BRF SA (NYSE:BRFS) Q4 2022 Earnings Conference Call March 1, 2023 8:00 AM ET

Company Participants

Miguel Gularte - Global CEO

Fabio Mariano - Chief Financial & IR Officer

Conference Call Participants

Gustavo Troyano - Itaú BBA

Henrique Brustolin - BTG Pactual

Lucas Ferreira - JPMorgan Chase & Co.

Lucas Mussi - Morgan Stanley

Thiago Bortoluci - Goldman Sachs Group

Ricardo Boiati - Banco Safra

Operator

Good morning, ladies and gentlemen. Welcome to the web conference of BRF to discuss the results related to the fourth quarter of 2022. This web conference is being recorded and the replay may be accessed at the company's website. The presentation is also available for download at ir.brf-global.com. [Operator Instructions].

Before proceeding, I would like to point out that forward-looking statements are based on BRF's beliefs and assumptions and on information currently available to the company. Forward-looking statements may involve risks and uncertainties since they refer to future events and therefore, depend on circumstances that may or not occur. Here with us in the web conference are Mr. Gularte, Global CEO; and Mr. Fabio Mariano, CFO. I would now like to turn the call over to Mr. Miguel Gularte, who will begin the presentation. You may proceed, sir.

Miguel Gularte

Good morning. I would like to thank you all for attending on our fourth quarter 2022 earnings conference call. During this period, we have already begun to reap the benefit of executing the plan drawn up in September of last year with a focus on improving our operating performance. We made progress in virtually all operating indicators with emphasis on feed conversion, manufacturing, productivity, and logistics in addition to expanding the occupation of our industrial assets, providing greater production and sales volume. To present the results for the quarter, I call our CFO Fabio Mariano, I will return shortly to detail our advances and make the final remarks on the release.

Fabio Mariano

Good morning, everyone, attending this event. I point out on the initial page, the main financial indicators for our fourth quarter and full year of 2022, starting with net revenue, an emulation of 8% compared to the same period of the previous year, reaching more than BRL 14 billion in the fourth quarter and BRL 53.8 million in the year, more than 11% growth versus 2021. Just below, I mentioned the performance of adjusted EBITDA amount close to BRL 1 billion in the quarter, reaching BRL 3.9 billion in the year, which results in an EBITDA margin of approximately 7%. The net result for the period was a loss of BRL 601 million when excluding the impact of Leniency agreement and the hyperinflation in Turkey.