Minerva Foods Achieves Record Cash Flow and Growth in 2024
Minerva Foods Reports Impressive Financial Performance for 2024
In 2024, Minerva Foods achieved an outstanding free cash flow of R$ 2.4 billion, equating to an annualized free cash flow yield of approximately 85%. This notable performance underscores the company’s strength in cash generation, accumulating around R$ 9 billion since 2018.
Strong Cash Flow Generation in Q4 2024
The free cash flow reported for the fourth quarter of 2024 reached R$ 990 million after accounting for financial expenses, capital expenditures, and working capital. This figure marks a significant achievement for Minerva Foods and highlights their operational excellence. For the entire year of 2024, the total free cash flow stood at a remarkable R$ 2.4 billion, showcasing an impressive annualized yield.
Record EBITDA for the Quarter
During the fourth quarter of 2024, Minerva Foods reported an EBITDA of R$ 943.7 million, setting a new record for a single quarter. This figure demonstrates a substantial 56% increase compared to the same period in 2023, alongside a solid EBITDA margin of 8.8%. Year-to-date, the EBITDA reached R$ 3.1 billion, exhibiting an EBITDA margin of 9.2%. Moreover, the adjusted EBITDA, reflecting the pro forma performance of new assets over the past 10 months, reached R$ 4.3 billion.
Exceptional Revenue Growth in Competitive Markets
For the fourth quarter, Minerva Foods’ consolidated gross revenue was R$ 11.4 billion, which represents a remarkable 76% increase year-over-year and a 27% rise from the previous quarter. With exports contributing to 53% of this total, the company continues to strengthen its position in the beef export market. In 2024, total gross revenue soared to R$ 36.3 billion, signifying an increase of 27% compared to the previous year.
Geographical Diversity Bolsters Export Success
The company’s export performance illustrates its geographical diversity and strategic approach. Notably, in the fourth quarter, the United States accounted for 33% of the exports, while China made up 20%. This diverse export base is a testament to Minerva Foods’ ability to navigate and thrive in the global animal protein market.
Outstanding Net Revenue Achievement
Net revenue for the fourth quarter of 2024 reached an unprecedented level of R$ 10.7 billion, representing a 74% increase from the same period in 2023. This significant revenue growth is also reflected in the total consolidated net revenue for 2024, which amounted to R$ 34.1 billion, a 27% improvement over the previous year.
Strategic Acquisitions Expand Operational Capacity
In a move that highlights its growth strategy, Minerva Foods completed the acquisition of ten industrial and commercial facilities located in key regions, significantly enhancing its operational footprint. The company now operates 46 industrial units, with the capacity to process approximately 41,789 cattle and 25,716 sheep each day. This expanded capacity positions Minerva Foods as a formidable player in the market.
Financial Strength and Future Outlook
The net leverage ratio at the conclusion of December 2024, measured by the Net Debt to Adjusted EBITDA indicator, was 3.7x. This metric reflects the company’s strategic management of debt following the acquisition of Marfrig's assets.
Looking ahead, Minerva Foods remains poised for further growth and expansion in the beef export sector. The company continues to explore opportunities that leverage its existing strengths and operational capacity, reinforcing its commitment to providing high-quality products to global markets.
Conclusion and Company Overview
Minerva Foods is recognized as a leader in beef exports across South America and continues to establish itself in the processed foods segment. With operations extending to more than 100 countries, the company employs over 40,000 employees across various nations, including Brazil, Paraguay, Argentina, Uruguay, and Colombia. As it operates 46 industrial units, 17 international offices, and 23 distribution centers, Minerva Foods remains dedicated to delivering quality beef and lamb products worldwide.
Frequently Asked Questions
What was Minerva Foods' free cash flow for 2024?
Minerva Foods reported a free cash flow of R$ 2.4 billion for the year 2024.
How much did the company earn in EBITDA for Q4 2024?
The EBITDA for the fourth quarter of 2024 was a record R$ 943.7 million.
What percentage of Minerva Foods' exports went to the USA in Q4 2024?
The United States accounted for 33% of Minerva Foods' exports in the fourth quarter of 2024.
What was the total gross revenue for Minerva Foods in 2024?
The total gross revenue for Minerva Foods in 2024 was R$ 36.3 billion.
How many industrial units does Minerva Foods operate?
The company operates a total of 46 industrial units across South America.
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