LIMA, Peru--(BUSINESS WIRE)--
Alicorp S.A.A. (“the Company” or “Alicorp”) (BVL:ALICORC1 and ALICORI1) announced today its unaudited financial results corresponding to the Third Quarter 2017 (Q3 17’). Financial figures are reported on a consolidated basis and are in accordance with International Financial Reporting Standards (“IFRS”) in nominal Peruvian Soles, based on the following statements, which should be read in conjunction with the Financial Statements and Notes to the Financial Statements published at the Peruvian Securities and Exchange Commission (Superintendencia del Mercado de Valores - SMV).
| I. | FINANCIAL HIGHLIGHTS | |
| 1. | Consolidated Revenue amounted to S/ 1,823.5 million (+4.2% YoY), while Volume reached 483.4 thousand tons (+5.7% YoY). Increase in Revenue was mainly explained by: i) a 7.8% YoY increase in the Consumer Goods Peru business due to the growth of the core categories; ii) a 11.9% YoY increase in the Aquaculture business due to the capture of market share while an expansion of the Ecuador´s shrimp feed market and the Chile´s fish feed market was occurring; iii) a 5.7% YoY increase in the B2B business due to higher Revenue in the Food Service platform; | |
| 2. | Revenue and Volume from the Consumer Goods Peru business reached S/ 709.9 million (+7.8% YoY) and 140.1 thousand tons (+4.5% YoY) during Q3 17’. This increase was mainly explained by i) our core categories such as Laundry Detergents (+11.3% YoY), Pasta (+6.8% YoY), Sauces (+12.9% YoY), Domestic Oil (+3.8% YoY), and Cookies & Crackers (+4.1% YoY) due to the Company’s commercial strategy that resulted in an equal or a higher value share in 13 of 16 categories, and ii) new categories such as the launch of the canned tuna category (+S/ 11.4 million). | |
| 3. | Regarding product innovation, during Q3 17’ the Company launched 11 products (8 in Consumer Goods Peru, 2 in Consumer Goods International and 1 in B2B) The following launches can be highlighted: i) pancake premix under the “Blanca Flor” mega brand, launching a new line of ready-to-cook products, ii) a new line of Baby & Kids under the “Bolivar” mega brand, offering a specialized product for baby care, and iii) “Opal Advance”, aiming to strengthen the brand position in the stain remover detergent. | |
| 4. |
Gross Margin increased by 2.8 p.p. YoY (33.2% in Q3 17’ versus 30.4% in Q3 16’), while Gross Profit reached S/ 605.4 million, a 13.6% increase compared to the S/ 532.9 million of Q3 16’. The improvement was mainly explained by i) revenue management and design-to-value initiatives in the Consumer Goods Peru business, despite rising prices of raw materials, ii) savings in procurement and manufacturing as a result of our efficiencies program, iii) lower raw material prices in the Aquaculture business, and iv) a higher operating contribution from Food Service platform. |
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| 5. | EBITDA amounted to S/ 247.8 million (+9.6% YoY), and EBITDA Margin increased by 0.7 p.p. YoY (13.6% during Q3 17’ versus 12.9% in Q3 16’). | |
| 6. | Consequently, Net Income totaled S/116.4 million during Q3 17’, (+28.7% YoY), while Net Margin reached 6.4%, (+1.2 p.p. YoY). As a result of the aforementioned, profitability increased and Net Financial Expenses decreased, Earnings per Share (EPS) increased from S/ 0.106 in Q3 16’ to S/ 0.138 in Q3 17’ (+30.2% YoY). | |
| 7. | Cash flow from Operations as of September 2017 was S/ 696.5 million, S/ 105.2 million higher than the figure generated as of September 2016. This increase was mainly explained by: i) a higher Consolidated Revenue and EBITDA generation, and ii) an efficient working capital management. Cash Flow used in Investing Operations was S/ 34.7 million, compared to S/ 84.5 million registered as of September 2016. CAPEX investments as of September 2017 were S/ 64.9 million. | |
| 8. | As of September 2017, Net Debt decreased by S/ 455.8 million versus December 2016, reaching S/ 877.1 million. Total Debt was S/ 2,147.1 million as of September 2017, S/ 540.7 million higher compared to December 2016. Net Debt decreased as a result of a strong cash flow generation and a higher profitability. Net Debt-to-EBITDA ratio decreased from 1.66x as of December 2016 to 0.98x as of September 2017. | |
For a full version of ALICORP’s Third Quarter 2017 Earnings Release,
please visit:
https://www.alicorp.com.pe/alicorp-ir/public/financial-information/reportes/conference-calls.html
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Conference Call |
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Alicorp S.A.A. (BVL: ALICORC1 and ALICORI1) |
| Cordially invites you to discuss Third Quarter 2017 Results |
| Date: Friday, November 3, 2017 |
| Time: 12:00 p.m. Eastern Time |
| 11:00 a.m. Lima Time |
| To access the call, please dial: |
| From the U.S.: 1-800-311-9401 |
| From Outside the U.S.: 1-334-323-7224 |
| Conference ID Number: 68632 |
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Alicorp’s 3Q17 Results will be accompanied by a webcast presentation available at: https://www.webcaster4.com/Webcast/Page/412/22738 |
ABOUT ALICORP
Alicorp is a leading Consumer Goods company headquartered in Peru, with operations in other Latin American countries, such as Argentina, Brazil, Chile, Ecuador, and exports to other countries. The Company focuses on three core businesses: (1) Consumer Products (food, personal and home care products), in Peru, Brazil, Argentina, Ecuador, Colombia and Chile, among other countries, (2) B2B Products (industrial flour, industrial lard, pre-mix and food service products), and (3) Aquaculture (fish and shrimp feeding). Alicorp has over 7,600 employees in its operations in Peru and international subsidiaries. The Company´s common and investment shares are listed on the Lima Stock Exchange under the ticker symbols ALICORC1 and ALICORI1, respectively.
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