Grupo Bafar Reports First Quarter 2023 Results

Las Animas, MEXICO

CHIHUAHUA, México, May 02, 2023 (GLOBE NEWSWIRE) -- Grupo Bafar, S.A.B de C.V. (BMV: BAFARB) recognized as one of the main companies in Mexico within the food business, with an important participation in various sectors, such as agroindustrial, finance, and real estate, has announced its results for the first quarter of 2023.


  • Consolidated net sales increased 5.4%, year-on-year, to US $338.1
  • Operating income increased 19.5% and EBITDA increased 17.8%
  • Investments during the quarter of more than US $64.5 million.
  • The Real Estate Division increased USD revenues by 21.6%
  • Issue of credit in the financial division continues to rise. The current credit placement, including operations with related parties, presented an increase of 81.4%

Revenues for the first quarter amounted MXN $6,117.7 million (US $338.1 million), achieving an increase of 5.4% compared to MXN $5,806.8 million (US $320.9 million) in the first quarter of 2022. Cost of sales as a percentage of revenues decreased to 71.5% compared to the 73.6% from the previous year, this was due to the stabilization in the prices of raw materials and a relevant change to a mix of products from higher added value compared to 2022, which allowed to significantly improve gross margin, managing to increase gross profit by 13.6%. EBITDA amounted to MXN $939.5 million (US $51.9 million), with an EBITDA margin of 15.4% in relation to net sales and presents an important growth of 17.8% compared to MXN $797.3 million (US $44.1 million) from the previous year.

For the real estate division, represented by FIBRA NOVA (BMV: FNOVA17), total US revenues amounted to US $14.0 million, presenting an increase of 21.6% over the previous year. The growth is derived from the expansion in the leasing of industrial buildings in the north of the Mexico, where the effect generated by nearshoring leaves the real estate division positioned to take advantage of the demand for industrial spaces in the coming year. EBITDA and FFO reached MXN $241.8 million (US $13.0 million) and MXN $210.8 million (US $11.3 million) with a margin of 93.0% and 81.0%, respectively.

The financial division increased its income by 129.6%, derived from the growth in the issue of business loans and the increase in reference rates. The issue of credit continues with an upward trend; At the end of the quarter, total credit placement was located at MXN $6,383.9 million (US $352.8 million), increasing 81.4% compared to the MXN $3,519.7 million (US $194.5 million)

The current results are accompanied by a solid financial position and a flow generation capacity that allowed investments of more than MXN $1,166.7 million (US 64.5 million) in the quarter, which were mainly destined to the expansion of the real estate portfolio, but also to the increase in sales, logistics and production capabilities of the food division that will support expansion plans in Mexico, as well as in the United States.

Consolidated ResultsMXN USD Var %
In thousands1Q221Q23 1Q221Q23 
Net Sales5,806,8226,117,658 320,939338,119 5.4%
Operating Income655,188783,200 36,21243,287 19.5%
Operating Margin11.3%12.8% 11.3%12.8%  
EBITDA797,324939,488 44,06851,925 17.8%
EBITDA Margin13.7%15.4% 13.7%15.4%  
Net Income600,1721,086,092 33,17160,028 81.0%
Net Margin10.3%17.8% 10.3%17.8%  
*Exchange rate of $18.0932 per USD $1.0, which corresponds to the rate at the close of March 31, 2023, according to Mexico’s National Bank.

Eugenio Baeza Fares, Chairman of Grupo Bafar, commented, “This year, we continue to present outstanding results despite an economic outlook impacted by inflationary pressures. The expectation of the slowdown of the world economy in 2023 presents a challenging scenario, but without a doubt, we are prepared to continue growing and show the resilience of our business model. These results give us the confidence that we are on the right track to be able to double the value of the company in the coming years.”

For more information, contact:

Luis Carlos Piñón Reza

Forward looking statements

The information contained in this report may include certain statements with regarding the expected financial and operating performance of Grupo Bafar, which are based on financial information, operating levels and market conditions prevailing at date, as well as estimates by the company's management in relation to possible future events. The financial information presented has not been audited.