Grupo Herdez, S.A.B. De C.V. Announces Consolidated Earnings Results for Second Quarter and Six Months Ended June 30, 2017
July 28, 2017 at 05:58 am EDT
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Grupo Herdez, S.A.B. de C.V. announced consolidated earnings results for second quarter and six months ended June 30, 2017. For the quarter, the company reported net sales of MXN 4,876 million, EBIT of MXN 687 million, income before income taxes of MXN 656 million, EBITDA of MXN 823 million compared to the net sales of MXN 4,431 million, EBIT of MXN 539 million, income before income taxes of MXN 590 million, EBITDA of MXN 662 million for the same quarter a year ago. Net CAPEX in the quarter totaled MXN 100 million, and were mainly allocated to the expansion of the salsa line in San Luis Potosí that started operations during the quarter, the purchase of new freezers and trucks for Helados Nestlé. Consolidated net income was MXN 432 million against MXN 373 million a year ago. The increase in EBIT resulted from a healthy top line growth as well as SG&A reductions across divisions.
For the year to date, the company reported net sales of MXN 9,684 million, EBIT of MXN 1,358 million, income before income taxes of MXN 1,435 million, EBITDA of MXN 1,600 million compared to the net sales of MXN 8,759 million, EBIT of MXN 1,041 million, income before income taxes of MXN 1,118 million, EBITDA of MXN 1,265 million for the same period a year ago. Consolidated net income was MXN 963 million against MXN 734 million a year ago.
Grupo Herdez SAB de CV is a Mexico-based company engaged in the food processing sector. The Company's activities are divided into two business segments: Food and Frozen. The Food division focuses on the manufacture and distribution of canned and packed food products in Mexico and the United States. Its offer includes burritos, canned vegetables, guacamole, home-style salsa, honey, jam, ketchup, mayonnaise, mole, mustard, organic food, pasta, spices, tea, tomato puree and tuna, among others. It sells products through a number of brand names, such as Aires de Campo, Barilla, Bufalo, Chi-Chi's, Del Fuerte, Don Miguel, Dona Maria, Embasa, Herdez, La Victoria, McCormick, Wholly Guacamole and Yemina. In addition, it has distribution agreements in Mexico for GoGoSqueez, Kikkoman, Ocean Spray, Reynolds and Truvia products. The Frozen division is responsible for the manufacture and distribution of frozen yogurts and ice creams under the Nutrisa and Helados Nestle brand names.
GRUPO HERDEZ, S.A.B. DE C.V. 
