Marfrig Global Foods SA

Good morning, ladies and gentlemen. Welcome to MBRF's earnings call to discuss the results for the third quarter of 2025. This conference is being recorded, and a replay will be made available on the company's website at ri.mbrf.com. The presentation is also available for download. At this time, all participants are connected in listen-only mode. Afterwards, we'll begin the Q&A session when further instructions will be provided. Before we proceed, I would like to remind everyone that any forward-looking statements made during this conference call are based on the beliefs and assumptions of MBRF's management, as well as on information currently available to the company. Such statements are subject to risks and uncertainties as they refer to future events and therefore depend on circumstances that may or may not occur investors analysts and members of the press should take into consideration the factors related to the macroeconomic environment the industry and other operational conditions may cause actual effects to differ materially from those expressed in such forward-looking statements Joining us on today's conference call are Mr. Miguel Goulart, CEO, Mr. Tim Klein, CEO of North America Operations, Mr. José Ignacio Scoceria, CFO, and Mr. Fabiano Mariano, Vice President of the Halal Market and future CEO of Sadia Halal. I would like to turn the call over to Mr. Miguel, who will begin the presentation. Please, Mr. Miguel, you may proceed. Good morning, it is with great pleasure that we welcome you to MBRF's earning call for the third quarter of 2025 results. This is our first earnings presentation since the creation of MBRF. The figures reflect the consistency in executing our strategy focused on high performance and value creation. In the third quarter, we achieved an important milestone. We recorded the highest volume since 2022 and the highest consolidated EBITDA of 2025, R$ 3.5 billion with a net income of R$ 94 million. In this quarter, we had investments in innovation, operational excellence, social and environmental responsibility and market diversification, especially in the Middle East, where we strengthened our presence through the expansion of the partnership with HPDC and the creation of Saadia Halal. we remain focused on expanding our active customer base and strengthening an increasingly robust portfolio with high value added products. We continue to uphold our commitment to delivering quality food to consumers around the world now through a 100% integrated multi-protein platform. Now, I'd like to invite our CFO, Jose Ignacio Scoceria, to present this partner's results in detail. I will return afterwards for final remarks.

Good morning, everyone. Thank you very much for joining MBRF's conference call. We will now go over the consolidated results for the third quarter of 2025, which cover the following business segments, North America Beef, South America beef and BRF. I would like to highlight that in Q3 2025, we generated 41.8 billion BRL in consolidated net revenue, a 9.2% increase compared to the same period in 2024. Consolidated adjusted EBITDA totaled 3.5 billion BRL with a consolidated margin of 8.4%. Operating cash flow reached 3.3 billion BRL. Net income came at 94 million BRL. Finally, we closed the quarter with leverage at 3.09 times the EBITDA of the last 12 months. On the next slide, on the left, we show the year-over-year evolution of total and segment volumes. we recorded a 3.7% increase in volume compared to the same period in 2024, driven by the South America beef and BRF operations. On the total net revenue generated in Q3 2025, we reached 41.8 billion. North America beef accounted for 47%, BRF 39%, and South America, 14%. In this third quarter, adjusted EBITDA was 3.5 billion with a margin of 8.4%. BRF accounted for 71%, South America, 18%, and North America, 11%. Currency-wise, 73% of our consolidated revenue was generated in dollars. 25% in BRL. On this quarter's 41.8 billion in revenue, 75% came from international operations. 40% of the sales volume came from processed value-added products. This reinforces the company's geographic diversification and multi-protein portfolio. We will now present the performance by business segment. I'll turn it over to Tim Klein that will talk about the results of the North American approach.

Thank you, Ignacio. Let's begin on slide six where I will comment on the results for the third quarter. Starting on the first chart on the left, sales volume was 6.3% lower than the same period of the previous year. Industry slaughter volume was down 8% as a result of reduced cattle placements and extended feeding periods. Record cattle prices relative to feed cost of gain, coupled with high replacement cattle prices, incentivized cattle feeders to feed cattle longer. As a result, live weights have increased significantly. Net sales were $3.6 billion, an increase of 12.2% versus last year. EBITDA was $74.1 million, 6.4% lower than last year, with an EBITDA margin of 2%. Beef demand in the quarter continues strong in spite of record prices at retail. Although boxed beef prices have increased, it's not enough to offset sharply higher cattle prices. Now I'll move to slide seven where I will talk about U.S. market data. Starting on the left, USDA reported Kansas live cattle prices averaged 235.60 per hundredweight, up 26.7% versus last year. The USDA comprehensive cutout averaged $386.30 per hundredweight, up 23.1%, while the USDA reported drop credit increased 2.7% to an average of $11.76 per hundredweight. The USDA cutout ratio was 1.64 versus 1.69 last year. As expected, the cyclical decline in cattle supplies, exacerbated by drought conditions the last several years, has resulted in record prices and reduced capacity utilization across the industry. We continue to be encouraged by strong beef demand and expect this to continue as we move through this part of the cycle. Now I'll pass to Ignacio.