Grupo Bimbo S.A.B. de C.V. (ADR) ( (GRBMF) ) has released its Q4 earnings. Here is a breakdown of the information Grupo Bimbo S.A.B. de C.V. (ADR) presented to its investors.
Grupo Bimbo S.A.B. de C.V. is the world’s largest baking company and a key player in the snacks industry, operating 223 bakeries and plants across 35 countries in the Americas, Europe, Asia, and Africa. The company is known for its extensive product lines, including sliced bread, pastries, and salty snacks, and boasts one of the largest direct distribution networks globally.
In its latest earnings report, Grupo Bimbo announced record net sales for both the fourth quarter and the full year 2024, despite facing challenging consumer environments in some markets. The company highlighted strong performances in Mexico and the EAA regions, as well as strategic expansions and acquisitions that have bolstered its global presence.
Key financial metrics revealed an 8.3% increase in fourth-quarter net sales to Ps. 110,312 million, driven by favorable exchange rates, pricing strategies, and acquisitions. The gross margin expanded by 70 basis points due to lower raw material costs, although operating income and adjusted EBITDA margins saw slight contractions due to strategic investments in North America. For the full year, net sales reached Ps. 408,335 million, a 2.1% increase, with notable contributions from Mexico and EAA regions.
Despite the positive sales growth, Grupo Bimbo’s net majority income declined by 18.9% for the year, primarily due to long-term investments in its North American value chain. The company’s net debt to adjusted EBITDA ratio increased to 2.9x, reflecting its strategic investments and capital expenditures.
Looking ahead, Grupo Bimbo remains optimistic about its growth prospects, supported by its diversification strategy and recent successful bond issuance in the Mexican market. The company is committed to sustainable growth and continues to invest in its operations to secure long-term profitability.