The report reflects the Company’s strong performance and presents its commitments,
results, investments and achievements
São Paulo, May 02, 2019 – Today, JBS released its 2018 Annual and Sustainability Report, a document in which the Company discloses its economic, social and environmental performance during last year, as well as details its practices for management, governance, compliance and the structure of its businesses in the period. The report details investments of more than R$ 900 million in sustainability, team member training, innovation and quality in 2018, a year that the Company had a record revenue in excess of R$ 180 billion.
The report was divided in four chapters: Our Business, which presents the Company’s management model, governance, ethics and compliance, risk management and value creation. Our People, which is dedicated to the relationship of the Company with its team members and with communities close to its facilities. Our Sustainability, which presents the management and the results of the five priority themes for sustainability in the Company’s businesses: team member health and safety, animal welfare, water management, product integrity and climate change; and Our Performance, which presents the economic results and the awards obtained by JBS in 2018.
New facts and figures reflect a great year
In 2018, the Company invested R$ 300 million in team member health and safety; R$ 230 million in quality and food safety in all its operations; R$ 38.5 million in innovation; R$ 160 million in projects related to energy efficiency; R$ 88.2 million to improve animal welfare practices; and R$ 62.5 million in effluent treatment and R$ 27 million in management, mediation and initiatives to reduce water use in its global facilities.
The Company also made important advancements, such as the creation of the JBS Global Innovation Team (GIT) in October 2018, which was established to expand information sharing and exchange among countries, as well as create global platforms that favor innovative practices. Under the “Always Do The Right Thing” program, the JBS Global Compliance Department reached the important mark of 99% of team members trained in Brazil in topics such as Ethics and Compliance.
The report also includes a broad vision of the Company’s strategy and its financial and operational performance, which in 2018 presented another year of solid results, once again one of the best in its history. In the year, net revenue totaled R$ 181.7 billion, with an Adjusted EBITDA of R$ 14.8 billion, 10.7% higher than 2017. The Company presented a strong cash generation, reaching R$ 5.7 billion in the period. JBS also complied with its commitment to reduce leverage, which in 2018 was reduced to 3.18 times, with a total liquidity of R$16.4 billion, five times higher than its short-term debt.
The report was prepared following the guidelines proposed by the Global Reporting Initiative (GRI) and presents the Financial Statements, audited by Grant Thornton AuditoresIndependentes, and prepared under the International Financial Reporting Standards (IFRS) that follows accounting rules issued by the International Accounting Standards Board (IASB).
JBS is one of the world’s leading food industry companies with approximately 230,000 team members in 15 countries. The Company owns a portfolio of brands that are recognized for their excellence and innovation, including Friboi, Moy Park, Pilgrim’s Pride, Primo, Seara, Swift, Gold’n Plump and others, serving over 275,000 customers in more than 190 nations worldwide. The company’s focus on innovation also reflects its management approach to related businesses in areas such as leather, biodiesel, collagen, personal hygiene and cleaning products, natural wrappings, solid waste management solutions, metal packaging and transportation. JBS has adopted best sustainability practices throughout its value chain and, in Brazil, constantly monitors its suppliers using satellite imagery, georeferenced maps of supplier farms and monitors official data from government agencies. The company also focuses on the highest possible food safety and quality standards. The success of JBS’s operations is closely tied to our animal welfare practices, which are rigorously applied and have received an increasing share of investments to further improve the Company’s efforts in this area, in line with best practices.
Corporate Communications Department
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