JBS N.V. (NYSE:JBS) shares edged lower in pre-market trading on Tuesday after the meat producer reported second-quarter adjusted earnings below analyst expectations, even as revenue surpassed forecasts and reached a record level.
Adjusted earnings per share came in at $0.20, below the $0.34 analyst consensus. Revenue reached $23.9 billion, ahead of expectations of $22.77 billion and up 14% from $21.0 billion in the same period last year.
JBS shares were down 1.27% in pre-market trading following the results.
Profitability declines from strong prior-year comparison
While revenue continued to expand, JBS reported weaker profitability compared with the second quarter of 2025.
Adjusted EBITDA under IFRS declined 18% year on year to $1.43 billion, while adjusted operating income fell 34% to $790 million. JBS recorded a net loss of $102 million, reversing net income of $528 million a year earlier.
“In 2Q26, JBS once again reported a record revenue, reflecting the strength of the Company’s multi-geography and multi-protein platform,” said Gilberto Tomazoni, Global CEO. “Compared to last year, profitability was pressured by a tough comparison base, as the poultry operations had posted record results in 2Q25.”
The figures indicate that strong top-line growth did not translate into comparable earnings growth during the quarter, helping explain the muted market reaction.
North American beef business faces margin pressure
JBS Beef North America generated record sales but operated at a loss, reporting adjusted EBITDA of negative $78 million under IFRS.
Higher live cattle prices outpaced movements in cutout values as limited cattle availability squeezed industry spreads. JBS also announced plans to close two plants in Pennsylvania and Tennessee as part of efforts to improve operational efficiency.
Pilgrim’s Pride experienced a significant year-on-year decline in profitability, with adjusted EBITDA falling 39% to $503 million under IFRS as lower commodity pricing weighed on results. However, margins improved compared with the previous quarter.
Brazil and Seara provide stronger contributions
Performance elsewhere in the JBS portfolio was more supportive.
JBS Brazil achieved record second-quarter sales, while adjusted EBITDA increased 18% to $269 million. The improvement was supported by higher prices and volumes across both domestic and export markets.
Seara delivered an 18% increase in sales and generated adjusted EBITDA of $380 million, representing a margin of 14.9%.
JBS USA Pork, meanwhile, maintained profitability within its historical range despite broadly flat revenue growth.
Leverage remains above JBS long-term target
Net leverage finished the quarter at 3.1 times, slightly above the company’s long-term target.
For investors, the second-quarter results present a mixed picture. Record revenue and strong performances from JBS Brazil and Seara demonstrate the benefits of the company’s diversified geographic and protein portfolio.
However, the adjusted earnings miss, weaker group profitability and losses within JBS Beef North America remain important considerations. The plant closures also put additional focus on management’s efforts to improve efficiency as it navigates challenging cattle economics and less favourable comparisons with last year’s unusually strong poultry performance.
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