Pilgrim’s Pride Corporation (NASDAQ: PPC), one of the world’s leading food companies, reports its third quarter 2025 financial results.
Third Quarter Highlights:
- Net Sales of $4.8 billion.
- Consolidated GAAP operating income margin of 10.4%.
- GAAP Net Income of $343.1 million and GAAP EPS of $1.44. Adjusted Net Income of $362.9 million and Adjusted EPS of $1.52.
- Adjusted EBITDA of $633.1 million, or a 13.3% margin.
- U.S. Fresh maintained a strong performance as a result of our diversified portfolio, focus on quality and service, and continued progress in operational excellence. Case Ready and Small Bird benefited from extensive Key Customer demand from retail and QSR, whereas investments in Big Bird unlocked additional efficiencies in production and live operations.
- U.S. Prepared Foods continues to expand across retail and foodservice as net sales have increased over 25% compared to the prior year. Just Bare® continues to lead growth in the retail frozen fully cooked category as market share has grown by nearly 300 basis points compared to last year and sales velocity remains much higher than category averages.
- Pilgrim’s continues its growth journey, as recently announced new investments over the next two years totaling over $500 million in the U.S. remain on track to support growth with Key Customers in Fresh and diversify the portfolio through branded offerings in Prepared Foods.
- In Europe, the company continues to drive innovation and differentiation in the marketplace with a recent 10-year supply agreement of a new product offering to support the growth of a Key Customer. Momentum for Fridge Raiders® and Rollover® also continues to accelerate as each grew faster than category averages.
- In Mexico, Key Customer demand in fresh continued to grow ahead of the market. Diversification through value added continued as Prepared Foods sales increased by 9% versus last year. Expansion projects to diversify geographical presence and grow prepared foods continue to progress on schedule.
- Pilgrim’s published its 2024 Sustainability Report that detailed its progress against environmental, social, and governance ambitions. Since 2019, Pilgrim’s has reduced its global Scope 1 & 2 emissions intensity by 23% and improved its Global Safety Index by 77%. Over the past year, Pilgrim’s has also provided 5.7 million training hours to improve team members’ professional skills and career opportunities.
- Continued strong liquidity position and balance sheet flexibility after investments in growth projects and payments of special dividends totaling $2 billion during the year. Net leverage is approximately 1.0 times of Adjusted EBITDA.
| (Unaudited) | Three Months Ended | Nine Months Ended | ||||||||||||||||||||
| September 28, 2025 |
September 29, 2024 |
Y/Y Change | September 28, 2025 |
September 29, 2024 |
Y/Y Change | |||||||||||||||||
| (In millions, except per share and percentages) | ||||||||||||||||||||||
| Net sales | $ | 4,759.3 | $ | 4,585.0 | +3.8 | % | $ | 13,979.7 | $ | 13,506.2 | +3.5 | % | ||||||||||
| U.S. GAAP EPS | $ | 1.44 | $ | 1.47 | (2.0 | )% | $ | 4.17 | $ | 3.58 | +16.5 | % | ||||||||||
| Operating income | $ | 492.6 | $ | 508.4 | (3.1 | )% | $ | 1,409.4 | $ | 1,199.4 | +17.5 | % | ||||||||||
| Adjusted EBITDA(1) | $ | 633.1 | $ | 660.4 | (4.1 | )% | $ | 1,853.2 | $ | 1,688.2 | +9.8 | % | ||||||||||
| Adjusted EBITDA margin(1) | 13.3 | % | 14.4 | % | -1.1 | pts | 13.3 | % | 12.5 | % | +0.8 | pts | ||||||||||
(1) Reconciliations for non-U.S. GAAP measures are provided in subsequent sections within this release.
“Throughout the quarter, chicken demand remained robust across retail and foodservice given its strong value proposition compared to other proteins,” said Fabio Sandri, Pilgrim’s President and CEO. “We continue to strengthen our relationships with Key Customers across all regions and invest accordingly to drive sales growth, enhance margins, and reduce volatility.”
Despite volatility in commodity market fundamentals in September, the U.S. business maintained strong results, comparable to last year. Case Ready sales to Key Customers continued to grow faster than category averages, whereas Small Bird benefited from extensive demand among QSRs. Big Bird improved production efficiencies and live operations to mitigate impacts of volatile markets. Diversification efforts through Prepared Foods continue to accelerate given incremental distribution across both retail and foodservice.
“Our diversified portfolio across bird sizes, differentiation through higher attribute offerings, and growth in value-added products all moderated the impact of volatile commodity market fundamentals,” remarked Sandri. “Equally important, we strengthened our partnerships with Key Customers through innovation, quality, and service.”
Investments in the U.S. to strengthen partnerships with Key Customers and to diversify our portfolio through branded growth in Prepared Foods continue as planned.
“Our investments will not only strengthen our competitive advantage, but also further enable our ability to meet demand for higher attribute offerings in Fresh and support the growth of Just Bare® in Prepared Foods,” said Sandri.
Europe reinforced Key Customer relationships through new business opportunities. Diversification through brands continues to evolve as Fridge Raiders® achieved new records for household penetration. Rollover® continues to thrive throughout the marketplace from increased distribution with new accounts. Foodservice has grown given incremental distribution from leading QSRs.
“Our profitability journey in Europe has entered a new phase,” said Sandri. “As such, we are investing in Key Customer partnerships across our multi-protein platform, driving promotional activity, and developing new offerings to create additional consumer demand. When combined, these efforts can accelerate our efforts to scale our profitable growth.”
In Mexico, branded offerings across both Fresh and Prepared Foods continue to grow, and Key Customer partnerships expanded throughout retail. Expansion efforts to build capacity remain on schedule.
“Our expansion efforts in Mexico continue to proceed as planned, which will ultimately strengthen our partnerships with Key Customers and further diversify our portfolio through Prepared Foods,” said Sandri.
Pilgrim’s recently published its 2024 Sustainability Report, which provided an update on progress against environmental, social, and governance matters. Pilgrim’s continues to make extensive progress in Scope 1 & 2 emissions reduction, safety performance, product integrity and team member development.
“Sustainability is a critical component of our overall strategy and business approach,” Sandri concluded. “Through these continued efforts, we remain focused on becoming the most trusted and respected company in our industry while creating a better future for our team members.”
Conference Call Information
A conference call to discuss Pilgrim’s quarterly results will be held tomorrow, October 30, 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/10203750/100237e3924.
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.
Source: Pilgrims
