The increase in the prices of inputs used by the largest bakery in the world, bimbowill benefit your income for this first reporting quarter of the year, explains the Financial Group Go For Moreas it expects the company to grow in double digits in this area, 14.8%, totaling close to 90,913 million pesos.
The expectation for its operating flow, EBITDA, is an increase of 4.20% to 13,092 million pesos, while operating profit will be around 8,546 million pesos, a decrease of 2.79% compared to the same period of the previous year , reads the report of Go for More.
The progress of your income in the operations in Mexico it is expected to be 12%, benefiting from a higher sales volume, although for this market it is expected that the company will face higher logistics, energy and labor costs, which will put downward pressure on profitability.
Due to higher inflation reflected in the increase in the prices of raw materials, it will also boost operations in the United States by 8%, which would compensate for lower volumes, while, in the European, Asian and African markets, a growth of 15%, driven mainly by the acquisition of companies in the food sector, such as Kitty Bread in India and Cerealito Siro Foods in Spain.
Despite these acquisitions, its margins will be affected by the closures due to the Omicron variant of the Covid-19 that were seen at the beginning of the year, in addition to the geopolitical conflict between Russia and Ukraine.
bimbo is on the list of companies that left the Russian market, as one of the sanctions against Russia for its invasion of Ukraine, after having operated for more than 4 years in that country where it had around 360 people.
As is the case of its operating margin, which due to higher costs of raw materials and labor will present a decline of 170 basis points, in addition to a drop in the Ebitda margin, of 147 basis points, indicated the financial group.
Go for More It is expected that the economic reopening will generate a boost in the recovery of convenience stores and institutional channels.
bimbo closed the price of its shares this Thursday at a level of 55.84 pesos each title, which represented a drop of 3.07% in its performance and its capitalization value reached 252.192 million pesos. So far this 2022, the company registers a decline of 11.32% in the price of its papers.
The company has a presence in 32 countries, where it operates through 202 plants and offers more than 13,000 varieties of products.
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