BRF and Other Brazil Exporters' Shares Fall as Stronger Real Erodes Revenue
By Jeffrey T. Lewis
SÃO PAULO--BRF SA's shares fell 4%, and other Brazilian meatpackers' shares also declined, as the Brazilian currency hit its strongest level against the U.S. dollar in 10 months and chipped away at the value of their exports.
BRF shares reached 6.54 reais, the equivalent of $1.33, and are down 18% from the end of last year through Wednesday's close. Shares also retreated for Marfrig Global Foods SA by 2.8% at BRL6.62, for Minerva SA by 2.6% to BRL9.79, and for JBS SA by 1.2% to BRL17.21.
The Brazilian real had strengthened to 4.90 to the U.S. dollar earlier Thursday, its strongest level since June of last year. BRF and its Brazilian peers are big exporters of beef and other products, meaning a stronger real translates to less revenue when accounting for foreign exchange.
Write to Jeffrey T. Lewis at jeffrey.lewis@wsj.com
(END) Dow Jones Newswires
April 13, 2023 10:59 ET (14:59 GMT)
Copyright (c) 2023 Dow Jones & Company, Inc.-
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