Brazilian meat processor BRF posts fourth-quarter loss
SAO PAULO, Feb 28 (Reuters) – Brazil’s BRFÂ reported a 601 million real ($114.7 mln) net loss in the fourth quarter on Tuesday, significantly above a loss of 130.62 million reais forecast by analysts, as management scrambles to improve the company’s operating performance.
The result marked the fourth consecutive quarterly loss for the company, which is Brazil’s biggest chicken exporter.
The 601 million net loss does not factor in the accounting effects of hyperinflation in Turkey, which management said would be positive, nor the one-off impact of a BRF signed last year to settle graft accusations, which would be negative.
The poultry and pork processor said its earnings before interest, tax, depreciation and amortization (EBITDA) was 1.03 billion reais, marking a 38.8% yearly fall that also missed analyst expectations.
All in, BRF would have recorded a loss of 956 million reais in the fourth quarter, the company said.
On the operating front, BRF said overall sales volume grew 1.9% in the fourth quarter, traditionally a strong one due to the holiday season. But it continued to burn cash.
Ana Mano / Reuters
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