Bulletin: Solid First-Quarter Results Should Enable Minerva S.A. To Meet Expectations For 2022

SAO PAULO (S&P Global Ratings) May 12, 2022--Minerva S.A. (global scale: BB/Stable/--; national scale: brAAA/Stable/--) reported today solid first-quarter results, with adjusted EBITDA of about R$650 million, up nearly 40% year over year. Results were due to Minerva's stronger-than-expected Brazilian operations, in terms of prices and volumes, which represent close to half of the company's consolidated revenue. This is because the still weak Brazilian real (despite some strengthening in the first quarter), strong international demand for beef following the normalization of sales to China since December 2021, and high prices--given the tight supply-and-demand balance in the global industry--more than offset high cattle costs and other inflationary pressures. Athena Foods' first-quarter results were somewhat weaker due to lower production volumes, especially

...May 12, 2022 SAO PAULO (S&P Global Ratings) May 12, 2022--Minerva S.A. (global scale: ##/Stable/--; national scale: brAAA/Stable/--) reported today solid first-quarter results, with adjusted EBITDA of about R$650 million, up nearly 40% year over year. Results were due to Minerva's stronger-than-expected Brazilian operations, in terms of prices and volumes, which represent close to half of the company's consolidated revenue. This is because the still weak Brazilian real (despite some strengthening in the first quarter), strong international demand for beef following the normalization of sales to China since December 2021, and high prices--given the tight supply-and-demand balance in the global industry--more than offset high cattle costs and other inflationary pressures. Athena Foods' first-quarter results were somewhat weaker due to lower production volumes, especially in Colombia and Paraguay, mitigated by higher sales prices. Minerva's consolidated margins in the 12 months as of March...

Bulletin