Grupo Nutresa (NUTRESA) Q3 2024 earnings summary

Executive summary

• Recognized as the third most reputable company in Colombia by MERCO 2024, maintaining a top-three position for 16 consecutive years, with strengths in ethics, financial results, and innovation.

• Consolidated sales for the nine months ended September 2024 were COP 13.52 trillion, down 5.4% year-over-year, but Q3 sales reached COP 4.75 trillion, up 1.8% year-over-year.

• In USD terms, revenues grew 4.5% year-over-year due to currency effects.

• Net profit for the nine months was COP 577.5 billion, down 2.6% year-over-year, but Q3 net profit surged 85.3% year-over-year.

• Total comprehensive income for the nine months was COP 936,067 million, compared to a loss of COP 893,720 million in the prior year, driven by positive exchange differences.

Financial highlights

• EBITDA for the nine months was COP 1.79 trillion, up 5.7% year-over-year, with Q3 EBITDA at COP 602.9 billion, up 18.8% year-over-year; EBITDA margin improved to 13.2%.

• Gross profit for the nine months was COP 5.63 trillion, up 1.9% year-over-year, with gross margin improving to 41.6% from 38.6% in the prior year.

• Operating profit for the nine months was COP 1.4 trillion, up 4.6% year-over-year, with a margin of 10.3%.

• Financial expenses decreased by 8.9% due to lower interest rates.

• Earnings per share for the nine months was COP 1,261.69; Q3 EPS was COP 462.30.

Outlook and guidance

• Management expects gradual improvement in commercial performance for the last quarter, with positive trends domestically and internationally.

• Continued focus on managing commodity and currency volatility through hedging and efficiency plans.

• No explicit forward-looking guidance provided; management notes stable effective tax rates and no significant post-closing events.