Mexico City, Mexico, February 27, 2024 – Grupo Herdez, S.A.B. de C.V. (“Grupo Herdez” or the “Company”) (MSE: HERDEZ) today announced results for the fourth quarter and full year ended December 31, 2023.

“In our 110-year history, Grupo Herdez has faced many challenges. 2023 was no different, but it also represented a period of important transformations that prepared us for the future. We achieved record high levels of sales and profits. We look forward to 2024 with enthusiasm and confidence in achieving solid performance.”, said Héctor Hernández-Pons Torres, Chairman and Chief Executive Officer of Grupo Herdez.

FULL YEAR 2023 

 

2023

%

2022

%

% change

Net Sales

36,213

100.0

31,646

100.0

14.4

Gross Profit

14,078

38.9

11,206

35.4

25.60

EBIT

5,022

13.9

3,831

12.1

31.10

Consolidated Net Income

3,326

9.2

2,266

7.2

46.80

EBITDA

6,214

17.2

4,943

15.6

25.70

Figures in millions of MXN.

*EBITDA= Earnings Before Interest Taxes Depreciation and Amortization

 

FOURTH QUARTER RESULTS

 

4T2023

%

4T2022

%

% change

Net Sales

9,809

100.0

8,910

100.0

10.1

Gross Profit

3,962

40.4

3,249

36.5

22

EBIT

1,634

16.7

1,364

15.3

19.8

Consolidated Net Income

997

10.2

938

10.5

6.3

EBITDA

1,961

20.0

1,649

18.5

18.9

Figures in millions of MXN.

*EBITDA= Earnings Before Interest Taxes Depreciation and Amortization

HIGHLIGHTS OF THE COMPANY’S SUSTAINABILITY STRATEGY
  • At the end of the year, water consumption per ton produced was 2.15 m3/ton, in line with the objective of 2.16 m3/ton established within the framework of the HERDEZ 22 and HERDEZ 22L sustainability-linked bonus.
  • Grupo Herdez was recognized among the top 10 Companies with Greatest ESG Responsibility by the corporate reputation monitor MERCO. We occupy sixth position in the ranking of the 100 companies and number 3 in the food sector.
  • For the second consecutive year, Grupo Herdez received the Urban Forest Award granted by Bio Pappel. This award recognizes the environmental commitment of companies for using 100% recycled cardboard packaging.
  • For the third consecutive year, we were awarded in the “Exceptional Companies” contest of the Institute for the Promotion of Quality and the Communication Council. This year, our issuance of the bond linked to sustainability was recognized as a “Good Practice” in the category of Contribution to the Sustainable Development Goals

2020

  • 2020: We launched the first edition of Semillero Nutrisa. Together with Nutrisa and the Victoria147 business academy for women, we invited women entrepreneurs to participate in a training program to improve the management of their businesses and have the potential to become part of our supply chain.

We established our first technological alliance with Google, which will allow us to accelerate the digital transformation of Grupo Herdez through the use of Google Cloud Platform tools such as BigQuery ML, Looker, among others.

Through the Herdez® brand and Aires de Campo® we joined the “Sowing a New Normality” initiative, promoted by the civil society organizations Ríos Tarango and Ectágono, which aims to increase the vegetation cover of the environmentally valuable area Barranca de Tarango.

  • 2021: We developed the Group’s second proprietary e-commerce platform, with the Nutrisa® online store.

We updated the apps through which we manage the loyalty programs of our retail brands, Cielito Querido Café® and Nutrisa®, improving our customers’ in-store experience.

During the year, 15 formulas had their nutritional profile strengthened by reducing some critical added nutrients (sugars, sodium and saturated fats).

  • 2022: We expanded our capabilities into new categories through the acquisition of Interdeli and Deli, Dips & Snacks. Integrating brands such as Libanius, Flaveur, Liguria and Señor Cactus into our portfolio.

We Issued the first sustainability bond through which we
committed to a 25% reduction in our water consumption.

Together with our partner McCormick & Company, Inc. we
brought the most iconic Mexican cuisine to the tables of the United Kingdom
through meal kits, sauces and condiments under the Herdez® brand.
  In less than a year, we obtained a 5.5% shelf
share in the Tesco supermarket chain.

We consolidated the integration of Chilim Balam® into retail brands, a leading brand in the snack segment