Brazil's JBS posts $86m profit in Q3, reversing year-ago loss

The world's largest meat-packer JBS SA on Thursday posted third-quarter net profits of 356.7 million reais ($85.7 million) as higher meat prices across geographies bolstered results amid an outbreak of African swine fever in Asia.

Adds details from earnings statement

SAO PAULO, Nov 14 (Reuters) - The world's largest meat-packer JBS SA JBSS3.SA on Thursday posted third-quarter net profits of 356.7 million reais ($85.7 million) as higher meat prices across geographies bolstered results amid an outbreak of African swine fever in Asia.

The disease, which killed nearly half of China's pig herd, created a global supply imbalance that has benefited Brazilian food producers.

JBS' net revenues stood at 52.1 billion reais in the period, a 5.6% rise thanks in part to strong sales in the Brazilian market through its Seara processed foods and beef divisions.

Net sales at Seara increased 7.4% to 5.4 billion reais, with a 10% rise in prices helping offset a 2.3% reduction in volumes sold, the company said.

JBS also highlighted a 19% rise in pork exports at the Seara division. The unit's chicken and pork sales to China registered a 46% rise in value in dollar terms, JBS said.

In the U.S. unit, which includes Australia and Canada, net revenue was $5.6 billion, 3.8% higher from a year ago, reflecting mainly a 3.2% price increase while volumes sold remained virtually flat, the company said.

JBS, which is based in Brazil but has a diversified production and export base, said operating income came in at 5.92 billion reais in the period, above a consensus estimate 5.42 billion reais.

($1 = 4.1637 reais)

(Reporting by Ana Mano; Editing by Jon Boyle)

((ana.mano@thomsonreuters.com; Tel: +55-11-5644-7704; Mob: +55-119-4470-4529; Reuters Messaging: ana.mano.thomsonreuters.com@reuters.net))

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