SAO PAULO Feb 23 BRF SA, the world's
largest poultry exporter, posted a fourth-quarter net loss of
460 million reais ($150 million), a reversal from a 1.4 billion
reais profit turned a year earlier.
The losses reflected continued high costs of raw materials
such as grains and the need to lower prices due to stepped up
competition in key regional markets, BRF said in its quarterly
filing on Thursday.
Earnings before interest, tax, depreciation and
amortization, a gauge of operational profit, dropped 70 percent
to 559 million reais from 1.8 billion reais in the same quarter
Political uncertainties and internal organizational
challenges also weighed on the results in 2016, when net sales
fell 4.1 percent, BRF said.
But sales from units abroad increased 16.7 percent
year-on-year, pointing to a solid expansion in the long term,
mainly in Asia thanks to demand from China's market.
An acquisition in Thailand at the start of last year
produced better-than-expected results that reflected better
integration of the company's global operations, BRF said.
($1 = 3.0612 reais)
(Reporting by Aluisio Alves; Writing by Anthony Boadle; Editing
by Leslie Adler)