PharmiWeb.com - Global Pharma News & Resources
26-Feb-2019

Genomma Lab Internacional Reports Fourth Quarter & Full Year 2018 Results

MEXICO CITY, Feb. 26, 2019 /PRNewswire/ -- Genomma Lab Internacional, S.A.B. de C.V. (BMV: LAB B) ("Genomma Lab" or "the Company"), today announced its results for the fourth quarter and full year ended December 31, 2018. All figures included herein are stated in nominal Mexican pesos and have been prepared in accordance with International Financial Reporting Standards (IFRS).

The following table provides an abridged Income Statement, in millions of Mexican pesos. The margin for each figure represents its ratio to net sales and the percentage change in the fourth quarter 2018 as compared with the same period in 2017:


Q4-2018

 % Sales

Q4-2017

% Sales

Var. %

Net Sales

3,136.4

100.0%

2,885.2

100.0%

+8.7%

Gross Profit

2,012.9

64.2%

1,798.0

62.3%

+11.9%

Operating Income

550.6

17.6%

595.9

20.7%

(7.6)%

EBITDA(2)

579.3

18.5%

613.2

21.3%

(5.5)%

Net Income(3) 

327.0

10.4%

338.6

11.7%

(3.4)%


(2) EBITDA is defined as operating income before depreciation and amortization.

(3) Net Income of Majority Shareholders for 2017.

NOTE: These results incorporate the impact of the International Accounting Standard IAS-29 (hyperinflationary accounting) and major currency devaluation of the Argentinean peso detailed on page 8.

Highlights

  • Net Sales Q4 2018 grew +8.7% year on year
  • Gross Margin Q4 2018 closed at 64.2%, a 190 bps year-on-year improvement
  • EBITDA(1) margin for the three months of Q4 2018 closed at 18.5%
  • Free Cash Flow of Ps. 1.47 billion(1) for the twelve months of 2018
  • Capex Investments for the twelve months of 2018 reached Ps. 1.23 billion allocated to:- New Plant; -Brand acquisitions
  • Ps. 134.0 million invested in Share Buy-backs in 2018.

(1) Excluding investments in the manufacturing facility and brands acquisitions.

Comments from the CEO 

Mr. Jorge Brake, Chief Executive Officer, commented: "2018 was an important year for Genomma Lab. We successfully completed the turnaround process we embarked upon in 2015 streamlining our business model while leveraging Genomma's efficient operating structure and strong go-to market and marketing capabilities. We also completed the final phase of our cost containment and cash generation program, resulting in a solid foundation which will enable us to take advantage of the exciting opportunities that lie ahead."
Mr. Brake continued: "Despite a major currency devaluation impact in our second largest market and other one-time effects, Q4 results were positive both from a top-line perspective and operationally. Our team managed to overcome in this challenging environment. I'm confident that today our Company is well positioned to turn our focus to growth and innovation, with improved performance as we continue to leverage our deep understanding of Genomma's customers, consumers and categories while delivering brand-accretive marketing to expand our business base."

For a full version of Genomma Lab Internacional's Fourth Quarter 2018 Earnings Release, please visit: https://inversionistas.genommalab.com/en

CONFERENCE CALL INFORMATION:

Genomma Lab will host a conference call on Wednesday, February 27, 2019, to discuss these results at 12:00 p.m. Eastern Time / 11:00 a.m. Central Time (Mexico City Time).

To access the call, please dial:
+1 877-407-8031 (From within the U.S.)
+1 201-689-8031 (From outside the U.S.)

There will also be a live Audio Webcast of the event at:
https://www.investornetwork.com/event/presentation/44011

Replay will be available until March 6, 2019
Please dial:
+1 877-481-4010 (U.S.)
+1 919-882-2331 (International)
Replay ID: 44011

About Genomma
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. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

View original content:http://www.prnewswire.com/news-releases/genomma-lab-internacional-reports-fourth-quarter--full-year-2018-results-300802777.html

SOURCE Genomma Lab Internacional, S.A.B. de C.V.

Editor Details

Last Updated: 26-Feb-2019