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About Jbs Souderton, Inc

Carnivores have a friend in JBS, the world's largest processor of animal protein. Beef is the company's top product, with major operations in Brazil, as well as the US, Canada, Puerto Rico, the UK and Australia. It is also a significant producer of pork, poultry, and lamb. In addition to fresh and processed meat, JBS offers cooked and canned meats, ready-to-eat meals, as well as hides and dairy products. Its brands include Seara, Pilgrims's, 1855, Primo, Moy Park, Swith, and Friboi. The company operates worldwide, with the US accounting for about half of sales. Members of the Batista family are controlling shareholders of JBS through J&F Investments.

Operations

JBS operates through five primary divisions: JBS USA Beef, JBS Brazil, Pilgrim's Pride, JBS USA Pork, and Seara.

JBS USA Beef, the company's largest segment with more than 40% of sales, includes (unsurprisingly) beef, lamb, and related operations in the US, as well as Canada and Australia. US-focused segments Pilgrim's Pride (more than 20% of sales) and USA Pork (more than 10%) are involved in poultry and pork processing, respectively. The company generates roughly 15% of sales from beef and related products in Brazil through the JBS Brazil segment. Seara, approximately 10% of sales, provides poultry and pork processing in Brazil.

Geographic Reach

Brazil-based JBS has production facilities and sales offices 15 countries through which it serves customers in more than 190 countries. North America accounts for approximately 55% of sales (with the US alone contributing about 50%). South America, led by Brazil, accounts for roughly 15%, followed by Asia (more than 15%), Europe (more than 5%), Australia and New Zealand (nearly 5%), and Africa and the Middle East.

Sales and Marketing

JBS operates globally in both the B2B (business to business) and B2C (business to consumers) segments and now has over 275,000 customers in more than 190 countries. It uses different channels some of it are social media, and e-mail to market its product to the end consumers.

Financial Performance

Net revenue at JBS was R$ 204.5 billion, equivalent to US$ 51.7 billion, a record high. This amount is 13% higher than in 2018, which was formerly the year with the highest net revenue.

In 2019, net income grew by 241 times over 2018, reaching R$ 6.1 billion.

Free cash flow was R$ 9.5 billion, 109% more than in 2018.

Strategy

In 2019, Seara consolidated its business strategy, based on innovation, quality, customer service and relationships. In the area of innovation, for example, over 187 products were launched, including some in brand new lines such as Organic Chicken, Seara Nature and Incrível Seara (with plant-based protein products), in addition to expanding existing ranges, like Seara Gourmet. The Incredible Seara range, released at the same time in three countries, was Seara's first international launch.

The year also marked the launch of Seara's first promotion in five years, called Home with Seara, aimed at retailers and consumers. Another innovation, Seara Top Grade Butcher Channel, was implemented at over 250 stores at the end of its first year at Seara.

These achievements are reflected in the brand's value, which saw higher regular consumption (72%), preference (up three-fold since 2015), share of shelf, home penetration (77%), repurchase rate (74%) and recall - Seara is now the second ranked Top of Mind brand in its sector. In relation to quality, customer complaints were down by 20%, on Brazilian and foreign markets.

On the foreign market, the success of the DaGranja range (100% natural) in the Middle East has opened the doors for exports, which are now also focused on organic, gourmet and the Incredible Seara range.

Partnerships with companies that are already locally consolidated have helped Seara to gain penetration in these markets. One example is an alliance with Carrefour to expand the company's online offerings to the United Arab Emirates (UAE). Seara products are now also available at the online Carrefour store, where consumers can conveniently purchase a wide range of products that include whole chickens and chicken parts, in addition to prepared items, with just the click of a button.

Mergers and Acquisitions

In early 2020, JBS USA announced an agreement to acquire the US-based, Empire Packing Company a food supply industry for $238 million. "Today's announcement highlights our ongoing commitment to diversifying our product offerings. Empire is a longstanding, respected family-owned company with strong leadership and quality assets in strategic locations across the US that fit well in our business model," said Andre Nogueira, CEO, JBS USA.

In mid-2019, Pilgrim's Pride Corporation a business unit of JBS acquired UK-based. Tulip limited a provider of wide range innovative, quality meat products to the retail and foodservice sectors for £290 million. "We are pleased to strengthen our European foods platform with the acquisition of Tulip Limited, which positions Pilgrim's as a leading global prepared foods player," said Jayson Penn, Pilgrim's global chief executive officer.

Jbs Souderton, Inc

249 Allentown Rd
Souderton, PA 18964-2207
Phone: 1 (215) 723-5555

Firm Stats

Employer Type: Privately Owned
Hides And Accounting Administrative Manager: Donna Duna
Logistics Manager: Keith Fratrik
Cost Accounting: Eleanor Mayer
Employees (This Location): 1,200
Employees (All Locations): 1,550

Major Office Locations

Souderton, PA

Other Locations

Seaford, DE
Ottawa, IL
West Babylon, NY
Souderton, PA