Net revenue increased 58.2% from R$5,859.1 million in 1Q08 to R$9,267.9 million in 1Q09.
Consolidated EBITDA increased 20.4% when compared with the same period last year from
R$175.7 to R$211.5 million.
The conclusion of financial and structural adjustments required with a view towards the ongoing
growth of the Company as defined in its strategy.
70.0% of the level reached in relation to cost reductions and efficiency increase.
Sustained EBITDA margin maintenance in the Beef operation in the US (2.2%) bearing in mind the
The improvement of the Brazilian market where an EBITDA margin of 7.2% was reached in 1Q09
indicating a positive trend in this market.
The consolidation of a Global Production Platform.
The consolidation of the strategy to build a sustainable, direct and efficient global distribution 4
platform of meat and meat products both chilled and frozen. 5
JBS – Net Debt/EBITDA
Net Debt / EBITDA Pro Forma per TRIMESTER
• JBS continues its plan to reduce Net Debt = R$ 4,174 MM
leverage in 2009. EBITDA pro forma = R$ 1,658 MM
Exchange Rate: 4Q07 1Q08 2Q08 3Q08 4Q08 1Q09
R$ / US$ = 2.32 – 03/31/2009
US$ / €$ = 1.33 – 03/31/2009
Net Debt/ EBITDA EBITDA pro-forma
* LTM including Smithfield Beef pro-forma.
Evolution of the EBITDA Margins of JBS USA (Beef)
compared with its local peers
EBITDA Margin (%)
Peers Average Beef USA 6.4%
JBS Beef USA
0.9% 0.9% 2.2%
1.2% -0.4% 1.1%
5.7 p.p Gain
FY04* FY05* FY06* FY07* 3Q07** 4Q07** 1Q08** 2Q08** 3Q08** 4Q08** 1Q09**
Previous Management JBS S.A. Management
Source: JBS and estimates of JBS based upon public data from peers
EBITDA margins of the Companies taking into consideration beef business
*Fiscal years for the Companies differ one from the other:
FY Tyson: October to September
FY Smithfield: May to April
FY National Beef: September to August
FY JBS USA: June to May (altered after the acquisition)
**The relevant quarterly period and adjustments made to the calendar year 9
JBS Consolidated Gross Revenue Distribution
Revenue Distribution by Business Units 1Q09 Revenue Distribution by Market 1Q09
Beef Australia Beef Italy
5% Beef Argentina
Exports Pork USA Beef Brazil
22% 12% 15%
Source: JBS Source: JBS
JBS Consolidated Exports Distribution
Exports Distribution 1Q09
Taiwan O thers Japan
Middle East 16%
5% SouthKorea USA
6% R s
us ia Mexico 11%
JBS Exports 1Q09: US$ 901.4 Million
• We are motivated and confident about the Company’s performance in
• We will continue to take good care of the financials of the Company.
• In April 2009, JBS USA issued a Senior Unsecured Notes in the principal
amount of US$700 million, with a coupon of 11.625%, due 2014.
• Our global production platform will continue to grow in the search for
efficiencies, new synergies between our operations with an eye towards
• We will consolidate the strategy of creating a sustainable, direct and
efficient Global distribution platform of meat and meat products both chilled
Questions & Answers
May 15th, 2009
“In God we Trust”
The forward-looking statements presented herein are subject to risks and uncertainties. These
statements are based on the beliefs and assumptions of our management, and on information
currently available to us.
Forward-looking statements are not guarantees of performance. They involve risks,
uncertainties and assumptions because they relate to future events and therefore depend on
circumstances that may or may not occur. Our future operating results, financial condition,
strategies, market share and values may differ materially from those expressed in or
suggested by these forward-looking statements. Many of the factors that will determine these
results and values are beyond our ability to control or predict.
Forward-looking statements also include information concerning our possible or assumed
future operating results, as well as statements preceded by, followed by, or including the words
''believes,'' ''may,'' ''will,'' ''continues,'' ''expects,'‘ ''anticipates,'' ''intends,'' ''plans,'' ''estimates'' or