Mexico City, Mexico, July 24, 2014 – Grupo Herdez, S.A.B. de C.V. (“Grupo Herdez” or the “Company”) (MSE: HERDEZ, OTC: GUZBY), today announced its results for the second quarter ended June 30, 2014.
“Although the consumer environment remains challenging, we were able to maintain our top line due to our point of sale initiatives to help boost volumes. We expect sequential improvement towards the second half of the year based on our commercial activities and the improvement of Nutrisa and Don Miguel results”Said Héctor Hernández-Pons Torres, Chairman and Chief Executive Officer.
Net sales in the second quarter rose 5.5% from the year ago period, to Ps. 3,318 million, reflecting the integration of a full quarter of Nutrisa and double-digit growth in export sales. On a segment basis, sales in Mexico core remained stable in the quarter, reflecting mid-single digit growth in most key categories, helping to offset weak tuna performance resulting from a highly competitive environment in which pricing has been under pressure since the beginning of the year. In Nutrisa, comparable sales declined 3.9% due to the elimination of certain SKUs as part of the strategic focus on the key category, an initiative that began in late 1Q14. Export sales rose 25.5% with strong growth in exports to the United States.