 2023, reaching SR816.1 million ($217.6 million), but experienced a 5.2% decline in operating profit to SR36.4 million and a 21.7% drop in net profit to SR31.7 million [5] - For the first nine months of 2023, Almunajem Foods' revenue decreased by 0.5% to SR2.51 billion, with operating profit down 46% to SR118.3 million and net profit down 52% to SR102.7 million [5] - Balady Poultry's Q3 revenue increased by 0.5% to SR218.9 million, but year-to-date revenue fell by 4.9% to SR634.1 million, with operating profit declining 67% for the quarter and 72% for the nine months [6] Group 3: Management Changes - Almunajem Foods announced the resignation of CEO Bin Abdulaziz Abanumay effective December 31, with Ali Hasan El Zain appointed as the new CEO starting January 1 [3]

Core Viewpoint - The retail prices of eggs and white-feathered chickens in 36 major cities in China have increased due to post-holiday restocking, with eggs rising by 0.6% and white-feathered chickens by 0.1% from January 5 to January 11 [1] Price Changes - The price of eggs in southern regions has seen a significant increase, with Hefei and Xiamen experiencing rises of 2.3% and 2.0% respectively [1] - In the central region, the price of white-feathered chickens has also increased notably, with Zhengzhou and Wuhan seeing increases of 1.4% and 1.1% respectively [1]

Core Insights - Pilgrim's Pride Corporation (PPC) is focusing on brand and portfolio diversification to manage volatility in commodity-driven poultry markets, as highlighted in their third-quarter 2025 results [1] U.S. Business Performance - Diversification across bird sizes, including Case Ready, Small Bird, and Big Bird, helped maintain margins in the U.S. business despite volatile chicken prices in September 2025 [2] - The Prepared Foods segment saw net sales increase by over 25%, with the Just BARE brand gaining nearly 300 basis points of market share, reducing reliance on commodity pricing [2] International Market Strategy - In Mexico, PPC is reducing exposure to live market volatility by expanding value-added Prepared Foods, which experienced a 9% sales increase in the quarter [3] - The strategy of growing prepared and branded offerings is aimed at balancing fluctuations in fresh-market pricing and strengthening customer relationships [3] European Market Adaptation - In Europe, brand differentiation is being utilized to navigate broader protein market pressures, with brands like Fridge Raiders and Rollover growing faster than their respective categories [4] Investment Plans - PPC has outlined over $500 million in planned U.S. investments over the next two years to expand Prepared Foods capacity and convert select facilities to Case Ready production [5] - These investments are intended to enhance operational flexibility and support growth in branded and value-added products, moderating the impact of market volatility over time [5] Stock Performance - PPC shares have gained 5.3% over the past month, outperforming the industry's decline of 1.8% and the S&P 500 index's growth of 2.7% [6] Valuation Metrics - Pilgrim's Pride currently trades at a forward 12-month P/E ratio of 9.69, which is below the industry average of 12.8 and the sector average of 16.64, positioning the stock at a modest discount relative to peers and the broader consumer staples sector [10]

Product & Pricing - KellyBronze turkeys are positioned as a high-end product, costing $500 for 32 pounds [1] - The turkeys are considered the "Rolls-Royce" of the poultry industry [1] Market Opportunity - KellyBronze is aiming to "gobble up" the market [1]

Trade Restriction - Beijing imposed a ban on imports of all poultry and related products from Brazil [1] Health Crisis - The import ban was triggered by a bird flu outbreak in Brazil [1] Timeline - The ban was implemented in May [1]

Financial Performance - Net revenue increased to $4,759.3 million in Q3 2025 from $4,585.0 million in Q3 2024[4] - Gross profit decreased from $684.0 million in Q3 2024 to $659.4 million in Q3 2025[4] - Operating income decreased to $492.6 million in Q3 2025 from $508.4 million in Q3 2024[4] - Net income decreased slightly to $343.1 million in Q3 2025 from $350.0 million in Q3 2024[4] - Adjusted EBITDA decreased year-over-year, primarily due to lower pricing in Mexico and lower volume in Europe[6] - Adjusted EBITDA margin decreased from 14.4% to 13.3%[4] - Net interest increased from $19.5 million to $29.0 million due to lower YoY cash balance during Q3 2025, as a result of the $2 billion in dividends paid in 2025[4, 6] Segment Performance - U S net revenue was $2,836.6 million with an adjusted operating income of $403.7 million and a margin of 14.2%[5] - Europe net revenue was $1,392.5 million with an adjusted operating income of $71.3 million and a margin of 5.1%[5] - Mexico net revenue was $530.2 million with an adjusted operating income of $39.0 million and a margin of 7.4%[5] Production and Inventory - Pullet placements increased 0.4% year-over-year in Q3 2025[7] - Broiler layer flock decreased 2.3% year-over-year in Q3 2025[12] - Total chicken inventories ended Q3 up 4.3% year-over-year[21]

Antitrust & Regulation - Turkey's antitrust board imposed fines totaling 37 亿 liras (approximately $89 million) on poultry producers [1] - The fines were levied because the poultry producers exchanged information that harmed competition [1]

Core Insights - A Chinese delegation is set to visit Rio Grande do Sul, Brazil, which experienced a bird flu outbreak in May, indicating potential for Brazil to resume poultry exports to China, its largest market [1] Industry Summary - The visit of the Chinese delegation raises optimism for the Brazilian poultry industry, which has been affected by the bird flu situation [1] - Resuming poultry exports to China could significantly benefit Brazil's agricultural sector, enhancing trade relations and economic recovery [1]