May 19, 2024

Nutresa 1Q 2023 Net Income Rises 15.6% Year-on-Year

Medellin-based multinational foods giant Grupo Nutresa announced April 28 that first quarter (1Q) 2023 net income rose 15.6% year-on-year, to COP$348 billion (US$74 million).

Sales likewise rose 35.7% year-on-on, to COP$4.88 trillion (US$1.04 billion), while earnings before interest, taxes, depreciation and amortization (EBITDA) rose 38%, to COP$647 billion (US$137.8 million), according to the company.

Nutresa business lines include pastries, chocolates, coffees, pastas, processed meats, ice creams as well as fast foods at numerous branded retail outlets.

In total, the company has 47 production plants and distribution networks in 18 nations, with sales in 82 countries around the world.

“Growth is reported of double digits in all the businesses and geographies of the group,” according to Nutresa’s latest summary of quarterly results.

“In Colombia, revenues present a growth of 27.2%, hitting COP$2.8 trillion [US$596 million]. International revenues amounted to COP$2.1 trillion [US$447 million], with a growth of 49.1%,” the company added.

Explaining the positive results, “productivity and operational efficiency have allowed the company to maintain expenses at a growth lower level than sales, which boosts results in the operating profit and EBITDA,” Nutresa added.

As a result, during 1Q 2023, Nutresa saw operating profit rise 44% year-on-year, to COP$537 billion (US$114 million), while sales margins hit 13.3%.

Profitable outcomes came despite a 179% hike in financial expenses, hitting COP$204 billion (US$43 million) — all as a result of higher interest rates, the company added.

Meanwhile, on another positive front, Grupo Nutresa continues to make strides to reduce its carbon footprint.

“To date, in Colombia, 100% of the electrical energy we use is certified as renewable, while in the broader region, through our solar-power generation projects, 89.1% of our power is renewable. These and other initiatives made it possible to reduce our greenhouse gas emissions by 11.3% compared to 2020,” the company added.

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