JBS (JBS) Q1 2026 earnings summary

Executive summary

• Net sales reached $21.6 billion in Q1 2026, up 10.7–11% year-over-year, marking a record first quarter and reflecting strong global demand and diversified operations.

• Adjusted EBITDA (IFRS) was $1.13 billion (margin 5.2–6.7%), with net income reported between $221 million and $500 million; EPS ranged from $0.21 to $0.47.

• Profitability was pressured in Beef North America and Pilgrim's Pride due to high cattle costs and operational disruptions, while Seara and JBS Brazil maintained strong margins.

• Global expansion continued with investments and acquisitions across multiple regions, including new facilities and a dual NYSE listing.

• Operational focus remained on cost discipline, efficiency, and leveraging technology, including scaling AI initiatives globally.

Financial highlights

• Adjusted EBITDA (IFRS) was $1.13 billion (margin 5.2–6.7%); USGAAP EBITDA ranged from $916 million to $960 million (margin 4.2%).

• Net income ranged from $221 million to $500 million; EPS from $0.21 to $0.47.

• Free cash flow was negative, between -$1.5 billion and -$285 million, impacted by higher capex and working capital.

• Capex totaled up to $917 million, with a significant portion allocated to expansion.

• ROE ranged from 22.1% to 24.1%; ROIC from 14.9% to 22.1%.

Outlook and guidance

• Management expects continued strong global protein fundamentals, with constrained beef supply and solid poultry demand.

• Second half of the year anticipated to generate stronger free cash flow, with leverage expected to end 2026 between 2x and 3x net debt/EBITDA.

• Focus on global diversification, value-added product expansion, and innovation to drive future growth.

• Dual NYSE listing expected to broaden investor base and reduce cost of capital.

• CapEx for 2026 targeted at $2.4 billion, with $1.3 billion for expansion; pace to be monitored based on leverage.