Nutresa 3Q 2024 Net Income Soars 85% Year-on-Year
Medellin-based multinational foods manufacturing giant Nutresa announced October 31 that its third quarter (3Q) 2024 net income jumped 85% year-on-year, to COP$215 billion (US$48.7 million), from COP$118 billion (US$26.7 million) in 3Q 2023.
That profit jump came despite relative stagnant sales revenues, at COP$4.7 trillion (US$1.06 billion) in 3Q 2024, versus COP$4.67 trillion (US$1.058 billion) in 3Q 2023.
As for nine-months (January through September) 2024 results, net profit has dipped 2.6% year-on-year, to COP$577.5 billion (US$131 million), while sales revenues fell 5.4% year-on-year, to COP$13.5 trillion (US$3.06 billion), according to the company.
Despite the dip in sales and net income, earnings before interest, taxes, depreciation and amortization (EBITDA) for nine-months 2024 actually improved 5.7% year-on-year, to COP$1.8 trillion (US$450 million), with a margin on sales of 13.2%.
So far this year, sales in Colombia are down 2.7% year-on-year, to COP$8.2 trillion (US$1.8 billion), representing 60% of global sales. International revenues, measured in dollars, rose a modest 0.5%, to US$1.34 billion, or COP$5.3 trillion if measured in pesos.
“It should be noted that during the last three months, the company has shown an improvement in the commercial dynamics in Colombia, with sales growth and a better trend in consumer consumption compared to the first half of the year,” according to Nutresa.
“Gross profit, at COP$5.6 trillion (US$1.27 billion), shows an expansion of 300 basis points compared to September 2023. This is the result of commodity hedging management and the lower cost of some raw materials in our basket.
“Operational expenses for administration, sales and production grew by 0.9% during the period, and operating profit is COP$1.4 trillion (US$317 million), with a growth of 4.6% and a margin on sales of 10.3%.
“In post-operating expenses, we reported a decrease of 2.3% compared to the previous year, mainly explained by an 8.9% reduction in financial expenses due to lower interest rates,” the company concluded.
