Pilgrim's Pride Corp. reported its first quarter 2012 results with net sales of $1.9 billion and Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA") of $101.5 million, which includes non-recurring restructuring charges of $2.9 million. Operating cash flows were a positive $29.4 million for the period. The company recognized net income of $39.6 million during the first quarter of 2012, resulting in net income of $0.18 per diluted share. This compares to a loss of $119.9 million, or $0.54 per diluted share in the same quarter of the prior year.
"We are encouraged to see the benefits of our strategy and the improvement in our operations over the past year reflected in the best results we have had in the first calendar quarter since 2005," stated Bill Lovette, Pilgrim's CEO.
Lovette added that while the trend is promising, there is no room for complacency. As a company and as an industry, the shift needs to continue towards valuing the whole bird and not relying on high breast meat prices to carry the margin. Volatility in the commodity markets is now the norm and must be considered - along with cost containment – as a standard part of production planning in order to maintain profitability long term.
"We've accomplished a lot over the past year and are clearly headed in the direction we want to be. This quarter confirms our belief – the industry can be profitable even at varying grain price points given the right focus on discipline," he added.
Source: Pilgrim's Pride Corp.