Gruma (GRUMA) Q2 2026 earnings summary

Executive summary

• Net sales grew 3% year-over-year to $1.65 billion, driven by strong performance in Europe, Asia, Oceania, and Central America, offsetting U.S. softness.

• U.S. subsidiary faced continued volume contraction, mainly in the food service channel, due to price sensitivity and weak consumer sentiment.

• Consolidated EBITDA declined 5% to $276.5 million, with margin contracting 130 basis points to 16.8% due to higher costs.

• Majority net income fell 12% to $118.7 million, reflecting lower operating income and increased financing costs.

• International subsidiaries exceeded expectations, with solid results in Asia, Oceania, Europe, and stable operations in Mexico and Central America.

Financial highlights

• Consolidated sales rose 3% year-over-year to $1.65 billion, supported by growth in Europe, Asia, Oceania, and Central America.

• EBITDA contracted 5% year-over-year to $276.5 million, reflecting U.S. volume declines and higher costs.

• Net Debt/EBITDA increased to 1.5x due to seasonal inventory buildup in Mexico.

• U.S. operation: volumes and sales contracted 3%, EBITDA down 15% year-over-year to $165.0 million.

• Europe: sales up 5% to $142.6 million, EBITDA up 17% to $21.0 million, margin at 14.8%.

• Central America: volumes up 3%, sales up 7% to $103.3 million, EBITDA up 12% to $19.7 million, margin at 19%.

• Asia & Oceania: volumes up 4%, sales up 15% to $78.4 million, EBITDA up 47% to $12.7 million, margin at 16.2%.

Outlook and guidance

• Guidance revised: low single-digit volume and revenue decline for U.S. subsidiary, with EBITDA margin down 200 basis points.

• Consolidated guidance: fractional decline in revenue and volume, EBITDA margin contraction of ~160 basis points.

• Management expects a meaningful recovery in U.S. operations once consumer confidence rebounds, with continued strong contributions from other regions.

• Third quarter expected to be a transition period for U.S. food service stabilization.

• Strategy focuses on incentivizing volume growth and building a healthier operating structure.