Commodity giant JBS shared its Q3 2026 results after the closing bell on Nov. 9, reporting market challenges across its business as China hits its quota of Brazilian beef, while its North American beef segment fared better with margin and net sales gains.
JBS reported $23.738 billion in net sales for Q3 2026, which ended on Sept. 30, compared to $22.597 billion in the same quarter last year. JBS’s net income dropped from $581 million in Q3 2025 to $164 million in Q3 2026. Also, the company increased its leverage to 3.54x in the quarter, compared to 2.39x in Q3 2025.
For the first nine months of 2026, JBS generated $68.246 billion in net sales, compared to $63.121 billion the same period last year. Additionally, JBS’s net income fell to $283 million in the first nine months of 2026, compared to $1.609 billion the same period last year.
“The third quarter was marked by challenging market conditions across several of our businesses. Changing international trade flows, pressure on poultry margins, and a global oversupply of pork affected our results. At the same time, we made progress in important areas of our operation, reinforcing our confidence in the strategy we have been executing. Our experience in the food industry has shown us the importance of understanding market cycles, improving efficiency, and making decisions that strengthen our business over the long term,” said Gilberto Tomazoni, Global CEO at JBS, in the quarter earnings call.
JBS’s Q3 numbers by business segments
JBS’s North American business reported mixed results in Q3, with the company’s beef business growing 4.3% year-over-year, compared to poultry and pork, which declined by 2.2% and 15.3%, respectively. JBS’ USA pork business registered the sharpest declines with $1.881 billion in net sales in Q3 2026, compared to $2.220 billion for the same quarter last year.
JBS’s North American beef business improved profitability in the third quarter, attributed to a combination of cattle crossings reopening in the U.S. and Mexico, processing capacity adjustments, and strong demand. This resulted in September margins improving to a positive 3.9%, compared to breakeven in August and a negative 2.9% in July.
JBS grew its retail and foodservice presence for its North American chicken business (Pilgrim’s Pride), despite net sales dropping to $4.65 billion in Q3 2026, compared to $4.756 billion in the same quarter last year.
In its South American business, JBS Brazil net sales declined to $4.093 billion in Q3 2026, compared to $4.160 billion in the same quarter last year. China reached its 2026 import quota for Brazilian beef, leading to lower exports in the quarter, JBS reported.
“At the beginning of the fourth quarter Chinese demand strengthened as the market began positioning for the 2027 quota. The Brazilian domestic market also enters a seasonally stronger consumption period. Together, JBS Beef North America and JBS Brazil are showing more constructive market dynamics at the beginning of the fourth quarter.” Tomazoni said in a press release.
Elsewhere, JBS’ Australia business was impacted by quotas in China and South Korea completing and lower U.S. shipments. Additionally, cattle and lamb costs rose due to increased rainfall, which provides short term profitability pressure but improves pasture condition for the long term, JBS reported.
JBS’s fell by 5.49% the day following the earnings report, closing the day at $12.40
Editor’s note: All financial results were reported using IFRS results.
