The Brazilian meat giant, JBS, has announced a significant investment in a US plant, bringing its total expenditures this year to over $800 million.
JBS is acquiring a facility in Ankeny, Iowa, formerly owned by Hy-Vee. The company plans to invest $100 million to purchase and equip the site for bacon and sausage production.
This 186,000 square-foot plant will become the “largest ready-to-eat bacon and ready-to-eat sausage facility in JBS’s US portfolio,” as the company stated on August 13.
Following the investment and enhancements, JBS anticipates creating approximately 400 jobs at the site by mid-2026. The company has expressed its intention to hire former Hy-Vee employees who previously worked at the facility.
“Today’s announcement aligns with our long-term strategy of offering more value-added and prepared-foods products to meet the needs of our customers and consumers,” stated Wesley Batista Filho, CEO of JBS’s US division.
“We are excited to expand our operations in Iowa, where we already operate four production facilities, with another one expected to begin construction later this year.”
Last month, JBS unveiled a $400 million investment by its subsidiary, Pilgrim’s Pride, for a new prepared-foods facility in Walker County, Georgia.
In Iowa, the meat giant also announced a $135 million project in May for a fresh sausage plant under JBS USA.
Additionally, two beef facilities will benefit from a planned $200 million investment, announced in February, located in Texas and Colorado.
Rick Foster, head of prepared foods at JBS’s US division, added, “This facility in Ankeny will not only expand our prepared-foods business in the US, it will also leverage synergies and strategic supply from our other regional plants.”
JBS also released its second-quarter results alongside this latest investment announcement.
The company reported an 8.9% revenue increase, reaching $20.9 billion compared to the same quarter last year. However, adjusted EBITDA decreased by 7.4% to $1.8 billion, with margins dropping by 140 basis points to 8.4% on an IFRS basis. Net income, conversely, surged over 60% to $528 million.
Furthermore, JBS completed its additional listing on the New York Stock Exchange in June, now being listed in both the US and Brazil.
