Marfrig Reports Net Income of R$ 41.7 Million in 1Q10

SAO PAULO, May 13 /PRNewswire-FirstCall/ -- Marfrig Alimentos S.A. (BM&FBovespa Novo Mercado: MRFG3), a food producer with the most diversified meat operating base, announces today its results for the first quarter of 2010 (1Q10).

1Q 2010 HIGHLIGHTS

• Gross revenue was R$ 3.4 billion, up 26.0% and 40.0% on 4Q09 (R$ 2.7 billion) and 1Q09 (R$ 2.4 billion), respectively.
• Net revenue came to R$ 3.2 billion, 43.2% and 26.0% higher than in 1Q09 (R$ 2.2 billion) and 4Q09 (R$ 2.6 billion), respectively;
• EBITDA was R$ 406.9 million, increasing by 148.8% and 103.4% on 1Q09 (R$ 163.6 million) and 4Q09 (R$ 200.0 million), respectively;
• EBITDA margin stood at 12.6%, compared with 7.8% in 4Q09 and 7.3% in 1Q09;
• Marfrig recorded net income of R$ 41.7 million, reversing the loss of R$ 38.2 million recorded in 1Q09 and reducing by 62.7% from the R$ 111.7 million recorded in 4Q09;
• In relation to the recent acquisitions added to our operational activities, we consolidated into our figures in 1Q10: SEARA, Zenda (only 1 month), 5 plants leased to meatpacker Mercosul, which operated the whole quarter, and 3 plants leased to meatpacker Margen, which operated for only 1 month in the quarter;  
• We began the repositioning process of the brand SEARA in the domestic market in Brazil through investments in sports marketing, which included sponsoring the Santos Soccer Team and the Brazilian Soccer Team (2010 to 2014) in all categories.
• SEARA will increase its international exposure by sponsoring the championships organized by FIFA (Federation Internationale de Football Association) until the World Cup of 2014, through a contract which also envisages the exposure of the brands PATY, MOY PARK and PEMMICAN.
• SEARA, which began presenting consistent return rates, was ranked for the first time in its history among the 50 most valuable brands in Brazil, in a survey conducted by the BrandAnalytics Institute and Millward Brown published in Isto e Dinheiro.

Main Financial Indicators in 1Q 2010, R$ million

Corporate Governance

Marfrig Alimentos S.A. is listed on the Novo Mercado special corporate governance segment of the Bovespa Stock exchange and is committed to the highest international standards of corporate governance. For more information on the company's performance, go to the investor relations area of Marfrig's website at www.marfrig.com.br/ir .

Contact: Investor Relations, +55-11-3093-4700, [email protected]

SOURCE Marfrig Alimentos S.A.