PILGRIMS PRIDE CORP
For the period ended Sep 28, 2025. Filed Oct 30, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 28, 2025 · Filed Oct 30, 2025
PPC$28.53-0.3%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-06-29; filed 2025-07-31.
0000802481-25-000110
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-09-28; filed 2025-10-30.
0000802481-25-000143
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 91 previous paragraphs and 92 current paragraphs.
36 unchanged; 51 reworded; 4 added; 3 removed; 1 previous and 1 current paragraphs rearranged.
Tables are not compared: 20 previous and 20 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (4)
Current report
While demand remained strong in retail and foodservice, supply outpaced expectations. Elevated egg sets and placements compared to prior year levels drove an increase in headcount. Additionally, improvements in hatchability, liveability, and average liveweights contributed to a 2.5% year-over-year increase in ready-to-cook volumes. The imbalance between supply and demand led to sharp declines in U.S. chicken market pricing by the end of the third quarter. As a result of the market pressures, jumbo cutout pricing fell below prior year levels, though remained above the historical five-year average.
Current report
Mexico Reportable Segment. SG&A expense incurred by our Mexico reportable segment during the three months ended September 28, 2025 decreased $0.5 million, or 3.3%, from SG&A expense incurred by our Mexico segment during the three months ended September 29, 2024 primarily due to a decrease in benefits costs, partially offset by an increase in marketing costs.
Current report
Nine Months Ended September 28, 2025 Compared to the Nine Months Ended September 29, 2024
Current report
Europe Reportable Segment. Cost of sales incurred by our Europe operations during the nine months ended September 28, 2025 increased $93.8 million, or 2.7%, from cost of sales incurred by our Europe segment during the nine months ended September 29, 2024. The increase in cost of sales was primarily driven by an increase in cost per pound sold and the unfavorable impact of foreign currency translation of $147.6 million, or 4.2 percentage points, and $100.7 million, or 2.9 percentage points, respectively, partially offset by a decrease in sales volume of $154.5 million, or 4.4 percentage points. The increase in cost per pound sold was driven by inflationary impacts of raw materials.
Removed paragraphs (3)
Previous report
Combined domestic volume demand growth in retail and foodservice was sufficient to absorb broiler production and maintain low levels of cold storage supply through April and May, supporting strong seasonal improvements in U.S. chicken market pricing. In June, however, supply began to outpace demand, leading to a notable reduction in breast meat market prices by the end of the quarter. Despite this shift, jumbo cutout pricing ended the quarter above the historical five-year average with jumbo cutout pricing leveling off in July.
Previous report
Six Months Ended June 29, 2025 Compared to the Six Months Ended June 30, 2024
Previous report
Europe Reportable Segment. Cost of sales incurred by our Europe operations during the six months ended June 29, 2025 decreased $1.0 million, from cost of sales incurred by our Europe segment during the six months ended June 30, 2024. The decrease in cost of sales was primarily driven by decreases in sales volume and cost per pound sold of $51.7 million, or 2.2 percentage points, and $5.8 million, or 0.2 percentage points, respectively. Partially offsetting these decreases was the unfavorable impact of foreign currency translation of $56.5 million, or 2.4 percentage points.
Reworded paragraphs (51)
Previous wording
Pilgrim’s Pride Corporation (referred to herein as “Pilgrim’s,” “PPC,” “the Company,” “we,” “us,” “our,” or similar terms) is one of the largest chicken producers in the world, with operations in the United States (“U.S.”), the United Kingdom (“U.K.”), Mexico, France, Puerto Rico, the Netherlands and the Republic of Ireland. We reported net income attributable to Pilgrim’s of $651.6 million, or $2.73 per diluted common share, and income before tax totaling $866.0 million, for the six months ended June 29, 2025. These operating results included net sales of $9.2 billion, gross profit of $1.3 billion and $622.1 million of cash provided by operating activities. We generated a consolidated operating margin of 9.9%. For the six months ended June 29, 2025, we generated EBITDA and Adjusted EBITDA of $1.1 billion and $1.2 billion, respectively. A reconciliation of net income to EBITDA and Adjusted EBITDA is included below.
Current wording
Pilgrim’s Pride Corporation (referred to herein as “Pilgrim’s,” “PPC,” “the Company,” “we,” “us,” “our,” or similar terms) is one of the largest chicken producers in the world, with operations in the United States (“U.S.”), the United Kingdom (“U.K.”), Mexico, France, Puerto Rico, the Netherlands and the Republic of Ireland. We reported net income attributable to Pilgrim’s of $994.4 million, or $4.17 per diluted common share, and income before tax totaling $1.3 billion, for the nine months ended September 28, 2025. These operating results included net sales of $14.0 billion, gross profit of $1.9 billion and $1.1 billion of cash provided by operating activities. We generated a consolidated operating margin of 10.1%. For the nine months ended September 28, 2025, we generated EBITDA and Adjusted EBITDA of $1.7 billion and $1.9 billion, respectively. A reconciliation of net income to EBITDA and Adjusted EBITDA is included below.
Previous wording
Our business is subject to global inflationary trends. U.S. inflation rose slightly during the second quarter of 2025 driven by policy changes, supply chain dynamics, and consumer spending behavior. The U.K. saw an increase in inflation during the second quarter of 2025 due to higher energy costs and increase in wages, while the E.U. region saw a continued decrease in the inflation rate. The Russia-Ukraine war's impact on the global feed ingredient and energy markets continues to be less pronounced than during the initial onset of the war, but there remain many risks and uncertainties that may impact global markets. In Mexico, inflation continued to increase during the second quarter of 2025 partially driven by increased food prices. The peso strengthened against the U.S. dollar during the second quarter of 2025, although future trends will be impacted by economic uncertainties in Mexico and with their primary trading partners, such as the U.S.
Current wording
Our business is subject to global inflationary trends. U.S. inflation rose in August, then slightly decreased in September ending third quarter flat relative to end of the second quarter levels, and slightly above prior year levels. The fluctuations in the third quarter were driven by policy changes, supply chain dynamics, and consumer spending behavior. U.K. inflation remained relatively stable at elevated levels during the third quarter of 2025. The E.U. region also saw a slight increase in the inflation rate during the third quarter of 2025 driven by increased food prices. The Russia-Ukraine war's impact on the global feed ingredient and energy markets continues to be less pronounced than during the initial onset of the war, but there remain many risks and uncertainties that may impact global markets. In Mexico, inflation rose gradually during the third quarter of 2025 partially driven by increased food prices. The peso continued to strengthen against the U.S. dollar during the third quarter of 2025, although future trends will be impacted by economic uncertainties in Mexico and with their primary trading partners, such as the U.S.
Previous wording
U.S. commodity market prices for chicken products continued to trend above the historical five-year average and above the prior year average through the second quarter of 2025. The higher than average prices was primarily driven by elevated boneless breast pricing that exceeded normal seasonal movements throughout the quarter. Prices rose sharply in April, stabilized and peaked in May, then experienced a significant decline in June. Per the June 2025 U.S. Department of Agriculture (or “USDA”) report on poultry slaughter, estimated industry ready-to-cook production during the second quarter of 2025 decreased by 0.2% compared to prior year levels, primarily due to one additional business day in May 2024 and heavier average liveweights.
Current wording
U.S. commodity market prices for chicken products during the three months ended September 28, 2025, trended below prior year levels, but remained above the historical five-year average. Boneless breast prices started the quarter above prior year level and the historical five-year average, but dropped later in the quarter as supply outpaced demand. Prices rose slightly in July before declining rapidly from late August through September. Per the September 2025 U.S. Department of Agriculture (or “USDA”) report on poultry slaughter, estimated industry ready-to-cook production during the third quarter of 2025 increased by 2.5% compared to prior year levels, primarily driven by increased egg sets and chick placements, along with improved live performance resulting in increased headcount and heavier average liveweights.
Previous wording
During the second quarter of 2025, the U.S. chicken market experienced firm volume demand, supported by growth in the retail and foodservice channels early in the quarter. Retail demand remained resilient throughout the quarter, while foodservice demand exhibited growth despite mild demand pressure near the end of the quarter. Export volume shipments declined about 1.8% from prior year levels, but pricing remained stable on resilient demand. Considering the strength in domestic demand and steady exports, cold storage inventories remained low during the second quarter. Chicken cold storage inventories ended May 1.0% above prior year levels, though remained below the historical five-year average, primarily due to increases in breast meat and wing stocks.
Current wording
During the third quarter of 2025, the U.S. chicken market experienced firm volume demand, supported by growth in the retail and foodservice channels early in the quarter. Toward the end of the quarter, a typical seasonal slowdown emerged. Retail demand remained resilient throughout the quarter driven by chicken's relative affordability compared to other proteins. Foodservice demand also performed well, supported by operators leveraging chicken's value proposition to expand menu offerings and attract cost-conscious customers. Export volume shipments declined about 1.7% from prior year levels, but pricing remained favorable and above prior year levels. As excess supply began to pressure chicken pricing, cold storage inventories rose by 4.3% in August, primarily driven by increased breast meat and wing stocks. Despite these increases in stock levels, inventory levels remained below the historical five-year average, consistent with trends throughout 2024.
Previous wording
In the second quarter of 2025, the U.K. chicken market grew by 2.1% year-over-year, primarily driven by a 3.7% increase in average bird weight. Imports from the E.U. were constrained due to avian influenza outbreaks, but increased volumes from Brazil and Ukraine helped offset the shortfall. Despite stable grain prices compared to the second quarter of 2024, chicken prices rose, driven by production capacity constraints and the implementation of a mandated reduction in stocking density to 30kg/m². The market remains tight, with limited domestic flexibility and continued reliance on diversified import sources to maintain supply stability.
Current wording
In the third quarter of 2025, the U.K. chicken market reduced slightly year-over-year, primarily driven by an increase in production costs. Imports from the E.U. were constrained due to avian influenza outbreaks, but increased volumes from Brazil and Ukraine helped offset the shortfall. Despite stable grain prices compared to the third quarter of 2024, chicken prices rose, driven by production capacity constraints and the implementation of a mandated reduction in stocking density to 30kg/m². The market remains tight, with limited domestic flexibility as U.K. headkill is down slightly with increased supply from imports supplementing the market. In the retail channel, poultry demand is outpacing demand in the meat, fish and poultry category and prices are increasing as a result of higher welfare products.
Previous wording
Commodity prices for chicken in Mexico decreased during the second quarter of 2025, though were above the average prior year prices. Market corn prices in Mexico were higher than the same quarter in the prior year though remained lower than the historical five-year average price levels. Soybean meal prices in Mexico continued to decrease throughout the second quarter of 2025.
Current wording
Commodity prices for chicken in Mexico decreased during the third quarter of 2025, though rose again later in the quarter and ended above average prior year prices. Market corn prices in Mexico were slightly higher than the same quarter in the prior year though remained lower than the historical five-year average price levels. Soybean meal prices in Mexico continued to decrease throughout the third quarter of 2025.
Previous wording
U.K. market prices for pork products grew during the second quarter of 2025 from market pressure, especially the additional national insurance tax and wage increase; while the market for live pigs reduced circa 2.3% with an increasing price differential between U.K. and E.U. pork prices. E.U. pork prices recovered during the second quarter of 2025, primarily because of the reinstatement of Germany's foot and mouth disease-free status, which put more product into the market.
Current wording
U.K. market prices for pork products remained steady during the third quarter of 2025; while the market for live pigs increased slightly due to domestic demand and an increasing price differential between U.K. and E.U. pork prices. E.U. pork prices declined during the third quarter of 2025, primarily due to pressure from increases in supply earlier in the year after the reinstatement of Germany's foot and mouth disease-free status. E.U. pork prices are also under pressure as the Chinese market is softening, leading to reduced demand and lower prices on E.U. exports.
Previous wording
U.K. pig production remained above prior-year levels by approximately 1.6% in the second quarter of 2025, according to the U.K. Agriculture and Horticulture Development Board. This increase was mainly driven by a higher pig kill rate, with average weights in line with prior year levels.
Current wording
U.K. pig production declined slightly below prior-year levels by approximately 1.3% in the third quarter of 2025, according to the U.K. Agriculture and Horticulture Development Board. This decrease was mainly driven by the prior year having an exceptionally high production level.
Previous wording
Global market prices for the remainder of the year will depend on (1) the evolution of foodservice, retail and export meat demand, (2) factors such as feed production input costs, further spread of avian influenza, or other bird diseases, both domestically and abroad, (3) uncertainty surrounding the general economy, (4) shifts in trade policy that could influence consumer spending dynamics in price-sensitive market segments, and (5) overall protein supply.
Current wording
Global market prices for the remainder of the year will depend on (1) the evolution of foodservice, retail and export meat demand, (2) factors such as feed production input costs, further spread of avian influenza, or other bird diseases, both domestically and abroad, (3) uncertainty surrounding the general economy, (4) shifts in trade policy that could influence consumer spending dynamics in price-sensitive market segments, and (5) overall meat protein supply.
Previous wording
On July 30, 2025, the Company declared a special dividend of $2.10 per share, to stockholders of record as of August 20, 2025. The Company will fund the special cash dividend using cash on hand. The special cash dividend is payable on September 3, 2025 for an approximate amount of $500.0 million.
Current wording
On July 30, 2025, the Company declared a special dividend of $2.10 per share, to stockholders of record as of August 20, 2025. On September 3, 2025, the Company paid that special dividend from retained earnings of approximately $500.0 million. The Company used cash on hand to fund the special cash dividend.
Previous wording
Net sales. Net sales generated in the three months ended June 29, 2025 increased $198.1 million, or 4.3%, from net sales generated in the three months ended June 30, 2024. The following table provides net sales information:
Current wording
Net sales. Net sales generated in the three months ended September 28, 2025 increased $174.4 million, or 3.8%, from net sales generated in the three months ended September 29, 2024. The following table provides net sales information:
Previous wording
U.S. Reportable Segment. U.S. net sales generated in the three months ended June 29, 2025 increased $156.4 million, or 5.9%, from U.S. net sales generated in the three months ended June 30, 2024 primarily due to an increase in net sales per pound of $125.5 million, or 4.7 percentage points, and an increase in sales volume of $30.9 million, or 1.2 percentage points. The increase in net sales per pound was driven primarily by favorable market pricing conditions and shift in product mix. The second quarter average commodity chicken market prices for higher value cuts were above prior year levels.
Current wording
U.S. Reportable Segment. U.S. net sales generated in the three months ended September 28, 2025 increased $63.2 million, or 2.3%, from U.S. net sales generated in the three months ended September 29, 2024 primarily due to an increase in sales volume of $131.0 million, or 4.7 percentage points, partially offset by a decrease in sales price per pound of $67.8 million, or 2.4 percentage points. The increase in sales volume was across multiple business units. The decrease in sales price per pound was driven by declining commodity market prices.
Previous wording
Europe Reportable Segment. Europe net sales generated inthe three months ended June 29, 2025 increased $69.7 million, or 5.4%, from Europe net sales generated in the three months ended June 30, 2024 primarily due to the favorable impact of foreign currency translation and an increase in net sales per pound of $73.7 million, or 5.7 percentage points, and $25.9 million, or 2.0 percentage points, respectively. The increase in net sales was partially offset by a decrease in sales volume of $29.9 million, or 2.3 percentage points. The increase in net sales per pound was primarily due to the pass through of higher input costs, such as feed, labor, and utilities.
Current wording
Europe Reportable Segment. Europe net sales generated inthe three months ended September 28, 2025 increased $84.4 million, or 6.4%, from Europe net sales generated in the three months ended September 29, 2024 due to an increase in sales price per pound and the favorable impact of foreign currency translation of $83.8 million, or 6.4 percentage points, and $50.9 million, or 3.8 percentage points, respectively, partially offset by a decrease in sales volume of $50.3 million, or 3.8 percentage points. The increase in sales price per pound was primarily due to the pass through of higher input costs, such as feed, labor, and utilities.
Previous wording
Mexico Reportable Segment. Mexico net sales generated in the three months ended June 29, 2025 decreased $28.1 million, or 4.7%, from Mexico net sales generated in the three months ended June 30, 2024 due to the unfavorable impact of foreign currency translation of $73.5 million, or 12.3 percentage points. This decrease was partially offset by an increase in net sales per pound and sales volume of $42.9 million, or 7.2 percentage points, and $2.5 million, or 0.4 percentage points, respectively. The increase in net sales per pound was driven by an increase in commodity chicken prices based on market requirements. The increase in sales volume was driven by shifts in product mix.
Current wording
Mexico Reportable Segment. Mexico net sales generated in the three months ended September 28, 2025 increased $26.8 million, or 5.3%, from Mexico net sales generated in the three months ended September 29, 2024 due to an increase in sales volume, the favorable impact of foreign currency translation, and sales price per pound of $15.7 million, or 3.1 percentage points, $8.1 million, or 1.6 percentage points, and $3.0 million, or 0.6 percentage points, respectively. The increase in sales price per pound was driven by an increase in commodity chicken prices based on market requirements.
Previous wording
Gross profit and cost of sales. Gross profit increased by $23.7 million, or 3.4%, from $691.6 million generated in the three months ended June 30, 2024 to $715.3 million generated in the three months ended June 29, 2025. The following tables provide information regarding gross profit and cost of sales information:
Current wording
Gross profit and cost of sales. Gross profit decreased by $24.6 million, or 3.6%, from $684.0 million generated in the three months ended September 29, 2024 to $659.4 million generated in the three months ended September 28, 2025. The following tables provide information regarding gross profit and cost of sales information:
Previous wording
U.S. Reportable Segment. Cost of sales incurred by our U.S. operations during the three months ended June 29, 2025 increased $119.5 million, or 5.4%, from cost of sales incurred by our U.S. segment during the three months ended June 30, 2024. The increase in cost of sales was primarily driven by an increase in cost per pound sold of $93.8 million, or 4.2 percentage points and an increase in sales volume of $25.7 million, or 1.2 percentage points. The increase from prior year in cost per pound sold is primarily due to increased fleet, grower pay, labor, packaging, utilities, and other operating costs. These increases were partially offset by a decrease in live operations costs driven by declining feed ingredients costs, specifically soybean meal. Corn market prices increased approximately 9% from prior year levels and soybean meal market prices decreased approximately 16% from prior year levels.
Current wording
U.S. Reportable Segment. Cost of sales incurred by our U.S. operations during the three months ended September 28, 2025 increased $72.9 million, or 3.2%, from cost of sales incurred by our U.S. segment during the three months ended September 29, 2024. The increase in cost of sales was primarily driven by an increase in sales volume of $107.8 million, or 4.7 percentage points, partially offset by a decrease in cost per pound sold of $34.9 million, or 1.5 percentage points. The decrease from prior year in cost per pound sold is primarily due to decreased live operations costs driven by declining feed ingredients costs, specifically soybean meal. Soybean meal market prices decreased approximately 21% from prior year levels, while corn market prices increased approximately 5% from prior year levels.
Previous wording
Europe Reportable Segment. Cost of sales incurred by our Europe operations during the three months ended June 29, 2025 increased $59.5 million, or 5.0%, from cost of sales incurred by our Europe segment during the three months ended June 30, 2024. The increase in cost of sales was primarily driven by the unfavorable impact of foreign currency translation and an increase in cost per pound sold of $67.5 million, or 5.7 percentage points, and $19.3 million, or 1.6 percentage points, respectively. Partially offsetting these increases was a decrease in sales volume of $27.3 million, or 2.3 percentage points. The increase in cost per pound sold was driven by increases in labor costs, both from higher national insurance costs and higher temporary labor, repairs and maintenance, and utilities costs.
Current wording
Europe Reportable Segment. Cost of sales incurred by our Europe operations during the three months ended September 28, 2025 increased $94.9 million, or 8.1%, from cost of sales incurred by our Europe segment during the three months ended September 29, 2024. The increase in cost of sales was primarily driven by an increase in cost per pound sold and the unfavorable impact of foreign currency translation of $95.4 million, or 8.1 percentage points, and $44.7 million or 3.8 percentage points, respectively, partially offset by a decrease in sales volume of $45.2 million, or 3.8 percentage points. The increase in cost per pound sold was driven by increases in labor costs, both from higher national insurance costs and higher temporary labor, repairs and maintenance, and utilities costs.
Previous wording
Mexico Reportable Segment. Cost of sales incurred by our Mexico operations during thethree months ended June 29, 2025 decreased $4.6 million, or 1.0%, from cost of sales incurred by our Mexico segment during the three months ended June 30, 2024. This decrease was driven by the favorable impact of foreign currency translation of $60.3 million, or 12.9 percentage points. Partially offsetting this decrease were increases in cost per pound sold and sales volume of $53.7 million, or 11.5 percentage points, and $2.0 million, or 0.4 percentage points, respectively. The increase in cost was primarily driven by an increase in the cost of commodity ingredients, as well as increased costs from broiler health challenges in our live operations.
Current wording
Mexico Reportable Segment. Cost of sales incurred by our Mexico operations during thethree months ended September 28, 2025 increased $31.2 million, or 7.0%, from cost of sales incurred by our Mexico segment during the three months ended September 29, 2024. The increase in cost of sales was driven primarily by an increase in sales volume, cost per pound sold, and the unfavorable impact of foreign currency translation of $13.8 million, or 3.1 percentage points, $10.1 million, or 2.3 percentage points, and $7.3 million, or 1.6 percentage points, respectively. The increase in cost was primarily driven by broiler health challenges in our live operations.
Previous wording
Operating income and SG&A expense. Operating income increased by $71.5 million, or 16.2%, from income of$440.8 million generated in the three months ended June 30, 2024 to income of $512.3 million generated in the three months ended June 29, 2025. The following tables provide information regarding operating income and selling, general and administrative (“SG&A”) expense:
Current wording
Operating income and SG&A expense. Operating income decreased by $15.7 million, or 3.1%, from income of$508.4 million generated in the three months ended September 29, 2024 to income of $492.6 million generated in the three months ended September 28, 2025. The following tables provide information regarding operating income and selling, general and administrative (“SG&A”) expense:
Previous wording
U.S. Reportable Segment. SG&A expense incurred by our U.S. reportable segment during the three months ended June 29, 2025 decreased $10.1 million, or 7.0%, from SG&A expense incurred by our U.S. reportable segment during the three months ended June 30, 2024. The decrease in SG&A expense resulted primarily from a net decrease in legal settlement expense.
Current wording
U.S. Reportable Segment. SG&A expense incurred by our U.S. reportable segment during the three months ended September 28, 2025 increased $26.1 million, or 35.7%, from SG&A expense incurred by our U.S. reportable segment during the three months ended September 29, 2024. The increase in SG&A expense resulted primarily from a net increase in legal settlement expense and incentive compensation costs.
Previous wording
Europe Reportable Segment. SG&A expense incurred by our Europe reportable segment during the three months ended June 29, 2025 decreased $3.0 million, or 5.6%, from SG&A expense incurred by our Europe segment during the three months ended June 30, 2024. The decrease in SG&A expense was primarily due to a decrease in payroll costs, partially offset by an unfavorable impact of foreign currency translation.
Current wording
Europe Reportable Segment. SG&A expense incurred by our Europe reportable segment during the three months ended September 28, 2025 decreased $5.3 million, or 9.6%, from SG&A expense incurred by our Europe segment during the three months ended September 29, 2024. The decrease in SG&A expense was primarily due to a decrease in payroll and benefit costs, partially offset by an unfavorable impact of foreign currency translation.
Previous wording
Restructuring activities. Restructuring activities costs of $3.5 million were recognized in the three months ended June 29, 2025. These charges were incurred by our Europe reportable segment primarily as a result of severance related to back office consolidation.
Current wording
Restructuring activities. Restructuring activities costs of $1.8 million were recognized in the three months ended September 28, 2025. These charges were incurred by our Europe reportable segment primarily as a result of severance related to back office consolidation activities.
Previous wording
Net interest expense. Net interest expense increased to $31.5 million recognized in the three months ended June 29, 2025 from $15.3 million recognized in the three months ended June 30, 2024. The increase in net interest expense resulted primarily from a prior year gain recognized on early extinguishment of debt and a decrease in interest income earned on excess cash due to lower cash balances in the current year. Partially offsetting these increases in net interest expense was a decrease in interest expense on outstanding borrowings due to the repurchases of outstanding debt.
Current wording
Net interest expense. Net interest expense increased to $29.0 million recognized in the three months ended September 28, 2025 from $19.5 million recognized in the three months ended September 29, 2024. The increase in net interest expense resulted primarily from a decrease in interest income earned on excess cash due to lower cash balances in the current year. Partially offsetting the increase in net interest expense was a decrease in interest expense on outstanding borrowings due to the repurchases of outstanding debt.
Previous wording
Income taxes. Income tax expense increased to $119.6 million, a 25.1% effective tax rate, for the three months ended June 29, 2025 compared to an income tax expense of $100.7 million, a 23.6% effective tax rate, for the three months ended June 30, 2024. The increase in income tax expense in 2025 resulted primarily from the increase of profit before income taxes.
Current wording
Income taxes. Income tax expense decreased to $118.3 million, a 25.6% effective tax rate, for the three months ended September 28, 2025 compared to an income tax expense of $131.6 million, a 27.3% effective tax rate, for the three months ended September 29, 2024. The decrease in income tax expense in 2025 resulted primarily from the decrease of profit before income taxes.
Previous wording
Net sales. Net sales generated in the six months ended June 29, 2025 increased $299.1 million, or 3.4%, from net sales generated in the six months ended June 30, 2024. The following table provides net sales information:
Current wording
Net sales. Net sales generated in the nine months ended September 28, 2025 increased $473.5 million, or 3.5%, from net sales generated in the nine months ended September 29, 2024. The following table provides net sales information:
Previous wording
U.S. Reportable Segment. U.S. net sales generated in the six months ended June 29, 2025 increased $320.3 million, or 6.1%, from U.S. net sales generated in the six months ended June 30, 2024 primarily due to an increase in net sales per pound and an increase in sales volume of $241.0 million, or 4.6 percentage points, and $79.3 million, or 1.5 percentage points, respectively. The increase in net sales per pound was driven primarily by favorable market pricing conditions and shift in consumer demand to higher value products.
Current wording
U.S. Reportable Segment. U.S. net sales generated in the nine months ended September 28, 2025 increased $383.5 million, or 4.8%, from U.S. net sales generated in the nine months ended September 29, 2024 primarily due to an increase in sales volume and sales price per pound of $208.4 million, or 2.6 percentage points, and $175.1 million, or 2.2 percentage points, respectively. The increase in sales price per pound was driven primarily by favorable market pricing conditions and shift in consumer demand to higher value products.
Previous wording
Europe Reportable Segment. Europe net sales generated inthe six months ended June 29, 2025 increased $33.4 million, or 1.3%, from Europe net sales generated in the six months ended June 30, 2024 primarily due to the favorable impact of foreign currency translation and an increase in net sales per pound of $61.5 million, or 2.4 percentage points, and $28.1 million, or 1.1 percentage points, respectively. The increase in net sales was partially offset by a decrease in sales volume of $56.2 million, or 2.2 percentage points. The increase in net sales per pound was primarily due to the pass through of higher input costs, such as feed, labor, and utilities.
Current wording
Europe Reportable Segment. Europe net sales generated inthe nine months ended September 28, 2025 increased $117.7 million, or 3.0%, from Europe net sales generated in the nine months ended September 29, 2024 primarily due to an increase in sales price per pound and the favorable impact of foreign currency translation of $176.4 million, or 4.5 percentage points, and $110.5 million, or 2.9 percentage points, respectively, partially offset by a decrease in sales volume of $169.2 million, or 4.4 percentage points. The increase in sales price per pound was primarily due to the pass through of higher input costs, such as feed, labor, and utilities.
Previous wording
Mexico Reportable Segment. Mexico net sales generated in the six months ended June 29, 2025 decreased $54.5 million, or 4.9%, from Mexico net sales generated in the six months ended June 30, 2024 primarily due to the unfavorable impact of foreign currency translation of $175.4 million, or 15.8 percentage points. The decrease in net sales was partially offset by increases in net sales per pound and sales volume of $116.4 million, or 10.5 percentage points, and $4.5 million, or 0.4 percentage points, respectively. The decrease due to the unfavorable impact of foreign currency translation was driven by a year-over-year depreciation of 17% in the Mexican peso against the U.S. dollar due to inflation in the Mexican economy, along with uncertainties impacting the exchange rate. The increase in price per pound sold was driven by an increase in commodity chicken pricing due to increased local consumer demand and lower supply due to bird disease.
Current wording
Mexico Reportable Segment. Mexico net sales generated in the nine months ended September 28, 2025 decreased $27.7 million, or 1.7%, from Mexico net sales generated in the nine months ended September 29, 2024 primarily due to the unfavorable impact of foreign currency translation of $161.2 million, or 10.0 percentage points, partially offset by an increase in sales price per pound and an increase in sales volume of $111.8 million, or 7.0 percentage points, and $21.7 million, or 1.3 percentage points, respectively. The decrease due to the unfavorable impact of foreign currency translation was driven by a year-over-year depreciation of 10% in the Mexican peso against the U.S. dollar due to inflation in the Mexican economy, along with uncertainties impacting the exchange rate. The increase in price per pound sold was driven by an increase in commodity chicken pricing due to increased local consumer demand and lower supply due to bird disease.
Previous wording
Gross profit and cost of sales. Gross profit increased by $194.6 million from $1.1 billion generated in the six months ended June 30, 2024 to $1.3 billion generated in the six months ended June 29, 2025. The following tables provide information regarding gross profit and cost of sales information:
Current wording
Gross profit and cost of sales. Gross profit increased by $170.0 million from $1.76 billion generated in the nine months ended September 29, 2024 to $1.93 billion generated in the nine months ended September 28, 2025. The following tables provide information regarding gross profit and cost of sales information:
Previous wording
U.S. Reportable Segment. Cost of sales incurred by our U.S. operations during the six months ended June 29, 2025 increased $133.0 million, or 2.9%, from cost of sales incurred by our U.S. segment during the six months ended June 30, 2024. The increase in cost of sales was primarily driven by an increase in sales volume and an increase in cost per pound sold of $68.9 million, or 1.5 percentage points, and $64.1 million, or 1.4 percentage points, respectively. The increase in sales volume was driven by consumer demand. The increase from prior year in cost per pound sold is primarily due to increased labor, fleet, grower pay, packaging, utilities, and other operating costs. These increases were partially offset by a decrease in live operations costs driven by declining feed ingredients costs, specifically soybean meal. Corn market prices increased approximately 5% from prior year levels and soybean meal market prices decreased approximately 17% from prior year levels.
Current wording
U.S. Reportable Segment. Cost of sales incurred by our U.S. operations during the nine months ended September 28, 2025 increased $205.9 million, or 3.0%, from cost of sales incurred by our U.S. segment during the nine months ended September 29, 2024. The increase in cost of sales was primarily driven by an increase in sales volume and an increase in cost per pound sold of $177.6 million, or 2.6 percentage points, and $28.3 million, or 0.4 percentage points, respectively. The increase in sales volume was driven by consumer demand. The increase from prior year in cost per pound sold is primarily due to increased labor, fleet, grower pay, utilities, and other operating costs. These increases were partially offset by a decrease in live operations costs driven by declining feed ingredients costs, specifically soybean meal. Corn market prices increased approximately 4% from prior year levels and soybean meal market prices decreased approximately 17% from prior year levels.
Previous wording
Mexico Reportable Segment. Costof sales incurred by our Mexico operations during thesix months ended June 29, 2025 decreased $27.5 million, or 3.0%, from cost of sales incurred by our Mexico segment during thesix months ended June 30, 2024. The decrease in cost of sales was driven by the favorable impact of foreign currency translation of $150.0 million, or 16.2 percentage points. As noted above, there was a year-over-year depreciation of 17% in the Mexican peso against the U.S. dollar. This decrease was partially offset by an increase in cost per pound sold and sales volume of $118.7 million, or 12.8 percentage points, and $3.8 million, or 0.4 percentage points, respectively. The increase in cost per pound sold was driven by an increase in year-over-year market prices of commodity ingredients, such as corn which increased over 20%, while the average market price of soybean meal during the first half of 2025 was about 4% below prior year levels.
Current wording
Mexico Reportable Segment. Costof sales incurred by our Mexico operations during thenine months ended September 28, 2025 increased $3.7 million, or 0.3%, from cost of sales incurred by our Mexico segment during thenine months ended September 29, 2024. The increase in cost of sales was driven by an increase in cost per pound sold and an increase in sales volume of $125.4 million, or 9.1 percentage points, and $18.5 million, or 1.3 percentage points, respectively. Partially offsetting these increases was the favorable impact of foreign currency translation of $140.2 million, or 10.1 percentage points. As noted above, there was a year-over-year depreciation of 10% in the Mexican peso against the U.S. dollar. The increase in cost per pound sold was driven by an increase in year-over-year prices of commodity ingredients, such as corn which increased about 14%, while the average market price of soybean meal during the first nine months of 2025 was about 11% below prior year levels.
Previous wording
Operating income and SG&A expense. Operating income increased by$225.8 million, or 32.7%, from income of$691.1 million generated in the six months ended June 30, 2024 to income of $916.8 million generated in the six months ended June 29, 2025. The following tables provide information regarding operating income and selling, general and administrative (“SG&A”) expense:
Current wording
Operating income and SG&A expense. Operating income increased by$210.0 million, or 17.5%, from income of$1.2 billion generated in the nine months ended September 29, 2024 to income of $1.4 billion generated in the nine months ended September 28, 2025. The following tables provide information regarding operating income and selling, general and administrative (“SG&A”) expense:
Previous wording
U.S. Reportable Segment. SG&A expense incurred by our U.S. reportable segment during the six months ended June 29, 2025 increased $0.8 million, or 0.4%, from SG&A expense incurred by our U.S. reportable segment during the six months ended June 30, 2024. The increase in SG&A expense resulted primarily from an increase in incentive compensation and marketing costs, partially offset by a decrease in legal settlement expense.
Current wording
U.S. Reportable Segment. SG&A expense incurred by our U.S. reportable segment during the nine months ended September 28, 2025 increased $26.9 million, or 9.8%, from SG&A expense incurred by our U.S. reportable segment during the nine months ended September 29, 2024. The increase in SG&A expense resulted primarily from an increase in incentive compensation, marketing costs, and legal settlement expense.
Previous wording
Europe Reportable Segment. SG&A expense incurred by our Europe reportable segment during the six months ended June 29, 2025 increased $1.1 million, or 1.1%, from SG&A expense incurred by our Europe segment during the six months ended June 30, 2024. The increase in SG&A expense was primarily due to the unfavorable impact of foreign currency translation, partially offset by a decrease in payroll costs, professional fees, and insurance.
Current wording
Europe Reportable Segment. SG&A expense incurred by our Europe reportable segment during the nine months ended September 28, 2025 decreased $4.2 million, or 2.7%, from SG&A expense incurred by our Europe segment during the nine months ended September 29, 2024. The decrease in SG&A expense was primarily due to decreases in payroll costs, professional fees, and insurance, partially offset by the unfavorable impact of foreign currency translation.
Previous wording
Mexico Reportable Segment. SG&A expense incurred by our Mexico reportable segment during the six months ended June 29, 2025 decreased $2.0 million, or 6.4%, from SG&A expense incurred by our Mexico segment during the six months ended June 30, 2024. The primary driver of the decrease in SG&A expense was the favorable impact of foreign currency translation due to the year-over-year depreciation of the Mexican peso against the U.S. dollar. This decrease was partially offset by an increase in payroll and incentive compensation costs.
Current wording
Mexico Reportable Segment. SG&A expense incurred by our Mexico reportable segment during the nine months ended September 28, 2025 decreased $2.5 million, or 5.3%, from SG&A expense incurred by our Mexico segment during the nine months ended September 29, 2024. The primary driver of the decrease in SG&A expense was the favorable impact of foreign currency translation due to the year-over-year depreciation of the Mexican peso against the U.S. dollar. This decrease was partially offset by an increase in payroll and incentive compensation costs.
Previous wording
Restructuring activities. Restructuring activities costs of $20.1 million were recognized in the six months ended June 29, 2025. These charges were incurred by our Europe reportable segment primarily as a result of primarily severance related to back office consolidation and warehouse closure costs.
Current wording
Restructuring activities. Restructuring activities costs of $21.9 million were recognized in the nine months ended September 28, 2025. These charges were incurred by our Europe reportable segment primarily as a result of severance related to back office consolidation and warehouse closure costs.
Previous wording
Net interest expense. Net interest expense increased to $48.2 million recognized in the six months ended June 29, 2025 from $46.2 million recognized in the six months ended June 30, 2024. The increase in net interest expense resulted primarily from a prior year gain recognized on early extinguishment of debt, partially offset by an increase in interest income earned on excess cash due to higher average cash balances in the six months ended June 29, 2025 compared to the six months ended June 30, 2024, and a decrease on interest expense on outstanding borrowings due to the repurchases of outstanding debt.
Current wording
Net interest expense. Net interest expense increased to $77.2 million recognized in the nine months ended September 28, 2025 from $65.7 million recognized in the nine months ended September 29, 2024. The increase in net interest expense resulted primarily from a prior year gain recognized on early extinguishment of debt and a decrease in interest income earned on excess cash due to lower average cash balances in the nine months ended September 28, 2025 compared to the nine months ended September 29, 2024, partially offset by a decrease in interest expense on outstanding borrowings due to repurchases of outstanding debt.
Previous wording
Income taxes. Income tax expense increased to $213.7 million, a 24.7% effective tax rate, for the six months ended June 29, 2025 compared to an income tax expense of $152.7 million, a 23.3% effective tax rate, for the six months ended June 30, 2024. The increase in income tax expense resulted primarily from the increase in profit before income taxes.
Current wording
Income taxes. Income tax expense increased to $332.0 million, a 25.0% effective tax rate, for the nine months ended September 28, 2025 compared to an income tax expense of $284.3 million, a 25.0% effective tax rate, for the nine months ended September 29, 2024. The increase in income tax expense resulted primarily from the increase in profit before income taxes.
Previous wording
(b)The U.S. dollar-equivalent of the facility amount under the Mexico Credit Facility is $58.9 million (Mex$1.1 billion).
Current wording
(b)The U.S. dollar-equivalent of the facility amount under the Mexico Credit Facility is $60.4 million (Mex$1.1 billion).
Previous wording
(c)The U.S. dollar-equivalent of the facility amount under the Europe Credit Facility is $205.9 million (£150 million).
Current wording
(c)The U.S. dollar-equivalent of the facility amount under the Europe Credit Facility is $201.0 million (£150 million).
Showing the first 40 of 51 pairs. Open the source sections for the rest.
Rearranged current paragraphs (1)
Current report — wording carried from elsewhere
On July 30, 2025, the Company declared a special dividend of $2.10 per share, to stockholders of record as of August 20, 2025. The Company paid that special dividend from retained earnings of approximately $500.0 million on September 3, 2025. The Company used cash on hand to fund the special cash dividend.
Rearranged previous paragraphs (1)
Previous report — wording carried elsewhere
Mexico Reportable Segment. SG&A expense incurred by our Mexico reportable segment during the three months ended June 29, 2025 decreased $1.6 million, or 9.8%, from SG&A expense incurred by our Mexico segment during the three months ended June 30, 2024 primarily due to the favorable impact of foreign currency translation. This decrease was partially offset by an increase in payroll and incentive compensation costs.