BRAZIL: BRF considering options for its dairy business
BRF examining options for dairy business
Brazilian food group BRF has indicated it is "examining strategic alternatives" for its dairy business.
In an announcement to the market late yesterday (26 February), BRF said it was mulling various options, including the establishment of partnerships or "partial sale".
BRF has improved the performance of its dairies unit by shifting the product mix away from UHT milk and focusing instead on value-added items. In its most recent quarterly update, the company said the strategy resulted in a 9.8% increase in third-quarter sales, which rose to BRL760m (US$323.3m), despite a 16% drop in volumes. For the nine-month period, BRF recorded a 3.6% rise in sales by value against a decrease of 17.1% in volumes.
The company, meanwhile, has embarked on a strategic drive to boost the performance of its core meat business. Last October, BRF launched a "business acceleration programme" focusing on four key areas: growing sales, reducing operating costs; reviewing administrative and distribution costs; and improving sourcing efficiency.
ANNOUNCEMENT TO THE MARKET
Pursuant to CVM Instruction 358 of January 3, 2002, BRF S.A. ("Company") announces that in the light of a resolution of its Board of Directors, it is examining strategic alternatives for its dairy products division, including the establishment of partnerships or the partial sale of these assets to third parties.
Pursuant to current regulations, the Company will keep the market in general informed as to this operation.
Original source: BRF
Canadean's "BRF S.A. : Consumer Packaged Goods - Company Profile, SWOT & Financial Report" contains in depth information and data about the company and its operations. The profile contains a company o...
Brf Brasil Foods SA is the result of a complex 2009 merger between Perdigão Agroindustrial and Sadia SA. The company has had the benefit of a dynamic domestic Brazilian market which has helped it to g...
Synopsis The Canadean Global Top 10 Food Companies: Company Guide is a crucial resource for anyone looking to gain information on the top companies in the global food industry. Detailed company profil...
Synopsis The report presents detailed data on consumption trends in the Prepared Salads category in Mexico, analyzing consumption volumes and values at segment level. It also provides indispensable da...
- Challenges for General Mills with The Good Table
- What US companies might Nomad Foods buy?
- Greek crisis - The impact on shopper behaviour
- Competition intensifies among UK burger chains
- Why investors are concerned about water risk
- Mitsubishi buys stake in Olam International
- Unilever claims victory in Becel dispute
- KitKat to go sustainably sourced cocoa only
- Arla strikes JVs in Nigeria and Senegal
- Premier Foods adds to Mr Kipling range
- Management briefing: just-food’s industry outlook for 2015
- Food Flavourings & Colourings (UK) - Industry Report
- Biscuit Manufacturers (UK) - Industry Report
- Bakery Market in Japan: Forecast, and Market Analysis 2015-2019
- The Coca-Cola Company : Consumer Packaged Goods - Company Profile, SWOT & Financial Analysis