Brazil's largest poultry exporter, Brasil Foods, has announced its 2009 results. Export sales revenues have fallen, but the company's financial director Leopoldo Saboya said the recovery is expected to be slow.
The company's gross revenues fell 14% in the fourth quarter of 2009 to 6.3 bln reais from a year ago, due to the lingering effects of the global financial crisis, said the company's financial director Leopoldo Saboya, reports Reuters.
Sales revenues from exports fell 31% in the quarter to just over 2 bln reais and were down 14% for the year to 9.1 bln reais. The external market accounted for about 42% of company sales in the fourth quarter.
Brasil Foods posted fourth-quarter net income of 6 mln reais ($3.3 million), compared with a proforma net loss of 1.33 bln reais a year earlier, which reflected financial losses due to the company's speculative bets in the currency markets, reports continue.
"We don't expect changes in the external markets to repeat, both in terms of volumes and prices," both of which fell sharply, Saboya said.
Saboya said sales volumes abroad are expected to recover slowly in 2010, by about 3.5% to 5%.
Domestic sales growth of 4% in 2009 to 15.2 bln reais helped partially off-set the weaker export markets. Total annual sales were down 4% at 24.4 bln reais for 2009. Saboya added that demand at home is expected to grow by 8% in 2010.
For all of 2009, the company reported a net profit of 228 mln reais, against a net proforma loss of 2.4 bln reais in 2008.
In 2009, Brasil Foods was created as the consequence of a takeover of meat integration Sadia by Perdigão. An interview with Antonio do Prado Fay, the new CEO of Brasil Foods, can be read in World Poultry 25.12.
1.00 BRL = US$0.55; 1.00 BRL = €0.41