MEXICO CITY, April 24, 2024 /PRNewswire/ -- Genomma Lab Internacional, S.A.B. de C.V. (BMV: LAB B) ("Genomma" or "the Company"), today announced its results for the first quarter of 2024. All figures included herein are stated in nominal Mexican pesos and have been prepared in accordance with International Financial Reporting Standards (IFRS), unless otherwise mentioned.
Comments from our CEO, Marco Sparvieri
"Our EBITDA margin expanded significantly, reaching 22.3% in Q1 2024, an increase above 150 basis points year on year, driven by cost efficiencies through our manufacturing plant and the focus on our productivity initiatives. Our productivity goals remain on track, with a 40% progress to date towards Ps. $1,800 MM in annual cost savings by 2027."
Q1 2024 Financial Summary
The following table provides a summary of the Company's Income Statement, in millions of Mexican pesos.
Q1 2024 | % sales | Q1 2023 | % sales | var % | |
Like-for-like Sales(1) | 9.7 % | ||||
Net Sales (ex Argentina) | 3,675.3 | 3,473.7 | 5.8 % | ||
Net Sales | 4,197.3 | 100.0 % | 4,178.2 | 100.0 % | 0.5 % |
Gross Profit | 2,739.7 | 65.3 % | 2,563.2 | 61.3 % | 6.9 % |
Operating Income | 806.9 | 19.2 % | 803.8 | 19.2 % | 0.4 % |
EBITDA(2) | 935.6 | 22.3 % | 867.3 | 20.8 % | 7.9 % |
Net Income | 372.1 | 8.9 % | 358.0 | 8.6 % | 3.9 % |
EPS | 0.36 | 0.34 | 6.8 % |
(1) Like-for-like ("LFL") Sales are Net Sales expressed in constant currency and excludes the hyperinflationary subsidiary |
(2) EBITDA defined as operating income before depreciation and amortization |
Like-for-like ("LFL") sales: when adjusted into constant currency and excluding the hyperinflationary subsidiary, sales increased by 9.7% reflecting a double-digit increase in six out of nine core categories, 78% of sales exceeding inflation and 45% of sales resulting from market share growth.
Net sales (ex Argentina): when excluding the hyperinflationary subsidiary, sales increased by 5.8%, adversely impacted by a strong Mexican peso revaluation.
Net sales: 0.5% increase impacted by Argentina results.
EBITDA: reached 22.3% margin and a 7.9% increase reflecting a significant 153 basis-point margin expansion due to cost efficiencies in the manufacturing facility and productivity initiatives across the Company.
Net income: 3.9% increase due to a higher operating income. Excluding the non-controlled affiliate, net income would have increased by double-digits.
EPS: Ps. 0.36 per share, a 6.8% increase reflecting higher net income and the cancellation of 28 million shares during the second quarter of 2023.
For a full version of Genomma Lab's First Quarter 2024 Earnings Release, please visit: https://inversionistas.genommalab.com/en/financial-information
CONFERENCE CALL INFORMATION:
Genomma Lab will host a conference call on Thursday, April 25, 2024, to discuss these results at 1:00 p.m. Eastern Time / 11:00 a.m. Mexico City Time.
To access the call, please register here.
After registration, please use the Zoom link provided to ensure optimal access to the event webcast and to avoid difficulties associated with local carrier connections.
About
Genomma Lab Internacional, S.A.B. de C.V. is one of the leading pharmaceutical and personal care products companies in Mexico with an increasing international presence. Genomma Lab develops, sells and markets a broad range of premium branded products, many of which are leaders in the categories in which they compete in terms of sales and market share. Genomma Lab relies on the combination of a successful new product development process, a consumer-oriented marketing, a broad retail distribution network and a low-cost, highly flexible operating model. Genomma Lab's shares are listed on the Mexican Stock Exchange under the ticker "LAB B" (Bloomberg: LABB:MM).
Note on Forward-Looking Statements
This report may contain certain forward-looking statements and information relating to the Company that reflect the current views and/or expectations of the Company and its management with respect to its performance, business and future events. Forward looking statements include, without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and may contain words like "believe," "anticipate," "expect," "envisages," "will likely result," or any other words or phrases of similar meaning. Such statements are subject to a number of risks, uncertainties and assumptions. We caution you that a number of important factors could cause actual results to differ materially from the plans, objectives, expectations, estimates and intentions expressed in this presentation and in oral statements made by authorized officers of the Company. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates. Risks and uncertainties include, but are not limited to: risks related to the impact of the COVID19 global pandemic, such as the scope and duration of the outbreak, government actions and restrictive measures implemented in response, material delays, supply chain disruptions and other impacts to the business, or on the Company's ability to execute business continuity plans as a result of the COVID-19 pandemic, economic factors, such as interest rate and currency exchange rate fluctuations; competition, including technological advances, new products attained by competitors; challenges inherent in new product development; the ability of the Company to successfully execute strategic plans; the impact of business combinations and divestitures; manufacturing difficulties or delays, internally or within the supply chain; significant adverse litigation or government action, including related to product liability claims; changes to applicable laws and regulations, including tax laws; changes in behavior and spending patterns of purchasers of products and services; financial instability of international economies and legal systems and sovereign risk. A further list and descriptions of these risks, uncertainties and other factors can be found within the Company's related filings with the Bolsa Mexicana de Valores. Any forward-looking statement made in this release speaks only as of the date of this release. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE Genomma Lab Internacional, S.A.B. de C.V.
