JBS (JBS): Feedback from Capital Markets Day

Research evidence excerpt

JBS (JBS): Feedback from Capital Markets Day

Equity Research

16 June 2026 | 9:33AM BRT

We attended JBS’s second Capital Markets Day as a US-listed company in New York Thiago Bortoluci

+55(11)3372-0104 |

on Monday. The main news of the day was a US$400M reduction in FY2026 CapEx thiago.bortoluci@gs.com

Goldman Sachs do Brasil CTVM S.A.

guidance, as management remains committed to its 3.0x leverage comfort level.

Nicolas Sussmann

Most of the conversation centered on the U.S. Beef downcycle, where we were +55(11)3371-9880 |

encouraged by the resilience of consumer demand and believe the potential nicolas.sussmann@gs.comGoldman Sachs do Brasil CTVM S.A.

reopening of the Mexican border could serve as a significant positive catalyst. JBS

shares closed the day down -3% (versus a flat Ibovespa), with pressure partially

driven by its stake in Pilgrim’s. We remain Buy-rated, though we note that short-term

investor sentiment could remain pressured by a weaker U.S. Beef segment,

moderating U.S. Chicken performance, seasonally higher leverage in Q2, and a lack of

clear near-term triggers.

10 takeaways from the meeting

1. The news: CapEx guidance for FY2026 was reduced by -US$400M. CFO

Guilherme Cavalcanti revised down this year’s CapEx guidance to US$2.0B, from

the US$2.4B originally presented at CAGNY — equivalent to 0.06x JBS’s

last-twelve-month EBITDA. This figure reflects a slower deployment pace for

certain projects (e.g., expansions in the salmon business); no projects were

canceled, and the company expects no material impact on near-term EBITDA.

According to Mr. Cavalcanti, the reduction aims to maintain leverage within

management’s comfort zone of 3.0x (although he noted it could temporarily

breach that limit in Q2 given weak free-cash-flow seasonality) and preserve the