Pilgrim's Pride Corporation
PILGRIMS PRIDE CORP (Form: 8-K, Received: 11/08/2017 06:03:15)


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of report (Date of earliest event reported): November 7, 2017
PILGRIM'S PRIDE CORPORATION
(Exact Name of registrant as specified in its charter)
 
Delaware
1-9273
75-1285071
(State or other jurisdiction of incorporation)
(Commission File Number)
(IRS Employer Identification No.)
 
 
 
1770 Promontory Circle
Greeley, CO
80634-9038
(Address of principal executive offices)
(Zip Code)
Registrant's telephone number, including area code: (970) 506-8000
 
Not Applicable
(Former name or former address, if changed since last report.)
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
 Emerging growth company o
 
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o






Item 2.02 Results of Operations and Financial Condition.
On November 7, 2017 the Registrant issued a press release, a copy of which is attached hereto as Exhibit 99.1 and incorporated herein by reference.
Item 9.01 Financial Statements and Exhibits.
Exhibit 99.1 Press release dated November 7, 2017.






SIGNATURE  
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
 
 
PILGRIM’S PRIDE CORPORATION
 
 
 
 
Date:
November 7, 2017
 
/s/ Fabio Sandri
 
 
 
Fabio Sandri
 
 
 
Chief Financial Officer






Exhibit Index
Exhibit 99.1 Press release dated November 7, 2017.




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Pilgrim’s Pride Reports Operating Income of $372 Million and GAAP EPS of $0.93 for the Third Quarter of 2017

GREELEY, Colo., November 7, 2017 (GLOBE NEWSWIRE) - Pilgrim’s Pride Corporation (NASDAQ: PPC) reports third quarter 2017 financial results.

Third Quarter Highlights
Consolidated numbers reflect Moy Park for the entire quarter, including historical data in accordance to U.S. GAAP.
Net Sales of $2.79 billion (+37.4% versus same quarter last year of $2.03 billion, excluding Moy Park).
Net Income of $232.7 million.
Adjusted Operating Income margins of 16.6% in U.S., 13.4% in Mexico and 4.1% in Europe operations, respectively.
Adjusted EBITDA of $463.6 million (or a 16.6% margin) and Adjusted EPS of $0.98.
Excluding Moy Park: Net Sales was $2.28 billion, Adjusted Operating Income was $367.7 million, Adjusted EBITDA was $427.6 million (or an 18.8% margin).
Acquisition of Moy Park positions us as the global leader in chicken and prepared foods, and aligns with our strategic priorities while providing a strong platform for future growth.
GNP integration is progressing well; operations and profitability significantly improved with synergy captured ahead of expectations.


1



Unaudited (2) , In Millions, Except Per Share and Percentages
 
Thirteen Weeks Ended
 
Sep 24, 2017
 
Sep 25, 2016
 
Change
Net Sales
$2,793.9
 
$2,495.3
 
+12.0%
GAAP EPS
$0.93
 
$0.39
 
+138.5%
Operating Income
$372.2
 
$176.8
 
+110.6%
Adjusted EBITDA (1)
$463.6
 
$237.4
 
+95.3%
Adjusted EBITDA Margin (1)
16.6%
 
9.5%
 
+7.1pts
 
 
 
 
 
 
(1)
Reconciliations for non-GAAP measures are provided in subsequent sections within this release.
(2)
Figures have been adjusted to include full-quarter of Moy Park, in accordance to U.S. GAAP.

“During Q3, our U.S. operations were robust across all business units and Mexico performed even better than our expectations. The results once again demonstrated the strength and diversity of our portfolio of bird sizes, and is what fundamentally differentiates us from the competition, giving us the potential to reduce volatility and generate higher margins over time. Despite greater availability of alternative protein, we saw strong demand for chicken during grilling season and we expect a continuation of chicken as a choice protein in domestic and international markets,” stated Bill Lovette, Chief Executive Officer of Pilgrim's.

“We closed the acquisition of Moy Park last September and are very excited about the potential opportunities in Europe because it creates a stronger, more diverse and more stable global chicken and prepared foods leader in Pilgrim’s. The new European operations align with our strategic priorities as we continue expanding our geographical and brands footprint, and extending our global poultry leadership position into attractive new markets while providing us a strong platform for future growth in the region.”

“We continue to increase GNP performance, and margins have increased by 600 bps since we acquired the business in Q1. The integration is tracking above expectations and we are well ahead in delivering the previously announced $30 million synergy target. Together with the success we had in improving the profitability of the acquired assets in Mexico relative to the legacy operations, we believe we have the method and the team to continue to grow the profitability of our European business.”

Conference Call Information

A conference call to discuss Pilgrim’s quarterly results will be held tomorrow, November 8, at 7:00 a.m. MT (9 a.m. ET). Participants are encouraged to pre-register for the conference call using the link below. Callers who pre-register will be given a unique PIN to gain immediate access to the call and bypass the live operator. Participants may pre-register at any time, including up to and after the call start time.
To pre-register, go to: https://services.choruscall.com/links/ppc3q2017.html

You may also reach the pre-registration link by logging in through the investor section of our website at www.pilgrims.com and clicking on the link under “Upcoming Events.”

For those who would like to join the call but have not pre-registered, access is available by dialing +1 (844) 883-3889 within the US, or +1 (412) 317-9245 internationally, and requesting the “Pilgrim’s Pride Conference.” Please note that to submit a question to management during the call, you must be logged in via telephone.


2



Replays of the conference call will be available on Pilgrim’s website approximately two hours after the call concludes and can be accessed through the “Investor” section of www.pilgrims.com . The webcast will be available for replay through February 8, 2018.

About Pilgrim’s Pride

Pilgrim’s employs approximately 52,000 people and operates chicken processing plants and prepared-foods facilities in 14 states, Puerto Rico, Mexico, the U.K, Ireland and continental Europe. The Company’s primary distribution is through retailers and foodservice distributors. For more information, please visit www.pilgrims.com .

Forward-Looking Statements

Statements contained in this press release that state the intentions, plans, hopes, beliefs, anticipations, expectations or predictions of the future of Pilgrim’s Pride Corporation and its management are considered forward-looking statements. It is important to note that actual results could differ materially from those projected in such forward-looking statements. Factors that could cause actual results to differ materially from those projected in such forward-looking statements include: matters affecting the poultry industry generally; the ability to execute the Company’s business plan to achieve desired cost savings and profitability; future pricing for feed ingredients and the Company’s products; outbreaks of avian influenza or other diseases, either in Pilgrim’s Pride’s flocks or elsewhere, affecting its ability to conduct its operations and/or demand for its poultry products; contamination of Pilgrim’s Pride’s products, which has previously and can in the future lead to product liability claims and product recalls; exposure to risks related to product liability, product recalls, property damage and injuries to persons, for which insurance coverage is expensive, limited and potentially inadequate; management of cash resources; restrictions imposed by, and as a result of, Pilgrim’s Pride’s leverage; changes in laws or regulations affecting Pilgrim’s Pride’s operations or the application thereof; new immigration legislation or increased enforcement efforts in connection with existing immigration legislation that cause the costs of doing business to increase, cause Pilgrim’s Pride to change the way in which it does business, or otherwise disrupt its operations; competitive factors and pricing pressures or the loss of one or more of Pilgrim’s Pride’s largest customers; currency exchange rate fluctuations, trade barriers, exchange controls, expropriation and other risks associated with foreign operations; disruptions in international markets and distribution channel, including anti-dumping proceedings and countervailing duty proceedings; and the impact of uncertainties of litigation as well as other risks described under “Risk Factors” in the Company’s Annual Report on Form 10-K and subsequent filings with the Securities and Exchange Commission. Pilgrim’s Pride Corporation undertakes no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise.








Contact:
Dunham Winoto
 
Director, Investor Relations
 
IRPPC@pilgrims.com
 
(970) 506-8192
 
www.pilgrims.com


3




PILGRIM’S PRIDE CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
 
 
 
September 24, 2017
 
December 25, 2016
 
 
(Unaudited)
 
 
 
 
(In thousands)
Cash and cash equivalents
 
$
401,789

 
$
292,544

Restricted cash
 
4,841

 
4,979

Trade accounts and other receivables, less allowance for doubtful accounts
 
624,802

 
445,553

Accounts receivable from related parties
 
970

 
4,010

Inventories
 
1,196,201

 
975,608

Income taxes receivable
 
16,362

 

Prepaid expenses and other current assets
 
102,914

 
81,932

Assets held for sale
 
2,777

 
5,259

Total current assets
 
2,350,656

 
1,809,885

Other long-lived assets
 
20,007

 
19,260

Identified intangible assets, net
 
620,693

 
471,591

Goodwill
 
995,582

 
887,221

Property, plant and equipment, net
 
2,076,347

 
1,833,985

Total assets
 
$
6,063,285

 
$
5,021,942

 
 
 
 
 
Accounts payable
 
$
743,528

 
$
790,378

Accounts payable to related parties
 
7,091

 
4,468

Accrued expenses and other current liabilities
 
416,476

 
347,021

Income taxes payable
 
191,432

 
27,578

Current maturities of long-term debt
 
61,811

 
15,712

Total current liabilities
 
1,420,338

 
1,185,157

Long-term debt, less current maturities
 
2,548,575

 
1,396,124

Deferred tax liabilities
 
286,038

 
251,807

Other long-term liabilities
 
98,098

 
102,722

Total liabilities
 
4,353,049

 
2,935,810

Common stock
 
2,602

 
307,288

Treasury stock
 
(231,758
)
 
(217,117
)
Additional paid-in capital
 
1,926,386

 
3,100,332

Retained earnings (accumulated deficit)
 
39,606

 
(782,785
)
Accumulated other comprehensive loss
 
(36,517
)
 
(329,858
)
Total Pilgrim’s Pride Corporation stockholders’ equity
 
1,700,319

 
2,077,860

Noncontrolling interest
 
9,917

 
8,272

Total stockholders’ equity
 
1,710,236

 
2,086,132

Total liabilities and stockholders’ equity
 
$
6,063,285

 
$
5,021,942



4




PILGRIM’S PRIDE CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
Thirteen Weeks Ended
 
Thirty-Nine Weeks Ended
 
 
September 24, 2017
 
September 25, 2016
 
September 24, 2017
 
September 25, 2016
 
 
(In thousands, except per share data)
Net sales
 
$
2,793,885

 
$
2,495,281

 
$
8,025,511

 
$
7,507,681

Cost of sales
 
2,315,301

 
2,242,221

 
6,815,701

 
6,632,568

Gross profit
 
478,584

 
253,060

 
1,209,810

 
875,113

Selling, general and administrative expense
 
102,191

 
75,933

 
284,009

 
229,786

Administrative restructuring charges
 
4,147

 
279

 
8,496

 
279

Operating income
 
372,246

 
176,848

 
917,305

 
645,048

Interest expense, net of capitalized interest
 
24,636

 
19,119

 
66,315

 
58,480

Interest income
 
(2,128
)
 
(253
)
 
(3,600
)
 
(2,000
)
Foreign currency transaction gain
 
(888
)
 
4,569

 
(2,500
)
 
(1,769
)
Miscellaneous, net
 
(1,083
)
 
(2,371
)
 
(5,198
)
 
(7,327
)
Nonrecurring items
 

 

 

 

Income before income taxes
 
351,709

 
155,784

 
862,288

 
597,664

Income tax expense
 
113,396

 
53,819

 
278,046

 
202,979

Net income
 
238,313

 
101,965

 
584,242

 
394,685

Less: Net income from Granite Holdings Sàrl prior to
acquisition by Pilgrim's Pride Corporation
 
6,093

 
3,438

 
23,486

 
25,105

Less: Net income (loss) attributable to noncontrolling interests
 
(460
)
 
(130
)
 
514

 
(334
)
Net income attributable to Pilgrim’s Pride Corporation
 
$
232,680

 
$
98,657

 
$
560,242

 
$
369,914

 
 
 
 
 
 
 
 
 
Weighted average shares of common stock outstanding:
 
 
 
 
 
 
 
 
Basic
 
248,753

 
254,460

 
248,732

 
254,607

Effect of dilutive common stock equivalents
 
235

 
460

 
230

 
430

Diluted
 
248,988

 
254,920

 
248,962

 
255,037

 
 
 
 
 
 
 
 
 
Net income attributable to Pilgrim's Pride Corporation per share of
     common stock outstanding:
 
 
 
 
 
 
 
 
Basic
 
$
0.94

 
$
0.39

 
$
2.25

 
$
1.45

Diluted
 
$
0.93

 
$
0.39

 
$
2.25

 
$
1.45



5



PILGRIM’S PRIDE CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
 
 
 
Thirty-Nine Weeks Ended
 
 
September 24, 2017
 
September 25, 2016
 
 
(In thousands)
Cash flows from operating activities:
 
 
 
 
Net income
 
$
584,242

 
$
394,685

Adjustments to reconcile net income to cash provided by operating activities:
 
 
 
 
Depreciation and amortization
 
204,625

 
174,128

Foreign currency transaction loss related to borrowing arrangements
 
6,830

 

Impairment expense
 
4,947

 

Gain on property disposals
 
(540
)
 
(7,315
)
Loss (gain) on equity method investments
 
(44
)
 
194

Share-based compensation
 
2,454

 
5,404

Deferred income tax expense (benefit)
 
25,768

 
(6
)
Changes in operating assets and liabilities:
 
 
 
 
Trade accounts and other receivables
 
(146,477
)
 
(65,649
)
Inventories
 
(149,806
)
 
(18,099
)
Prepaid expenses and other current assets
 
(15,377
)
 
1,990

Accounts payable, accrued expenses and other current liabilities
 
(36,105
)
 
35,346

Income taxes
 
149,063

 
45,789

Long-term pension and other postretirement obligations
 
(9,660
)
 
(8,294
)
Other operating assets and liabilities
 
(1,429
)
 
(6,190
)
Cash provided by operating activities
 
618,491

 
551,983

Cash flows from investing activities:
 
 
 
 
Acquisitions of property, plant and equipment
 
(258,364
)
 
(221,035
)
Business acquisition
 
(658,520
)
 

Proceeds from property disposals
 
2,585

 
12,977

Cash used in investing activities
 
(914,299
)
 
(208,058
)
Cash flows from financing activities:
 
 
 
 
Proceeds from note payable to bank
 

 
36,838

Payments on note payable to bank
 

 
(65,564
)
Proceeds from revolving line of credit and long-term borrowings
 
1,013,662

 
515,292

Payments on revolving line of credit, long-term borrowings and capital lease obligations
 
(609,678
)
 
(504,078
)
Proceeds from equity contribution under Tax Sharing Agreement between JBS USA Food Company Holdings and Pilgrim's Pride Corporation
 
5,038

 
3,691

Payment of capitalized loan costs
 
(4,550
)
 
(693
)
Purchase of common stock under share repurchase program
 
(14,641
)
 
(20,333
)
Cash dividends
 

 
(715,711
)
Cash provided by (used in) financing activities
 
389,831

 
(743,379
)
Increase (decrease) in cash, cash equivalents and restricted cash
 
109,107

 
(428,391
)
Cash, cash equivalents and restricted cash, beginning of period
 
297,523

 
696,553

Cash, cash equivalents and restricted cash, end of period
 
$
406,630

 
$
268,162


6



PILGRIM’S PRIDE CORPORATION
Selected Financial Information
(Unaudited)

“EBITDA” is defined as the sum of net income (loss) plus interest, taxes, depreciation and amortization. “Adjusted EBITDA” is calculated by adding to EBITDA certain items of expense and deducting from EBITDA certain items of income that we believe are not indicative of our ongoing operating performance consisting of: (i) income (loss) attributable to non-controlling interests, (ii) restructuring charges, (iii) reorganization items, (iv) losses on early extinguishment of debt and (v) foreign currency transaction losses (gains). EBITDA is presented because it is used by management and we believe it is frequently used by securities analysts, investors and other interested parties, in addition to and not in lieu of results prepared in conformity with accounting principles generally accepted in the US (“GAAP”), to compare the performance of companies. We believe investors would be interested in our Adjusted EBITDA because this is how our management analyzes EBITDA. The Company also believes that Adjusted EBITDA, in combination with the Company’s financial results calculated in accordance with GAAP, provides investors with additional perspective regarding the impact of certain significant items on EBITDA and facilitates a more direct comparison of its performance with its competitors. EBITDA and Adjusted EBITDA are not measurements of financial performance under GAAP. They should not be considered as an alternative to cash flow from operating activities or as a measure of liquidity or an alternative to net income as indicators of our operating performance or any other measures of performance derived in accordance with GAAP.

PILGRIM'S PRIDE CORPORATION
Reconciliation of Adjusted EBITDA
 
 
 
 
 
 
 
 
(Unaudited)
Thirteen Weeks Ended
 
Thirty-Nine Weeks Ended
 
September 24, 2017
 
September 25, 2016
 
September 24, 2017
 
September 25, 2016
 
(In thousands)
Net income
$
238,313

 
$
101,965

 
$
584,242

 
$
394,685

Add:
 
 
 
 
 
 
 
Interest expense, net
22,508

 
18,866

 
62,715

 
56,480

Income tax expense
113,396

 
53,819

 
278,046

 
202,979

Depreciation and amortization
71,763

 
58,718

 
204,625

 
174,128

Minus:
 
 
 
 
 
 
 
Amortization of capitalized financing costs
1,181

 
970

 
3,129

 
2,859

EBITDA
444,799

 
232,398

 
1,126,499

 
825,413

Add:
 
 
 
 
 
 
 
Foreign currency transaction loss (gains)
(888
)
 
4,569

 
(2,500
)
 
(1,769
)
Acquisition charges
15,039

 

 
15,039

 

Restructuring charges
4,147

 
279

 
8,496

 
279

Minus:
 
 
 
 
 
 
 
   Net income (loss) attributable to noncontrolling interest
(460
)
 
(130
)
 
514

 
(334
)
Adjusted EBITDA
$
463,557

 
$
237,376

 
$
1,147,020

 
$
824,257



7



EBITDA margins have been calculated by taking the relevant unaudited EBITDA figures, then dividing by Net Revenue for the applicable period.

PILGRIM'S PRIDE CORPORATION
Reconciliation of EBITDA Margin
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(Unaudited)
 
Thirteen Weeks Ended
 
Thirty-Nine Weeks Ended
 
Thirteen Weeks Ended
 
Thirty-Nine Weeks Ended
 
 
September 24, 2017
 
September 25, 2016
 
September 24, 2017
 
September 25, 2016
 
September 24, 2017
 
September 25, 2016
 
September 24, 2017
 
September 25, 2016
 
 
(In thousands)
Net income from continuing operations
 
$
238,313

 
$
101,965

 
$
584,242

 
$
394,685

 
8.53
 %
 
4.09
 %
 
7.28
 %
 
5.26
 %
Add:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense, net
 
22,508

 
18,866

 
62,715

 
56,480

 
0.81
 %
 
0.76
 %
 
0.78
 %
 
0.75
 %
Income tax expense
 
113,396

 
53,819

 
278,046

 
202,979

 
4.06
 %
 
2.16
 %
 
3.46
 %
 
2.70
 %
Depreciation and amortization
 
71,763

 
58,718

 
204,625

 
174,128

 
2.57
 %
 
2.35
 %
 
2.55
 %
 
2.32
 %
Minus:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Amortization of capitalized financing costs
 
1,181

 
970

 
3,129

 
2,859

 
0.04
 %
 
0.04
 %
 
0.04
 %
 
0.04
 %
EBITDA
 
444,799

 
232,398

 
1,126,499

 
825,413

 
15.92
 %
 
9.32
 %
 
14.03
 %
 
10.99
 %
Add:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Foreign currency transaction gains
 
(888
)
 
4,569

 
(2,500
)
 
(1,769
)
 
(0.03
)%
 
0.18
 %
 
(0.03
)%
 
(0.02
)%
Acquisition charges
 
15,039

 

 
15,039

 

 
0.54
 %
 
 %
 
0.19
 %
 
 %
Restructuring charges
 
4,147

 
279

 
8,496

 
279

 
0.15
 %
 
0.01
 %
 
0.11
 %
 
 %
Minus:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
   Net income (loss) attributable to noncontrolling interest
 
(460
)
 
(130
)
 
514

 
(334
)
 
(0.02
)%
 
(0.01
)%
 
0.01
 %
 
 %
Adjusted EBITDA
 
$
463,557

 
$
237,376

 
$
1,147,020

 
$
824,257

 
16.59
 %
 
9.52
 %
 
14.28
 %
 
10.98
 %
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net Revenue:
 
$
2,793,885

 
$
2,495,281

 
$
8,025,511

 
$
7,507,681

 
$
2,793,885

 
$
2,495,281

 
$
8,025,511

 
$
7,507,681



8



A reconciliation of net income (loss) attributable to Pilgrim's Pride Corporation per common diluted share to adjusted net income (loss) attributable to Pilgrim's Pride Corporation per common diluted share is as follows:
PILGRIM'S PRIDE CORPORATION
Reconciliation of Adjusted Earnings
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
Thirteen Weeks Ended
 
Thirty-Nine Weeks Ended
 
 
September 24,
2017
 
September 25,
2016
 
September 24,
2017
 
September 25,
2016
 
 
(In thousands, except per share data)
Net income attributable to Pilgrim's Pride Corporation
 
$
232,680

 
$
98,657

 
$
560,242

 
$
369,914

Loss on early extinguishment of debt
 

 

 

 

Acquisition and restructuring charges, net of taxes

12,988

 

 
15,980

 

Foreign currency transaction gains
 
(888
)
 
4,569

 
(2,500
)
 
(1,769
)
Income before loss on early extinguishment of debt and foreign currency transaction gains
 
244,780

 
103,226

 
573,722

 
368,145

Weighted average diluted shares of common stock outstanding
 
248,988

 
254,920

 
248,962

 
255,037

Income before loss on early extinguishment of debt and foreign currency transaction gains
     per common diluted share
 
$
0.98

 
$
0.40

 
$
2.30

 
$
1.44



9



A reconciliation of GAAP earnings per share (EPS) to adjusted earnings per share (EPS) is as follows:

PILGRIM'S PRIDE CORPORATION
Reconciliation of GAAP EPS to Adjusted EPS
(Unaudited)
 
 
 
 
 
 
 
 
 
Thirteen Weeks Ended
 
Thirty-Nine Weeks Ended
 
September 24, 2017
 
September 25, 2016
 
September 24, 2017
 
September 25, 2016
 
(In thousands, except per share data)
GAAP EPS
$
0.93

 
$
0.39

 
$
2.25

 
$
1.45

Loss on early extinguishment of debt

 

 

 

Acquisition and restructuring charges, net of taxes
0.05

 

 
0.06

 

Foreign currency transaction gains

 
0.02

 
(0.01
)
 
(0.01
)
Adjusted EPS
$
0.98

 
$
0.41

 
$
2.30

 
$
1.44

 
 
 
 
 
 
 
 
Weighted average diluted shares of common stock outstanding
248,988

 
254,920

 
248,962

 
255,037



10



PILGRIM'S PRIDE CORPORATION
Supplementary Selected Segment and Geographic Data
 
 
 
 
 
 
 
 
 
 
 
Thirteen Weeks Ended
 
Thirty-Nine Weeks Ended
 
 
September 24, 2017
 
September 25, 2016
 
September 24, 2017
 
September 25, 2016
 
 
(Unaudited)
 
 
 
 
 
 
 
 
(In thousands)
Sources of net sales by country of origin:
 
 
 
 
 
 
 
 
US:
 
$
1,938,542

 
$
1,724,625

 
$
5,557,089

 
$
5,072,351

Mexico:
 
341,018

 
307,096

 
994,568

 
950,622

Europe:
 
514,325

 
463,560

 
1,473,854

 
1,484,708

Total net sales:
 
$
2,793,885

 
$
2,495,281

 
$
8,025,511

 
$
7,507,681

 
 
 
 
 
 
 
 
 
Sources of cost of sales by country of origin:
 
 
 
 
 
 
 
 
US:
 
$
1,561,333

 
$
1,545,289

 
$
4,656,825

 
$
4,470,648

Mexico:
 
286,617

 
276,366

 
822,822

 
818,749

Europe:
 
467,374

 
420,590

 
1,336,123

 
1,343,242

Elimination:
 
(23
)
 
(24
)
 
(69
)
 
(71
)
Total cost of sales:
 
$
2,315,301

 
$
2,242,221

 
$
6,815,701

 
$
6,632,568

 
 
 
 
 
 
 
 
 
Sources of gross profit by country of origin:
 
 
 
 
 
 
 
 
US:
 
$
377,209

 
$
179,336

 
$
900,262

 
$
601,703

Mexico:
 
54,401

 
30,730

 
171,745

 
131,874

Europe:
 
46,951

 
42,970

 
137,734

 
141,466

Elimination:
 
23

 
24

 
69

 
70

Total gross profit:
 
$
478,584

 
$
253,060

 
$
1,209,810

 
$
875,113

 
 
 
 
 
 
 
 
 
Sources of operating income by country of origin:
 
 
 
 
 
 
 
 
US:
 
$
307,962

 
$
141,195

 
$
719,121

 
$
480,280

Mexico:
 
45,692

 
22,603

 
146,241

 
108,856

Europe:
 
18,569

 
13,027

 
51,874

 
55,841

Elimination:
 
23

 
23

 
69

 
71

Total operating income:
 
$
372,246

 
$
176,848

 
$
917,305

 
$
645,048




11