Genomma Lab Internacional Announces Results for the First Quarter 2026
Genomma Lab Internacional Announces Results for the First Quarter 2026 |
| [22-April-2026] |
MEXICO CITY, April 22, 2026 /PRNewswire/ -- Genomma Lab Internacional, S.A.B. de C.V. (BMV: LAB B) ("Genomma" or "the Company"), today announced its results for the first quarter 2026. All figures included herein are stated in nominal Mexican pesos and have been prepared in accordance with International Financial Reporting Standards (IFRS), unless otherwise noted. Comments from Genomma's CEO, Marco Sparvieri "Q1 2026 like-for-like sales declined -3.9% mainly reflecting a weak consumption environment in Mexico and continued disruptions in US Hispanic retail, partially offset by a +5.3% like-for-like increase compared to the same period last year in LatAm, where our growth initiatives are beginning to deliver encouraging results. In Mexico, sell-in declined -8.6% as trade inventory destocking continued amid broad category contractions, narrowing the sell-in/sell-out gap to 2.8 percentage points, though further adjustments may be required to offset sell-out weakness. Gross margin expanded +61 basis points to 63.4%, reflecting disciplined execution of our productivity initiatives. EBITDA margin declined -96 basis points to 22.8%, as we increased higher OpEx to support growth initiatives ahead of the expected sales ramp-up in 2H 2026. Net margin expanded +49 basis points to 11.8%, driven by lower financial expenses. We remain focused on executing our growth strategy, including product innovation, distribution expansion, enhanced in-store execution and stronger communication. While we continue to self-fund growth initiatives through productivity gains, higher opex investment is required to defend market share amid intensified competition in a weak Mexican consumption environment. We expect EBITDA margin pressures over the next three to six months, as we prioritize share defense, while growth initiatives gain traction and operating leverage improves in 2H 2026. Momentum is gradually rebuilding. While weak Mexican consumption may prolong the cycle, fundamentals remain solid and position Genomma Lab to emerge stronger." Q1 2026 Financial Summary The following table provides a summary of the Company's Income Statement, in millions of Mexican pesos.
Net Sales: Like-for-like sales declined -3.9%, reflecting weak consumption in Mexico and disruptions in the U.S. Hispanic market, partially offset by +5.3% like-for-like growth in LatAm, driven by strong performance in Central America and the Andean region. Net sales decreased -4.9%, primarily due to a 13.9% appreciation of the Mexican peso. EBITDA: Reached 22.8% margin, representing a -96 basis-point decline, reflecting operational deleverage and higher operating expenses to support growth initiatives ahead of the expected sales ramp-up, partially offset by a +61 basis-point gross margin expansion from productivity gains. Net Income: Reached an 11.8% margin, a +49 basis-point expansion due to lower financial expenses partially offsetting operational deleverage. CONFERENCE CALL INFORMATION Date: Thursday, April 23, 2026 Time: 1:00 p.m. ET | 11:00 a.m. Mexico City Time Webcast Registration: Genomma's Q1 2026 Earnings Call Participants: Marco Sparvieri, CEO After registration, please use the Zoom link provided to ensure optimal access to the event webcast and to avoid difficulties associated with local carrier connections. Sell-side Analyst Coverage As of April 22, 2026 "LABB" is covered by 8 sell-side analysts at the following brokerages: Actinver Casa de Bolsa, Banco Itaú BBA, BBVA Bancomer, BTG Pactual US Capital, GBM Grupo Bursátil Mexicano, Grupo Financiero Banorte, J.P. Morgan Securities and Monex Grupo Financiero. About 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. Risks and uncertainties include, but are not limited to: risks related to the impact of the COVID19 global pandemic, such as the scope and duration of the outbreak, government actions and restrictive measures implemented in response, material delays, supply chain disruptions and other impacts to the business, or on the Company's ability to execute business continuity plans as a result of the COVID-19 pandemic, economic factors, such as interest rate and currency exchange rate fluctuations; competition, including technological advances, new products attained by competitors; challenges inherent in new product development; the ability of the Company to successfully execute strategic plans; the impact of business combinations and divestitures; manufacturing difficulties or delays, internally or within the supply chain; significant adverse litigation or government action, including related to product liability claims; changes to applicable laws and regulations, including tax laws; changes in behavior and spending patterns of purchasers of products and services; financial instability of international economies and legal systems and sovereign risk. A further list and descriptions of these risks, uncertainties and other factors can be found within the Company's related filings with the Bolsa Mexicana de Valores. Any forward-looking statement made in this release speaks only as of the date of this release. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE Genomma Lab Internacional, S.A.B. de C.V. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Company Codes: Mexico:LABB,BMV:LAB B |
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