Corporate Profiles - 2021 - 62

COMPANY OVERVIEW
Grupo Bimbo SAB de CV
Capital projects, DEI initiatives come amid strong performance
he past year has been a profitable and
busy one for Grupo Bimbo SAB de CV.
Building on its highly successful financial
performance in 2020, Grupo Bimbo
achieved record results in the first half of 2021.
In the quarter ended June 30, Bimbo generated
record profits while boosting return on equity
by 280 basis points. Operating income of the
company's North America business, based in
Horsham, Pa., though, was 2.8 billion pesos
($140 million) in the second quarter, down
31% from 4.1 billion pesos in the second quarter
of 2020 but up sharply from 1.3 billion in
April-June 2019. Sales were 42.7 billion pesos
($2.15 billion), down 13% from 49.1 billion a
year earlier.
T
Capital projects unveiled or completed in the
United States during the past year included an
announcement in April that Bimbo QSR, a subsidiary
of Mexico City-based Grupo Bimbo, plans
to invest $25 million to open a baking plant in
Valdosta, Ga. The new facility will bake hamburger,
hot dog and sandwich buns for quickservice
restaurants across the southeastern
United States.
Additionally, Bimbo opened a new sales
center in Conshohocken, Pa., that will serve
as the mid-Atlantic region's main distribution
point for 12 of the company's brands through
134 routes. The new building comprises more
than 71,000 square feet of space and replaces
Bimbo Bakeries USA's old sales center that was
originally a Stroehmann bakery built in 1959.
Brands distributed through the center include
Entenmann's, Stroehmann, Maier's, Sara Lee,
Artesano, Thomas', Arnold, Bimbo, Marinela,
Barcel, Ballpark and Boboli.
Acquisitions by Bimbo during the year included
Emmy's Organics, a producer of ultrapremium
organic cookies. The acquisition was
announced in late July and gives the company
" an entry point into the quickly growing betterfor-you
cookie and sweet baked goods market, "
Bimbo said. Emmy's Organics has a large online
presence and sells cookie varieties that include
Organic Dark Cacao, Organic Vanilla Bean, Organic
Chocolate Chip, Organic Peanut Butter, Organic
Birthday Cake and Organic Lemon Ginger.
All varieties but one are vegan and grain-free
(the birthday cake variety contains some ricebased
ingredients). In addition, the company
makes a line of three cookie bite varieties, chocolate-covered
snacks that are vegan and glutenfree.
Varieties include peanut butter, mint and
vanilla. Organic coconut is the principal ingredient
in Emmy's cookies. Emmy's was established
in 2009 by Samantha Abrams and Ian Gaffney.
The year has not been without challenges
for BBU. Despite being on the market for more
than five years and generating nearly $1 billion
in sales, the Artesano brand name used
by Bimbo Bakeries USA on its pre-packaged
sliced bread is not a protected trademark. Grupo
Bimbo on June 15 filed a lawsuit in the US
District Court for the Eastern District of Virginia
Alexandria Division appealing the US Patent &
Trademark Office's (PTO) decision denying registration
of the Artesano trademark. The PTO
has refused to register the Artesano trademark,
contending that " while the Artesano trademark
has acquired distinctiveness as a trademark, it
Chairman and president -
Daniel Servitje
Grupo Bimbo net income
Grupo Bimbo net sales
Grupo Bimbo share price
in Mexican pesos
5,808
6,319
9,111
289,320
291,926
331,051
30
40
50
60
2018
2019
2020
2018
2019
2020
Oct.
2020
Dec.
Feb.
2021
Apr.
June
Aug.
62 \ October 2021
Milling & Baking News * Food Business News * Baking & Snack * Meat+Poultry * Pet Food Processing * Dairy Processing
Corporate Profiles
in millions of Mexican pesos
in millions of Mexican pesos

Corporate Profiles - 2021

Table of Contents for the Digital Edition of Corporate Profiles - 2021