February 19, 2013

For the fourth quarter ended December 31, 2012, Industrias Bachoco reported net income of MXN554.2 million (US$43.4 million), compared to a loss of MXN26.9 million (US$2.1 million) in 2011.

Earnings per share totalled MXN0.92 (US$0.072), compared to MXN0.04 (US$0.0031) in 2011. Net sales were MXN10.7 billion (US$838.6 million), an increase of 25% compared to net sales of MXN8.6 billion (US$674,000) in the comparable year-ago period. The company attributed the gain to the integration of the Bachoco's new US operation.

"Supply and demand remained balanced across our main product lines, with sound prices during most part of the quarter, helped by the holiday season at the end of this period, which fostered consumption mainly of chicken products," said Rodolfo Ramos Arvizu, CEO.

"Fourth-quarter results concluded a positive year for the company in terms of operating and financial results, a recovery from results reported in 2011, which was one of the most difficult years in the company's history. It has been one year since Bachoco entered the US market through the acquisition of OK Industries. We continue to integrate OK Industries into the company's operations, in line with Bachoco's overall strategy," Arvisu concluded.

Full year net sales for 2012 were MXN39.3 billion (US$3.1 billion) compared to MXN27.7 billion (US$2.2 billion) in 2011, the company reported. Net income for the full year was MXN2.2 billion (US$172.5 million), compared to MXN165.2 million (US$12.9 million) in the year-ago period.