In 2017, Sales for Grupo Nutresa Grew 2,5% in Colombia22 February, 2018
- Sales in Colombia amounted to COP 5,5 trillion, 2,5% higher than in 2016.
- International sales increased 5,7% in US dollars, totaling USD 1,1 billion, after excluding, for comparison purposes, the sales for 2016 in Venezuela.
- Accumulated EBITDA amounted to COP 1,04 trillion, 12% of total sales.
Medellin, February 22, 2018. Grupo Nutresa S.A. (BVC: NUTRESA) discloses its Consolidated Financial Results as of December 31, 2017.
In 2017, Grupo Nutresa reports positive sales dynamics in Colombia and abroad. Consolidated sales closed the year at COP 8,7 trillion, a 2,4% increase over those registered in 2016, after excluding, for comparison purposes, the sales in Venezuela (as of October 1, 2016, the investment in Venezuela is accounted as a financial instrument).
In Colombia, sales amounted to COP 5,5 trillion, a growth of 2,5% when compared to the previous year, and representing 63,2% of Grupo Nutresa’s consolidated revenues.
Sales abroad, after the aforementioned exclusion, were USD 1,1 billion, a 5,7% growth, and accounted for 36,8% of Grupo Nutresa’s total sales. When expressed in Colombian pesos, these revenues are equivalent to COP 3,5 trillion, a growth of 2,4%. Furthermore, exports from Colombia presented strong positive dynamics over the year, growing 19,4% in US dollars.
Innovation sales continued its solid growth throughout the year, representing 20,2% of total sales.
Gross profit improved by 3,5% in relation to 2016 amounting to COP 3,8 trillion. This outcome is the result of a strong commodities sourcing and management strategy, the favorable prices of some commodities, and the productivity programs set in motion by the Company.
The operating margin stood at 8,9% of sales and is the reflection of a reduction in administrative and production expenses, which, along with the increase in gross profit, enabled the organization to partially counteract the effect of the greater effort required during the year in terms of sales expenses in our local market.
In terms of profitability, we report a 12,0% EBITDA margin, which amounts to COP 1,04 trillion, and is 1,5% higher compared to 2016. This result is explained to a large extent by moderate sales in our local market, the execution of various productivity-focused projects, and a sensible pricing strategy focused on protecting volumes.
Net post-operative expenses totaled COP 251.338 million, 6,9% less than in 2016, due primarily to reduced financial expenses and the treatment of the investment in Venezuela as a financial instrument.
As a result, consolidated net profit amounted to COP 420.207 million, a 6,2% increase, and represented 4,8% of the sales.
In the Balance Sheet, we report a 4,5% growth in total assets, closing the year with COP 14,3 trillion. This increase is largely due to a greater cash generation during the period and the higher valuation of the investments in Grupo Sura and Grupo Argos.
Total liabilities exhibited a growth of 0,8%, closing at COP 5,4 trillion, mainly due to the increase in working capital liabilities.
Equity closed at COP 8,9 trillion, representing a 6,7% increase compared to 2016.
Separate financial statements of Grupo Nutresa S.A.
The Separate Financial Statements of Grupo Nutresa S.A. report COP 434.312 million in operating revenues, from which COP 380.108 million corresponded to profit from the equity method of the investments in food companies, and COP 54.204 million to dividends from the investment portfolio. The net profit was COP 430.279 million.
The Consolidated and Separate Financial Statements, the Statement of Financial Position as of December 31, 2017, as well as the related financial indicators, are an integral part of this release.
Proposed Distribution of Profits
Grupo Nutresa´s Board of Directors approved the proposal for the distribution of profits, which will be submitted for consideration to the General Assembly. The proposal sets a monthly dividend of COP 47,20 for the period starting April 2018 to March 2019. This proposal represents an increase of 6,1% over the current dividend of COP 44,50.