Gruma: reports first quarter 2020 results

San Pedro Garza García / MX. (gr) Gruma S.A.B. de C.V. reported Q1/2020 financial results. On a consolidated basis sales volume rose 6 percent, primarily arising from a 9 percent surge at Gruma USA, along with strong growth at all operations other than China.

Net sales increased 16 percent mostly in relation to a 13 percent rise at Gruma USA, 8 percent at Gimsa, 13 percent at Gruma Centroamérica, and 5 percent at Gruma Europe, coupled with the weakness of the Mexican Peso (MXN), which benefited Gruma’s foreign operations when measured in Peso terms. Sales from non-Mexican operations represented 75 percent of consolidated figures.

Ebitda rose 22 percent, and Ebitda margin improved 80 basis points to 16.3 percent from 15.5 percent driven by better performance at all subsidiaries, primarily at Gruma USA, and, to a lesser extent, when measuring Ebitda in absolute terms, by the benefit of Peso weakness. Ebitda from non-Mexican operations represented 77 percent of consolidated figures.

Majority net income declined 45 percent to MXN 562 million due to non-cash foreign exchange losses on intercompany loans.

Gruma’s debt decreased USD 46 million during the quarter to USD 1.4 billion, representing a net debt/Ebitda ratio of 2 times.

For additional information please read Gruma’s PDF file below (1618 KB):

20200422-GRUMA-Q1-2020.