LUBBOCK, Texas (RFD NEWS) — JBS posted record second-quarter revenue while tight U.S. cattle supplies continued squeezing beef-processing margins. Companywide sales reached $23.9 billion, up 14 percent from last year, but JBS recorded a $102 million net loss.
JBS Beef North America generated record sales of $7.77 billion, up 14 percent, but adjusted earnings remained negative. Higher live cattle prices outpaced beef cutout values as limited cattle availability continued pressuring packer margins.
The company also announced Monday that Souderton, Pennsylvania, will stop beef harvesting and processing August 14 but remain open as a value-added operation. About 400 jobs will remain, with JBS planning more than $30 million in investment over 10 years.
JBS expects Mexican cattle imports to begin resuming August 24, potentially improving supplies for U.S. beef plants. The company has also consolidated several U.S. beef divisions as it works to improve efficiency during the cattle shortage.
JBS separately named Wesley Batista its next chief executive beginning January 2027. Current CEO Gilberto Tomazoni will become vice chairman and senior adviser as the company continues expanding globally.
