August 4, 2011

Industrias Bachoco's net income decreases from April-June

Industrias Bachoco S.A.B. de C.V., a producer and processor of poultry and food products, has announced a net revenue of MXN139 million (US$11.8 million), or US$0.23 per share, for the second quarter in contrast to MXN618 million (US$52.3 million), or US$1.03 per share, during the same period last year.

Net sales for the second quarter ended June 30, 2011, were MXN6.62 billion (US$560.5 million), compared to MXN6.2 billion (US$524.9 million) for the same quarter ended June 30, 2010.

Net income for the six months ended June 30, 2011, was MXN294 million (US$24.9 million), or US$0.49 per share, compared to MXN894 million (US$75.7 million), or US$1.49 per share, for the six months ended June 30, 2010.

Net sales for the six months ended June 30, 2011, were MXN12.66 billion (US$1.07 billion), compared to MXN12.13 billion (US$1.02 billion) for the six months ended June 30, 2010.

Rodolfo Ramos, Bachoco's CEO, stated, "Our second quarter results were characterised by the challenge facing the poultry industry worldwide, higher grain costs. Given this is the largest component of the company's cost of sales, margins and profitability were affected despite efficiency improvements and hedging strategies."