Marfrig Global Foods (MBRF3) Q4 2024 earnings summary

Executive summary

• Consolidated net revenue for 2024 reached R$144.2 billion, up 14% from 2023; Q4 2024 revenue was R$41.3 billion, up 22% year-over-year.

• Adjusted EBITDA for Q4 2024 was R$3.7 billion (9.1% margin), up 37% year-over-year; full-year adjusted EBITDA was R$13.6 billion, up 59% year-over-year.

• Net profit for 2024 was R$2.9 billion, reversing a R$1.5 billion loss in 2023; Q4 2024 net profit was R$1.6 billion, up 241% from Q4 2023.

• Free cash flow for Q4 2024 was R$1.6 billion; full-year free cash flow reached R$2.9 billion.

• Completion of South America asset sales strengthened the financial structure and shifted focus to high-value products.

Financial highlights

• North America Q4 2024 net revenue was US$3.2 billion, up 4.8% year-over-year; adjusted EBITDA margin was 1.9%, down 0.7 p.p. year-over-year.

• South America Q4 2024 net revenue was R$5.1 billion, up 19% year-over-year; adjusted EBITDA margin was 12.8%, up 0.6 p.p.

• BRF contributed 42% of consolidated revenue and 74% of adjusted EBITDA in Q4 2024.

• Dividend yield reached 29.8% in 2024, with R$2.5 billion paid in dividends and BRF paying R$1.1 billion in interest on equity.

• Operating cash flow in Q4 2024 was R$4.4 billion; capex for Q4 2024 was R$1.4 billion.

Outlook and guidance

• U.S. fed cattle supplies are expected to decline in 2025, reducing industry capacity utilization, but strong demand should support higher cutout values and margins.

• Working capital for 2025 is expected to remain flat, with capex for beef slightly below 2024, focused on maintenance.

• Continued focus on operating efficiency, cost control, leverage reduction, and value creation in 2025.

• Management expects continued leverage reduction, supported by strong free cash flow and asset sales.

• Focus remains on portfolio diversification, value-added products, and sustainability leadership.