We decided to create a weekly column to introduce Brazilian companies to the world. There is always something to learn from successful businesses in different industries. This week we’ll show Marfrig.
Marfrig at a glance:
– third biggest Brazilian food processing company (after JBS and Brasil Foods)
– it has an operational base in 22 countries (5 continents) exporting to over 100, and is the fourth largest beef producer in the world
– 90,000 employees
– 2010 revenue: US$14.4B
– 2010 income: US$92M
– Debt: HUGE! Lately, the company has been having issues with its gigantic debt and some are even speculating it could default on it – read here and here. For instance, Marfrig bonds due 2018 trade at 59.89 cents on the dollar, a level that signals traders see a “high probability” of default over the next 12 months. For a complete analysis on the company’s debt, read the Part II of this post here: “Analysis of Marfrig’s Debt and Keystone Sale“.
The full institutional presentation of the company (in English, Oct 2011) can be found here for download.