Grupo Bafar reports second-quarter results for 2023

CHIHUAHUA, Mexico, July 28, 2023 (GLOBE NEWSWIRE) -- Grupo Bafar, S.A.B de C.V. (BMV: BAFARB), a recognized leader in the national food sector, has announced its results for the second quarter of 2023, highlighting solid growth in its main divisions.

Results for the Second Quarter of 2023

• Net sales reached $6,358.6 million pesos.
• Gross profit increased by 17.4% with a margin of 29.6%.
• Operating profit increased by 87%, and EBITDA grew by 70.5%.
  
  

During the second quarter of 2023, Grupo Bafar continued to demonstrate its growth and strength in the market, achieving significant margin improvement despite moderate sales growth. These results reflect the successful execution of their commercial strategies and the positioning of their brands in the national and American markets.

The company's food division was once again the main driver of growth, achieving revenues of $6,152 million pesos and benefiting from stabilized raw material costs, strong performance of their value-added brands and products, and expansion in the national market.

As for the real estate division represented by FIBRA NOVA, dollar-denominated revenues continued their upward trajectory with an 18% growth in the second quarter of 2023. This increase was mainly due to the continued expansion of industrial warehouse leases in northern area of Mexico, allowing the real estate division to capitalize on the growing demand for industrial spaces in the region triggered by the nearshoring phenomenon.

The financial division also showed strong performance, recording a financial margin of 49% and revenue growth of over 100% during the second quarter. This growth was attributed to increased credit placements, consolidating the company's position in the financial sector.

The financial results for the second quarter of 2023 confirm Grupo Bafar's solid financial position, enabling strategic investments of nearly $2,163.3 million pesos. These investments were primarily directed towards expanding the real estate portfolio and strengthening sales, logistics, and production capabilities in the food division, aligning with the company's growth plans.

Thanks to shared objectives, strong commitment to their goals, and outstanding collaboration from their workforce, Grupo Bafar once again finds itself in the ranking of "Súper Empresas 2023" and among the top 500 companies in Mexico. This reflects that the company continues on the right path, and its present success is the result of a trajectory grounded in true hard work, guided by the values that represent and set the course for focusing their passion, effort, and dedication towards Grupo Bafar's most important purpose: to fuel Mexico's progress.

Eugenio Baeza Fares, Chairman of the Board of Grupo Bafar, expressed his satisfaction with the results obtained in the second quarter of 2023 and reiterated the company's commitment to continue generating value for its shareholders and customers. "Our strategy of diversification and focus on operational excellence allows us to face economic challenges with confidence, and these results reinforce our vision to double the company's value in the coming years," stated Baeza Fares.

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Luis Carlos Piñón Reza