1Q14 Results Presentation

May 15, 2014

2
This release contains forward-looking statements relating to the prospects of the business,
estimates for operating and financial results, and those related to growth prospects of JBS.
These are merely projections and, as such, are based exclusively on the expectations of
JBS management concerning the future of the business and its continued access to capital
to fund the Companys business plan. Such forward-looking statements depend,
substantially, on changes in market conditions, government regulations, competitive
pressures, the performance of the Brazilian economy and the industry, among other factors
and risks disclosed in JBS filed disclosure documents and are, therefore, subject to change
without prior notice.

Disclaimer
3
Summary of 1Q14 Results

Net revenue of R$26.4 billion, an increase of R$6.9 billion, or 35.3% higher than 1Q13.
Gross profit of R$3,421.3 million, expansion of R$1.4 billion, or 67.9% higher than 1Q13.
Consolidated EBITDA of R$1,749.7 million, an increase of 99.0% over 1Q13. EBITDA margin
was 6.6%.
Net income in 1Q14 was R$70.0 million, which corresponds to R$24.40 per thousand shares.
This result was negatively impacted by carry costs and the income taxes in the period which
amounted to R$139.7 million.
The consolidated 1Q14 exports grew 21% compared 1Q13, reaching US$ 3.1 billion.
JBS ended 1Q14 with a leverage of 3.26x, compared to 3.70x in 4Q13.






4
Summary of 1Q14 Results



JBS Foods posted net revenue of R$2,780.0 million and EBITDA of R$379.8 with EBITDA
margin of 13.7%.
JBS Mercosul posted net revenue of R$5,725.3 million in 1Q14, 15.2% higher than 1Q13 and
EBITDA of R$596.1 million, with EBITDA margin of 10.4%.
JBS USA Chicken (PPC) reported net revenue of US$ 2,018.1 million, stable compared to
1Q13 and EBITDA of US$ 205.2 million, with a margin of 9.6%.
Net Revenue of JBS USA Pork totaled US$ 896.9 million, 6.5% higher than 1Q13, and EBITDA
of US$ 82.9 million, with EBITDA margin of 9.6%.
JBS USA Beef posted net revenue of US$ 4,520.7 million, 4.8% higher than 1Q13, and a
negative EBITDA of US$ 22.5 million, with a EBITDA margin of -0.5%




5
Debt Profile, CAPEX and
Cash Generation
6

Cash
Generation


The Company ended 1Q14 with net cash flow from operations of R$504.6 million, as a
result of the increase in the value of inventories in the US, due to the increase in average
prices of beef and pork products, offset by the increase in the purchase of cash cattle in
Brazil due to the volatility of market prices. There was no free cash flow generated in this
quarter due to the investments during the period as described in the CAPEX chapter.
CAPEX
In 1Q14, the total capital expenditure (CAPEX) in property, plant, and equipment was
R$711.1 million of which approximately 40% refers to the acquisitions of assets and
companies such as Frinal, biological asset complex in the state of Paran, and a Kaiowa
production plant acquired at a judicial auction. Besides this, the recurring CAPEX,
representing about 60% of the total, were in the integration of the prepared foods
production platform as well as in the expansion of distribution in Brazil. In North America,
the investments were concentrated into the modernization of the industrial complex.


Capex and Cash Generation
7
JBS S.A.
63%
Subsidirias
37%
Indebtedness
USD
76%
R$
24%
3.40
3.28
4.03
3.70
3.26
0
500
1,000
1,500
2,000
2,500
3,000
1Q13 2Q13 3Q13 4Q13 1Q14
JBS ended 1Q14 with a leverage of 3.26x,
compared to 3.70x in 4Q13.
The reduction of leverage ratio reflects the
Companys commitment to improve its
financial indicators, which tend to follow a
decreasing trend as JBS Foods results are
being incorporated.
Breakdown by Company and Costs
Breakdown by Currency & Average Cost
Leverage
Leverage EBITDA (R$ million)

Source: Company
11.38% per annum
5.78% per annum
8
The Company ended the quarter with R$8,696.4
million in cash, equivalent to approximately 93% of
its short-term debt.
Considering unencumbered credit lines with
immediate availability of US$1.55 billion at JBS
USA, availabilities of the Company represents more
than 100% of short-term debt.
The percentage of short term debt (ST) in relation to
total debt remained in 29% in 1Q14.

Debt Profile
29%
29%
35%
35%
28%
71%
71%
65%
65%
72%
1Q14
4Q13
3Q13
2Q13
1Q13
Net Debt maturity (R$ million)

Short term Long term
*Net of cash
Source: Company
650
3,990
4,574
1,148
4,544
44
4,580
2,565
1,584
Short Term* 2015 2016 2017 2018 2019 2020 2021 over 2021
9
Business Units
10
JBS Mercosul
Net Revenue (R$ billion)
EBITDA (R$ million)
15.2%
5.0
5.4
6.2
6.3
5.7
1Q13 2Q13 3Q13 4Q13* 1Q14
Margem EBITDA (%)
10%
24%
40%
8%
18%
% JBS Revenue


Net Revenue of R$5.275,3 million in 1Q14, 15.2% higher
than 1Q13, where the results of JBS Poultry were
included



EBITDA totaled R$596.1 million in the quarter, an
expansion of 6.1% over 1Q13. EBITDA margin was 10.4%
in Mercosul.
561.7 543.5
687.5 692.4
596.1
11.3%
10.0%
11.1% 11.0% 10.4%
-20.0%
-18.0%
-16.0%
-14.0%
-12.0%
-10.0%
-8.0%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
16.0%
18.0%
20.0%
22.0%
24.0%
26.0%
28.0%
0.0
200.0
400.0
600.0
800.0
1000.0
1200.0
1400.0
1600.0
1Q13 2Q13 3Q13 4Q13 1Q14
* **
* Includes JBS Poultry results
** Do not considers JBS Foods
11
JBS USA Chicken (Pilgrims Pride Corporation - PPC)
Net Revenue (US$ billion)
EBITDA (US$ million)
Margem EBITDA (%)
2.0
2.2 2.1 2.0 2.0
1Q13 2Q13 3Q13 4Q13 1Q14
-0.9%
117.7
265.0
226.1 197.2
205.2
5.8%
12.1%
10.6% 9.6% 10.2%
1Q13 2Q13 3Q13 4Q13 1Q14
10%
24%
40%
8%
18%
% JBS Revenue


Net Revenue of US$2,018.1 million, 0.9% inferior than
1Q13.





EBITDA in 1Q14 was US$205.2 million, an expansion of
74.3% in relation to 1Q13.

12
JBS USA Beef (including Australia and Canada)
Net Revenue (US$ billion)
EBITDA (US$ million)
4.3
4.8 4.7 4.8
4.5
1Q13 2Q13 3Q13 4Q13 1Q14
4.8%
-25.1
161.7
125.3
113.9
-22.5
-0.6%
3.4%
2.7%
2.4%
-0.5%
-20.0%
-18.0%
-16.0%
-14.0%
-12.0%
-10.0%
-8.0%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
-30
70
170
270
370
470
1Q13 2Q13 3Q13 4Q13 1Q14
Margem EBITDA (%)
10%
24%
40%
8%
18%
% JBS Revenue


Net revenue was US$4,520.7 million, an increase of
4.8% compared to the same period in 2013.




EBITDA was negative US$22.5 million, with EBITDA
margin of -0.5%.
Volatility in cattle supply in the US, where the market
is experiencing a period a shortage, coupled with heifer
and cow retention.
13
JBS USA Pork
Net Revenue (US$ million)
EBITDA (US$ million)
Margem EBITDA (%)
842.0
868.5
903.3 904.9
896.9
1Q13 2Q13 3Q13 4Q13 1Q14
6.5%
46.8 50.7
43.8
86.3 82.9
5.6%
5.8%
4.8%
9.5% 9.2%
1Q13 2Q13 3Q13 4Q13 1Q14
10%
24%
40%
8%
18%
% JBS Revenue



Net Revenue totaled US$896.9 million, an increase of
6.5% compared to 1Q13.




EBITDA for 1Q14 was US$82.9 million, an increase of
77.2% compared to 1Q13.
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JBS Foods
Net Revenue (R$ billion)
EBITDA (R$ million)
2.9
2.8
4Q13 1Q14
EBITDA Margin (%)
227.3
379.8
7.9%
13.7%
-20.0%
-18.0%
-16.0%
-14.0%
-12.0%
-10.0%
-8.0%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
16.0%
0.0
100.0
200.0
300.0
400.0
500.0
600.0
700.0
800.0
900.0
1,000.0
4Q13 1Q14
-3.9%
10%
24%
40%
8%
18%
% JBS Revenue


Net Revenue of R$2,780.0 million, 3.9% lower than
4Q13, due to the seasonality.




EBITDA totaled R$379.8 million, an expansion of 67.1%
compared to 4Q13, with EBITDA margin of 13.7%.
.
15
JBS Foods is the branded convenience poultry and
pork business of JBS in Brazil

2
nd
largest meat based packaged food Company in
Latin America

2
nd
largest producer and exporter of poultry and pork
in Brazil

53 productive units, 12 distribution centers and
45,000 employees

Strong domestic and international presence with
high growth potential

Integrated platform with diversified product portfolio

Fully integrated pork and poultry business



JBS Foods at a Glance
JBS Foods is a leading platform with a strong brand portfolio across value added food products in Brazil
Source: Company
Nota:
1
Pending regulatory approval
JBS
Foods
1
16
Industrial Capacity per Product Line
JBS Foods: Footprint
National footprint with a production capacity of 4.4 mm bird/day, 21,500 hogs/day and 76,000 tons of further
processed products / month
21,500 hogs / day
4.4 mm birds / day
76,000 tons of value added further processed
products / month

Source: Company
Wide National Distribution Platform
Distribution Centers (13)
Points of Sales (thousand)
74
1
14
12
42
6
Currently JBS Foods has a customer
base of 74 thousand clients in Brazil with
a real opportunity to duplicate this number
in the coming years.
17
F
r
e
s
h

a
n
d

C
h
i
l
l
e
d

P
r
o
d
u
c
t
s

Other Prepared
Products
Prepared Products
Commodity
Proteins
Selected Products
Products Categories
Category
Source: Company
... globallly recognized brands
Outros
Poultry
Turkey
Pork
Pastas and Margarines
Branded
Margarine Lasagna Pasta
Cheese
Bread
Pizza French Fries
Meat balls Hamburguer
Breaded
Chicken
Stuffed Turkey Salami Mortadella Sausage
Chicken Breast
Chicken Leg
quarter
Whole
Chicken
Flavored
Chicken Leg
quarter
Turkey Breast
Complete Products Portfolio
18
Market Orientated: Streamlining and Repositioning of Brands
JBS Foods is currently rationalizing its brand portfolio and focusing on the quality of its products and services
JBS Foods Brands Pre-Repositioning JBS Foods Brands Repositioning
Premium
Mainstream
Access /
Regional

Source: Company
19
Marketing Initiatives and New Products
Launched of 10 new innovative product s in the
company portfolio at the largest Retail event in
Brazil, APAS, reaffirming the commitment of Seara
brand to be recognized as the best buy because of
quality and convenient products.
Share growth in all categories audited by Nielsen.








Launched in February/14
Initiative was well recalled by the public,
reaching 43% of the target public with only 3
days of running
1
98% of the interviewed public view the
marketing campaign of Seara as excellent or
good, 95% with high credibility, there was no
negative assessment
2
Brand of greatest value growth in Brazil in
2013/2014
3






Source:
1-

Instituto Quantas feb/2014
2 Instituto Quantas feb/2014
3- Brand Analytics/MillwardBrown Optimor

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Management Initiatives to Improve Performance
JBS Foods has identified total potential gains of R$1.2 billion through internal management initiatives
Main Initiatives ofJBS Foods Turnaround Value of Opportunities Identified in JBS Foods (R$ mm)
Total Value of Opportunities: R$1.2 billion
Livestock Price and Sales
Strategy
Industrial
R$287 mm R$207 mm R$472 mm
Finance and
Administration

Domestic and
International
Logistics
Non Core Supplies
R$118 mm R$30 mm R$87 mm
Built a team with industry experience and JBS culture

Centralization of corporate operations at the headquarters of JBS in Sao Paulo

Application of best practices in production using experience gained in
Pilgrim's Pride

Efficiency gains and increased productivity at plant level

Reformulation of product portfolio

Reorganization of the logistics network

Renewed Strategy go to market

Centralized pricing model with standard processes and focus on profitability

Repositioning the brand portfolio with clear strategic positioning and
strengthening of priority brands

Seara marketing campaign

Expansion of exports through the sales structure and know-how of JBS

Source: Company
1
Acquisition of Massa Leve subjected to approval
Mission


To be the best in what we set out to do, totally focused
on our business, ensuring the best products and
services for our customers, solidity for our suppliers,
satisfactory profitability for our shareholders and the
certainty of a better future to all our employees.