STRONG and sustained consumer demand for animal-derived protein is one of the factors behind improved performance in global protein giant JBS’s third quarter financial results delivered this morning.

The overall company, with beef, pork and chicken divisions in North and South America and Australia, posted a group profit of US$644 million for the quarter ended 30 September, down from $756m for the same period last year.

Revenue jumped 13pc to $22.7 billion, up 1pc year-on-year, and above analysts expectations

Adjusted pre-tax earnings (IFRS) reached $1.18b, down 36pc on last year.

The company’s beef business in North America grew revenue by 15pc, boosted by robust sales in the US. Brazil and Australia, US Pork and Seara value-added divisions also posted growth.

The escalation of geopolitical tensions in the Middle East increased macro-economic uncertainty and volatility in energy and commodity markets during the quarter ended September 30, shareholders were told. This affected JBS’s cost structure, primarily in relation to supplies, including packaging materials, freight and the use of alternative freight routes.

During the reporting period, the Group incurred additional costs related to these effects.

JBS Australia

JBS’s Australian operations, covering beef, lamb, pork, smallgoods and aquaculture, saw profitability pressured during the quarter by a more challenging environment in the beef business.

Australian sales for the quarter reached US$2.49b, up 13.7pc on last year, while Q3 adjusted pre-tax profit at $198m was 20.6pc behind last year.  Margin fell from 9.1pc (GAAP) in the third quarter last year to 7.4pc last quarter.

Australian export performance was impacted by the completion of quotas in key markets, including China and South Korea, as well as lower shipments to the US, shareholders were told.

Higher Australian cattle and lamb livestock costs also weighed on results, reflecting continued rainfall across key livestock-producing regions, with lamb prices reaching record levels during the quarter.

While these conditions pressured profitability in the short term, improved pasture conditions were supportive of livestock availability over the longer term, JBS said.

At the beginning of the fourth quarter, Chinese demand strengthened as customers began securing volumes for the 2027 quota year.

JBS USA Beef

In its North American Beef division operations, JBS continued to see an improving operating environment throughout the quarter. Net sales reached US$7.55b, up 4.3pc on last year.

Industry processing capacity adjustments, together with the reopening of key US-Mexico cattle border crossings, with heavier cattle reaching processors more quickly, and robust beef demand, supported the recovery in profitability, JBS said.

A combination of factors supported a sequential improvement in margins throughout the quarter, from negative 2.9pc in July to breakeven in August and positive 3.9pc in September, shareholders were told.

JBS Brazil

JBS Brazil reported lower net sales last quarter compared to the prior year, mainly reflecting lower export volumes, particularly to China, following the filling of Brazil’s 2026 Chinese quota.

In the Brazilian domestic market, higher sales reflected strong commercial execution, supported by the continued expansion of Friboi+, the company’s retailer relationship program, and a broader value-added product portfolio.

Additionally, profitability in Brazil was also impacted by higher cattle prices during the quarter.