Mexican baking giant Grupo Bimbo reported on Thursday that its sales reached a record level in the third quarter totaling 102.821 million pesos, with a year-on-year increase of 20%.
The company pointed to favorable prices and increased volumes as the reasons behind its turnover, with the increase particularly pronounced in Latin America. Third quarter sales throughout the region also grew by 27.8% year-on-year, highlighting Argentina, Brazil, Colombia, Peru, and the Latin Centro division.
“Third quarter sales performance was exceptional, we reached record levels in sales and profits, our volumes continued to grow despite price increases, and our Revenue Growth Management initiatives are increasingly reflected in our results,” said Daniel Servitje. , Chairman of the Board and CEO of Bimbo.
The profits of Grupo Bimbo, with a presence in countries in the Americas, Africa, Asia and Europe, increased by 50.8% in the third quarter, totaling 6,062 million pesos (301 million dollars), compared to the same period in 2021. This was a record level for a third quarter.
Operating income in the third quarter increased 38% to 11,004 million, mainly due to strong sales performance, efficiencies in the distribution network, and lower administrative expenses.
EBITDA increased 15%, due in large part to the higher cost of sales and the inflationary environment mentioned above, which were partially offset by savings in productivity throughout the value chain and strict control of administrative expenses. .
The company predicts a good outlook for the rest of the year despite the complex inflationary outlook.
“Despite the challenges we face on several fronts, we continue to see a strong 2022, as our volumes and sales continue to exceed our expectations,” Diego Gaxiola, Bimbo’s global director of administration and finance, said in the same document.
“We are optimistic that 2023 will be a year in which we continue to reap the benefits of our growth strategy and productivity initiatives,” added Gaxiola.
Bimbo receives government authorization for sale of Ricolino
The company expects to close the sale of Ricolino in the coming days, after obtaining authorization from the Mexican government.
With information from Reuters