Gruma (GRUMA) Q4 2025 earnings summary

Executive summary

• Achieved global sales of US $6.4 billion and EBITDA of US $1,136 million for 2025, maintaining leadership in corn flour and tortilla markets across the U.S., Mexico, and Europe, with strong brand awareness and innovation in health-oriented products.

• Global demand for tortillas remains strong, especially for Better-For-You products, which continue to outperform in the U.S. and Europe.

• Achieved targeted profitability for 2025 by expanding margins despite a challenging U.S. economic environment and weak consumer sentiment, with strong performance in Europe, Asia & Oceania, and Central America offsetting U.S. and GIMSA headwinds.

• Consistent growth in net sales and profitability, driven by product innovation and expansion into value-added, higher-margin segments.

• Closed the year in line with expectations and entered 2026 with improving market dynamics.

Financial highlights

• Net sales reached US $6,576 million in 2025, up from US $5,597 million in 2021, representing an 8% CAGR over four years.

• Consolidated 4Q25 net sales rose 2% year-over-year to $1.59 billion; sales volume was flat at 1,096 thousand tons.

• EBITDA decreased 5% to $277.7 million in 4Q25; EBITDA margin dropped 130 bps to 17.5%.

• U.S. sales fell 5% and EBITDA contracted 7%, with a 40 basis point margin decline to 20.7%.

• Europe saw 1% volume and 14% sales growth, but only 3% EBITDA growth due to higher costs.

• Central America volumes and sales grew 5% and 2%, respectively; EBITDA up 26% with 400 basis point margin expansion.

• Asia and Oceania volumes up 3%, sales up 8%, EBITDA up 28% with 220 basis point margin expansion.

• Majority net income declined 18% to $126.6 million; effective tax rate was 28.5%.

Outlook and guidance

• Expects continued margin improvement through a shift to higher-margin SKUs, healthier alternatives, and operational efficiencies.

• U.S. expects flat to fractional volume growth, flat to slightly lower sales, and 50-70 basis point EBITDA margin contraction in 2026.

• Mexico anticipates single-digit volume and sales growth, with 10-50 basis point margin contraction due to corn price risks.

• Europe projects low single-digit volume and high single-digit sales growth, with 70-100 basis point EBITDA margin expansion.

• Central America expects high single-digit volume and low single-digit sales growth, with 20-50 basis point margin expansion.

• Asia and Oceania forecast mid-single-digit volume and high single-digit sales growth, but flat to 50 basis point margin contraction.

• Consolidated guidance: flat to fractional volume growth, low single-digit sales growth, and 40-60 basis point margin contraction.

• Positive momentum anticipated in 2026, supported by market recovery and capacity expansions.

• CapEx for 2026 estimated at $220 million.