JBS posted first-quarter profit of $220.6 million, a steep decline from $500.2 million a year earlier. The Brazilian meatpacking giant earned 20 cents per share, matching analyst expectations but marking a significant drop in profitability. Revenue rose 11% to $21.61 billion, slightly beating Wall Street estimates of $21.53 billion, driven by strong demand across its protein divisions.

The profit decline stemmed from rising cattle costs in the company's beef segment. A shortage of live cattle drove prices higher, squeezing margins despite strong sales performance. JBS noted its North America beef business achieved record sales during the quarter, though the cost pressures offset those gains, highlighting the tension between volume growth and profitability.

The cattle shortage reflects broader industry challenges as U.S. herd numbers contracted following years of drought and high feed costs. Live cattle prices have climbed substantially, pressuring meatpackers' profitability across the sector. This dynamic may persist if cattle supplies remain constrained, potentially affecting meat pricing and consumer costs in the months ahead.