Securities and Exchange Commission
Washington, D.C. 20549
FORM 6-K
Report of Foreign Issuer Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934
FOR THE THIRD QUARTER ENDED AS OF SEPTEMBER 30, 2013
BACHOCO INDUSTRIES
(Translation of Registrant’s name into English)
Avenida Tecnológico #401
38010 Celaya, Guanajuato, Mexico
(Address of principal office)
(Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.)
(Check One) Form 20-F x Form 40-F ¨
(Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing information to the Commission
pursuant to Rule 12g-3-2(b) under the Securities Exchange Act of 1934.)
(Check One) Yes ¨ No x
(If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b). 82_
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.
Industrias Bachoco, S.A.B. de C.V.
(Registrant)
Date: October 24, 2013
By /s/ Daniel Salazar Ferrer, CFO
Industrias Bachoco Announces Third Quarter Results
CELAYA, Mexico, Oct. 24, 2013 /PRNewswire/ -- Industrias Bachoco, S.A.B. de C.V., "Bachoco" or "the Company", (NYSE: IBA; BMV: Bachoco) announced today its unaudited results for the third quarter ("3Q13") and first nine months of 2013("9M13") ended September 30, 2013. All figures have been prepared in accordance with International Financial Reporting Standard ("IFRS"), and are presented in nominal million Mexican Pesos ("Pesos" or "Ps.").
HIGHLIGHTS- 2013 vs 2012
CEO COMMENTS
Mr. Rodolfo Ramos Arvizu, Chief Executive Officer of Bachoco, stated, "This was a typical third quarter for the Company, in terms of seasonality, with chicken prices at their weakest.
Nevertheless, we continued to post positive results and margins in all of our main business lines, with chicken volumes fully recovering by the end of the third quarter as we had anticipated.
As a result, we estimate that our chicken market share has been recovered, thanks to the confidence of our clients in our company and the excellent job of our sales force.
Additionally, we faced a tough basis of comparison due to strong results posted in the third quarter of 2012, which was atypically strong, in terms of seasonality for the poultry industry.
Lastly, our CAPEX were entirely financed with internal resources and our balance sheet remains solid, with strong cash levels."
EXECUTIVE SUMMARY
The following financial information is expressed in millions of nominal pesos, except for amounts per share or per ADR, with comparative figures for the same period in 2012.
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| QUARTER | ACCUMULATED | ||||||
In millions of pesos | 3Q13 | 3Q12 | Var. | 2013 | 2012 | Var. | |||||
Net sales | 9,437.0 | 9,901.0 | -4.7% | 29,972.4 | 28,642.7 | 4.6% | |||||
Net sales Mexico | 7,296.8 | 7,758.4 | -5.9% | 23,527.8 | 22,721.6 | 3.5% | |||||
Net sales in the U.S. | 2,140.2 | 2,142.6 | -0.1% | 6,444.6 | 5,921.1 | 8.8% | |||||
Cost of sales | 8,155.5 | 8,342.6 | -2.2% | 24,705.3 | 24,222.7 | 2.0% | |||||
Gross profit | 1,281.5 | 1,558.4 | -17.8% | 5,267.1 | 4,420.0 | 19.2% | |||||
SG&A | 827.5 | 839.9 | -1.5% | 2,448.8 | 2,498.5 | -2.0% | |||||
Other income (expense) | -80.9 | 63.7 | -227.0% | 31.7 | 17.4 | 82.0% | |||||
Operating Income | 373.1 | 782.2 | -52.3% | 2,850.0 | 1,938.9 | 47.0% | |||||
Net profit | 353.5 | 627.5 | -43.7% | 2,363.2 | 1,604.9 | 47.2% | |||||
Weighted average Shares | 600,000 | 599,749 |
| 599,991 | 598,647 |
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NET SALES
The Company's 3Q13 net sales totaled Ps. 9,437.0 million, 4.7% below the Ps. 9,901.0 million reported in 3Q12. This mainly resulted from lower chicken prices in the Mexican market and a drop in chicken volume compared to 3Q12. This was partially offset by an increase in egg sales, while the rest of the Company's business lines had mixed results.
In 3Q13, sales of our U.S. operations represented 23.0%% of total sales, compared with 22.0% in 3Q12.
Total sales for the 9M13 increased 4.6% when compared with the same period of 2012.
GROSS PROFIT
Cost of sales totaled Ps. 8,155.5 million, 2.2% lower than Ps. 8,342.6 million reported in the same period of 2012, mainly due to lower volume sold and steady unit costs of sales.
This resulted in gross profit of Ps. 1,281.5 million and a gross margin of 13.6% in 3Q13, compared to a gross profit of Ps. 1,558.4 million, and a gross margin of 15.7% in 3Q12.
Meanwhile, gross profit for 9M13 was Ps. 5,267.1, 17.6% higher than Ps. 4,420.0 million reached in the same period of 2012. Gross margin was 17.6% and 15.4% in the same periods of 2013 and 2012, respectively.
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES
In 3Q13, total selling, general and administrative expenses reached Ps. 827.5 million, compared to Ps. 839.9 million reported in 3Q12; this represented 8.8% and 8.5% over the total sales respectively, as a result of strict expense controls.
OTHER INCOME (EXPENSE), NET
The "other income (expense)"line includes mainly the selling of unused assets as well as the selling of hens and other by-products. We record such sales as expenses when the sale price is lower than the book value of those assets.
In 3Q13, the amount was an expense of Ps. 80.9 million, compared with other income of Ps. 63.7 million reported in 3Q12, mainly attributed to gain in sales of several unused assets and E-1 effect.
During the first nine months of 2013, the Company recorded other income of Ps. 31.7 million compared to other income of Ps. 17.4 million recorded in the 9M12.
OPERATING INCOME
Operating income in 3Q13 totaled Ps.373.1 million, which represents an operating margin of 4.0%, compared with Ps.782.2 million of income and 7.9% margin reported in 3Q12; the decrease in the operating income is mainly attributed to a lower gross profit.
In 9M13, operating income was Ps. 2,871.5 million, representing an operating margin of 9.6%, compared with Ps. 1,912.4 million of income and a 6.7% margin reported in the same period of 2012, which reflects a strong performance of the Company in 9M13.
NET FINANCING INCOME
In the third quarter of 2013, the Company reported net financing income of Ps. 60.8 million, compared to Ps. 19.9 million in net finance income reported in 3Q12. The change is mainly attributed to higher interest income and exchange rate gains.
Net finance income for the 9M13 totaled Ps. 111.6 million, compared with income of 113.0 million in 9M12.
TAXES
Industrias Bachoco and all of its subsidiaries file separate income tax returns. Total taxes in 3Q13 were Ps. 80.0 million and Ps. 595.1 for 9M13.
NET INCOME
Net income in 3Q13 was Ps. 353.5 million, representing Ps. 0.59 per share or Ps. 7.07 per ADR, compared with a net income of Ps. 627.5 million, which represents Ps. 1.05 per share or Ps. 12.56 per ADR reported in 3Q12.
Net income for 9M13 totaled Ps. 2,363.2 million, or Ps. 3.94 per share or Ps. 47.26 per ADR, compared to net income of Ps. 1,604.9 million or Ps. 2.68 per share or Ps. 32.17 per ADR.
EBITDA
EBITDA in 3Q13 reached Ps. 561.8 million, representing an EBITDA margin of 6.0%, compared to EBITDA of Ps. 1,018.7 million in 3Q12 with an EBITDA margin of 10.3%.
Meanwhile EBITDA for the first 9M13 totaled Ps. 3,407.0 million, or 11.4% of margin, compared with EBITDA of Ps. 2,669.0 million or 9.3% EBITDA margin in the same period of 2012.
The following chart shows reconciliation of EBITDA and adjusted EBITDA to consolidated net income.
EBITDA |
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| THIRD QUARTER |
| FIRST NINE MONTHS | ||
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| As of Sept 30, |
| As of Sept 30, | ||
In million pesos |
| 2013 | 2012 |
| 2013 | 2012 |
Net income |
| 353.5 | 627.5 |
| 2,363.2 | 1,604.9 |
Income tax expense (benefit) |
| 80.0 | 172.4 |
| 595.1 | 443.0 |
Share of results in associates |
| 0.4 | 2.2 |
| 3.4 | 4.1 |
Net finance (income) expense |
| (60.8) | (19.9) |
| (111.6) | (113.0) |
Depreciation and amortization |
| 188.7 | 236.6 |
| 557.0 | 730.1 |
EBITDA RESULT |
| 561.8 | 1,018.7 |
| 3,407.0 | 2,669.0 |
EBITDA margin |
| 6.0% | 10.3% |
| 11.4% | 9.3% |
Other expense (income) net |
| 80.9 | (63.7) |
| (31.7) | (17.4) |
Adjusted EBITDA result |
| 642.7 | 955.1 |
| 3,375.3 | 2,651.7 |
Adjusted EBITDA Margin |
| 6.8% | 9.6% |
| 11.3% | 9.3% |
Net revenues |
| 9,437.0 | 9,901.0 |
| 29,972.4 | 28,642.7 |
BALANCE SHEET data
Cash and equivalents as of September 30, 2013, totaled Ps. 7,801.0 million compared to Ps. 5,138.1 million reported as of December 31, 2012.
As of September 30, 2013, total debt was Ps. 2,331.0 million compared to Ps. 2,741.2 million reported as of December 31, 2012.
Net debt was negative Ps. 5,470.0 million as of September 30, 2013, compared with a negative net debt of Ps. 2,396.9 million as of December 31, 2012.
CAPITAL EXPENDITURES
Total CAPEX in 3Q13 was Ps. 86.3 million and Ps. 419.4 million for 9M13. CAPEX was mainly allocated toward productivity projects and maintenance.
ANALYST COVERAGE
INSTITUTION | ANALYST | CONTACT INFO |
GBM | Miguel Mayorga | mmayorga@gbm.com.mx |
BBVA Bancomer | Fernando Olvera | fernando.olvera@bbva.com |
Actinver | Toe Matsumura Eduardo Fonseca | tmatsumura@actinver.com.mx efonseca@actinver.com.mx |
STOCK INFORMATION
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| As of September 30, 2013 | ||
Total Shares |
| 600,000,000 | ||
Total free float |
| 17.25% | ||
Total shares in treasury |
| 0 | ||
Market cap (millions) |
| Ps. | 25,800 | |
| BMV | NYSE | ||
Ticker Symbol | Bachoco | IBA | ||
Closing price | Ps. | 43.00 | USD$ | 39.47 |
Maximum closing price in 2013 | 45.13 | 43.08 | ||
Minimum closing price in 2013 | 28.80 | 26.23 | ||
Stock price yield in 2013 | 42.7% | 41.4% |
APPENDICES
For reference, some figures have been translated into millions of U.S. dollars ("USD") using an exchange rate of Ps. 13.1225 per US$1, which corresponds to the rate at the close of September 30, 2013, according to Mexico's National Bank.
Consolidated Statement of Financial Position |
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-Unaudited- |
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| As of Sept 30, |
| As of Dec 31, | |
In million pesos |
| Pesos | U.S. Dollar |
| 2012 |
TOTAL ASSETS |
| 29,045.7 | 2,208.8 |
| 28,090.1 |
Total current assets |
| 14,844.3 | 1,128.8 |
| 14,089.3 |
Cash and cash equivalents |
| 7,801.0 | 593.2 |
| 5,138.1 |
Total accounts receivable |
| 2,032.7 | 154.6 |
| 2,385.3 |
Inventories |
| 4,663.1 | 354.6 |
| 6,259.6 |
Other current assets |
| 347.6 | 26.4 |
| 306.3 |
Net property, plant and equipment |
| 11,864.5 | 902.2 |
| 11,949.5 |
Other Assets |
| 2,336.8 | 177.7 |
| 2,051.2 |
TOTAL LIABILITIES |
| 7,918.0 | 602.1 |
| 9,001.4 |
Total current liabilities |
| 3,951.8 | 300.5 |
| 4,820.9 |
Notes payable to banks |
| 817.7 | 62.2 |
| 1,206.1 |
Accounts payable |
| 2,330.3 | 177.2 |
| 2,925.9 |
Other taxes payable and other accruals |
| 803.8 | 61.1 |
| 688.9 |
Total long-term liabilities |
| 3,966.1 | 301.6 |
| 4,180.4 |
Long-term debt |
| 1,513.2 | 115.1 |
| 1,535.1 |
Other non current liabilities |
| 130.8 | 9.9 |
| 100.1 |
Deferred income taxes |
| 2,322.1 | 176.6 |
| 2,545.3 |
TOTAL STOCKHOLDERS' EQUITY |
| 21,127.7 | 1,603.6 |
| 19,088.7 |
Capital stock |
| 1,174.4 | 89.3 |
| 1,174.4 |
Commission in shares issued |
| 399.6 | 30.4 |
| 399.6 |
Repurchased shares |
| 99.6 | 7.6 |
| 99.5 |
Retained earnings |
| 18,345.8 | 1,395.1 |
| 16,405.2 |
Others accounts |
| 1,068.1 | 81.2 |
| 973.3 |
Non controlling interest |
| 40.1 | 3.0 |
| 36.7 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY |
| 29,045.7 | 2,208.8 |
| 28,090.1 |
Consolidated Statement of Income |
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THIRD QUARTER RESULTS |
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-Unaudited- |
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| U.S. Dollar (1) |
In millions pesos |
| 2013 | 2012 |
| Var. | 2013 |
Net revenues |
| 9,437.0 | 9,901.0 |
| -4.7% | 717.6 |
Cost of sales |
| 8,155.5 | 8,342.6 |
| -2.2% | 620.2 |
Gross profit |
| 1,281.5 | 1,558.4 |
| -17.8% | 97.5 |
Selling, general and administrative expenses |
| 827.5 | 839.9 |
| -1.5% | 62.9 |
Other income (expenses), net |
| (80.9) | 63.7 |
| -227.0% | (6.2) |
Operating income |
| 373.1 | 782.2 |
| -52.3% | 28.4 |
Net finance income |
| 60.8 | 19.9 |
| 205.6% | 4.6 |
Income tax |
| 80.0 | 172.4 |
| -53.6% | 6.1 |
Non-controlling interest |
| (0.4) | (2.2) |
| -84.1% | (0.0) |
Net controlling interest profit |
| 353.5 | 627.5 |
| -43.7% | 26.9 |
Basic and diluted earnings per share |
| 0.59 | 1.05 |
| -43.7% | 0.6 |
Basic and diluted earnings per ADR |
| 7.07 | 12.56 |
| -43.7% | 7.1 |
Weighted average Shares outstanding (thousands) |
| 600,000 | 599,749 |
| 0.0% | 600,000 |
EBITDA Result |
| 561.8 | 1,018.7 |
| -44.8% | 42.7 |
EBITDA margin |
| 6.0% | 10.3% |
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| 6.0% |
Gross margin |
| 13.6% | 15.7% |
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| 13.6% |
Operating margin |
| 4.0% | 7.9% |
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| 4.0% |
Net margin |
| 3.7% | 6.3% |
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| 3.7% |
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FIRST NINE MONTHS OF 2013 |
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-Unaudited- |
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| U.S. Dollar (1) |
In millions pesos |
| 2013 | 2012 |
| Var. | 2013 |
Net revenues |
| 29,972.4 | 28,642.7 |
| 4.6% | 2,279.3 |
Cost of sales |
| 24,705.3 | 24,222.7 |
| 2.0% | 1,878.7 |
Gross profit |
| 5,267.1 | 4,420.0 |
| 19.2% | 400.5 |
Selling, general and administrative expenses |
| 2,448.8 | 2,498.5 |
| -2.0% | 186.2 |
Other income (expenses), net |
| 31.7 | 17.4 |
| 82.0% | 2.4 |
Operating income |
| 2,850.0 | 1,938.9 |
| 47.0% | 216.7 |
Net finance income |
| 111.6 | 113.0 |
| -1.2% | 8.5 |
Income tax |
| 595.1 | 443.0 |
| 34.3% | 45.3 |
Non-controlling interest |
| (3.4) | (4.1) |
| -16.0% | (0.3) |
Net controlling interestprofit |
| 2,363.2 | 1,604.9 |
| 47.2% | 179.7 |
Basic and diluted earnings per share |
| 3.94 | 2.68 |
| 46.9% | 3.9 |
Basic and diluted earnings per ADR |
| 47.26 | 32.17 |
| 46.9% | 47.3 |
Weighted average Shares outstanding (thousands) |
| 599,991 | 598,647 |
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| 599,991 |
EBITDA Result |
| 3,407.0 | 2,669.0 |
| 27.6% | 259.1 |
EBITDA margin |
| 11.4% | 9.3% |
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| 11.4% |
Gross margin |
| 17.6% | 15.4% |
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| 17.6% |
Operating margin |
| 9.5% | 6.8% |
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| 9.5% |
Net margin |
| 7.9% | 5.6% |
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| 7.9% |
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Consolidated Statement of Cash Flows |
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| U.S. Dollar |
In million of pesos |
| 2013 | 2012 | 2013 |
NET MAJORITY INCOME BEFORE INCOME TAX |
| 2,958.3 | 2,047.9 | 225.0 |
ITEMS THAT DO NOT REQUIRE CASH: |
| - | - | - |
ITEMS RELATING TO INVESTING ACTIVITIES: |
| 715.5 | 793.1 | 54.4 |
Depreciation and others |
| 557.0 | 730.1 | 42.4 |
Income (loss) on sale of plant and equipment |
| 158.5 | 63.0 | 12.1 |
Other Items |
| - | - | - |
ITEMS RELATING TO FINANCING ACTIVITIES: |
| 96.6 | 55.1 | 7.3 |
Interest income (expense) |
| 96.6 | 55.1 | 7.3 |
Other Items |
| - | - | - |
NET CASH GENERATED FROM NET INCOME BEFORE TAXES |
| 3,770.4 | 2,896.1 | 286.7 |
CASH GENERATED OR USED IN THE OPERATION: |
| 1,361.1 | (1,192.5) | 103.5 |
Decrease (increase) in accounts receivable |
| 244.3 | 22.3 | 18.6 |
Decrease (increase) in inventories |
| 1,490.4 | (1,233.7) | 113.3 |
Decrease (increase) in accounts payable |
| (595.5) | (151.5) | (45.3) |
Decrease (increase) in other liabilities |
| 221.9 | 170.4 | 16.9 |
NET CASH FLOW FROM OPERATING ACTIVITIES |
| 5,131.4 | 1,703.6 | 390.2 |
NET CASH FLOW FROM INVESTING ACTIVITIES |
| (427.1) | (483.4) | (32.5) |
Acquisition of property, plant and equipment |
| (419.4) | (664.6) | (31.9) |
Proceeds from sales of property plant and equipment |
| 49.2 | 19.5 | 3.7 |
Other Items |
| (56.9) | 161.7 | (4.3) |
CASH FLOW SURPLUS (REQUIREMENTS OF) TO BE USED IN |
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FINANCING ACTIVITIES |
| 4,704.3 | 1,220.2 | 357.7 |
Net cash provided by financing activities: |
| (701.8) | (614.3) | (53.4) |
Proceeds from loans |
| 592.0 | 854.2 | 45.0 |
Principal payments on loans |
| (1,001.3) | (1,485.0) | (76.1) |
Dividends paid |
| - | - | - |
Other items |
| (292.5) | 16.6 | (22.2) |
Net increase (decrease) in cash and equivalents |
| 2,662.9 | 1,489.6 | 202.5 |
Cash and investments at the beginning of year |
| 5,138.1 | 3,036.4 | 390.7 |
CASH AND INVESTMENTS AT END OF PERIOD |
| 7,801.0 | 4,526.0 | 593.2 |
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FINANCIAL INSTRUMENTS |
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Third Quarter 2013 |
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Thousands of Mexican Pesos, as of September 30, 2013 |
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Type of Financial
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Notional | Value of the Related Commodity | Guaranties Required |
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| 3Q-2013 | 2Q-2013 | 3Q-2013 | 2Q-2013 |
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Forwards and Knock out
| Hedge and negotiation | $ 2,794 | $13.15 | $12.98 | $ 195 | $ 649 |
| The deals consider the possibility of margin calls but not another kind of guarantee |
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Futures for corn,
| Hedge | $ 220,332 | Month | Price | Month | Price | -$ 8,009 | -$ 4,384 | 45.8% in 2013 and 54.2% in 2014 |
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Corn | Corn |
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in USD per bushel | in USD per bushel |
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DEC-2013 | $4.4150 | JUL-2013 | $6.7925 |
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MARCH-2014 | $4.5450 | SEP-2013 | $5.4725 |
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MAY-2014 | $4.6225 |
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JUL-2014 | $4.6900 |
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SEP-2014 | $4.7375 |
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DEC-2014 | $4.8100 |
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Soybean Meal | Soybean Meal |
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In USD per ton | In USD per ton |
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DEC-2013 | $405.40 | AUG-2013 | $434.90 |
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JAN-2014 | $403.30 | SEP-2013 | $400.70 |
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MARCH-2014 | $394.50 |
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MAY-2014 | $385.40 |
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JUL-2014 | $382.20 |
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AUG-2014 | $376.90 |
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SEP-2014 | $365.60 |
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OCT-2014 | $348.40 |
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DEC-2014 | $345.40 |
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Soy Oil |
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En US cents per pound |
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DEC-2013 | $41.10 |
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JAN-2014 | $41.40 |
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MARCH-2014 | $41.71 |
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Options for corn | Hedge and negotiation | $ 773 | Month | Price | Month | Price | $ 773 | -$ 139 | 2013 |
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Corn | Corn |
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in USD per bushel | in USD per bushel |
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DEC-2013 | $4.4150 | SEP-2013 | $5.4725 |
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Notes:
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Third Quarter 2013 |
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Thousands of Mexican Pesos, as of September 30, 2013 |
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| PROBABLE SCENARIO |
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Type of Financial Instrument | Reasonable Value | Value of the Related Commodity | Effect on the Income Statement |
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As of September
| Reference Value | Effect on the Cash Flow(3) |
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| -2.5% | 2.5% | 5.0% | -2.5% | 2.5% | 5.0% |
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Forwards and Knock out forwards. (1) | $ 195 | $ 12.82 | $ 13.48 | $ 13.81 | Direct | $ 125 | $ 265 | $ 335 |
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| -5% | 5% | 10% |
| -5% | 5% | 10% |
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Futures of corn: (2) | -$ 8,009 | $ 4.194 | $ 4.636 | $ 4.857 | The effect will materialize as the inventory is consumed | -$ 19,025 | $ 3,008 | $ 14,025 |
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Futures of soybean meal: (2) | $ 385.13 | $ 425.67 | $ 445.94 |
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Futures for Soy oil (2) | $ 39.05 | $ 43.16 | $ 45.21 |
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Options for corn (2) | $ 773 |
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| -$ 446 | $ 1,282 | $ 672 |
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Notes:
(1) The reference value is the exchange rate: $13.15 pesos per one dollar, as of Sept. 30, 2013.
(2) The reference value is the futures of corn for December 2013, $4.4150 USD/bushel and, soybean meal for December 2013, $405.4 USD/ton. For soy oil the reference value is $41.10 US cents per pound, for December 2013.
(3) The Company has credit lines with the majority of its counterparts, so that the effect in cash flow is lower than the amount shown.
Industrias Bachoco, S.A.B. de C.V. |
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Third Quarter 2013 |
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Thousands of Mexican Pesos, as of September 30, 2013 |
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| STRESS SCENARIO |
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| Reasonable Value | Value of the Related Commodity | Effect on the
| Effect on the Cash Flow(1) |
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Type of Instrument | As of September 30, 2013 | Reference Value |
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| -50% | -25% | 25% | 50% | -50% | -25% | 25% | 50% |
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Forwards and Knock Out Forwards | $ 195 | $6.58 | $9.86 | $16.44 | $19.73 | Direct | -$2,350 | -$953 | $894 | $ 1,593 |
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(1) The reference value is the exchange rate: $13.15 pesos per one dollar as of September 30, 2013.
COMPANY DESCRIPTION
Industrias Bachoco is the leader in the Mexican poultry industry, and one of the largest poultry producers globally.
The Company was founded in 1952, and became a public company in 1997, via a public offering of shares on the Mexican and The New York Stock Exchange. Bachoco is a vertically integrated company headquartered in Celaya, Guanajuato located in Central Mexico. Its main business lines are: chicken, eggs, balanced feed, swine, and turkey and beef value-added products. Bachoco owns and manages more than a thousand facilities, organized in nine production complexes and 64 distribution centers in Mexico, and a production complex in the United States. Currently the Company employs more than 25,000 people. In 2012, the Company reported net sales of Ps. 39.3 billion.
The Company is rated AA (MEX), representing high credit quality by Fitch Mexico, S.A. de C.V., and HR AA+ which signals that the Company and the offering both have high credit quality by HR Ratings de Mexico S.A. de C.V.
DISCLAIMER
The document contains certain information that could be considered forward looking statements concerning anticipated future events and performance of the Company. The statements reflect management's current beliefs based on information currently available and are not guarantees of future performance and are based on our estimates and assumptions that are subject to risks and uncertainties, including those described in our Annual Information Form, which could cause our actual results to differ materially from the forward-looking statements contained in this document. Those risks and uncertainties include risks associated with ownership in the poultry industry, competition for investments within the poultry industry, shareholder liability, governmental regulation, and environmental matters. As a result, there can be no assurance that actual results will be consistent with these forward-looking statements. Except as required by applicable law, Industrias Bachoco, S.A.B. de C.V., undertakes no obligation to publicly update or revise any forward-looking statement.
CONTACT: Media Contact: IR Contacts, Daniel Salazar, CFO, and Claudia Cabrera, IRO, +011-52-461-618-3555, inversionistas@bachoco.net, both of Industrias Bachoco