Bad Bet on Inflation Drains Protein Profits for Brazil’s BRF

The world’s second-largest poultry supplier is selling more than ever as pandemic-hit consumers seek cheaper protein options. But inflation is gobbling up all its profit.

BRF SA is suffering from surging prices in Brazil -- and not just pricier corn to feed its birds. In the second quarter, the Sao Paulo-based firm’s financial expenses skyrocketed, partly due to debt linked to Brazil’s inflation index, which rose to 4.61% from 0.99% a year earlier.