Sigma Foods, S.a.b. De C.v. · BMV:SIGMAF/A
Sigma Foods, S.a.b. De C.v — Sigma Alimentos — Q4 2024 Earnings Presentation
72 slides from Sigma Foods, S.a.b. De C.v's earnings presentation, November 2025
Slide 1: Corporate Presentation 4Q24
Corporate Presentation 4Q24
Slide 2: Content
Content 01 Sigma at Glance 02 Into the Future 03 Financial Performance 04 ESG Public Information
Slide 3: Transformation provides investors full autonomy across four independent business units
Transformation provides investors full autonomy to participate across four independent business units 1 2 3 4 Branded Foods Petrochemicals Information and Automotive Communications Lightweighting Technology Solutions ALFA ALFA Shareholders Shareholders Controladora Controladora Alpek Axtel 100% 82%
Slide 4: Alfa|Sigma offers access to a leading branded food business
Alfa|Sigma offers investors access to a leading, consumer-centered, multinational, branded food business 16 Portfolio brands, each selling more than US $100 Million a year * Includes inorganic effect of the divestment in all Italy operations during 3Q23
Slide 5: Investment Highlights
Investment Highlights Contenido • Diverse portfolio of leading brands across categories and consumer segments • Supply chain and distribution network as a competitive advantage • R&D platform to drive innovation and generate consumer knowledge • History of sustained growth throughout the years • Exp
Slide 6: Multinational Presence, Local Favorites
Multinational Presence, Local Favorites 17 100+ 640K+ 1.8M US $8.8B 20y Countries Brands Points of Sale Tons of Food / LTM Net Sales Average Mgmt. 4Q24 LTM 4Q24 Team Experience
Slide 7: Revenues and EBITDA LTM 4Q24 by region and category
U.S. 19% Europe 26% Mexico 48% Cooked Meats 49% Dairy 27% Latam 7% Revenues LTM 4Q24 US $8.8B EBITDA LTM 4Q24 US $1,046M *Revenues LTM 4Q24 distribution by region and Category Dry Meats 13% Other 11%
Slide 8: Diversified Portfolio with Leading Brands in Different Categories and Market Segments
10 Diversified Portfolio with Leading Brands in Different Categories and Market Segments Our extensive portfolio allows us to capture growth in the demand of the different market segments Cheese, Creams Cooked Meats Fresh Meats Yoghurt Others and Spreads Premium High 1 Medium Value Low Cost 16 Brand
Slide 9: Multiple Channels to Reach Consumers
Multiple Channels to Reach Consumers Modern Traditional Foodservice E-commerce
Slide 10: Extensive Supply Chain and Distribution Network as a Competitive Advantage
Extensive Supply Chain and Distribution Network as a Competitive Advantage Manufacturing 64 Facilities 201 Distribution Centers 640K+ Points of Sale 24 20 8 12 125 27 20 29 Mexico 360K+ Europe 42k+ U.S. 131K+ Latam 92K+ 6,800+ 990+ 100+ 860+
Slide 11: Consumer Centric Innovation Supported by R&D Platform
13 Consumer Centric Innovation Supported by R&D Platform Innovation – Design Thinking 2,000+ New Product Launches in the last 3 years 10% of Revenue comes from innovations Research & Development 2 Technological Centers (Mexico & Spain) 260+ Specialists 35+ Patents & IP Consumer Research 240,000+ Con
Slide 12: Diverse Workforce
Diverse Workforce 64% 15% 8% 13% 60+ 47,000+ Nationalities Employees 60% 40%
Slide 13: A Story of Transformation
A Story of Transformation Net sales breakdown Net Sales Countries Facilities Employees By geography By category (US$ B) Europe Mexico Cooked Meats Dairy U.S. Latam Dry Meats Other National Leadership 6% 25% 2000 $0.8 4 8 12,500+ 98% 69% International Expansion 10% 9% 15% 2010 $2.6 9 34 29,000+ 32% 5
Slide 14: M&A Track Record
M&A Track Record • 31 successful M&A transactions since 1997 • Experienced, dedicated team with strong track record • Significant value creation through synergies and post- merger integration process • Financial discipline and accelerated deleveraging capacity Organic growth Commercial Alliance M&A
Slide 15: Experienced Management Team
Experienced Management Team Proven top management with an average of 20 years of experience across business areas CEO Rodrigo Fernández Sigma CEO MBA W harton 26 Business Units Eugenio Caballero Juan Ignacio Amat Jesús Lobo Sergio Ramos Gerardo Carcoba CEO Mexico CEO Euro pe CEO USA CEO Latin Americ
Slide 16: Advisory Board
Advisory Board Member Type Member Background María Teresa Arnal Entrepreneur; 25+ years of experience in tech (Google, Twitter & Microsoft) Juan Enriquez Chairman and CEO - Biotechonomy, LLC Ángel Losada Executive President and Chairman - Grupo Gigante 59% Eduardo Padilla Former CEO - FEMSA Independ
Slide 17: Content
Content 01 Sigma at Glance 02 Into the Future 03 Financial Performance 04 ESG Public Information
Slide 18: Into the Future
Into the Future Mid-to-high single-digit EBITDA target organic growth, boosted by M&A opportunities Going forward, we are focusing on 3 pillars: Growing the core New sources of revenue Consumer Insights, Execution High Potential Opportunities Global and Optimization New Categories and Business Model
Slide 19: Grow the Core
Grow the Core Through the years we have developed a successful core business that we continue to strengthen through: • Deep consumer knowledge, innovation, and brand equity to exceed changing consumers’ needs. • Execution with excellence and efficiency to deliver a winning value proposition. • Margi
Slide 20: New Sources of Revenue: High Potential Opportunities
24 New Sources of Revenue: High Potential Opportunities Cross-fertilization to attend high-value-opportunities identified in each region: • Prepared Foods, Spreads, etc. • Cheese, Sausages, Lunch Meats, etc. • Traditional Channel, Foodservice, etc. • Fuet, Fresh Sliced, Dry Meat, etc. Public Informa
Slide 21: New Sources of Revenue: Growth Business Unit
New Sources of Revenue: Growth Business Unit What is Growth BU? Independent BU focused on building new categories and business models. Autonomous to ensure flexibility, and with access to Sigma´s capabilities. • Cross-functional global team + local champions • Rapid iteration; low-cost experiments •
Slide 22: Growth BU Boosting New Categories and Business Models
Growth BU Boosting New Categories and Business Models Innovative Solutions: Validated Mature New Core/Existing Businesses / Business Lab Innovation Requirements: Bottle Necks Opportunities Exposure Agile and Interactive Optimizable and Repeatable Fast and Flexible Scalable Entrepreneurial Capacities
Slide 23: Growth BU | Initiatives
Growth BU | Initiatives Global Categories New Business Models 3 2 4 1 2 3 Stages: 1 Ideation 2 Pilot 3 Launching 4 Escalation
Slide 24: 1,700+ Applications
1,700+ Applications in 53 countries 1st Edition 2nd Edition 3rd Edition 4th Edition 5th Edition (2019) (2021) (2022) (2023) (2024) 120+ Applications 360+ Applications 400+ Applications 400+ Applications 430 Applications 15+ Countries 30+ Countries 35+ Countries 35+ Countries 40+ Countries 7 Pilots 1
Slide 25: Our Strategy
Our Strategy Strengthening the Organization Through Enablers Innovation Anticipating consumer’s wants The way we and needs Entrepreneurship Impeccable Management think Focus on the essential, foster early Generate, pilot & scale new discussions and solve for root causes business models Agile Essenti
Slide 26: Content
Content 01 Sigma at Glance 02 Into the Future 03 Financial Performance 04 ESG Public Information
Slide 27: Financial Results
Financial Results US $ Million Volume Revenues EBITDA (K Tons) (US $ Million) (US $ Million) 1,046 8,804 8,505 893 1,829 7,425 741 6,817 684 1,773 6,347 652 1,740 1,705 1,701 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 CAGR 2010-2024: 5.2% CAGR 2010-2024: 9.1% CAGR 201
Slide 28: Quarterly Results
QUARTERLY RESULTS Revenues 4Q23 vs 4Q24 EBITDA 4Q23 vs 4Q24 (US $ Million) (US $ Million) 2,161 +3% +8% 2,166 -1% -1% 229 +49% +16% +14% 222 -19% 4Q23 Mexico Europe U.S. Latam 4Q24 4Q23 Mexico Europe U.S. Latam 4Q24
Slide 29: EBITDA Margins
38 EBTIDA Margins EBITDA Margins (%) EBITDA Margins (%) 15.7 15.5 15.9 14.6 12.4 13.0 13.8 11.6 11.9 10.8 10.5 10.8 10.9 10.5 9.7 8.8 10.0 9.2 8.9 8.7 6.5 4.2 5.6 2.1 1.6 * 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 Mexico Europe US Latam *38 Includes non-recurring expenses from the region’s
Slide 30: Debt Profile
Debt Profile Debt Maturity (US $Million) 700 Average Life: 5.7 years 1 Average Rate: ~8.02% (Includes CCS1) 473 466 500 Debt Mix Cash Mix 130 (Including CCS) (US $ 558 M) 237 11% 13% 27% 32% 337 32% 187 55% 199 55 30% 2 4 12 14 14 1 11 3 1 7 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 203
Slide 31: 4Q24 Highlights
4Q24 Highlights US $ Millions Revenue EBITDA 4th consecutive year of Revenue growth, driven by the 3rd year of Volume expansion. Record 2024 EBITDA of US $1.0 billion, reaching the highest EBITDA margin in 9 years +0.2% -3% All-time-high dividends (US $228 million) supported by strong operatin
Slide 32: Quarterly Volume
Quarterly Volume Volume Volume 4Q24 vs 4Q23 Volume 4Q24 vs 3Q24 (K Tons) (K Tons) (K Tons) 454 +3% 0% +2% +8% -1% -1% -11% +7% 437 439 442 432 432 443 418 7 0 1 2 465 465 456 2 454 -3 -1 -10 4Q17 4Q18 4Q19 4Q20 4Q21 4Q22 4Q23 4Q24 4Q23 Mexico Europe U.S. Latam 4Q24 3Q24 Mexico Europe U.S. Latam 4Q24
Slide 33: Quarterly Revenues
Quarterly Revenues Revenues Revenues 4Q24 vs 4Q23 Revenues 4Q24 vs 3Q24 (US $ Million) (US $ Million) (US $ Million) 2,166 2,161 1,964 -1% -1% +3% +8% -2% -1% +9% +7% 1,768 2,222 1,7061,662 2,161 11 12 2,166 11 2,166 1,593 1,596 -12 -8 -19 -8 -41 4Q17 4Q18 4Q19 4Q20 4Q21 4Q22 4Q23 4Q24 4Q23 Mexico E
Slide 34: Quarterly EBITDA
Quarterly EBITDA EBITDA EBITDA 4Q24 vs 4Q23 EBITDA 4Q24 vs 3Q24 (US $ Million) (US $ Million) (US $ Million) 229 222 281 -34% +76% -24% +11% 201 -19% +49% +16% +14% 195 17 174 176 178 167 229 6 2 222 2 222 13 -64 -14 -28 4Q17 4Q18 4Q19 4Q20 4Q21 4Q22 4Q23 4Q24 4Q23 Mexico Europe U.S. Latam 4Q24 3Q24
Slide 35: Margin Expansion in Europe
Margin Expansion in Europe • Sale of 2 manufacturing facilities in France • Disinvestment of operations in Italy Topline Footprint Actions Optimization • New geographies • Snacking High Potential • Plant-based Efficiencies 16% annual average Price Initiatives increase in Euros in 2023 • Administrati
Slide 36: Change in Net Debt
Change in Net Debt Change in Net Debt 4Q24 vs 3Q24 (US $ Million) 1,823 152 1,821 53 57 (38) 124 (222) (127) 3Q24 EBITDA NWC CAPEX Net Financial Taxes Dividends Other 4Q24 Expenses Sources * 50* “Other Sources” include a positive foreign exchange conversion effect resulting primarily from the deprec
Slide 37: Change in Net Debt
Change in Net Debt Change in Net Debt 4Q24 vs 4Q23 (US $ Million) 2,025 228 296 1,820 (159) 211 * 245 * 21 (1,046) 4Q23 EBITDA NWC CAPEX Net Financial Taxes Dividends Other 4Q24 Expenses Sources 51* Includes maintenance and strategic CAPEX and M&A
Slide 38: Capital Expenditures (Capex)
Capital Expenditures (Capex) Capex México Mexico Europa Europe 63% 68% 75% 69% 81% 86% 78% 76% 87% 75% 34% 37% 32% 25% 31% 29% 22% 24% 14% 13% 75% 72% 72% 68% 67% 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 EE.UU. U.S. Latam Latam 25% 28% 28% 32% 33% 89% 78% 54% 43% 58% 85% 67% 83% 83% 60% 202
Slide 39: Cost and Expense Structure LTM
Cost and Expense Structure LTM Costs of Goods Sold (COGS) Selling, General and Administrative Expenses (SG&A) 1 (US $ Million) (US $ Million) 1% 9% Meat and Dairy Raw Materials 24% 8% Dry Ingredients Direct Labor Selling 9% Trade Products Administrative 5% 57% Packaging General Energy (Fuel, electri
Slide 40: Leverage Ratios
Leverage Ratios Net Debt Net Debt / EBITDA** Gross Debt / EBITDA** 1,9361,8591,994 2,025 3.8x 3.8x 3.8x 1,756 1,691 1,782 1,821 3.6x 3.6x 3.4x 2.9x 2.7x 2.8x 2.7x 3.0x 2.6x 2.3x 2.3x 2.3x 1.7x 2017 2018 2019 2020 2021 2022 2023 4Q24 2017 2018 2019 2020 2021 2022 2023 4Q24 2017 2018 2019 2020 2021 20
Slide 41: Outstanding Bonds
Outstanding Bonds 110 100 90 80 70 2028 60 50 40 Amount Bond Rate YTM Maturity Date (US $ M) 2028 $500 4.875% 5.367% Mar – 2028 BBB- * BBB Baa3 Perspective: Perspective: Perspective: Stable Stable Stable *Credit Rating capped at parent company level per S&P’s methodology. Sigma´s Stand Alone Credit
Slide 42: Local Bonds (Certificados Bursátiles)
Local Bonds (Certificados Bursátiles) Amount Tranche Interest Rate Due Date (MXN B) 4 years $3.861 TIIE + 0.23% Mar - 2028 AAA(mex) AAA.mx 10 years $8.480 9.8% Feb – 2034 12 years $4.800 10.4% May – 2036
Slide 43: Dividends
Dividends Paid Dividends (US $ Million) Amount 228 Quarter (US $ Million) 1Q23 0 2Q23 75 155 150 151 152 3Q23 0 120 4Q23 0 75 1Q24 76 2Q24 0 3Q24 0 4Q24 152 17 18 19 20 21 22 23 24 In 2020 no dividends were paid. The graph shows the approved amounts for each year.
Slide 44: Income Statement
Income Statement Information in thousands (Thousands of pesos) (Thousands of U.S. Dollars) IV Quarter 24 IV Quarter23_ | IV Quarter 24 __IV Quarter 23 Revenue 43,445,192 37,985,318 H 2,165,710 2,161,301 Cost of sales (30,858,548) (26,671,724) | (1,538,017) (1,517,854) Gross profit 12,586,644 11,313,
Slide 45: Balance Sheet
Balance Sheet Martínez (1) (2) Translated into U .S. Dollars, solely for the conven ien ce of the reader, using the average exchange rate published by the Mexican Central Bank for payment of obligations denominated in U.S. dollars for each of the months that comprise the quarter or year.
Slide 46: Cash Flow
(Thousands of pesos) (Thousands of U.S. Dollars) IV Quarter 24 IV Quarter 23_|_IV Quarter 24_IV Quarter 23 (CASH FLOW FROM OPERATING ACTIVITIES Cc as h F | ow Profit before income tax 1,037,582__746,375 52,101 41,451 Depreciation and amortization 1,212,637 ‘1,314,022 60,392 75,119 — Impairment of fi
Slide 47: Meat Raw Materials – Pork and Poultry
- 2021 - 2022 Meat Raw Materials – Pork and Poultry - 2023 - 2024 U.S. Europe USD / Lb Eur / kg Chicken MSC Turkey Breast Pork Ham Pork Ham 0.8 8 3.5 1.4 1.2 0.6 6 3.0 1.0 0.8 0.4 4 2.5 0.6 0.4 0.2 2 2.0 0.2 0.0 0.0 0 1.5 J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M
Slide 48: Meat Raw Materials – Dairy
Meat Raw Materials – Dairy U.S. USD / Lb Block Cheddar Milk Class III 3.0 30.0 2.0 20.0 1.0 10.0 0.0 0.0 J F M A M J J A S O N D J F M A M J J A S O N D NFDM 2.0 1.5 1.0 - 2021 - 2022 0.5 - 2023 - 2024 0.0 J F M A M J J A S O N D Sources: U.S. - USDA; See Appendix A for additional information regard
Slide 49: European Energy Utility Price Reference
European Energy Utility Price Reference Dutch TTF €/MWh 400 350 300 Dutch TTF (Title Transfer Facility), is a virtual trading point for natural gas 250 in Netherlands and is the primary gas pricing hub for the European market 200 150 100 50 0 J F M A M J J A S O N D 2021 2022 2023 2024 Sources: IC
Slide 50: Exchange Rates
Exchange Rates U.S. Dollar – MXN Peso U.S. Dollar - Euro 25 1.25 23 1.2 1.15 21 1.1 19 1.05 17 1 15 0.95 J J FF M M AA M2 M J2 J J A2 J3 A SS O N N D D EJ FF MM AA M2 M J2J J3J A2 A S S O N N D D 2021 2020 2022 2023 2024 2021 2020 2022 2023 2024
Slide 51: Content
Content 01 Sigma at Glance 02 Into the Future 03 Financial Performance 04 ESG Public Information
Slide 52: Sigma's ESG journey
Sigma’s ESG journey 1st materiality Updated the analysis and GRI materiality Report analysis Aligned to the 2025 SBTi Targets Sustainability Approved Commitments <2015 2016 2018 2019 2020 2021 2022 2025 Company-wide Established the • Sustainability report Sustainability Strategy, Sustainability revi
Slide 53: Our Sustainable Vision
75 1 Environment Our Sustainable Vision • Our ESG trajectory starts since 2015 with our first GRI Water Management Climate Action Clean Energy Sustainable Packaging report and materiality analysis • Sustainability became a fundamental part of our 2 Wellbeing business strategy • Our Sustainability ef
Slide 54: Environment
Environment We reduce our environmental impact by using natural resources more efficiently 17% reduction in CO2 eq emissions related to our manufacturing facilities and transportation fleet, per ton of food produced (compared to 2015) 1,600+ virgin plastic tons avoided in our packaging in 2023 17% r
Slide 55: Greenhouse Gas Reduction Objectives
Greenhouse Gas Reduction Objectives Scope 1 Scope 2 Scope 3 20% 20% 9.8% SBTi is a corporate climate action NGO that works in association with CDP, the United Nations Global Compact, the World Resources Institute, Worldwide Fund For Nature and the We Mean Business Coalition commitments In 2023, Sigm
Slide 56: Wellbeing
Wellbeing 1,100+ leaders participated in the program Lideres Conscientes 44% reduction We establish conditions that motivate and in the accident rate set against the base year of 2018 facilitate to our collaborators the adoption of habits that increase their quality of life We launched the Diversity
Slide 57: Health and Nutrition
Health and Nutrition We promote healthy lifestyles through We invested US $33M our innovative and high quality product in research and development offering 1.6 times more sales from the health and wellness portfolio set against 2019 96% of our facilities are certified by GFSI (Global Food Safety Ini
Slide 58: Shared Value
We create economic and social value Shared Value throughout our practices and we share them to incite the development and strengthen our supply chain 23,000+ tons food portions donated since 2015 21% of our suppliers implement sustainability practices, meeting the evaluation criteria 130+ local, nat
Slide 59: Our Governance
Our Governance Boards and Committees ESG Community Internal Audit & Controls Policies Published: • Controllership • Global Code of Conduct • Internal Audit • Environmental, Social and Governance Board of Directors • Research, Innovation and Policy • Internal Control Sustainability Chief Officer • Nu
Slide 60: ESG Scores
ESG Scores Supplier Engagement: A-F Water: A-F Climate: A-F Risk: 0-40+ Score: 100-0 2024 B B B 24.6 43 2020 D C C 35.1 N/A Industry Average C C C 33.5 25 Best Scores per organism – CDP: A / Sustainalytics: Low / S&P: 100 CDP: Carbon Disclosure Project
Slide 61: Appendix A: Key Raw Material Price References
Appendix A: Key Raw Material Price References This appendix provides a detailed explanation on how to obtain key raw material price references from public sources. This is not intended as an exhaustive list of the company´s raw materials nor is it a direct representation of the company´s actual cost
Slide 62: USA – USDA PM Ham, 23-27# Trmd Sel Ham
USA – USDA PM Ham, 23-27# Trmd Sel Ham https://mymarketnews.ams.usda.gov/filerepo/reports 1 5 Pop − up Type in 6 2 Ctrl + F, type in 23 − 27 3 7 4
Slide 63: USA – USDA Pork Trimmings - 72% Trim Combo, FOB Plant
USA – USDA Pork Trimmings - 72% Trim Combo, FOB Plant https://mymarketnews.ams.usda.gov/filerepo/reports 1 5 Pop − up Type in 6 2 Ctrl + F, type in 𝑇𝑟𝑖𝑚 𝐶𝑜𝑚𝑏𝑜 3 7 4
Slide 64: USA – USDA Pork Trimmings - 42% Trim Combo, FOB Plant
USA – USDA Pork Trimmings - 42% Trim Combo, FOB Plant https://mymarketnews.ams.usda.gov/filerepo/reports 1 5 Pop − up Type in 6 2 Ctrl + F, type in 𝑇𝑟𝑖𝑚 𝐶𝑜𝑚𝑏𝑜 3 7 4
Slide 65: USA – USDA Beef Trimmings, National, FOB Plant, Fresh 50%
USA – USDA Beef Trimmings, National, FOB Plant, Fresh 50% 5 2 6 3 7 1 4 1 10 11
Slide 66: USA – USDA Chicken - MSC, 15-20% Fat, Fresh
USA – USDA Chicken - MSC, 15-20% Fat, Fresh https://mymarketnews.ams.usda.gov/filerepo/reports 1 5 Pop − up Type in Type in 6 2 Ctrl + F, type in MSC, 15 3 7 4
Slide 67: USA – USDA Turkey - MST, Some skin, under 20% fat, Fresh
USA – USDA Turkey - MST, Some skin, under 20% fat, Fresh https://mymarketnews.ams.usda.gov/filerepo/reports 1 5 Pop − up Typeinin Type 6 2 Ctrl + F, type in 15 − 20 3 7 4
Slide 68: USA – USDA Turkey - Breast, Young Tom, Boneless & Skinless, Fresh
USA – USDA Turkey - Breast, Young Tom, Boneless & Skinless, Fresh https://mymarketnews.ams.usda.gov/filerepo/reports 1 5 Pop − up Typeinin Type 6 2 Ctrl + F, type in 𝐵𝑜𝑛𝑒𝑙𝑒𝑠𝑠 3 7 4
Slide 69: USA – USDA Turkey - Thigh Meat, Boneless & Skinless, Fresh
USA – USDA Turkey - Thigh Meat, Boneless & Skinless, Fresh https://mymarketnews.ams.usda.gov/filerepo/reports 1 5 Pop − up Typeinin Type 6 2 Ctrl + F, type in 𝐵𝑜𝑛𝑒𝑙𝑒𝑠𝑠 3 7 4
Slide 70: USA – USDA Dairy - CME, Milk Class III
USA – USDA Dairy - CME, Milk Class III https://mpr.datamart.ams.usda.gov/ 1 Pop − up 7 2 3 4 8 6 5
Slide 71: USA – USDA Dairy - Block Cheddar Cheese 40lb
USA – USDA Dairy - Block Cheddar Cheese 40lb https://mpr.datamart.ams.usda.gov/ 1 Pop − up 7 2 3 8 4 6 5
Slide 72: www.sigma-alimentos.com
Public Information www.sigma-alimentos.com Contact: investorrelations@sigma-alimentos.com