MINERVA FOODS RECORDS EBITDA OF R$ 2,6 BILLION IN 2023

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In the period, recurring free cash flow, adjusted by the acquisitions of Australia Lamb Company and BPU Meat, totaled R$ 535,7 million. Since 2018, the Company's free cash generation has totaled R$ 6,5 billion.

SÃO PAULO, March 26, 2024 /PRNewswire/ -- Minerva Foods (Minerva S.A. – B3: BEEF3 | OTC – Nasdaq International: MRVSY), the South American leader in the export of fresh beef and cattle by products, which also operates in the processed foods segment, announces to the market the financial results for 2023.

In 2023, recurring Free Cash Flow, adjusted by the acquisitions of Australia Lamb Company (ALC) and BPU Meat (Uruguay), totaled R$ 535,7 million. Free cash flow in the fourth quarter 2023 (4Q23), after Financial Expenses, Capex, Working Capital and adjusted for the disbursement related to the acquisition of ALC in the period, totaled R$ 149,2 million. Since 2018, the Company's free cash generation has totaled R$ 6,5 billion.

Consolidated Gross Revenue totaled R$ 28,6 billion in 2023, with exports reaching 65% of revenue. In 4Q23, it totaled R$ 6,5 billion, with exports accounting for 67,2% of revenues, reinforcing the position of Minerva Foods as the leading beef exporter in South America, with a market share of approximately 20%.

In 2023, EBITDA totaled R$ 2,6 billion, with an EBITDA margin of 9,5%. This indicator came to R$ 605,9 million in 4Q23, with an EBITDA Margin of 9,8%, 0.9 p.p. higher than in 4Q22.

Net income totaled R$ 395,5 million in 2023 and R$ 19,8 million in 4Q23.

Net financial leverage – measured by the Net Debt/LTM EBITDA ratio – ended 4Q23 at 2,8x, adjusted by BPU's pro-forma EBITDA, and the amount of R$1,5 billion relating to the initial payment for the acquisition of Marfrig's assets in South America.

It is also worth noting that in 4Q23 and 2023 reflect the accounting and non-cash effect of CPC 02 and CPC 42 (exchange rate and inflation) on the subsidiaries located in Argentina, with an impact of R$1,5 billion on net revenue and the consequent impact on nominal EBITDA and net income.

About Minerva Foods

Minerva Foods is the South American leader in beef exports, which also operates in the processed foods segment, selling its products to over 100 countries. In addition to Brazil, Minerva Foods is present in Paraguay, Argentina, Uruguay, and Colombia, and has plants specialized in sheep in Australia, totaling more than 23 thousand employees. The company supplies five continents with beef and sheep their byproducts and currently operates 33 industrial units, 16 international offices, and 14 distribution centers.