Pilgrims Pride Corp (PPC) 2025 Q1 法說會逐字稿

Good morning and welcome to the first quarter of 2025 Pilgrims Pride earnings conference call and webcast. (Operator Instructions) Please note the slides referencing during today's call are available for download from the Investor section of the company's website at www.pilgrims.com. After today's presentation there will be a question-and-answer session.

早安，歡迎參加 2025 年第一季 Pilgrims Pride 收益電話會議和網路廣播。（操作員指示）請注意，今天電話會議中引用的幻燈片可從公司網站 www.pilgrims.com 的「投資者」板塊下載。今天的演示結束後將有一個問答環節。

I would now like to turn the conference over to Andy Rojeski, Head of strategy, Investor Relations, and sustainability for Pilgrims Pride.

現在，我想將會議交給 Pilgrims Pride 的策略、投資者關係和永續發展主管 Andy Rojeski。

Good morning and thank you for joining us today as we review our operating and financial results for the first quarter ended on March 30, 2025. Yesterday afternoon, we issued a press release providing an overview of our financial performance for the quarter, including a reconciliation of any non-GAAP measures we may discuss.

早安，感謝您今天加入我們，我們將回顧截至 2025 年 3 月 30 日的第一季的營運和財務表現。昨天下午，我們發布了一份新聞稿，概述了本季度的財務業績，包括我們可能討論的任何非 GAAP 指標的對帳。

A copy of the release is available on our website at ir.pilgrims.com, along with slides for reference. These items have also been filed as Form 8-K and are available online at sec.gov. Fabio Andre, President and Chief Executive Officer, and Matt Galvanoni, Chief Financial Officer, will present on today's call.

我們的網站 ir.pilgrims.com 上提供了該新聞稿的副本，並附有可供參考的幻燈片。這些事項也已以 8-K 表格形式提交，可在 sec.gov 網站查閱。總裁兼執行長 Fabio Andre 和財務長 Matt Galvanoni 將出席今天的電話會議。

Before we begin our prepared remarks, I would like to remind everyone of our safe harbor disclaimer. Today's call may contain certain forward-looking statements that represent our outlook and current expectations as of the day of the release.

在我們開始準備好的發言之前，我想提醒大家注意我們的安全港免責聲明。今天的電話會議可能包含某些前瞻性陳述，這些陳述代表了我們截至發布之日的展望和當前預期。

Other additional factors not anticipated by management may cause actual results to differ materially from those projected in these forward-looking statements. Further information concerning these factors have been provided in yesterday's press release are Form 10-K and a regular filings with the SEC. I would now like to turn the call over to Fabio Sandri.

管理階層未預料到的其他額外因素可能會導致實際結果與這些前瞻性陳述中預測的結果有重大差異。昨天的新聞稿中提供了有關這些因素的更多信息，即 10-K 表格和向美國證券交易委員會提交的定期文件。現在我想把電話轉給 Fabio Sandri。

Thank you, Andy. Good morning, everyone and thank you for joining us today. For the first quarter of 2025, we reported net revenues of $4.5 billion, a 2.3% increase over the same quarter last year. Our adjusted EBITDA was $533 million, up 62% versus Q1 of 2024. Our adjusted EBITDA margin was 12% compared to 8.5% last year.

謝謝你，安迪。大家早安，感謝大家今天加入我們。2025 年第一季度，我們報告淨收入為 45 億美元，比去年同期成長 2.3%。我們的調整後 EBITDA 為 5.33 億美元，較 2024 年第一季成長 62%。我們的調整後 EBITDA 利潤率為 12%，而去年為 8.5%。

Our performance reflects our discipline, execution of our strategies, emphasis on our teams, and our focus on what we can control throughout our business. In the US, sales and adjusted EBITDA increased compared to prior year.

我們的績效反映了我們的紀律、策略的執行、對團隊的重視以及我們對整個業務中可以控制的事情的關注。在美國，銷售額和調整後的 EBITDA 與前一年相比有所增加。

Big Bird capture benefits from elevated commodity values and improvements in production efficiencies, where skills ready grew given strong demand in retail and expanded key customer partnerships. Small Birds improved with QSR growth and operational excellence efforts.

Big Bird 的獲利得益於商品價值的提升和生產效率的提高，由於零售業的強勁需求和關鍵客戶合作關係的擴大，技能儲備也隨之增長。Small Birds 隨著 QSR 業務的成長和卓越營運的努力而不斷進步。

Diversification efforts to prepare accelerate through portfolio expansion across retail and food service. Improve in Europe last year through sustained benefits from business integration, mix enhancements, and network optimization. Opportunities to scale profitable growth, further develop giving multiple awards from key customers and launch of robust innovation.

透過在零售和食品服務領域擴大投資組合，多元化努力正在加速準備。去年，透過業務整合、產品組合增強和網路優化帶來的持續效益，歐洲業務取得了進展。擴大獲利成長、進一步發展、獲得主要客戶的多項獎勵以及推出強勁創新的機會。

Sales of core branded offerings also rose, further diversifying our portfolio. Mexico continued to drive our strategies and fails to keep customers in increased double digits and sales of our branded portfolio and prepare continues to grow.

核心品牌產品的銷售額也有所成長，進一步豐富了我們的產品組合。墨西哥持續推動我們的策略，未能維持客戶兩位數的成長，我們的品牌組合和準備的銷售額持續成長。

To support this growth and diversify our geography in Mexico, our efforts to expand capacity in fresh and prepared foods remain on schedule. Turning to supply in US, USDA indicated ready to cook production for the US chicken that grew 1.1% compared to the first quarter of 2024, has increased average live weights, offset declines in headcount.

為了支持這一成長並使我們在墨西哥的業務地域多樣化，我們擴大新鮮食品和熟食產能的努力仍在按計劃進行。談到美國的供應，美國農業部表示，與 2024 年第一季相比，美國即食雞肉產量增加了 1.1%，平均活重增加，抵消了數量下降的影響。

Similar to 2024, increased mortality and reduced hatchability challenge our broiler production. To offset these impacts and provide production growth, hatchability utilization remain at record highs. Considering continued growth in sets and placements, USFDA currently projects growth of 1.7% for 2025, reflecting the response to the supportive demand environment that chicken has experienced through all recent quarters.

與2024年類似，死亡率的增加和孵化率的下降對我們的肉雞生產提出了挑戰。為了抵​​消這些影響並促進產量成長，孵化率利用率仍維持在歷史最高水準。考慮到雞群數量和安置數量的持續增長，美國食品藥物管理局目前預測 2025 年的增長率為 1.7%，這反映了對雞肉在最近幾季所經歷的支持性需求環境的反應。

As for overall protein availability, the USFDA anticipates 1.6% growth due to expected growth of chicken along pork production increases. Regarding demand, the cost of eating out increased more rapidly than eating at home. As such, retail propelled further growth for chicken. Within the fresh aisle, boneless skinless breasts, the anchor of the fresh category, realized substantial growth in demand, even with less promotional activity, giving its record price spreads to other proteins.

至於整體蛋白質供應量，由於預計雞肉產量和豬肉產量都會增加，美國食品藥物管理局預計蛋白質供應量將增加 1.6%。從需求來看，外食的成本成長速度比在家用餐更快。因此，零售業推動了雞肉的進一步成長。在生鮮食品區，作為生鮮食品類別的支柱，無骨無皮雞胸肉的需求量實現了大幅增長，儘管促銷活動較少，但與其他蛋白質的價差創下了紀錄。

The remainder of the fresh category in chicken also experienced momentum for 2025, producing strong growth across almost all major meat groups. Boneless stars have experienced record double-digit growth based on availability and consumer acceptance. Not only has fresh chicken grown materially, both daily and frozen departments has also added demand at a sustainable rate.

2025 年，其餘新鮮雞肉類別也將迎來成長勢頭，幾乎所有主要肉類類別都將強勁成長。由於供應充足和消費者接受度較高，無骨明星蝦的銷售量已創下兩位數成長紀錄。不僅新鮮雞肉數量大幅成長，日用雞肉和冷凍雞肉的需求也以永續的速度成長。

In exports, winter weather port disruptions in January, concerns over potential port strike and increased domestic demand for their dark meat products reduced the volumes throughout the quarter and compared to prior year. However, these dynamics enable further momentum in pricing during the early stages of the second quarter and may be further amplified by strong domestic demand for boneless dark meat.

在出口方面，1 月冬季天氣導致港口中斷、對潛在港口罷工的擔憂以及國內對深色肉類產品需求的增加，導致整個季度的出口量與去年同期相比有所下降。然而，這些動態使得第二季初期的價格進一步上漲，並且可能因國內對無骨深色肉的強勁需求而進一步放大這一趨勢。

US inventories are slightly below the five-year average, potentially adding more support to domestic and international pricing, thereby limiting export volume. Well, the potential of a high path avian influenza outbreak still exists. The first quarter of 2025 was relatively muted compared to the second half of 2024. As such, several markets released their temporary county and state level bans.

美國庫存略低於五年平均水平，可能對國內和國際定價提供更多支撐，從而限制出口量。嗯，高致病性禽流感爆發的可能性仍然存在。與 2024 年下半年相比，2025 年第一季相對平靜。因此，一些市場發布了縣級和州級臨時禁令。

Assuming typical seasonality, the second quarter may experience an increase in high pet AI activity. Nonetheless, our geographic diversity of production locations across the US will continue to provide the flexibility to transition production for export if outbreaks occur.

假設典型的季節性，第二季寵物人工智慧活動可能會增加。儘管如此，如果發生疫情，我們在美國各地的生產地點的地理多樣性將繼續為生產轉為出口提供靈活性。

As for China, the relationship with the US is currently in transition, and it appears both countries are positioning themselves for a broader negotiation in the future. While China is an important global agriculture importer, the potential impact may be limited as exports of US chicken products, notably the [price], have significantly declined since 2023, given the high AI bans.

至於中國，與美國的關係目前正處於轉型期，兩國似乎都在為未來更廣泛的談判做準備。儘管中國是全球重要的農產品進口國，但鑑於嚴格的禽流感禁令，美國雞肉產品的出口（尤其是價格）自 2023 年以來已大幅下降，因此潛在影響可能有限。

Today, other trading partners around the world continue to navigate tariffs, enabling strong demand. This is partially attribute to the attractive value of chicken compared to more expensive proteins, along with disease and supply issues in other chicken producing countries.

如今，全球其他貿易夥伴繼續徵收關稅，從而帶來強勁的需求。這部分歸因於與更昂貴的蛋白質相比，雞肉具有吸引力的價值，以及其他雞肉生產國的疾病和供應問題。

Turning to feed, corn prices experienced volatility throughout the quarter. In January, a strong rally emerged, giving reductions in the final US corn and soy yields. However, these gains subside by the end of the quarter as South America realized greater than expected production.

談到飼料，玉米價格整個季度都經歷了波動。1月份，出現強勁反彈，導緻美國玉米和大豆最終產量下降。然而，由於南美產量超出預期，這些漲幅在本季末有所減弱。

Moving forward, more corn supplies is anticipated as the March USFDA prospective plantings report indicated additional acreage for the 2025 growing season. As for soybean meal, prices fell during the first quarter as South America realized record high production given favorable weather. Increased soybean processing capacity across the globe also drove further soybean meal production, resulting in ample supply.

展望未來，預計玉米供應將會增加，因為美國食品藥物管理局 3 月的預期種植報告顯示，2025 年生長季節的玉米種植面積將會增加。至於豆粕，由於南美洲在有利天氣條件下實現了創紀錄的產量，第一季價格下跌。全球大豆加工能力的提高也推動了豆粕的進一步生產，導致供應充足。

In wheat, global stocks may contract for the nearly completed crop year. However, strong crops in Australia and Argentina should limit the likelihood of a significant price increase in the short term. Major wheat producing regions, including the EU, Ukraine, and Russia, are primed for higher crops in the upcoming year.

就小麥而言，由於即將結束的農作物年度，全球庫存可能會減少。不過，澳洲和阿根廷的豐收應該會限制短期內價格大幅上漲的可能性。包括歐盟、烏克蘭和俄羅斯在內的主要小麥產區預計來年將獲得更高的產量。

The UK also anticipates higher production in 2025. Given these anticipated increases, along with a substantial building in US supplies, which pricing is expected to decline. Moving forward, US weather will be the primary driver of corn and soybean meal prices. Trade disruption to tariffs, disputes would also be important with the soybean complex more exposed to tariff changes compared to the corn market.

英國也預計2025年的產量將更高。鑑於這些預期的增長，加上美國供應的大量增加，預計價格將會下降。展望未來，美國天氣將成為玉米和豆粕價格的主要驅動因素。貿易中斷、關稅糾紛也將是重要因素，因為與玉米市場相比，大豆綜合體更容易受到關稅變化的影響。

In the US, consumers are still aware and concerned about high inflation and higher prices. Within retail, grocery buyers' behaviors indicate a growing habit of purchasing less per trip while shopping more frequently, signifying a stretched household budget. In food service, declines in traffic suggest a reduction in dining out occasions among customers, which enabled their spending to go farther in other areas.

在美國，消費者仍然意識到並擔心高通膨和高物價。在零售業中，食品雜貨購買者的行為表明，他們越來越習慣每次購買較少的商品，但購物頻率卻更高，這意味著家庭預算緊張。在餐飲服務領域，客流量的下降顯示顧客外食的次數減少，這使得他們的支出能夠更多地用於其他領域。

Given the affordability of chicken and our strategies, our team was well positioned to continue to unlock value for the consumer. As such, our team maintained their focus on driving differentiation through quality and service for our key customers.

鑑於雞肉的價格實惠以及我們的策略，我們的團隊已做好準備，繼續為消費者釋放價值。因此，我們的團隊始終致力於透過為主要客戶提供優質的服務和實現差異化。

In Big Bird, we focus on operational excellence to upgrade mix, enhance yields, and maximize throughput. These efforts were further amplified by improvements in live operations. Based on our progress and attractive market fundamentals, profitability in Big Bird grew considerably. Small port also improved profitability compared to the prior year, giving lower grain costs and operational efficiencies, especially at our expanded operation in Athens.

在 Big Bird，我們專注於卓越運營，以升級產品組合、提高產量並最大化吞吐量。現場操作的改進進一步增強了這些努力。基於我們的進步和有吸引力的市場基本面，大鳥的獲利能力大幅成長。與前一年相比，小型港口的獲利能力也有所提高，降低了糧食成本並提高了營運效率，尤其是在我們擴大的雅典業務中。

Despite strong volumes in QSR and Delhi throughout the quarter, prices for whole birds and Delhi were lower compared to last year, unlocking value for key customers and consumers. Equally important, we are launching a variety of innovations to further strain our competitive advantage.

儘管整個季度 QSR 和德里的銷售強勁，但整隻雞和德里的價格與去年相比有所下降，為主要客戶和消費者釋放了價值。同樣重要的是，我們正在推出各種創新，以進一步增強我們的競爭優勢。

He's ready to experience strong retail demand throughout the quarter. As such, we work closely in partnership with key customers to ensure increasing availability. Considering the traction of our higher attribute offerings in the marketplace, along with the improvements in production efficiencies, we experienced an improvement year over year.

他已準備好迎接整個季度強勁的零售需求。因此，我們與主要客戶密切合作，以確保提高可用性。考慮到我們更高屬性產品在市場上的吸引力，以及生產效率的提高，我們逐年取得了進展。

Prepared foods grew over 20% compared to prior year from increased distribution across retail and food service. Diversification through brands play a critical role as sales of just being a progress and Pilgrims collectively rose over 50%. Commerce continued to be a key enabler for branded growth as sales rose over 35% compared to last year.

由於零售和食品服務分銷量的增加，預製食品的銷量比上年增長了 20% 以上。透過品牌多元化發揮著至關重要的作用，因為朝聖者的銷售額正在不斷進步，並且整體成長了 50% 以上。商業持續成為品牌成長的關鍵推動因素，銷售額較去年同期成長了 35% 以上。

As such, we will continue to accelerate our growth through our relationships with leading online suppliers, traditionally tailors, and food sales programs. In Europe, profitability improved compared to last year through business integration, mix enhancements, and manufacturing optimizations.

因此，我們將透過與領先的線上供應商、傳統裁縫和食品銷售計劃的關係繼續加速我們的成長。在歐洲，透過業務整合、產品組合增強和製造優化，獲利能力較去年同期提高。

During the quarter, the consumer environment remained attractive as wage growth exceeded inflation. In grocery, poultry, pork, and chill meals category grew, benefiting our portfolio. While food service experienced a decline in visits, our demand increased.

本季，由於薪資成長超過通貨膨脹，消費環境依然具有吸引力。在食品雜貨方面，家禽、豬肉和冷藏食品類別有所增長，使我們的產品組合受益。儘管餐飲服務的訪問量下降，但我們的需求卻增加了。

We continue to cultivate growth through partnership with key customers. As such, we secure long-term arrangements with selected retail partners, many of which were driven by our differentiated sustainability and animal welfare practices. We further amplify our growth through innovation as we launch over 80 new products through March.

我們繼續透過與主要客戶的合作來促進成長。因此，我們與選定的零售合作夥伴達成了長期協議，其中許多協議都是由我們差異化的可持續性和動物福利實踐推動的。截至三月份，我們已推出 80 多種新產品，透過創新進一步擴大了我們的成長。

Diversification through key brands continued to gain traction as both sales and volume grew compared to last year. Refrigerators continued to grow ahead of category averages and recently became one of the top 100 brands in the UK market. Richmond also realized similar success were rollover, increased distribution through new accounts. Moving forward, we will continue to invest in promotional activities and media efforts to increase brand awareness among consumers.

隨著銷售額和銷售與去年相比都有所增長，透過主要品牌實現多元化經營繼續獲得動力。冰箱的銷售量持續高於同類產品的平均水平，最近成為英國市場上排名前 100 位的品牌之一。里士滿也實現了類似的成功，即透過新帳戶的展期和增加分銷。展望未來，我們將繼續投資促銷活動和媒體努力，以提高消費者的品牌知名度。

In Mexico, overall profitability remains steady year over year, but with significant volatility throughout the quarter. The increase in exchange rate between the peso and dollars impacted our costs, and we experienced demand pressure in the live commodity market during the month of March.

在墨西哥，整體獲利能力較去年同期保持穩定，但整個季度波動較大。比索和美元之間的匯率上升影響了我們的成本，並且我們在三月經歷了活體商品市場的需求壓力。

Nonetheless, we drove profitability growth through our strategies. As such, sales to key customers in retail increased by 11%. Diversification efforts through branded and value-added offerings also accelerated. In fresh, our branded portfolio grew by 15% compared to last year.

儘管如此，我們還是憑藉自身的策略推動了獲利成長。因此，零售主要客戶的銷售額成長了 11%。透過品牌化和增值產品實現多元化的努力也在加速。在新鮮方面，我們的品牌組合與去年相比成長了 15%。

In prepare, net sales rose 9%. Both Pilgrims and Just Bare brands continue to gain distribution and market share, and the sales of Ala Mesa, our tacos and typical Mexican food, have grown nearly 50%, establishing a new record sales for the quarter. We also continue to invest and evaluate opportunities to further drive profitable growth.

預計淨銷售額將成長 9%。Pilgrims 和 Just Bare 品牌的分銷和市場份額均持續增長，而我們的玉米餅和典型墨西哥食品 Ala Mesa 的銷量增長了近 50%，創下了本季的銷量新高。我們也將繼續投資並評估進一步推動獲利成長的機會。

In the US, our growth in prepared foods is exceeding our current capacity, and we are committed to expand our production both in our existing plants and through a green field. In Fresh, we're also growing faster than the category, especially with our differentiated offerings to key customers. We are always looking for opportunities to unlock additional processing within the existing locations. And we also committed to convert one of our commodity plans to differentiated trade pack for a key customer.

在美國，我們的預製食品的成長已經超出了我們目前的產能，我們致力於擴大現有工廠和綠地的生產。在生鮮領域，我們的成長速度也高於同類產品，尤其是我們為關鍵客戶提供差異化產品。我們一直在尋找機會在現有地點解鎖額外的處理能力。我們也承諾將我們的一項商品計畫轉換為針對關鍵客戶的差異化貿易包。

We continue to evaluate alternatives to expand our protein conversion capacity and add value to our products. To that end, we are assessing multiple sites and refining our analysis to assess best alternatives, just as we did with our new plant in Douglas, Georgia.

我們將繼續評估替代方案，以擴大我們的蛋白質轉化能力並增加我們產品的價值。為此，我們正在評估多個地點並改進我們的分析以評估最佳替代方案，就像我們對位於喬治亞州道格拉斯的新工廠所做的那樣。

In Mexico, our investments in capacity expansion for fresh in Veracruz and Merida remains on schedule, and we anticipate completion in the first half of 2026. Based on those investments, we can further enhance our buyer security and supply chain capabilities, strengthening our relationship with key customers.

在墨西哥，我們對韋拉克魯斯和梅里達的生鮮產能擴張的投資仍在按計劃進行，預計將於 2026 年上半年完成。基於這些投資，我們可以進一步增強買家安全和供應鏈能力，加強與主要客戶的關係。

Similarly, our invested investments in prepare are proceeding as planned, with our new line expected to be operational at the end of Q4, further than enabling branded growth. In sustainability, we continue to drive operational efficiency throughout our supply chain to reduce our greenhouse emissions footprint.

同樣，我們在準備方面的投資也正在按計劃進行，我們的新生產線預計將於第四季度末投入運營，這將進一步實現品牌成長。在永續發展方面，我們繼續提高整個供應鏈的營運效率，以減少溫室氣體排放足跡。

Equally important, third-party reports have demonstrated that the decrease our scope 1 and 2 emissions intensity below target levels. Moving forward, we will continue to explore alternatives to enhance our climate resiliency throughout our value stream. With that, I would like to ask our CFO, Matthew Galvanoni, to discuss our financial results.

同樣重要的是，第三方報告表明，我們的範圍 1 和範圍 2 的排放強度已降低至目標水平以下。展望未來，我們將繼續探索替代方案，以增強我們整個價值流的氣候適應能力。因此，我想請我們的財務長馬修·加爾瓦諾尼 (Matthew Galvanoni) 討論我們的財務表現。

Thank you, Fabio. Good morning, everyone. For the first quarter of 2025, net revenues were $4.46 billion versus $4.36 billion a year ago, with adjusted EBITDA $533.2 million and a margin of 12.0% compared to $371.9 million and an 8.5% margin in Q1 last year.

謝謝你，法比奧。大家早安。2025 年第一季度，淨收入為 44.6 億美元，而去年同期為 43.6 億美元，調整後 EBITDA 為 5.332 億美元，利潤率為 12.0%，而去年第一季為 3.719 億美元，利潤率為 8.5%。

Adjusted EBITDA margins in Q1 were 14.3% in the US compared to 9.4% a year ago. For a Europe business, adjusted EBITDA margins came in at 8.1% for Q1 compared to 6.4% last year. In Mexico, adjusted EBITDA margins in Q1 were 8.4% versus 9.2% a year ago.

美國第一季調整後的 EBITDA 利潤率為 14.3%，而去年同期為 9.4%。對於歐洲企業而言，第一季調整後的 EBITDA 利潤率為 8.1%，而去年同期為 6.4%。在墨西哥，第一季調整後的 EBITDA 利潤率為 8.4%，而去年同期為 9.2%。

US net revenues were $2.74 billion versus $2.58 billion a year ago, a 6.2% increase. US adjusted EBITDA came in at $392.5 million compared to $242.9 million in Q1, 2024. Recovering the commodity chicken markets compared to a year ago, along with moderate grain costs and continued operational improvements, drove strong year over year profitability improvement in our Big Bird business.

美國淨收入為 27.4 億美元，去年同期為 25.8 億美元，成長 6.2%。美國調整後 EBITDA 為 3.925 億美元，而 2024 年第一季為 2.429 億美元。與一年前相比，商品雞肉市場有所復甦，加上穀物成本適中以及持續的營運改善，推動了我們的 Big Bird 業務盈利能力同比強勁增長。

The case ready and prepared foods businesses have continued to increase distribution with key customers, driving both year over year and quarter over quarter profitability improvements. These improvements offset a $10 million headwind from challenging weather conditions in the Southeast during the first half of the quarter.

即食食品和預製食品業務持續增加與主要客戶的分銷，推動獲利能力逐年和逐季提高。這些改進抵消了本季上半月東南部惡劣天氣條件造成的 1000 萬美元的不利影響。

In Europe, coming off strong seasonal results in Q4, adjusted EBITDA Q1 was $99.5 million versus $81.5 million in Q1, 2024. The business has benefited from its continued structural reorganization, including integration of support functions and manufacturing optimization programs, while cultivating key customer partnerships with continued innovative offerings.

在歐洲，由於第四季度的季節性業績強勁，第一季調整後的 EBITDA 為 9,950 萬美元，而 2024 年第一季為 8,150 萬美元。該業務受益於持續的結構重組，包括支援功能和製造優化計劃的整合，同時透過持續的創新產品培養關鍵客戶合作夥伴關係。

We incurred $16.6 million restructuring charges during the quarter in support of this integration program. Mexico generated $41.2 million in adjusted EBITDA Q1, compared to $47.5 million last year and $36.9 million in the fourth quarter. The year over year, negative FX impact for Mexico, approximated $8.5 million.

為支持該整合計劃，我們在本季產生了 1,660 萬美元的重組費用。墨西哥第一季調整後 EBITDA 為 4,120 萬美元，去年同期為 4,750 萬美元，第四季為 3,690 萬美元。與去年同期相比，墨西哥受到的外匯負面影響約為 850 萬美元。

Sequentially from Q4, the Mexican business profitability improved primarily due to more balanced supply demand fundamentals. SG&A in the quarter was higher year over year, primarily due to an increase in legal settlement and defense costs and increased incentive compensation costs.

與第四季相比，墨西哥業務獲利能力有所改善，主要原因是供需基本面更加平衡。本季銷售、一般及行政費用較去年增加，主要原因是法律和解及辯護費用以及激勵薪資成本增加。

Our effective tax rate for the quarter was 24.1%. As I noted in our February call, we anticipate a full year effective tax rate to approximate 25%. We have a strong balance sheet and we'll continue to emphasize cash flows from operating activities, management of working capital, and discipline investment in high return projects.

本季我們的有效稅率為 24.1%。正如我在二月的電話會議上指出的那樣，我們預計全年有效稅率約為 25%。我們擁有強大的資產負債表，我們將繼續強調經營活動的現金流量、營運資金的管理以及對高回報項目的紀律投資。

Our liquidity position remains very strong. EBITDA of $1.5 billion special dividend paid on April 17, we have over $1.6 billion in total cash and available credit. We have no short-term immediate cash requirements with our bonds maturing between 2031 and 2034, and the US credit facility not expiring until 2028.

我們的流動性狀況依然非常強勁。4 月 17 日支付的 EBITDA 為 15 億美元特別股息，我們的現金和可用信貸總額超過 16 億美元。我們沒有短期現金需求，我們的債券將在 2031 年至 2034 年之間到期，而美國信貸額度將在 2028 年到期。

A liquidity position provides flexibility and allows us to explore various growth opportunities. As of the end of Q1, our net debt total approximately $1.1 billion with a leverage ratio of less than 0.5 times our last 12 months adjusted EBITDA. When adjusting for the $1.5 billion special dividend, our leverage ratio was 1.1 times, still below our target of 2times to 3 times adjusted EBITDA.

流動性狀況提供了靈活性，使我們能夠探索各種成長機會。截至第一季末，我們的淨債務總額約為 11 億美元，槓桿率不到過去 12 個月調整後 EBITDA 的 0.5 倍。在調整 15 億美元的特別股息時，我們的槓桿率為 1.1 倍，仍然低於我們設定的 2 倍至 3 倍調整後 EBITDA 的目標。

Net interest expense for the quarter total $17 million. We anticipate a full year net interest expense to be between $110 and $120 million. As discussed at our investor day, we will continue to invest in growth. While additional considerations have emerged, we will continue to enable our growth ambitions through financial discipline.

本季淨利息支出總計 1700 萬美元。我們預計全年淨利息支出將在 1.1 億美元至 1.2 億美元之間。正如我們在投資者日所討論的那樣，我們將繼續投資於成長。儘管出現了其他考慮因素，但我們將繼續透過財務紀律實現我們的成長目標。

In the US, we recently completed a plant conversion to an air chill operation. We are now the largest NAE organic and air chill producer in the US, demonstrating our focus on offering differentiated product attributes to our key customers. Our plans to increase capacity in the US and Small Bird, prepared foods and protein conversion also remain on track.

在美國，我們最近完成了工廠向空氣冷卻操作的轉換。我們目前是美國最大的 NAE 有機和風冷生產商，這表明我們專注於為主要客戶提供差異化的產品屬性。我們在美國和 Small Bird 增加產能、預製食品和蛋白質轉換的計劃也在按計劃進行。

As such, we continue to pursue site selections, refine capital estimates, and progress engineering work. In Mexico, our investments in fresh and prepared continue to progress and remain on schedule as we have secured a variety of long lead equipment. We spent $98 million of CapEx during the quarter, and we'll continue to ramp capital spending in support of our growth projects.

因此，我們繼續進行選址、完善資本估算並推進工程工作。在墨西哥，我們對新鮮和熟食的投資繼續取得進展並保持按計劃進行，因為我們已獲得各種長週期設備。我們在本季度花費了 9,800 萬美元的資本支出，我們將繼續增加資本支出以支持我們的成長項目。

At this time, our full year CapEx estimate remains at approximately $750 million. Our capital allocation approach will remain disciplined as we continue to align our investment priorities with our overall strategies to drive growth, enhance margins, and reduce volatility. Operator, this concludes our prepared remarks. Please open the call for questions.

目前，我們對全年資本支出的估計仍為約 7.5 億美元。我們將保持嚴格的資本配置方式，繼續將投資重點與整體策略結合，以推動成長、提高利潤率並降低波動性。接線員，我們的準備好的發言到此結束。請打開電話詢問。

(Operator Instructions) Ben Theurer, Barclays

（操作員指示）Ben Theurer，巴克萊銀行

Yeah, good morning, Fabio Matt. Thank you very much for taking my question and in a strong quarter. First question, maybe just for you, Matt, following up on your comments you just made around the capital allocation progress, etcetera. Just maybe can you elaborate a little bit more as to what has caused the probably slightly lower level of CapEx in 1Q.

是的，早上好，Fabio Matt。非常感謝您回答我的問題，並且本季表現強勁。第一個問題，也許只是針對你，馬特，跟進你剛才就資本配置進展等發表的評論。您能否更詳細地解釋一下導致第一季資本支出水準略低的原因。

You set a couple of considerations here, but at the same time you're still sticking to the $750 million. So how should we think about the CapEx over the next couple of quarters, and what are those additional considerations? So that would be my first question just around CapEx and then a quick one.

您在這裡提出了一些考慮因素，但同時您仍然堅持 7.5 億美元。那麼我們應該如何考慮未來幾季的資本支出，以及還有哪些額外的考量？這是我關於資本支出的第一個問題，然後是一個簡短的問題。

No that's fair. Thanks for the question. The way we're looking at this, it's more timing related, right. I mean one of the things we talked about during investor day was, it takes a while sometimes just to get to the starting line for some of these bigger CapEx projects and us working on site selection and overall estimates and permitting and things of that nature takes some time.

不，這很公平。謝謝你的提問。我們看待這個問題的方式是，它更多地與時間有關，對吧。我的意思是，我們在投資者日期間談論的事情之一是，有時候，一些較大的資本支出項目需要一段時間才能開始，而我們進行選址、總體估算和許可等工作也需要一些時間。

We are going to see a rate. We do anticipate seeing a ramp up of capital spend over the next number of quarters. The $750 million, we're not going to come off that number right yet. We'll see how things progress, but we're committed to the growth projects and just kind of moving forward.

我們將會看到一個比率。我們確實預計未來幾季資本支出將會增加。7.5億美元，我們暫時不會實現這個數字。我們將觀察事情如何進展，但我們致力於成長專案並不斷向前發展。

But we're going to be disciplined, right? I mean, we really want to make sure that we're spending the right amount for the right pieces of equipment, the right sites, etcetera.

但我們會受到紀律處分，對嗎？我的意思是，我們確實想確保我們花了正確的金額來購買正確的設備、正確的場地等等。

Okay. Got it. Very clear. Thank you very much. And then, just maybe on the current market dynamics and obviously, I mean, we're seeing cutout values and pricing in general still at very good levels. Now, have you seen and maybe there's been a little bit of a weakness in certain items.

好的。知道了。非常清楚。非常感謝。然後，也許就當前的市場動態而言，顯然，我的意思是，我們看到切口價值和定價總體上仍處於非常好的水平。現在，您是否看到了，也許某些項目存在一些弱點。

Is there anything related to consumer softness? Are you seeing anything that even within chicken drives down trading, or have you seen any impact of just like the general geopolitical slash, chiff noise affecting somehow consumption in a good or in a bad way?

這與消費者的疲軟有關嗎？您是否看到任何跡象表明，即使是雞肉貿易量下降，或者您是否看到任何影響，就像一般的地緣政治衝擊、雞鳴聲以某種方式對消費產生好或壞的影響？

Okay, yeah, I think it's a, it's an evolving market condition, right. So, just like I mentioned on the preparing marks, I think there is a concern for the consumer about high prices and inflation. It started some years ago; it's not something new. And as they are watching their spending closely, they are moving more from food service to retail. We're seeing higher inflation on the food away from home.

好的，是的，我認為這是一個不斷變化的市場狀況，對吧。因此，正如我在準備分數上提到的那樣，我認為消費者對高物價和通貨膨脹感到擔憂。這件事幾年前就開始了；並不是什麼新鮮事。由於他們密切關注支出，因此他們正從食品服務轉向零售業。我們發現外出用餐的通貨膨脹率正在上升。

When compared to the food at retail. So we're seeing a movement from one segment to another that is leading to the shift of new occasions, and with that, we're seeing some very strong demand on retail. The biggest portfolio or the biggest part of the chicken that is sold in retail is breast meat, and we're seeing some very strong demand there in the retail.

與零售食品相比。因此，我們看到了從一個領域到另一個領域的轉變，這導致了新場合的轉變，隨之而來的是，我們看到了對零售的非常強勁的需求。零售中銷售的雞肉中最大的部分是雞胸肉，而且我們看到零售中對雞胸肉的需求非常強勁。

Despite that strong demand on breast meat, we're seeing some very strong demand also on boneless dark meat. We're seeing some double digit growth on the dark meat category. So that strong demand on retail is pressuring the promotional activity and is pressuring the supply and because that happens every grilling season where we buy Big Bird meat to augment the supply for retail. That is happening even before the grilling season.

儘管對胸肉的需求強勁，但我們發現對無骨深色肉的需求也非常強勁。我們看到深色肉類類別呈現兩位數的成長。因此，零售的強勁需求給促銷活動和供應帶來了壓力，因為這種情況在每個燒烤季節都會發生，我們購買大鳥肉來增加零售供應。甚至在燒烤季節到來之前，這種情況就已經發生了。

It's happening right now, and that is pressuring also the commodity market because by buying this Big Bird meat and putting on the retail, that reduces the supply on the food service category. We're talking about this movement from food service to retail impacting the demand for chicken in retail, but also on food service as operators are trying to respond to this reduction in food traffic, they're increasing their promotional activities and they are increasing the number of low price items in their menu. And with that, chicken is gaining traction and gaining manual penetration.

這種現象正在發生，這也給商品市場帶來了壓力，因為透過購買這種大鳥肉並將其放入零售店，會減少食品服務類別的供應。我們正在談論從食品服務到零售的這種轉變，它不僅影響了零售業對雞肉的需求，也影響了食品服務業，因為經營者正試圖應對食品流量的減少，他們正在增加促銷活動，並增加菜單中低價商品的數量。隨之而來的是，雞肉越來越受到人們的關注，並且越來越普及。

So chicken also increase in food service, mainly on the QSRs and the non-commercials. But we are seeing traction also in the food service, despite the reduction in the food traffic that we are, everybody is experiencing. So chicken is winning on the retail because of the movement of food away from home to food at home, but also gaining traction in food service with menu penetration and more promotional activities.

因此，雞肉在餐飲服務中的使用量也有所增加，主要是在快餐店和非商業場所。但是，儘管食品運輸量有所減少，但我們看到食品服務也呈現成長勢頭，每個人都在經歷這種變化。因此，雞肉在零售業中贏得了勝利，因為食物從外地轉移到了國內，隨著菜單的滲透和更多促銷活動的開展，雞肉在餐飲服務業中也獲得了吸引力。

Okay, perfect. Thank you very much for that.

好的，完美。非常感謝。

Andrew Strelzik, BMO Capital Markets

Andrew Strelzik，BMO資本市場

Hi, good morning. This is actually Ben on for Andrew. So my first question, has to do with the EU, UK business and, the margin performance there. You guys have spoken, in the past about, more of a like a steady state, 7%, 8% margin that you can eventually reach.

嗨，早安。這實際上是本為安德魯 (Andrew) 所做的。所以我的第一個問題與歐盟、英國業務以及那裡的利潤表現有關。你們過去曾談過，利潤率最終可以達到更穩定的狀態，7%、8%。

I'm just wondering when you think about the cadence for this year, do you anticipate, the next three quarters kind of looking similar, in terms of margin expansion to what we saw in first quarter? And how do you view the local consumer in Europe? We've heard a couple of anecdotal reports about some potential weakness there. So, I'm just hoping you can You can kind of bridge that together. Thanks.

我只是想知道，當您考慮今年的節奏時，您是否預計接下來的三個季度的利潤率擴張會與第一季的情況類似？您如何看待歐洲本地消費者？我們聽到一些關於那裡存在一些潛在弱點的傳聞報導。所以，我只是希望你們能夠將兩者結合起來。謝謝。

Sure, just on our operations, so we integrated our three business over the last few years, and with that, and I think, Matt mentioned some of the restructuring. So, we're putting all this business together and we are seeing the benefits, coming to the bottom line of that, streamline on our back offices and streamline on our operations.

當然，僅就我們的營運而言，我們在過去幾年中整合了我們的三項業務，並且我認為馬特提到了一些重組。因此，我們將所有這些業務整合在一起，並且看到了好處，最終，我們簡化了後台辦公室並簡化了營運。

We're also seeing that we change the, let's see the momentum there from integration. Now we're moving to a more expansion and through innovation. So, that's exactly what we expected when we put these three businesses together to realize all the benefits from the integration at the beginning and now moving to a more rapid expansion through innovation.

我們也看到我們正在改變，讓我們看看整合帶來的動力。現在，我們正在進一步擴張並進行創新。因此，這正是我們將這三項業務整合在一起時所期望的，以實現最初整合帶來的所有好處，並透過創新實現更快速的擴張。

So, we expect the growth in performance from year over year to continue. In terms of the consumer, I think we were seeing the inflation in Europe to moderating and we're seeing the wages increasing ahead of the inflation. That was creating a better scenario, especially for our portfolio on the branded side.

因此，我們預期業績將持續逐年成長。就消費者而言，我認為我們看到歐洲的通貨膨脹正在緩和，我們看到薪資的成長速度快於通貨膨脹。這創造了更好的局面，特別是對於我們的品牌投資組合而言。

When the consumer in Europe are facing challenges in inflation, they typically tend to go for private labels on the prepared food side. So, our Richmond brand was not growing as expected in the past, but now we're seeing some, the Richmond brand and the Refrigerators brands are growing ahead of the market. And that indicates that the consumer has more confidence.

當歐洲消費者面臨通貨膨脹的挑戰時，他們通常傾向於購買熟食的自有品牌。因此，我們的 Richmond 品牌過去並沒有像預期的那樣成長，但現在我們看到，Richmond 品牌和冰箱品牌的成長領先於市場。這顯示消費者更有信心。

I think specifically in UK, there was an increase in the national insurance that created some uncertainty about jobs and inflation and grocery, lately. I think we saw many reports from retailers that will cost some billions of dollars for them and there will be some layoffs because of that. So that was maybe a momentary issue in UK, but overall, in Europe, we're seeing an improvement in consumer confidence.

我認為，特別是在英國，國民保險的增加最近為就業、通貨膨脹和食品雜貨帶來了一些不確定性。我認為我們看到許多零售商的報告稱，這將為他們帶來數十億美元的損失，並將導致一些裁員。所以這也許是英國的暫時性問題，但整體而言，在歐洲，我們看到消費者信心有所改善。

Thank you. And just my last question. In terms of Mexico, obviously you had a big FX hit there during the quarter, but just, from a fundamental standpoint, how do you think about the cadence for the rest of the year in terms of kind of rolling in some of your investments, and then also versus just the flow of supply and demand in the local market.

謝謝。我的最後一個問題。就墨西哥而言，顯然本季外匯市場遭受了巨大衝擊，但從基本面來看，您如何看待今年剩餘時間部分投資的節奏，以及當地市場的供需。

Do you think things are getting stronger there in the economy? Is there some hesitation amongst consumers given all the trade chatter. Just trying to get a better sense of how you're framing up Mexico, I guess, a month after we last saw you at the investor day. Thank you very much. Appreciate it.

您認為那裡的經濟狀況正在變得更加強勁嗎？鑑於所有的貿易談判，消費者是否會有些猶豫？我想，只是想更了解您是如何看待墨西哥的，我想，就在我們上次在投資者日見到您一個月後。非常感謝。非常感謝。

Sure, yeah, as we mentioned, Mexico is a growing economy. We're seeing growing in the consumer spending over there and chicken has always been the entry point in the protein, as the consumer has more available spending, they will go to a higher protein diet, and chicken is the entry point. So we're really excited about the opportunities to continue to grow in Mexico.

當然，正如我們所提到的，墨西哥是一個正在成長的經濟體。我們看到那裡的消費者支出不斷增長，而雞肉一直是蛋白質的切入點，隨著消費者有更多可用支出，他們會選擇更高蛋白質的飲食，而雞肉就是切入點。因此，我們對在墨西哥繼續發展的機會感到非常興奮。

With that, as I mentioned, we are expanding our operation in Veracruz and we are expanding to a new geography, which is the Merida region in the peninsula. So we can diversify our operations and reach a bigger market there. We also believe that with the expansion in consumer spending, prepared foods, and convenience becomes a source of growth as well for us.

正如我所提到的，我們正在擴大在韋拉克魯斯的業務，並擴展到一個新的地域，即半島的梅里達地區。因此我們可以實現業務多元化並在那裡開拓更大的市場。我們也相信，隨著消費者支出的擴大，預製食品和便利食品也將成為我們的成長來源。

So that's why we are expanding with a new line in our operations. Then there will be fully operational by Q4. So, Over the long term, we're really excited about the growth perspectives in Mexico. Now, quarter over quarter, as we mentioned, it could be quite volatile.

這就是我們在業務中拓展新業務線的原因。然後將於第四季全面投入營運。因此，從長遠來看，我們對墨西哥的成長前景感到非常興奮。現在，正如我們所提到的，季度與季度之間的波動可能相當大。

And the biggest source of the volatility is the live market that still exists in Mexico, that creates a lower biosecurity than we see in all other places of the world. Because of that, the supply and demand can be mismatched in any given quarter because of diseases and because that market is really easy for entrants to get in and to get out.

而波動的最大根源是墨西哥仍存在的活體市場，其生物安全性比世界其他地區都低。因此，由於疾病的原因以及市場很容易進入和退出，任何一個季度的供需都可能不匹配。

So, when you see very high profitability, as we saw in Q2 last year, we see these marginal players who come and produce live chicken to be sold to the consumers. And that creates more volatility in that market.

因此，當你看到非常高的獲利能力時，就像我們在去年第二季看到的那樣，我們會看到這些邊緣參與者來生產活雞並出售給消費者。這會導致該市場更加動盪。

And in a way, that's why we're trying to diversify from that segment with more branded and more prepared foods, but it's still a very profitable segment. So that volatility, in the live market impact our results, during any given quarter.

從某種程度上來說，這就是我們試圖透過提供更多品牌食品和更多預製食品來實現該領域多元化的原因，但這仍然是一個非常有利可圖的領域。因此，即時市場的波動會在任何一個季度影響我們的業績。

And Ben, I would just say, relative to Q2 last year, Mexico took very strong quarter last year. FX impacts kind of year over year, Q2 to Q2 of this year will still probably be in that 15% area, depending, of course, where the peso goes from now forward, but from my crystal ball, that's kind of how I would think about it, but it's is a very strong Q2 last year. Business is great, but just keep that FX impact in mind for Q2 this year.

本，我只想說，相對於去年第二季度，墨西哥去年第二季度的表現非常強勁。外匯影響年比來看，今年第二季到第二季可能仍會在 15% 左右，當然，這取決於比索今後的走勢，但從我的預測來看，我是這樣認為的，但去年第二季的表現非常強勁。業務很好，但請記住今年第二季的外匯影響。

And in terms of consumer confidence because of trade, I think we've been seeing that Mexico is one of the largest trade partners with the US, and I think there was a lot of talk about all the products aside from steel and cars being off, any type of tariff. So I think there is less uncertainty in Mexico than in other places.

就貿易帶來的消費者信心而言，我認為我們已經看到墨西哥是美國最大的貿易夥伴之一，而且我認為有很多關於取消除鋼鐵和汽車以外的所有產品任何類型的關稅的討論。所以我認為墨西哥的不確定性比其他地方小。

Heather Jones, Heather Jones Research, LLC.

希瑟瓊斯，希瑟瓊斯研究有限責任公司。

Good morning. Thank you for the question. I guess I want to start with the US as far as volumes. They were much stronger than I was looking for and and then you had good growth in the US year on year in Q1 of '24 too. And so I just wondering if you could help us think about how we should think about your pounds's growth in the US as you bring Douglas on, back up to speed.

早安.謝謝你的提問。我想就數量而言，我想先從美國開始。它們比我預期的要強大得多，而且 2024 年第一季美國也實現了同比增長。所以我只是想知道，當您讓道格拉斯重新回到正軌時，您是否可以幫助我們思考我們應該如何看待英鎊在美國的增長。

But then, I guess you're having your conversion of Russellville to a smaller bird at some point this year. So just, how should we think be thinking about pounds in the US for the, for '25?

但是，我猜你今年某個時候會把拉塞爾維爾變成一隻小鳥。那麼，我們該如何看待 25 年美元兌英鎊的匯率呢？

Yeah, Heather, I think we have a strategy of always supporting the growth of our key customers and as I mentioned, we are growing ahead of the market. So we saw strong growth in retail, especially for our differentiated offerings and with such, we increase our volumes in the real retail category.

是的，希瑟，我認為我們的策略是始終支持我們的關鍵客戶的成長，正如我所提到的，我們的成長速度領先於市場。因此，我們看到零售業的強勁成長，特別是我們的差異化產品，因此，我們在實際零售類別中的銷售量有所增加。

I think the whole industry continues to be constrained in terms of, overall growth, but I think we're all working really hard to get a better live operation and that's what we've been doing. During Q1, I think despite a lot of challenges, especially in terms of respiratory diseases that we are seeing throughout the South, we were able to improve our live operations and improve our volumes, especially to, as I mentioned, in the retail segments.

我認為整個行業在整體成長方面仍然受到限制，但我認為我們都在努力實現更好的現場運營，這就是我們一直在做的事情。在第一季度，我認為儘管面臨很多挑戰，特別是我們在整個南方看到的呼吸系統疾病方面，但我們仍然能夠改善我們的現場運營並提高我們的銷量，特別是正如我提到的，在零售領域。

Going forward, I think we'll continue with that strategy, Heather, and yes, you're right, with the conversion of a Big Bird plant to a case ready plant, we will reduce the volumes in that operation, but we expect that to be more impactful for next year.

展望未來，我認為我們將繼續這項策略，希瑟，是的，你是對的，隨著 Big Bird 工廠轉變為箱式工廠，我們將減少該業務的產量，但我們預計這對明年的影響會更大。

Okay, so just to finish up on that question, you're all are expecting if these continued improvements in live go along, you're expecting to have meaningful volume growth for the full year in the US.

好的，為了結束這個問題，大家都在期待，如果這些持續的現場改進順利進行，那麼美國全年的銷售將會出現有意義的成長。

We expect to be a little bit ahead of the market.

我們期望能稍微領先市場。

Okay. And then go to your greenfield plants. So, I think you're pursuing one and pre prepared and then and another protein conversion and just wondering, it's the timing uncertain because I read like in local media reports of you all getting pushed back on like some locations on the protein conversion side and all. Like is that side proving more difficult for permitting approvals or what's the primary driver of timing on those two fronts?

好的。然後去你的綠地工廠。所以，我認為你們正在進行一項預先準備的工作，然後再進行另一項蛋白質轉化，我只是想知道，時間是不確定的，因為我讀到過當地媒體的報道，說你們在蛋白質轉化方面的一些位置都被推遲了。例如，這方面的許可審批是否更加困難，或者這兩個方面的時間安排的主要驅動因素是什麼？

I think there's always some negotiation with local municipalities, right. I think we heard some noise too, but a protein conversion plant, today is a very good operation without any smell. I think the technology has improved really well. So there is minimal disruption, if any, in terms of the smell to the municipality.

我認為總是會與當地市政當局進行一些談判，對吧。我想我們也聽到了一些噪音，但是蛋白質轉化工廠今天運作得很好，沒有任何氣味。我認為這項技術確實已經有了很大的進步。因此，就氣味對市政當局的影響而言，即使有影響，也只是很小。

I think there is still a lot of, let's say, preconceived ideas about what a rendering operation is that sometimes triggers some of this bad breath, sort of say, but I think as we go to locality, we explain our strategies, we explain our vision of creating better future for our team members to help the communities and with the new technologies, I think then we can move along.

我認為，對於渲染操作仍然存在許多先入為主的觀念，這些觀念有時會引發一些不良反應，但我認為，當我們深入當地，解釋我們的策略，解釋我們的願景，即為我們的團隊成員創造更美好的未來，幫助社區，並利用新技術，我想我們就可以繼續前進。

And a great example was the Douglas, Georgia, operation that we just started. We're having a great partnership with the location there with the municipalities. So if there is any pushback from municipalities is sometimes a short term operation. The timing, it is about finding the right location and starting and having all the permits.

我們剛啟動的喬治亞州道格拉斯業務就是一個很好的例子。我們與當地市政當局保持著良好的合作關係。因此，如果市政當局有任何阻力，有時只是短期行動。時機就是找到正確的地點並開始並獲得所有許可。

Okay. Awesome. Thank you so much.

好的。驚人的。太感謝了。

Pooran Sharma, Stephens Inc.

Pooran Sharma，Stephens Inc.

Great, thanks for the question. I'm just going to start off with, maybe if you could discuss wings in general. We're seeing strong strength and in breast, and the back half of the Bird, but seems like, wings are head the other way.

太好了，謝謝你的提問。我只是想開始，也許你可以總體討論翅膀。我們看到了鳥的胸部和後半部強大的力量，但翅膀似乎朝著另一個方向。

Just wondering if you could give us some color, what are you hearing from, like the commercial side of the business? And do you expect seasonal demand to kick in, you have, NFL, season starting here in the fall. Would love to hear your thoughts on that cut.

只是想知道您是否可以給我們一些信息，您聽到了什麼，例如業務的商業方面？您是否預計季節性需求會出現？ NFL 賽季將於秋季開始。很想聽聽你對這剪輯的看法。

No, sure, thank you for the question. And you're right. I think when you look at the cutout for the Big Bird, we see some really strong fundamentals. But when you go into the parts, I think the boneless has been the strongest part. The leg quarters, as I mentioned, continue to be very well supported both internationally and domestically.

不，當然，謝謝你的提問。你是對的。我認為，當你看到大鳥的剪影時，我們會看到一些非常強大的基本面。但當你深入研究各個部分時，我認為無骨的部分才是最強的部分。正如我所提到的，腿部區域在國際和國內都繼續得到很好的支持。

I mentioned the growth in boneless ties in the retail that is double digits, and the wings have been the category that has been less strong and it's actually lower than last year, significantly lower than last year, lower than five year average. And the reason for that is the shift that we mentioned on the food away from home to food at retail.

我提到，無骨領帶在零售業的成長率達到了兩位數，而雞翅的銷售量一直沒有那麼強勁，實際上低於去年，明顯低於去年，低於五年平均。原因在於我們提到的從外食到零售食品的轉變。

Wings are mainly a food service item. So, when we see some weakness in the foot traffic that impacted directly wings. Also, last year we saw some strong pricing and demand for wings, which trigger some promotional activity and manual substitution to boneless, because when they say boneless wings is actually boneless breast.

雞翅主要是一種食品服務項目。因此，當我們看到客流量不足時，就會直接影響翼部。此外，去年我們看到雞翅的定價和需求強勁，這引發了一些促銷活動和手動替換無骨雞翅，因為當他們說無骨雞翅實際上是無骨雞胸肉時。

So, we see then the seesaw impact on the wings and boneless breasts on the food service. As we see the low prices of wings, we are seeing more feature activity on the wing, on the bone in wings, and we're seeing more promotional activity for the food service, especially the wing concepts.

因此，我們看到了雞翅和無骨雞胸肉對食品服務產生的蹺蹺板效應。隨著雞翅價格的低廉，我們看到雞翅、帶骨雞翅的特色活動越來越多，食品服務的促銷活動也越來越多，尤其是雞翅概念。

So, we expect the price of wings to go back into the normal seasonality. It's normal to see this behavior on the wings, and I think when you analyze a long, we have always this seesaw, issues on wings where one year we have significantly higher prices than the averages and then the next year we see some softening.

因此，我們預計機翼價格將恢復正常的季節性。看到這種翼上行為是正常的，我認為當你分析長期時，我們總是會看到這種蹺蹺板現象，翼上的問題在於，某一年我們的價格明顯高於平均價格，而第二年我們會看到價格有所回落。

And then what we see in the following year is that the prices come back to the previous level and even higher because as we always mention there are only two wings per bird and we are being challenged by heads in our industry.

然後，我們看到第二年價格回到了之前的水平，甚至更高，因為正如我們經常提到的，每隻鳥只有兩個翅膀，我們正受到行業領袖的挑戰。

Right no I appreciate that color. I guess my follow up will be, I guess on the lines of that you're being challenged, on production, that's obviously kind of helping, with the elevated price situation, along with relative affordability. But just wanted to see if you're concerned at all about the uptick in cold storage, particularly in breast that we've seen over the past couple months.

對，不，我很欣賞那個顏色。我想我的後續行動將是，我想按照你所面臨的挑戰，在生產方面，這顯然有助於提高價格，同時又能相對負擔得起。但只是想看看您是否擔心冷藏量的上升，特別是過去幾個月我們看到的母乳冷藏量的上升。

We've also seen, production up, call it mid-single digits since March, but despite that you continue to see these, elevated price points for breast. So, just wondering if you could tease that dynamic out a little bit more for us.

我們也看到，自 3 月以來，產量一直在上升，達到了中等個位數，但儘管如此，母乳價格仍然在上漲。所以，我只是想知道您是否可以為我們進一步闡明這種動態。

Well, of course, I think the, first going into the cold storage. I think first, if you look at the live quarters and other items, the code storage numbers are significantly lower than last year and very low compared to normal five-year averages. I think the increase in bonus was more a promotional activity, especially one food service operator that puts a lot of breast meat for the promotional activity.

嗯，當然，我認為首先要進入冷藏室。我認為首先，如果你看一下實時季度和其他項目，代碼存儲數量明顯低於去年，與正常的五年平均值相比非常低。我認為獎金的增加更多的是一種促銷活動，尤其是一家食品服務經營者為促銷活動投入了大量的雞胸肉。

But also it is a little bit of the food service operators expecting higher prices and building inventories so they don't have to buy breast meat in the commodity market when the prices go even higher. When you look at overall production for the US, we and the USDA are expecting the growth that we saw in Q1 to moderate during the next quarter to an annual growth of 1.4%. We'll continue with the same issues as we mentioned with this new breed.

但這也意味著食品服務業者預期價格會上漲，並建立庫存，這樣當價格進一步上漲時，他們就不必在商品市場上購買雞胸肉。從美國的整體產量來看，我們和美國農業部預計，第一季的成長將在下個季度放緩至 ​​1.4% 的年增長率。我們將繼續討論與這個新品種有關的相同問題。

We're seeing more eggs per hand, so we increased the number of exits, but then we are being challenged with the hatchability, one of the lowest, we've ever seen, and one of the highest mortality we ever seen. I alluded a little bit to the respiratory diseases and that's what we are seeing throughout.

我們每隻手看到的雞蛋越來越多，所以我們增加了出蛋數量，但我們又面臨著孵化率低的問題，這是我們見過的最低的孵化率之一，也是我們見過的最高死亡率之一。我稍微提到了呼吸系統疾病，這就是我們一直看到的。

Our operations, but that is impacting feed conversion, but it's also impacting a lot of the mortality of the birds. And that's when you see the increase in exits on the range of 2.4%, 2.5%, and then you go to the number of birds or head count is actually down.

我們的運營，但這會影響飼料轉換率，也會影響大量鳥類的死亡率。那時，您會看到出口數量增加了 2.4% 到 2.5%，然後鳥的數量或頭數實際上下降了。

So all that growth is being muted by the challenges in hatchability and livability, and we have not seen a significant improvement on those. Of course, as I mentioned, we've been improving our operations, we've been really pushing on having a better care of the individual birds.

因此，所有這些增長都因孵化率和存活率的挑戰而受到抑制，而且我們尚未看到這些方面顯著改善。當然，正如我所提到的，我們一直在改進我們的運營，我們一直在努力更好地照顧每隻鳥。

I think this is a bird that needs individual management rather than a flock management. And we're seeing some improvements, but there's nothing that is significant and we'll go back to prior numbers of hatchability and mortality.

我認為這是一種需要單獨管理而不是群體管理的鳥。我們看到了一些改善，但沒有什麼顯著的改善，我們將回到先前的孵化率和死亡率數字。

Alright, thanks for the color.

好的，謝謝你的顏色。

Jasmin Andrade, Bank of America.

美國銀行的 Jasmin Andrade。

Hey guys, thank you so much for the question. So, I wanted to dig in a little bit to your US business. Sales and pricing came in a bit better than expected this quarter, but this is the second quarter where US gross profit was a little bit behind. So could you possibly outline some puts and takes of the quarter as to why gross profit on a gross profit perspective, things were a bit behind.

嘿夥計們，非常感謝你們的提問。所以，我想深入了解您的美國業務。本季的銷售和定價情況比預期要好一些，但這是美國毛利略微落後的第二季。那麼，您能否概述一下本季的一些情況，說明為什麼從毛利角度來看，毛利情況有點落後。

Oh, sure. And I think it, we need to remind everyone of our portfolio. As we always mention, we have a diversified portfolio of sizes of birds, diversified portfolio of offerings, and diversified portfolio of pricing. So, in the Big Bird category, we see very strong pricing because of the commodity, everyday pricing, and I think that is little differentiation in that segment.

哦，當然。我認為，我們需要提醒大家注意我們的投資組合。正如我們經常提到的，我們擁有多樣化的鳥類組合、多樣化的產品組合和多樣化的定價組合。因此，在 Big Bird 類別中，我們看到非常強勁的定價，因為商品、日常定價，而且我認為該細分市場中的差異很小。

We have some differentiation through no antibiotics ever offerings, but it is a category that moves more in line with the commodity markets that we can see every day. So in that segment, it is an immediate, let's say, price change, compared to the market.

我們透過提供不含抗生素的產品實現了一定的差異化，但這一類別的產品走勢與我們每天看到的商品市場更加一致。因此，在該領域，與市場相比，這是一個即時的價格變化。

On all the other segments, we have more stable pricing and more stable margins as we've proven when the commodity markets were weak and when we have significant changes in food service and In retail. So our pricing is way more stable because we base our pricing to our retailers on reinvestment levels and with the changes in cost.

在所有其他領域，我們擁有更穩定的定價和更穩定的利潤率，正如我們在商品市場疲軟以及食品服務和零售業發生重大變化時所證明的那樣。因此我們的定價更加穩定，因為我們根據再投資水平和成本變化來向零售商定價。

And as we saw, the cost of our products coming down because of the moderating in prices of grain over the last several months, we have that advantage back to our key partners. And as you see in the retail to the end user pricing, chicken prices are lower year over year.

正如我們所見，由於過去幾個月糧食價格的緩和，我們的產品成本下降了，我們為我們的主要合作夥伴帶來了優勢。正如您所看到的，從零售到最終用戶的定價來看，雞肉價格逐年下降。

So our portfolio don't follow 100% the commodity market, and that that was on purpose because we believe that we can capture the upsides as we've proven with a very strong profitability in one, but we can protect the downsides when we have more stable pricing. And that is when you compare our portfolio to just pure commodity portfolio. You don't see the same spikes in prices, and you don't see the same challenges when the prices are lower.

因此，我們的投資組合不會 100% 跟隨大宗商品市場，這是有意為之，因為我們相信，正如我們已經證明的，我們可以抓住上行空間，並且通過非常強勁的盈利能力，我們可以在定價更穩定時保護下行空間。這就是當您將我們的投資組合與純商品投資組合進行比較時的情況。當價格較低時，你不會看到同樣的價格飆升，也不會看到同樣的挑戰。

Okay, got it. And I guess to follow up on that a little bit, you talked earlier about shifts and meal occasions and spend moving from food service to retail. So, I'm also wondering if growing faster in retail versus commodity created a gross profit mix headwind in the quarter. So, if you have to supplement the retail channel with commodity meat.

好的，明白了。我想稍微跟進一下這個問題，您之前談到了從餐飲服務轉向零售的輪班、用餐場合和支出。因此，我也想知道，零售業相對於商品業的成長速度更快是否會在本季造成毛利組合逆風。因此，如果您必須用商品肉來補充零售通路。

Yeah, I think that is a great point. Yes, if we compare the profitability of the more stable business that we have with the profitability of the commodity segment, that will not follow the same trajectory. But of course, if you look at the same quarter last year, then the profitability of those more stable segments will be far superior to the commodity.

是的，我認為這是一個很好的觀點。是的，如果我們將更穩定的業務的獲利能力與商品部門的獲利能力進行比較，就會發現它們不會遵循相同的軌跡。但當然，如果你看去年同期，那麼那些更穩定的細分市場的獲利能力將遠遠優於大宗商品。

And once again, that's how we created the portfolio, but you're absolutely right. The profitability of a commodity operator or a commodity portfolio right now is higher than the profitability of the more stable segments.

再說一次，這就是我們創建投資組合的方式，但您完全正確。目前，商品業者或商品組合的獲利能力高於更穩定的部分的獲利能力。

Great, thank you guys.

太好了，謝謝大家。

[William Vere], [Santander]

[威廉·維爾]，[桑坦德銀行]

Good morning, Fabio, Matt and Andrew. Thank you for taking questions. Two questions here. The first one is if you could give me a bit more detail on the CapEx for the year in terms of expansion and maintenance and what would be the main locations here in terms of expansion, so we could have some sense in terms of capacity, going to 2026.

早安，Fabio、Matt 和 Andrew。謝謝您的提問。這裡有兩個問題。第一個問題是，您能否給我提供更多關於今年擴張和維護方面的資本支出的詳細信息，以及擴張方面的主要地點，以便我們了解到 2026 年的產能情況。

And the second question here, Fabio, you mentioned a lot about mortality. If you could just try to explain to us a bit, how much of that is related to diseases, how much is about genetics, and what we could expect going forward on mortality, mainly on hands because it seems that this is also impacting, the supply of chickens as well.

第二個問題，法比奧，你多次提到死亡率。如果您能嘗試向我們解釋一下，其中有多少與疾病有關，有多少與遺傳有關，以及我們對未來死亡率的預期，主要是手部死亡率，因為這似乎也會影響雞的供應。

Yeah, I'll take the first question relative to the CapEx. I think it's important to understand relative to this growth CapEx that we laid out at investor, many of those dollars and many of that effort will be for projects that really will not expand capacity until 2027 or later. We will have some things that will be more impactful next year.

是的，我將回答與資本支出相關的第一個問題。我認為，重要的是要了解，相對於我們為投資者制定的成長資本支出，其中許多資金和許多努力將用於那些直到 2027 年或更晚才會真正擴大產能的項目。明年我們將會做一些更有影響力的事情。

We talked about the conversion of one of our Big Bird plants to a to a Case Ready facility for a key customer that would be more impactful starting in 2026. But really right now when we think about capacity expansions and the time it would take to get many of those up and running and finished, we're not talking 2026 type of changes in general, we're talking more outer years from there. Fabrio would take the next one.

我們討論了將我們的一家 Big Bird 工廠改造為一個為關鍵客戶提供 Case Ready 服務的工廠，這將在 2026 年開始產生更大的影響。但實際上，現在當我們考慮產能擴張以及啟動、運行和完成其中許多產能所需的時間時，我們談論的並不是一般意義上的 2026 年類型的變化，而是從那時起的更多年。法布里歐將獲得下一席。

Yeah, of course, let me, and I think it is a good question. As you see the higher mortality in the broilers, but we are seeing the same higher mortality on the breeder, and that's why from the bullet placements that we are seeing, we're not seeing the size of the flock growing in the same, sink, right.

是的，當然，我認為這是個好問題。如您所見，肉雞的死亡率較高，但我們也看到種雞的死亡率也同樣較高，這就是為什麼從我們所看到的子彈放置位置來看，我們沒有看到雞群的大小在相同的水槽中增長，對吧。

I think also the breeding flock is not growing as much as expected, giving the very strong profitability in our segment because of the high utilization of our hatchers. So, a older bird will always have even lower hatchability than we are seeing in the current optimal hand.

我認為種雞群的成長速度也沒有預期的那麼快，但由於我們孵化器的利用率很高，我們的獲利能力非常強。因此，年齡較大的鳥的孵化率總是會比我們目前最佳手中看到的還要低。

So, when you have that, then we will put a lot of stress--in our hatchers. So that’s why we are seeing the commercial flock or the layer flock smaller than in prior years. And that you mentioned the distinction between diseases and genetics, but they are connected.

因此，當你擁有這些時，我們就會給孵化器施加很大的壓力。這就是為什麼我們看到商業雞群或蛋雞群的數量比前幾年少。您提到了疾病和遺傳之間的區別，但它們是相互關聯的。

I think we always take one step back on where we got here, and that was this new breed. As we try to solve the problem that we have in the years before in terms of quality of the meat, what we call the woody breasts, we introduced this new breed.

我認為我們總是會回顧一下我們所到達的地方，這就是這個新品種。為了解決前幾年肉質方面存在的問題（我們稱之為木質胸肉），我們引進了這個新品種。

This new breed is also great for conversion and great for yields. So, we don't think that we will go back to previous breeds just because of the mortality because once again, what the industry looks is for a more better conversion and better yields, which is a more sustain let's say sustainable bird and more a competitive bird.

這種新品種也非常適合轉化，產量很高。因此，我們認為我們不會僅僅因為死亡率而回到以前的品種，因為再一次，該行業尋求的是更好的轉化率和更好的產量，這是一種更可持續的鳥類，可以說是更具競爭力的鳥類。

But the genetic and the diseases are somewhat connected. I think we've been talking about managing individual birds as these birds grow so fast, we need to keep an eye on individual birds, even on the laying flock. And also, when we look at the genetics, we believe that there is less of the resistance being passed from generations.

但遺傳與疾病有某種關聯。我認為我們一直在談論對單隻鳥的管理，因為這些鳥長得太快了，我們需要密切關注單隻鳥，甚至是產蛋鳥群。而且，當我們從遺傳學角度觀察時，我們認為代代相傳的抵抗力較少。

So, this breed broilers are a little bit weaker in terms of respiratory diseases, but as the time goes by, we will learn how to manage, we will adjust our houses, and we'll get back to a better mortality situation that we had before.

因此，該品種的肉雞在呼吸道疾病方面稍微弱一些，但隨著時間的推移，我們將學會如何管理，我們將調整我們的雞舍，我們將恢復到以前更好的死亡率狀況。

Thank you, Fabio.

謝謝你，法比奧。

Priya Ohri-Gupta, Barclays.

巴克萊銀行的 Priya Ohri-Gupta。

Hi, good morning. Thank you for the call. Just two questions from me, mostly from Matt. Matt, can you talk a little bit about, the working capital swing that we saw in the quarter was fairly sizable, looks like a number of the line items seem to have contributed and how we should think about that flowing into year end?

嗨，早安。謝謝您的來電。我只想問兩個問題，大部分是馬特提出的。馬特，您能否稍微談談，我們在本季度看到的營運資本波動相當大，看起來許多項目似乎都做出了貢獻，我們應該如何看待這種流入年底的資金？

And then the second one is just around your open market bond purchases in the quarter. So, what's the thinking there, it was a little bit surprising, and I admittedly a small size, but just how you're thinking about that going forward? Thanks.

第二個是關於本季公開市場債券購買情況。那麼，您是怎麼想的，這有點令人驚訝，我承認規模很小，但您對此有何看法？謝謝。

Yeah, Priya, and the first question relative to working capital. If you go back five, six years, and I was going back to 2020, you look at first quarter on a working capital change other than last year, it's always been challenging, right. It's more, it's always negative.

是的，Priya，第一個問題與營運資金有關。如果你回顧五六年前，也就是 2020 年，你會發現第一季的營運資本變化與去年不同，這一直充滿挑戰，對吧。更重要的是，它總是負面的。

First quarter is always one of those ones between paying out incentive compensation and other changes that happen, we see more of a negative trend in the work capital changes in Q1, so we anticipate that to turn around.

第一季總是在支付激勵性薪酬和發生其他變化之間的一個季度，我們看到第一季營運資本變化呈現更多的負面趨勢，因此我們預計這種情況會好轉。

Last year was a bit of an anomaly in that grain pricing kind of dropped precipitously last year, which really kind of we'll say benefited, and we also had a very purposeful reduction of finished goods inventories during Q1 of last year. So that was really more of the driver last year being a bit more of the anomaly of very favorable working capital change during Q1.

去年的情況有點異常，因為糧食價格急劇下降，我們可以說這確實是一種好處，而且去年第一季我們還有意減少了成品庫存。因此，這實際上更多的是去年第一季營運資本變化非常有利的異常現象的驅動因素。

A relatively open market purchase that was just more opportunistic. I think there's some things that we're looking at and considering. We do believe we'll be generating a fair amount of cash here this year. We look at the view relative to how the year should play on, and we consider a lot of different options related to how to handle our capital allocation, which does include repurchases of debt which we did last year.

這是一個相對開放的市場購買，只是更具機會主義色彩。我認為我們正在研究和考慮一些事情。我們確實相信今年我們將在這裡產生相當多的現金。我們研究了今年的走勢，並考慮了許多與如何處理資本配置相關的不同選擇，其中包括我們去年的債務回購。

And we just had a couple, a little bit of a small opportunistic opportunity during the Q1 and we'll be kind of assessing what we're doing here going forward.

我們在第一季遇到了一些小機會，我們將評估我們未來要做的事情。

Great. Thank you.

偉大的。謝謝。

Thank you. This concludes the question-and-answer session. I would like to return the conference back over to Fabrio Sandri for the enclosing comments.

謝謝。問答環節到此結束。我想將會議交還給 Fabrio Sandri，以便他提供隨附的評論。

Thank you everyone for attending today's call. 2025 started off in a strong note for PPC. As such, I'd like to thank our team members for their commitment to living our values, driving our methods, and executing our strategies. We must continue these efforts and maintain our unwavering focus on team members’ safety and well-being.

感謝大家參加今天的電話會議。 2025 年對於 PPC 來說是一個強勁的開端。因此，我要感謝我們的團隊成員致力於實現我們的價值觀、推動我們的方法和執行我們的策略。我們必須繼續努力，並始終關注團隊成員的安全和福祉。

Given this approach, we can grow sales, enhance margins, and reduce volatility in our business. More importantly, we can achieve our vision to be the best and most respected company in our industry, creating a better future for our team members. To that end, I look forward to accelerating our efforts in the remainder of 2025 and beyond. Thank you, everyone.

透過這種方法，我們可以增加銷售額、提高利潤率並降低業務波動性。更重要的是，我們可以實現我們的願景，成為業界最優秀、最受尊敬的公司，為我們的團隊成員創造更美好的未來。為此，我期待在 2025 年剩餘時間及以後加快我們的努力。謝謝大家。

Thank you. This is a conference call. You may now disconnect your lines.

謝謝。這是一次電話會議。現在您可以斷開線路了。