Brasil Foods has swung to a 2009 net profit but saw its exports drop 14% for the year as an “adverse international scenario” triggered a decline in prices and volume.
The company, formed earlier this year when Perdigao bought local rival Sadia, said on Friday (26 February), that net profit reached BRL228m (US$126.2m), against a net pro-forma loss of BRL2.4bn in 2008.
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Net sales dropped 5% to BRL20.94bn, while revenues from exports amounted to BRL9.14bn from BRL10.64bn in the prior year.
Brasil Foods’ domestic sales rose 4% to BRL15.28bn, which helped partially offset weaker export markets. However, EBITDA dropped 47% to BRL1.22bn.
“The results for Brasil Foods’ exports reflect the adverse international scenario which triggered a sharp decline in prices and volume,” the company said.
“The situation was further aggravated by an extremely volatile foreign exchange market as well as cost and expense pressures along the entire production chain, among other factors impacting this segment.”
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By GlobalDataAt the start of the year, Brasil Foods raised US$750m through a bond sale.
The ten-year bonds offers a yield of 7.357% and the sale was coordinated by Itau Unibanco, JP Morgan and Banco Santander.
