Pilgrim's Pride Corporation (NASDAQ:PPC) Q1 2023 Results Conference Call April 27, 2023 9:00 AM ET

Company Participants

Andy Rojeski - Head of Strategy, Investor Relations

Fabio Sandri - President and CEO

Matthew Galvanoni - VP, CFO and CAO

Conference Call Participants

Ben Theurer - Barclays

Ben Bienvenu - Stephens

Peter Galbo - Bank of America

Adam Samuelson - Goldman Sachs

Andrew Strelzik - BMO

Operator

Good morning, and welcome to the First Quarter 2023 Pilgrim's Pride Earnings Conference Call and Webcast. [Operator Instructions] At the company's request, this call is being recorded. Please note that the slides referenced during today's call are available for download from the Investors section of the company's website at www.pilgrims.com. After today's presentation, there will be an opportunity to ask questions.

I would now like to turn the conference call over to Andy Rojeski, Head of Strategy, Investor Relations and Net Zero Programs for Pilgrim's.

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 26, 2023. 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. A copy of the release is available on our website at ir.pilgrims.com, along with the slides for reference. These items also have been filed as Form 8-K and are available online at sec.gov. Fabio Sandri, President and Chief Executive Officer; and Matt Galvanoni, Chief Finance Officer, will present on today's call.

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 this release. 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, our Form 10-K and our regular filings with the SEC. I would now like to turn the call over to Fabio Sandri.

Fabio Sandri

Thank you, Andy. Good morning, everyone, and thank you for joining us today. For the first quarter of 2023, we reported net revenues of $4.17 billion, which was slightly below the same quarter last year. Our adjusted EBITDA was $151.9 million with margins of 3.6% compared to 11.8% last year. Our overall portfolio of geographies and business demonstrated its resilience over the last years. During this time, we experienced all-time highs as well as near-record lows in commodity values. We've also faced dramatic inflation throughout our supply chain, including grain inputs, labor and utilities, along with other distinct challenging economic conditions in each of our regions.