FORM |
(State or other jurisdiction of incorporation or organization) | (Commission File Number) | (IRS Employer Identification No.) | ||||||||||||
(Zip Code) | ||||||||||||||
(Address of principal executive offices) |
Title of each class | Trading Symbol | Name of Exchange on Which Registered | ||||||||||||
Emerging growth company |
PILGRIM’S PRIDE CORPORATION | |||||||||||
Date: | February 26, 2024 | /s/ Matthew Galvanoni | |||||||||
Matthew Galvanoni | |||||||||||
Chief Financial Officer and Chief Accounting Officer |
Unaudited | Three Months Ended | Year Ended | ||||||||||||||||||||||||||||||||||||
December 31, 2023 | December 25, 2022 | Y/Y Change | December 31, 2023 | December 25, 2022 | Y/Y Change | |||||||||||||||||||||||||||||||||
(In millions, except per share and percentages) | ||||||||||||||||||||||||||||||||||||||
Net sales | $ | 4,528.3 | $ | 4,127.4 | +9.7 | % | $ | 17,362.2 | $ | 17,468.4 | (0.6) | % | ||||||||||||||||||||||||||
U.S. GAAP EPS | $ | 0.57 | $ | (0.66) | (186.4) | % | $ | 1.36 | $ | 3.10 | (56.1) | % | ||||||||||||||||||||||||||
Operating income | $ | 184.3 | $ | (77.5) | (337.7) | % | $ | 522.3 | $ | 1,176.6 | (55.6) | % | ||||||||||||||||||||||||||
Adjusted EBITDA(1) | $ | 309.5 | $ | 62.9 | +392.4 | % | $ | 1,034.2 | $ | 1,648.4 | (37.3) | % | ||||||||||||||||||||||||||
Adjusted EBITDA margin(1) | 6.8 | % | 1.5 | % | +5.3 | pts | 6.0 | % | 9.4 | % | (3.4) | pts |
Contact: | Andrew Rojeski | ||||
Head of Strategy, Investor Relations, & Net Zero Programs | |||||
IRPPC@pilgrims.com | |||||
www.pilgrims.com |
PILGRIM’S PRIDE CORPORATION | ||||||||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||||||||
December 31, 2023 | December 25, 2022 | |||||||||||||
(In thousands, except share and par value data) | ||||||||||||||
Cash and cash equivalents | $ | 697,748 | $ | 400,988 | ||||||||||
Restricted cash and cash equivalents | 33,475 | 33,771 | ||||||||||||
Trade accounts and other receivables, less allowance for credit losses | 1,129,178 | 1,097,212 | ||||||||||||
Accounts receivable from related parties | 1,778 | 2,512 | ||||||||||||
Inventories | 1,985,399 | 1,990,184 | ||||||||||||
Income taxes receivable | 161,062 | 155,859 | ||||||||||||
Prepaid expenses and other current assets | 195,831 | 211,092 | ||||||||||||
Total current assets | 4,204,471 | 3,891,618 | ||||||||||||
Deferred tax assets | 4,890 | 1,969 | ||||||||||||
Other long-lived assets | 35,646 | 41,574 | ||||||||||||
Operating lease assets, net | 266,707 | 305,798 | ||||||||||||
Identified intangible assets, net | 853,983 | 846,020 | ||||||||||||
Goodwill | 1,286,261 | 1,227,944 | ||||||||||||
Property, plant and equipment, net | 3,158,403 | 2,940,846 | ||||||||||||
Total assets | $ | 9,810,361 | $ | 9,255,769 | ||||||||||
Accounts payable | $ | 1,410,576 | $ | 1,587,939 | ||||||||||
Accounts payable to related parties | 41,254 | 12,155 | ||||||||||||
Revenue contract liabilities | 84,958 | 34,486 | ||||||||||||
Accrued expenses and other current liabilities | 926,727 | 850,899 | ||||||||||||
Income taxes payable | 31,678 | 58,411 | ||||||||||||
Current maturities of long-term debt | 674 | 26,279 | ||||||||||||
Total current liabilities | 2,495,867 | 2,570,169 | ||||||||||||
Noncurrent operating lease liabilities, less current maturities | 203,348 | 230,701 | ||||||||||||
Long-term debt, less current maturities | 3,340,841 | 3,166,432 | ||||||||||||
Deferred tax liabilities | 385,548 | 364,184 | ||||||||||||
Other long-term liabilities | 40,180 | 71,007 | ||||||||||||
Total liabilities | 6,465,784 | 6,402,493 | ||||||||||||
Common stock, $.01 par value, 800,000,000 shares authorized; 261,931,080 and 261,610,518 shares issued at year-end 2023 and year-end 2022, respectively; 236,789,927 and 236,469,365 shares outstanding at year-end 2023 and year-end 2022, respectively | 2,620 | 2,617 | ||||||||||||
Treasury stock, at cost, 25,141,153 shares at year-end 2023 and year-end 2022. | (544,687) | (544,687) | ||||||||||||
Additional paid-in capital | 1,978,849 | 1,969,833 | ||||||||||||
Retained earnings | 2,071,073 | 1,749,499 | ||||||||||||
Accumulated other comprehensive loss | (176,483) | (336,448) | ||||||||||||
Total Pilgrim’s Pride Corporation stockholders’ equity | 3,331,372 | 2,840,814 | ||||||||||||
Noncontrolling interest | 13,205 | 12,462 | ||||||||||||
Total stockholders’ equity | 3,344,577 | 2,853,276 | ||||||||||||
Total liabilities and stockholders' equity | $ | 9,810,361 | $ | 9,255,769 |
PILGRIM’S PRIDE CORPORATION | ||||||||||||||||||||||||||
CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||||||||||||||||
Three Months Ended | Year Ended | |||||||||||||||||||||||||
December 31, 2023 | December 25, 2022 | December 31, 2023 | December 25, 2022 | |||||||||||||||||||||||
(In thousands, except per share data) | ||||||||||||||||||||||||||
Net sales | $ | 4,528,302 | $ | 4,127,365 | $ | 17,362,217 | $ | 17,468,377 | ||||||||||||||||||
Cost of sales | 4,207,255 | 4,031,583 | 16,243,816 | 15,656,574 | ||||||||||||||||||||||
Gross profit | 321,047 | 95,782 | 1,118,401 | 1,811,803 | ||||||||||||||||||||||
Selling, general and administrative expense | 131,087 | 142,840 | 551,770 | 604,742 | ||||||||||||||||||||||
Restructuring activities | 5,661 | 30,466 | 44,345 | 30,466 | ||||||||||||||||||||||
Operating income (loss) | 184,299 | (77,524) | 522,286 | 1,176,595 | ||||||||||||||||||||||
Interest expense, net of capitalized interest | 66,813 | 41,369 | 202,272 | 152,672 | ||||||||||||||||||||||
Interest income | (12,308) | (4,071) | (35,651) | (9,028) | ||||||||||||||||||||||
Foreign currency transaction losses (gains) | (22,892) | 16,469 | 20,570 | 30,817 | ||||||||||||||||||||||
Miscellaneous, net | (3,942) | (1,505) | (30,127) | (23,339) | ||||||||||||||||||||||
Income before income taxes | 156,628 | (129,786) | 365,222 | 1,025,473 | ||||||||||||||||||||||
Income tax expense | 22,417 | 25,256 | 42,905 | 278,935 | ||||||||||||||||||||||
Net income (loss) | 134,211 | (155,042) | 322,317 | 746,538 | ||||||||||||||||||||||
Less: Net income (loss) attributable to noncontrolling interests | (442) | (66) | 743 | 608 | ||||||||||||||||||||||
Net income (loss) attributable to Pilgrim’s Pride Corporation | $ | 134,653 | $ | (154,976) | $ | 321,574 | $ | 745,930 | ||||||||||||||||||
Weighted average shares of common stock outstanding: | ||||||||||||||||||||||||||
Basic | 236,790 | 236,469 | 236,725 | 239,766 | ||||||||||||||||||||||
Effect of dilutive common stock equivalents | 675 | — | 572 | 628 | ||||||||||||||||||||||
Diluted | 237,465 | 236,469 | 237,297 | 240,394 | ||||||||||||||||||||||
Net income (loss) attributable to Pilgrim's Pride Corporation per share of common stock outstanding: | ||||||||||||||||||||||||||
Basic | $ | 0.57 | $ | (0.66) | $ | 1.36 | $ | 3.11 | ||||||||||||||||||
Diluted | $ | 0.57 | $ | (0.66) | $ | 1.36 | $ | 3.10 |
PILGRIM’S PRIDE CORPORATION | ||||||||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||||
Year Ended | ||||||||||||||
December 31, 2023 | December 25, 2022 | |||||||||||||
(In thousands) | ||||||||||||||
Cash flows from operating activities: | ||||||||||||||
Net income | $ | 322,317 | $ | 746,538 | ||||||||||
Adjustments to reconcile net income to cash provided by operating activities: | ||||||||||||||
Depreciation and amortization | 419,900 | 403,110 | ||||||||||||
Loss on early extinguishment of debt recognized as a component of interest expense | 20,694 | — | ||||||||||||
Loan cost amortization | 7,366 | 4,753 | ||||||||||||
Share-based compensation | 7,226 | 6,985 | ||||||||||||
Deferred income tax expense | 6,675 | 21,295 | ||||||||||||
Gain on property disposals | (6,052) | (18,908) | ||||||||||||
Asset impairment | 4,010 | 3,559 | ||||||||||||
Accretion of bond discount | 2,278 | 1,717 | ||||||||||||
Gain on equity method investments | 328 | (2) | ||||||||||||
Changes in operating assets and liabilities: | ||||||||||||||
Trade accounts and other receivables | (19,007) | (149,599) | ||||||||||||
Inventories | 12,602 | (472,224) | ||||||||||||
Prepaid expenses and other current assets | 17,776 | 18,264 | ||||||||||||
Accounts payable and accrued expenses | (68,677) | 263,288 | ||||||||||||
Income taxes | (8,878) | (142,455) | ||||||||||||
Long-term pension and other postretirement obligations | (9,993) | (4,128) | ||||||||||||
Other operating assets and liabilities | (30,688) | (12,330) | ||||||||||||
Cash provided by operating activities | 677,877 | 669,863 | ||||||||||||
Cash flows from investing activities: | ||||||||||||||
Acquisitions of property, plant and equipment | (543,816) | (487,110) | ||||||||||||
Proceeds from insurance recoveries | 20,681 | 16,034 | ||||||||||||
Proceeds from property disposals | 19,784 | 35,516 | ||||||||||||
Purchase of acquired businesses, net of cash acquired | — | (9,692) | ||||||||||||
Cash used in investing activities | (503,351) | (445,252) | ||||||||||||
Cash flows from financing activities: | ||||||||||||||
Proceeds from revolving line of credit and long-term borrowings | 1,768,236 | 362,540 | ||||||||||||
Payments on revolving line of credit, long-term borrowings, and finance lease obligations | (1,616,321) | (388,299) | ||||||||||||
Payment of capitalized loan costs | (19,816) | (4,741) | ||||||||||||
Payment on early extinguishment of debt | (13,780) | — | ||||||||||||
Distribution of capital under the TSA | (1,592) | (1,961) | ||||||||||||
Purchase of common stock under share repurchase program | — | (199,553) | ||||||||||||
Cash provided by (used in) financing activities | 116,727 | (232,014) | ||||||||||||
Effect of exchange rate changes on cash and cash equivalents | 5,211 | (7,959) | ||||||||||||
Increase (decrease) in cash and cash equivalents | 296,464 | (15,362) | ||||||||||||
Cash and cash equivalents, beginning of year | 434,759 | 450,121 | ||||||||||||
Cash and cash equivalents, end of year | $ | 731,223 | $ | 434,759 | ||||||||||
Supplemental Disclosure Information: | ||||||||||||||
Interest paid (net of amount capitalized) | $ | 131,205 | $ | 156,292 | ||||||||||
Income taxes paid | 19,749 | 385,585 | ||||||||||||
Accounts payable and accrued expenses for capital expenditures for property, plant and equipment | 85,943 |
PILGRIM'S PRIDE CORPORATION | ||||||||||||||||||||||||||
Reconciliation of Adjusted EBITDA | ||||||||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||||||||
Three Months Ended | Year Ended | |||||||||||||||||||||||||
December 31, 2023 | December 25, 2022 | December 31, 2023 | December 25, 2022 | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||
Net income (loss) | $ | 134,211 | $ | (155,042) | $ | 322,317 | $ | 746,538 | ||||||||||||||||||
Add: | ||||||||||||||||||||||||||
Interest expense, net(a) | 54,505 | 37,298 | 166,621 | 143,644 | ||||||||||||||||||||||
Income tax expense | 22,417 | 25,256 | 42,905 | 278,935 | ||||||||||||||||||||||
Depreciation and amortization | 112,486 | 102,148 | 419,900 | 403,110 | ||||||||||||||||||||||
EBITDA | 323,619 | 9,660 | 951,743 | 1,572,227 | ||||||||||||||||||||||
Add: | ||||||||||||||||||||||||||
Foreign currency transaction losses (gains)(b) | (22,892) | 16,469 | 20,570 | 30,817 | ||||||||||||||||||||||
Transaction costs related to acquisitions(c) | — | (24) | — | 948 | ||||||||||||||||||||||
Litigation settlements(d) | 4,700 | 5,804 | 39,400 | 34,086 | ||||||||||||||||||||||
Restructuring activities losses(e) | 5,661 | 30,466 | 44,345 | 30,466 | ||||||||||||||||||||||
Minus: | ||||||||||||||||||||||||||
Property insurance recoveries(f) | 2,038 | (417) | 21,124 | 19,580 | ||||||||||||||||||||||
Net income (loss) attributable to noncontrolling interest | (442) | (66) | 743 | 608 | ||||||||||||||||||||||
Adjusted EBITDA | $ | 309,492 | $ | 62,858 | $ | 1,034,191 | $ | 1,648,356 |
PILGRIM'S PRIDE CORPORATION | ||||||||||||||||||||||||||||||||
Reconciliation of LTM Adjusted EBITDA | ||||||||||||||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||||||||||||||
Three Months Ended | LTM Ended December 31, 2023 | |||||||||||||||||||||||||||||||
March 26, 2023 | June 25, 2023 | September 24, 2023 | December 31, 2023 | |||||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||
Net income | $ | 5,631 | $ | 60,908 | $ | 121,567 | $ | 134,211 | $ | 322,317 | ||||||||||||||||||||||
Add: | ||||||||||||||||||||||||||||||||
Interest expense, net | 39,062 | 39,524 | 33,530 | 54,505 | 166,621 | |||||||||||||||||||||||||||
Income tax expense | (8,840) | (15,225) | 44,553 | 22,417 | 42,905 | |||||||||||||||||||||||||||
Depreciation and amortization | 98,257 | 104,857 | 104,300 | 112,486 | 419,900 | |||||||||||||||||||||||||||
EBITDA | 134,110 | 190,064 | 303,950 | 323,619 | 951,743 | |||||||||||||||||||||||||||
Add: | ||||||||||||||||||||||||||||||||
Foreign currency transaction losses (gains) | 18,143 | 16,395 | 8,924 | (22,892) | 20,570 | |||||||||||||||||||||||||||
Litigation settlements | 11,200 | 13,000 | 10,500 | 4,700 | 39,400 | |||||||||||||||||||||||||||
Restructuring activities losses | 8,026 | 29,718 | 940 | 5,661 | 44,345 | |||||||||||||||||||||||||||
Minus: | ||||||||||||||||||||||||||||||||
Property insurance recoveries | 19,086 | — | — | 2,038 | 21,124 | |||||||||||||||||||||||||||
Net income (loss) attributable to noncontrolling interest | 444 | 452 | 289 | (442) | 743 | |||||||||||||||||||||||||||
Adjusted EBITDA | $ | 151,949 | $ | 248,725 | $ | 324,025 | $ | 309,492 | $ | 1,034,191 |
PILGRIM'S PRIDE CORPORATION | ||||||||||||||||||||||||||||||||||||||||||||||||||
Reconciliation of EBITDA Margin | ||||||||||||||||||||||||||||||||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended | Year Ended | Three Months Ended | Year Ended | |||||||||||||||||||||||||||||||||||||||||||||||
December 31, 2023 | December 25, 2022 | December 31, 2023 | December 25, 2022 | December 31, 2023 | December 25, 2022 | December 31, 2023 | December 25, 2022 | |||||||||||||||||||||||||||||||||||||||||||
(In thousands, except percent of net sales) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) | $ | 134,211 | $ | (155,042) | $ | 322,317 | $ | 746,538 | 2.96 | % | (3.76) | % | 1.86 | % | 4.27 | % | ||||||||||||||||||||||||||||||||||
Add: | ||||||||||||||||||||||||||||||||||||||||||||||||||
Interest expense, net | 54,505 | 37,298 | 166,621 | 143,644 | 1.20 | % | 0.90 | % | 0.96 | % | 0.82 | % | ||||||||||||||||||||||||||||||||||||||
Income tax expense | 22,417 | 25,256 | 42,905 | 278,935 | 0.50 | % | 0.61 | % | 0.25 | % | 1.60 | % | ||||||||||||||||||||||||||||||||||||||
Depreciation and amortization | 112,486 | 102,148 | 419,900 | 403,110 | 2.48 | % | 2.47 | % | 2.42 | % | 2.31 | % | ||||||||||||||||||||||||||||||||||||||
EBITDA | 323,619 | 9,660 | 951,743 | 1,572,227 | 7.14 | % | 0.22 | % | 5.48 | % | 9.00 | % | ||||||||||||||||||||||||||||||||||||||
Add: | ||||||||||||||||||||||||||||||||||||||||||||||||||
Foreign currency transaction losses (gains) | (22,892) | 16,469 | 20,570 | 30,817 | (0.50) | % | 0.41 | % | 0.13 | % | 0.18 | % | ||||||||||||||||||||||||||||||||||||||
Transaction costs related to acquisitions | — | (24) | — | 948 | — | % | — | % | — | % | 0.01 | % | ||||||||||||||||||||||||||||||||||||||
Litigation settlements | 4,700 | 5,804 | 39,400 | 34,086 | 0.10 | % | 0.14 | % | 0.21 | % | 0.19 | % | ||||||||||||||||||||||||||||||||||||||
Restructuring activities losses | 5,661 | 30,466 | 44,345 | 30,466 | 0.13 | % | 0.74 | % | 0.26 | % | 0.17 | % | ||||||||||||||||||||||||||||||||||||||
Minus: | ||||||||||||||||||||||||||||||||||||||||||||||||||
Property insurance recoveries | 2,038 | (417) | 21,124 | 19,580 | 0.05 | % | (0.01) | % | 0.12 | % | 0.11 | % | ||||||||||||||||||||||||||||||||||||||
Net income (loss) attributable to noncontrolling interest | (442) | (66) | 743 | 608 | (0.01) | % | — | % | — | % | — | % | ||||||||||||||||||||||||||||||||||||||
Adjusted EBITDA | $ | 309,492 | $ | 62,858 | $ | 1,034,191 | $ | 1,648,356 | 6.83 | % | 1.52 | % | 5.96 | % | 9.44 | % | ||||||||||||||||||||||||||||||||||
Net sales | $ | 4,528,302 | $ | 4,127,365 | $ | 17,362,217 | $ | 17,468,377 |
PILGRIM'S PRIDE CORPORATION | |||||||||||||||||||||||||||||||||||||||||||||||
Reconciliation of Adjusted EBITDA | |||||||||||||||||||||||||||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended | Three Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||
December 31, 2023 | December 25, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||
U.S. | U.K. & Europe | Mexico | Total | U.S. | U.K. & Europe | Mexico | Total | ||||||||||||||||||||||||||||||||||||||||
(In thousands) | (In thousands) | ||||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) | $ | 76,321 | $ | 46,181 | $ | 11,709 | $ | 134,211 | $ | (86,893) | $ | (22,193) | $ | (45,956) | $ | (155,042) | |||||||||||||||||||||||||||||||
Add: | |||||||||||||||||||||||||||||||||||||||||||||||
Interest expense, net(a) | 66,779 | (1,458) | (10,816) | 54,505 | 38,094 | 633 | (1,429) | 37,298 | |||||||||||||||||||||||||||||||||||||||
Income tax expense (benefit) | 4,047 | 18,635 | (265) | 22,417 | (22,097) | 20,673 | 26,680 | 25,256 | |||||||||||||||||||||||||||||||||||||||
Depreciation and amortization | 68,004 | 38,707 | 5,775 | 112,486 | 63,370 | 32,899 | 5,879 | 102,148 | |||||||||||||||||||||||||||||||||||||||
EBITDA | 215,151 | 102,065 | 6,403 | 323,619 | (7,526) | 32,012 | (14,826) | 9,660 | |||||||||||||||||||||||||||||||||||||||
Add: | |||||||||||||||||||||||||||||||||||||||||||||||
Foreign currency transaction losses (gains)(b) | (19,594) | (3,355) | 57 | (22,892) | 17,060 | 442 | (1,033) | 16,469 | |||||||||||||||||||||||||||||||||||||||
Transaction costs related to acquisitions(c) | — | — | — | — | — | (24) | — | (24) | |||||||||||||||||||||||||||||||||||||||
Litigation settlements(d) | 4,700 | — | — | 4,700 | 5,804 | — | — | 5,804 | |||||||||||||||||||||||||||||||||||||||
Restructuring activities(e) | — | 5,661 | — | 5,661 | — | 30,466 | — | 30,466 | |||||||||||||||||||||||||||||||||||||||
Minus: | |||||||||||||||||||||||||||||||||||||||||||||||
Property insurance recoveries(f) | — | 1,921 | 117 | 2,038 | (417) | — | — | (417) | |||||||||||||||||||||||||||||||||||||||
Net income attributable to noncontrolling interest | — | — | (442) | (442) | — | — | (66) | (66) | |||||||||||||||||||||||||||||||||||||||
Adjusted EBITDA | $ | 200,257 | $ | 102,450 | $ | 6,785 | $ | 309,492 | $ | 15,755 | $ | 62,896 | $ | (15,793) | $ | 62,858 |
PILGRIM'S PRIDE CORPORATION | |||||||||||||||||||||||||||||||||||||||||||||||
Reconciliation of Adjusted EBITDA | |||||||||||||||||||||||||||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||||||||||||||||||||||||||
Year Ended | Year Ended | ||||||||||||||||||||||||||||||||||||||||||||||
December 31, 2023 | December 25, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||
U.S. | U.K. & Europe | Mexico | Total | U.S. | U.K. & Europe | Mexico | Total | ||||||||||||||||||||||||||||||||||||||||
(In thousands) | (In thousands) | ||||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) | $ | 32,520 | $ | 114,666 | $ | 175,131 | $ | 322,317 | $ | 706,704 | $ | (3,642) | $ | 43,476 | $ | 746,538 | |||||||||||||||||||||||||||||||
Add: | |||||||||||||||||||||||||||||||||||||||||||||||
Interest expense, net(a) | 194,013 | (2,928) | (24,464) | 166,621 | 143,941 | 2,126 | (2,423) | 143,644 | |||||||||||||||||||||||||||||||||||||||
Income tax expense (benefit) | (5,848) | 23,378 | 25,375 | 42,905 | 220,245 | 8,290 | 50,400 | 278,935 | |||||||||||||||||||||||||||||||||||||||
Depreciation and amortization | 255,052 | 142,190 | 22,658 | 419,900 | 244,617 | 134,374 | 24,119 | 403,110 | |||||||||||||||||||||||||||||||||||||||
EBITDA | 475,737 | 277,306 | 198,700 | 951,743 | 1,315,507 | 141,148 | 115,572 | 1,572,227 | |||||||||||||||||||||||||||||||||||||||
Add: | |||||||||||||||||||||||||||||||||||||||||||||||
Foreign currency transaction losses (gains)(b) | 35,433 | (2,520) | (12,343) | 20,570 | 35,702 | (3,008) | (1,877) | 30,817 | |||||||||||||||||||||||||||||||||||||||
Transaction costs related to acquisitions(c) | — | — | — | — | 847 | 101 | — | 948 | |||||||||||||||||||||||||||||||||||||||
Litigation settlements(d) | 39,400 | — | — | 39,400 | 34,086 | — | — | 34,086 | |||||||||||||||||||||||||||||||||||||||
Restructuring activities losses(e) | — | 44,345 | — | 44,345 | — | 30,466 | — | 30,466 | |||||||||||||||||||||||||||||||||||||||
Minus: | |||||||||||||||||||||||||||||||||||||||||||||||
Property insurance recoveries(f) | 19,086 | 1,921 | 117 | 21,124 | 19,580 | — | — | 19,580 | |||||||||||||||||||||||||||||||||||||||
Net income attributable to noncontrolling interest | — | — | 743 | 743 | — | — | 608 | 608 | |||||||||||||||||||||||||||||||||||||||
Adjusted EBITDA | $ | 531,484 | $ | 317,210 | $ | 185,497 | $ | 1,034,191 | $ | 1,366,562 | $ | 168,707 | $ | 113,087 | $ | 1,648,356 |
PILGRIM'S PRIDE CORPORATION | |||||||||||||||||||||||
Reconciliation of Adjusted Operating Income | |||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||
Three Months Ended | Year Ended | ||||||||||||||||||||||
December 31, 2023 | December 25, 2022 | December 31, 2023 | December 25, 2022 | ||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||
GAAP operating income, U.S. operations | $ | 128,353 | $ | (52,796) | $ | 238,894 | $ | 1,094,025 | |||||||||||||||
Litigation settlements(a) | 4,700 | 5,804 | 39,400 | 34,086 | |||||||||||||||||||
Transaction costs related to acquisitions(b) | — | — | — | 847 | |||||||||||||||||||
Adjusted operating income, U.S. operations | $ | 133,053 | $ | (46,992) | $ | 278,294 | $ | 1,128,958 | |||||||||||||||
Adjusted operating income margin, U.S. operations | 5.0 | % | (1.9) | % | 2.8 | % | 10.5 | % | |||||||||||||||
GAAP operating income, U.K. and Europe operations | $ | 57,568 | $ | (1,340) | $ | 128,151 | $ | (934) | |||||||||||||||
Restructuring activities losses | 5,661 | 30,466 | 44,345 | 30,466 | |||||||||||||||||||
Adjusted operating income, U.K. and Europe operations | $ | 63,229 | $ | 29,126 | $ | 172,496 | $ | 29,532 | |||||||||||||||
Adjusted operating income margin, U.K. and Europe operations | 4.7 | % | 2.4 | % | 3.3 | % | 0.6 | % | |||||||||||||||
GAAP operating income, Mexico operations | $ | (1,621) | $ | (23,400) | $ | 155,455 | $ | 83,450 | |||||||||||||||
No adjustments | — | — | — | — | |||||||||||||||||||
Adjusted operating income, Mexico operations | $ | (1,621) | $ | (23,400) | $ | 155,455 | $ | 83,450 | |||||||||||||||
Adjusted operating income margin, Mexico operations | (0.3) | % | (5.1) | % | 7.3 | % | 4.5 | % |
PILGRIM'S PRIDE CORPORATION | |||||||||||||||||||||||
Reconciliation of GAAP Operating Income Margin to Adjusted Operating Income Margin | |||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||
Three Months Ended | Year Ended | ||||||||||||||||||||||
December 31, 2023 | December 25, 2022 | December 31, 2023 | December 25, 2022 | ||||||||||||||||||||
(In percent) | |||||||||||||||||||||||
GAAP operating income margin, U.S. operations | 4.8 | % | (2.2) | % | 2.4 | % | 10.2 | % | |||||||||||||||
Litigation settlements | 0.2 | % | 0.3 | % | 0.4 | % | 0.3 | % | |||||||||||||||
Transaction costs related to acquisitions | — | % | — | % | — | % | — | % | |||||||||||||||
Adjusted operating income margin, U.S. operations | 5.0 | % | (1.9) | % | 2.8 | % | 10.5 | % | |||||||||||||||
GAAP operating income margin, U.K. and Europe operations | 4.3 | % | (0.1) | % | 2.5 | % | — | % | |||||||||||||||
Restructuring activities losses | 0.4 | % | 2.5 | % | 0.8 | % | 0.6 | % | |||||||||||||||
Adjusted operating income margin, U.K. and Europe operations | 4.7 | % | 2.4 | % | 3.3 | % | 0.6 | % | |||||||||||||||
GAAP operating income margin, Mexico operations | (0.3) | % | (5.1) | % | 7.3 | % | 4.5 | % | |||||||||||||||
No adjustments | — | % | — | % | — | % | — | % | |||||||||||||||
Adjusted operating income margin, Mexico operations | (0.3) | % | (5.1) | % | 7.3 | % | 4.5 | % |
PILGRIM'S PRIDE CORPORATION | |||||||||||||||||||||||
Reconciliation of Adjusted Net Income | |||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||
Three Months Ended | Year Ended | ||||||||||||||||||||||
December 31, 2023 | December 25, 2022 | December 31, 2023 | December 25, 2022 | ||||||||||||||||||||
(In thousands, except per share data) | |||||||||||||||||||||||
Net income (loss) attributable to Pilgrim's | $ | 134,653 | $ | (154,976) | $ | 321,574 | $ | 745,930 | |||||||||||||||
Add: | |||||||||||||||||||||||
Foreign currency transaction losses (gains) | (22,892) | 16,469 | 20,570 | 30,817 | |||||||||||||||||||
Transaction costs related to acquisitions | — | (24) | — | 948 | |||||||||||||||||||
Litigation settlements | 4,700 | 5,804 | 39,400 | 34,086 | |||||||||||||||||||
Restructuring activities losses | 5,661 | 30,466 | 44,345 | 30,466 | |||||||||||||||||||
Loss on early extinguishment of debt recognized as a component of interest expense(a) | 20,694 | — | 20,694 | — | |||||||||||||||||||
Minus: | |||||||||||||||||||||||
Property insurance recoveries | 2,038 | — | 21,124 | 19,580 | |||||||||||||||||||
Adjusted net income (loss) attributable to Pilgrim's before tax impact | 140,778 | (102,261) | 425,459 | 822,667 | |||||||||||||||||||
Net tax impact of adjustments(b) | (1,483) | (12,757) | (25,140) | (19,115) | |||||||||||||||||||
Adjusted net income (loss) attributable to Pilgrim's | $ | 139,295 | $ | (115,018) | $ | 400,319 | $ | 803,552 | |||||||||||||||
Weighted average diluted shares of common stock outstanding | 237,465 | 236,469 | 237,297 | 240,394 | |||||||||||||||||||
Adjusted net income attributable to Pilgrim's per common diluted share | $ | 0.59 | $ | (0.49) | $ | 1.69 | $ | 3.34 |
PILGRIM'S PRIDE CORPORATION | |||||||||||||||||||||||
Reconciliation of GAAP EPS to Adjusted EPS | |||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||
Three Months Ended | Year Ended | ||||||||||||||||||||||
December 31, 2023 | December 25, 2022 | December 31, 2023 | December 25, 2022 | ||||||||||||||||||||
(In thousands, except per share data) | |||||||||||||||||||||||
U.S. GAAP EPS | $ | 0.57 | $ | (0.66) | $ | 1.36 | $ | 3.10 | |||||||||||||||
Add: | |||||||||||||||||||||||
Foreign currency transaction losses (gains) | (0.10) | 0.08 | 0.09 | 0.13 | |||||||||||||||||||
Transaction costs related to acquisitions | — | — | — | — | |||||||||||||||||||
Litigation settlements | 0.02 | 0.02 | 0.16 | 0.14 | |||||||||||||||||||
Restructuring activities losses | 0.02 | 0.13 | 0.19 | 0.13 | |||||||||||||||||||
Loss on early extinguishment of debt recognized as a component of interest expense | 0.09 | — | 0.08 | — | |||||||||||||||||||
Minus: | |||||||||||||||||||||||
Property insurance recoveries | 0.01 | — | 0.09 | 0.08 | |||||||||||||||||||
Adjusted EPS attributable to Pilgrim's before tax impact | 0.59 | (0.43) | 1.79 | 3.42 | |||||||||||||||||||
Net tax impact of adjustments(a) | — | (0.06) | (0.10) | (0.08) | |||||||||||||||||||
Adjusted EPS | $ | 0.59 | $ | (0.49) | $ | 1.69 | $ | 3.34 | |||||||||||||||
Weighted average diluted shares of common stock outstanding | 237,465 | 236,469 | 237,297 | 240,394 |
PILGRIM'S PRIDE CORPORATION | ||||||||||||||||||||||||||
Supplementary Geographic Data | ||||||||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||||||||
Three Months Ended | Year Ended | |||||||||||||||||||||||||
December 31, 2023 | December 25, 2022 | December 31, 2023 | December 25, 2022 | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||
Sources of net sales by country of origin: | ||||||||||||||||||||||||||
U.S. | $ | 2,660,649 | $ | 2,430,343 | $ | 10,027,742 | $ | 10,748,350 | ||||||||||||||||||
Europe | 1,341,103 | 1,234,609 | 5,203,322 | 4,874,738 | ||||||||||||||||||||||
Mexico | 526,550 | 462,413 | 2,131,153 | 1,845,289 | ||||||||||||||||||||||
Total net sales | $ | 4,528,302 | $ | 4,127,365 | $ | 17,362,217 | $ | 17,468,377 | ||||||||||||||||||
Sources of cost of sales by country of origin: | ||||||||||||||||||||||||||
U.S. | $ | 2,461,255 | $ | 2,406,386 | $ | 9,505,258 | $ | 9,312,445 | ||||||||||||||||||
Europe | 1,233,572 | 1,154,440 | 4,828,623 | 4,634,066 | ||||||||||||||||||||||
Mexico | 512,427 | 470,769 | 1,909,721 | 1,710,117 | ||||||||||||||||||||||
Elimination | 1 | (12) | 214 | (54) | ||||||||||||||||||||||
Total cost of sales | $ | 4,207,255 | $ | 4,031,583 | $ | 16,243,816 | $ | 15,656,574 | ||||||||||||||||||
Sources of gross profit by country of origin: | ||||||||||||||||||||||||||
U.S. | $ | 199,394 | $ | 23,957 | $ | 522,484 | $ | 1,435,905 | ||||||||||||||||||
Europe | 107,531 | 80,169 | 374,699 | 240,672 | ||||||||||||||||||||||
Mexico | 14,123 | (8,356) | 221,432 | 135,172 | ||||||||||||||||||||||
Elimination | (1) | 12 | (214) | 54 | ||||||||||||||||||||||
Total gross profit | $ | 321,047 | $ | 95,782 | $ | 1,118,401 | $ | 1,811,803 | ||||||||||||||||||
Sources of operating income (loss) by country of origin: | ||||||||||||||||||||||||||
U.S. | $ | 128,353 | $ | (52,796) | $ | 238,894 | $ | 1,094,025 | ||||||||||||||||||
Europe | 57,568 | (1,340) | 128,151 | (934) | ||||||||||||||||||||||
Mexico | (1,621) | (23,400) | 155,455 | 83,450 | ||||||||||||||||||||||
Elimination | (1) | 12 | (214) | 54 | ||||||||||||||||||||||
Total operating income (loss) | $ | 184,299 | $ | (77,524) | $ | 522,286 | $ | 1,176,595 |
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Cover Page |
Feb. 26, 2024 |
---|---|
Cover [Abstract] | |
Document Type | 8-K |
Document Period End Date | Feb. 26, 2024 |
Entity Registrant Name | PILGRIMS PRIDE CORP |
Entity Central Index Key | 0000802481 |
Amendment Flag | false |
Entity Incorporation, State or Country Code | DE |
Entity File Number | 1-9273 |
Entity Tax Identification Number | 75-1285071 |
Entity Address, Address Line One | 1770 Promontory Circle |
Entity Address, City or Town | Greeley |
Entity Address, State or Province | CO |
Entity Address, Postal Zip Code | 80634-9038 |
City Area Code | 970 |
Local Phone Number | 506-8000 |
Title of 12(b) Security | Common Stock, Par Value $0.01 |
Trading Symbol | PPC |
Security Exchange Name | NASDAQ |
Written Communications | false |
Soliciting Material | false |
Pre-commencement Tender Offer | false |
Pre-commencement Issuer Tender Offer | false |
Entity Emerging Growth Company | false |
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