Lala will invest 3% of her sales in 2021 while focusing on Central America

Business

By CAPosts 23 February, 2021 - 03:48pm 38 views

After a year marked by the pandemic that impacted the sales of some of its categories, Grupo Lala is preparing its investment plan, to which it will allocate 3% of total sales in 2021. Arquímedes Celis, director of the company, did not offer details on the projects that will receive the resources, however, he pointed out that they will be invested in those that allow them to improve their productivity, while they will continue to give priority to the financial discipline of the company "We intend to further consolidate the improvements in working capital by keeping it in a negative to neutral level in relation to sales and we remain committed to continuing to reduce debt leverage, "said Celis, in the conference with analysts to discuss their financial results last year.

© iStockphoto Pouring homemade kefir, buttermilk or yogurt with probiotics. Yogurt flowing from glass bottle on white wooden background. Probiotic cold fermented dairy drink. Trendy food and drink. Copy space left Looking outside of México

The company's debt profile improved in the fourth quarter, reaching a ratio of 3.1 times net debt to Ebitda, compared to 3.5 in the third quarter of 2020; 90% is denominated in pesos, 73% is at a fixed rate and 86% of the total is long-term, according to its financial report. The general director of the dairy company considers that Mexico is ready for its innovation program, a market in which they have analyzed the consumption trends that have developed with the pandemic. The company, which already has a consolidated market in Mexico and, for now, will seek to expand its margins in Central America, where it will focus on the performance of Nicaragua and Guatemala. At the same time, it evaluates its operations in Brazil, a market in which it reported net sales for the fourth quarter of 3.011 million pesos; a 24.2% increase in local currency and a 1.1% increase in Mexican pesos. The company will continue to focus on key markets after closing its operations in Costa Rica in December last year, as part of its operational restructuring strategy. “Brazil will be an important area in terms of our focus this year. I think Central America is considering our market shares. (…) We are prepared to improve our margins there and, of course, grow. And finally, in the United States, as we are doing in Brazil, we are re-evaluating our strategy. We see growth opportunities in both the Hispanic market and the general market, ”said Celis.

Source: MSN