About Grupo Bimbo
Grupo Bimbo, the world’s largest bakery company, reported an 8% and 10.8% increase in operating cash flow (EBITDA) and net sales for the first quarter of 2025, compared to the same period a year ago. This growth is partly attributed to the favorable conversion of the exchange rate.
Record-Breaking First Quarter Sales
Grupo Bimbo announced that its net sales reached a record-breaking 103,726 million pesos for the first quarter. This growth was driven by positive volumes despite a challenging consumption environment in North America, as well as contributions from acquisitions completed over the past 12 months, according to the company’s report to the Mexican Stock Exchange.
North American Sales Performance
In North America, net sales increased by 13.6% in pesos. However, excluding the effect of the exchange rate, this figure would have shown a 4.9% decrease. The company is facing weak consumer demand and the impact of its strategic exit from some private label markets.
Grupo Bimbo mentioned that investments in the North American value chain have had an impact, but long-term benefits are expected.
Mexican Market Growth
In Mexico, sales grew by 1.7% due to a favorable product mix. Categories such as bread, pastries, cookies, and salty snacks experienced growth in both traditional and self-service channels.
Key Questions and Answers
- What is Grupo Bimbo? Grupo Bimbo is the world’s largest bakery company, with operations in 31 countries across North America, Europe, Latin America, and Asia.
- Why is the exchange rate important for Grupo Bimbo? The favorable conversion of the exchange rate has contributed to Grupo Bimbo’s 8% and 10.8% increase in operating cash flow (EBITDA) and net sales for the first quarter of 2025.
- What drove the growth in Grupo Bimbo’s sales? The growth was driven by positive volumes, acquisitions completed over the past 12 months, and a favorable product mix in Mexico.
- What challenges is Grupo Bimbo facing in North America? The company is dealing with weak consumer demand and the impact of its strategic exit from some private label markets.
- What are the expected benefits of Grupo Bimbo’s investments in North America? Although there have been impacts, Grupo Bimbo anticipates long-term benefits from its investments in the North American value chain.
