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Pork meat in Italy is one of the largest agri-food chains in Italy. In the swine production chain, slaughter plays an important role, because it has an impact on animal welfare, food safety and the sustainability of the agri-food chain. These companies also deal with pigs destined for typical Denomination of Origin products and therefore play an important role in the production chain of typical products and in the field of EU agricultural policy. In this context, the research aims to analyze the economic sustainability of the major pig slaughter firms in Italy, through data analysis of the annual account statement (AAS) on a sample of eight companies analyzed over a ten-year historical series. Financial ratios and margins (FRM) analysis is applied in the research. FRM analysis shows that firms have the largest absorption of financial resources in the net working capital cycle. The research highlights the high incidence of raw materials in companies in the sector. Consequently, the profit margins of the companies in the sample are modest and in some cases are lower than the cost of debt, suggesting a moderate capacity to attract capital. This result appears as a negative signal of the economic sustainability of the companies in the sector. The research, now limited to a small number of large companies, opens a line of research that can be developed by expanding the sample to small and medium-sized enterprises of the chain of Denomination of Origin hams in Italy to suggest improvement interventions, in particular for rural or marginal areas of production.

Economic Sustainability of Pig Slaughtering Firms in the Production Chain of Denomination of Origin Hams in Italy