Pilgrim’s Pride Reports Second Quarter 2025 Results with $4.8 Billion in Net Sales, Operating Income of $512.3 Million and Announces Special Dividend of Approximately $500 Million

GREELEY, Colo., July 30, 2025 (GLOBE NEWSWIRE) -- Pilgrim’s Pride Corporation (NASDAQ: PPC), one of the world's leading food companies, reports its second quarter 2025 financial results.

Second Quarter Highlights:

• Net Sales of $4.8 billion.
• Consolidated GAAP operating income margin of 10.8%.
• GAAP Net Income of $356.0 million and GAAP EPS of $1.49. Adjusted Net Income of $406.2 million and Adjusted EPS of $1.70.
• Adjusted EBITDA of $686.9 million, or a 14.4% margin.
• The U.S. Fresh portfolio grew sales and expanded margins given strong demand, focus on quality and service, and improved operational efficiencies. Case Ready sales to Key Customers increased faster than category averages, whereas Small Bird realized benefits from continued growth with QSRs. Big Bird improved margins from attractive cutout values and improved operations.
• U.S. Prepared Foods continues to diversify its portfolio as net sales have grown over 20% compared to last year. Operations drove record production to support demand growth across retail and food service.
• Just Bare^® was awarded the number one ranking on Circana’s Product Pacesetter’s List and now accounts for over 10% market share in fully cooked chicken given incremental distribution and category leading velocity.
• Pilgrim’s Europe increased margins through sales growth with Key Customers, expansion of key brands, optimization of product mix, and realization of cost efficiencies. Innovation continues to accelerate given the upcoming launch of a new chicken lineup in Rollover^® and expansion of Fridge Raiders^® through incremental distribution and multipack offerings.
• Mexico benefited from supportive demand and strong volumes. Diversification through brands across fresh and prepared categories continued to progress as volumes rose by more than 5% compared to last year. Capacity expansion in fresh and prepared projects remains on schedule.
• Pilgrim’s continues on its growth journey with the recent announcement of a new state-of-the-art prepared foods plant to further diversify the portfolio and support growth in the higher-margin branded products across retail and food service in the U.S. Full utilization will create over 630 jobs and increase U.S. Prepared Foods sales by over 40% from current levels.
• Continued strong liquidity position and balance sheet flexibility after investments in growth projects and with a net leverage ratio of less than 1.0 times Adjusted EBITDA at the end of the second quarter.
  
• Received approval from the Board of Directors to pay a special dividend totaling approximately $500 million, or $2.10 per share.

“During the quarter, our portfolio captured market upsides from attractive market fundamentals,” said Fabio Sandri, Pilgrim’s President and CEO. “Equally important, demand from Key Customers outpaced the category, and our business became more diversified as sales of prepared offerings expanded.”

In the second quarter, the U.S. business grew sales and profitability compared to last year. U.S. Fresh benefited from elevated commodity cutout values and continued operational improvements. Case Ready further cultivated Key Customer partnerships through higher attribute, differentiated offerings; whereas, Small Bird continued to meet strong demand from leading QSRs. Prepared accelerated its presence given extensive marketplace enthusiasm for its branded portfolio, expanded lineup across retail and food service, and introduction of new offerings.

“The relative availability and affordability of chicken compared to other proteins continues to resonate among consumers,” remarked Sandri. “As such, we continued to drive quality, service, and innovation to ensure ample access and relevant offerings needed to meet demand.”

Europe continued to drive margin expansion through realization of cost efficiencies from manufacturing improvements, enhanced mix, and consolidation of support activities. Key Customer partnerships played a key role as sales grew over 5% compared to last year. Momentum for branded offerings continued, as volumes for Fridge Raiders^® and Rollover^® increased faster than the category average.

“Over the past few years, we’ve made a tremendous amount of progress in creating a more agile, Key Customer focused organization, along with an even more efficient, flexible manufacturing network,” said Sandri. “I look forward to the next phase of our profitability journey as it emphasizes growth through Key Customer partnerships, branded offerings and innovation.”

Mexico delivered strong results, achieving the second highest adjusted EBITDA on record, supported by favorable fundamentals in the commodity market, continued growth with Key Customers, and branded momentum.

“Given Mexico’s overall growth potential and our performance, we will continue to invest in capacity expansion to drive our strategies, unlocking additional opportunities for profitable growth,” said Sandri.

Pilgrim’s will build a new prepared foods plant in Walker County, Georgia, to meet extensive demand for value-added products across retail and food service, evolve its portfolio into higher margin branded offerings, and expand its supply chain capabilities.
  
“Prepared Foods products are a significant growth opportunity for Pilgrim’s,” Sandri said. “Given the extensive momentum of our retail brands and growth opportunities within food service, this new facility will accelerate our ability to unlock value for our consumers, customers and shareholders alike.”

Conference Call Information

A conference call to discuss Pilgrim’s quarterly results will be held tomorrow, July 31, at 7 a.m. MT (9 a.m. ET). Participants are encouraged to pre-register for the conference call using the link below. Callers who pre-register will be given a unique PIN to gain immediate access to the call and bypass the live operator. Participants may pre-register at any time, including up to and after the call start time.

To pre-register, go to: https://dpregister.com/sreg/10201340/ff89faa9f4.

You may also reach the pre-registration link by logging in through the investor section of our website at https://ir.pilgrims.com in the “Events & Presentations” section.

For those who would like to join the call but have not pre-registered, access is available by dialing +1 (844) 883-3889 within the US, or +1 (412) 317-9245 internationally, and requesting the “Pilgrim’s Pride Conference.”

Replays of the conference call will be available on Pilgrim’s website approximately two hours after the call concludes and can be accessed through the “Investor” section of www.pilgrims.com.

About Pilgrim’s Pride

Pilgrim’s employs approximately 62,200 people and operates protein processing plants and prepared foods facilities in 14 states, Puerto Rico, Mexico, the U.K, the Republic of Ireland and continental Europe. The Company’s primary distribution is through retailers and foodservice distributors. For more information, please visit www.pilgrims.com.

Forward-Looking Statements

Statements contained in this press release that state the intentions, plans, hopes, beliefs, anticipations, expectations or predictions of the future of Pilgrim’s Pride Corporation and its management are considered forward-looking statements. Without limiting the foregoing, words such as “anticipates,” “believes,” “estimates,” “expects,” “intends,” “may,” “plans,” “projects,” “should,” “targets,” “will” and the negative thereof and similar words and expressions are intended to identify forward-looking statements. It is important to note that actual results could differ materially from those projected in such forward-looking statements. Factors that could cause actual results to differ materially from those projected in such forward-looking statements include: matters affecting the poultry industry generally; the ability to execute the Company’s business plan to achieve desired cost savings and profitability; future pricing for feed ingredients and the Company’s products; outbreaks of avian influenza or other diseases, either in Pilgrim’s Pride’s flocks or elsewhere, affecting its ability to conduct its operations and/or demand for its poultry products; contamination of Pilgrim’s Pride’s products, which has previously and can in the future lead to product liability claims and product recalls; exposure to risks related to product liability, product recalls, property damage and injuries to persons, for which insurance coverage is expensive, limited and potentially inadequate; management of cash resources; restrictions imposed by, and as a result of, Pilgrim’s Pride’s leverage; changes in laws or regulations affecting Pilgrim’s Pride’s operations or the application thereof; new immigration legislation or increased enforcement efforts in connection with existing immigration legislation that cause the costs of doing business to increase, cause Pilgrim’s Pride to change the way in which it does business, or otherwise disrupt its operations; competitive factors and pricing pressures or the loss of one or more of Pilgrim’s Pride’s largest customers; currency exchange rate fluctuations, trade barriers, exchange controls, expropriation and other risks associated with foreign operations; disruptions in international markets and distribution channels, including, but not limited to, the impacts of the Russia-Ukraine conflict; the risk of cyber-attacks, natural disasters, power losses, unauthorized access, telecommunication failures, and other problems on our information systems; and the impact of uncertainties of litigation and other legal matters described in our most recent Form 10-K and Form 10-Q, including the In re Broiler Chicken Antitrust Litigation, as well as other risks described under “Risk Factors” in the Company’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and subsequent filings with the Securities and Exchange Commission. The forward-looking statements in this release speak only as of the date hereof, and the Company undertakes no obligation to update any such statement after the date of this release, whether as a result of new information, future developments or otherwise, except as may be required by applicable law.

PILGRIM’S PRIDE CORPORATION

Non-GAAP Financial Measures Reconciliation

(Unaudited)

“EBITDA” is defined as the sum of net income plus interest, taxes, depreciation and amortization. “Adjusted EBITDA” is calculated by adding to EBITDA certain items of expense and deducting from EBITDA certain items of income that we believe are not indicative of our ongoing operating performance consisting of: (1) foreign currency transaction gains, (2) costs related to litigation settlements, (3) restructuring activities losses, and (4) net income attributable to noncontrolling interests. EBITDA is presented because it is used by management and we believe it is frequently used by securities analysts, investors and other interested parties, in addition to and not in lieu of results prepared in conformity with accounting principles generally accepted in the U.S. (“U.S. GAAP”), to compare the performance of companies. We believe investors would be interested in our Adjusted EBITDA because this is how our management analyzes EBITDA applicable to continuing operations. The Company also believes that Adjusted EBITDA, in combination with the Company’s financial results calculated in accordance with U.S. GAAP, provides investors with additional perspective regarding the impact of certain significant items on EBITDA and facilitates a more direct comparison of its performance with its competitors. EBITDA and Adjusted EBITDA are not measurements of financial performance under U.S. GAAP. EBITDA and Adjusted EBITDA have limitations as analytical tools and should not be considered in isolation or as substitutes for an analysis of our results as reported under U.S. GAAP. In addition, other companies in our industry may calculate these measures differently limiting their usefulness as a comparative measure. Because of these limitations, EBITDA and Adjusted EBITDA should not be considered as an alternative to net income as indicators of our operating performance or any other measures of performance derived in accordance with U.S. GAAP. These limitations should be compensated for by relying primarily on our U.S. GAAP results and using EBITDA and Adjusted EBITDA only on a supplemental basis.

The summary unaudited consolidated income statement data for the twelve months ended June 29, 2025 (the LTM Period) have been calculated by subtracting the applicable unaudited consolidated income statement data for the six months ended June 30, 2024 from the sum of (1) the applicable audited consolidated income statement data for the year ended December 29, 2024 and (2) the applicable unaudited consolidated income statement data for the six months ended June 29, 2025.

EBITDA margins have been calculated by taking the relevant unaudited EBITDA figures, then dividing by net sales for the applicable period. EBITDA margins are presented because they are used by management and we believe it is frequently used by securities analysts, investors and other interested parties, as a supplement to our results prepared in accordance with U.S. GAAP, to compare the performance of companies.

Adjusted EBITDA by segment figures are presented because they are used by management and we believe they are frequently used by securities analysts, investors and other interested parties, as a supplement to our results prepared in accordance with U.S. GAAP, to compare the performance of companies.

Adjusted Operating Income is calculated by adding to Operating Income certain items of expense and deducting from Operating Income certain items of income. Management believes that presentation of Adjusted Operating Income provides useful supplemental information about our operating performance and enables comparison of our performance between periods because certain costs shown below are not indicative of our current operating performance. A reconciliation of GAAP operating income to adjusted operating income as follows:

Adjusted Operating Income Margin for each of our reportable segments is calculated by dividing Adjusted operating income by Net Sales. Management believes that presentation of Adjusted Operating Income Margin provides useful supplemental information about our operating performance and enables comparison of our performance between periods because certain costs shown below are not indicative of our current operating performance. A reconciliation of GAAP operating income margin for each of our reportable segments to adjusted operating income margin for each of our reportable segments is as follows:

Adjusted net income attributable to Pilgrim's Pride Corporation (“Pilgrim's”) is calculated by adding to Net income attributable to Pilgrim's certain items of expense and deducting from Net income attributable to Pilgrim's certain items of income, as shown below in the table. Adjusted net income attributable to Pilgrim’s Pride Corporation per common diluted share is presented because it is used by management, and we believe it is frequently used by securities analysts, investors and other interested parties, in addition to and not in lieu of results prepared in conformity with U.S. GAAP, to compare the performance of companies. Management also believe that this non-U.S. GAAP financial measure, in combination with our financial results calculated in accordance with U.S. GAAP, provides investors with additional perspective regarding the impact of such charges on net income attributable to Pilgrim’s Pride Corporation per common diluted share. Adjusted net income attributable to Pilgrim’s Pride Corporation per common diluted share is not a measurement of financial performance under U.S. GAAP, has limitations as an analytical tool and should not be considered in isolation or as a substitute for an analysis of our results as reported under U.S. GAAP. Management believes that presentation of adjusted net income attributable to Pilgrim’s provides useful supplemental information about our operating performance and enables comparison of our performance between periods because certain costs shown below are not indicative of our current operating performance. A reconciliation of net income (loss) attributable to Pilgrim’s Pride Corporation per common diluted share to adjusted net income attributable to Pilgrim’s Pride Corporation per common diluted share is as follows:

Adjusted EPS is calculated by dividing the adjusted net income attributable to Pilgrim's stockholders by the weighted average number of diluted shares. Management believes that Adjusted EPS provides useful supplemental information about our operating performance and enables comparison of our performance between periods because certain costs shown below are not indicative of our current operating performance. A reconciliation of U.S. GAAP to non-U.S. GAAP financial measures is as follows: