Jbs N.V.

Q3 performance: pressured cycle, but early signs of normalization in parts of portfolio - Management described challenging market conditions: changing global trade flows, poultry margin pressure, and global pork oversupply impacting results. - Reported Q3 net sales: $23.0bn. - Adjusted EBITDA (IFRS): $1.2bn (5.2% margin); excluding mark-to-market biological assets, margin would be ~5.5% (i.e., IFRS results were distorted mainly by U.S. pork biological mark-to-market—no cash impact). - Free cash flow (FCF): -$167m, worsening ~$551m YoY largely due to higher working capital consumption in Brazil (notably grains/chicken inventories) and inventory build tied to China quota fulfillment.

U.S. Beef turnaround: “return to positive EBITDA” and expected sequential improvement - The key operational highlight: U.S. beef returned to positive Adjusted EBITDA (U.S. GAAP) after two tough years. - Structural actions: integrated fed/regional/case-ready under a single management structure, focusing on yields, productivity, maintenance reliability, and cost discipline. - Mexico cattle imports reopening is expected to improve supply/processing balance: - Expected ~1 million head/year of imported cattle from Mexico. - Cattle prices declined from peaks; beef prices stayed relatively resilient. - Outlook asked/answered by management: - Q4 expected stronger than Q3; early Q4 indicators are “promising.” - For 2027, management implied a market with low single-digit margin possibility, with operational improvements/synergies potentially adding ~200 bps+ into next year (per Q&A).

U.S. Pork: still weak—cycle pressure expected to drag into 1H 2027, but improve potential later - Management said U.S. pork conditions deteriorated rapidly in Q3 and are expected to remain challenging into 1H 2027. - Confidence for improvement later in 2027 is tied to global production adjustment: - USDA global production expected to decrease next year (with China sow herd reductions cited: ~40m down to ~36m). - However, pork cycle is shorter than beef; no guarantee that 2H 2027 becomes “great,” but better 2H 2027 is plausible.