We experienced a notable increase in profitability with a 3.5 percentage point increase in gross margin, reflecting a 31.5% growth in operating income and a 25.7% growth in EBITDA (earnings before interest, taxes, depreciation and amortization).
| McCormick® within the Top 10 most-consumed brands in Mexico, awarded by Kantar Brand Footprint (2023) | ||
Barilla® Whole Wheat awarded Flavor of the Year 2023 by Global Quality Certifications Mexico
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Herdez® Top 50 most valuable and strongest brands in Mexico, awarded by Brand Finance
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12th in Merco’s ranking of Companies with the Best Corporate Reputation in Mexico |
Strategic Partner” distinction from HEB
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Recognition by Calimax as the Highest Quality Logistics Provider of the Year category |
Yemina® within the Top 10 growing brands, awarded by Kantar Brand Footprint (2023)
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| McCormick® within the Top 10 most-consumed brands in Mexico, awarded by Kantar Brand Footprint (2023) |
Barilla® Whole Wheat awarded Flavor of the Year 2023 by Global Quality Certifications Mexico
|
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Herdez® Top 50 most valuable and strongest brands in Mexico, awarded by Brand Finance
|
12th in Merco’s ranking of Companies with the Best Corporate Reputation in Mexico |
|
“Strategic Partner distinction from HEB
|
Recognition by Calimax as the Highest Quality Logistics Provider of the Year category |
|
Yemina® within the Top 10 growing brands, awarded by Kantar Brand Footprint (2023)
|
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Preserves
Our preserves segment had net sales of $28,827 million pesos, growing 13.7%. It demonstrated great resilience and favorable performance, increasing market share in mayonnaise, canned vegetables, ice cream, mole, tea, homemade sauces, spices and marmalade.
In 2023, we predicted demand with a sell-in of 86.3%, which translated into a historic fill rate of 98.0% for this segment.
McCormick® y Frank’s Red Hot®, innovation in flavored mayonnaises
By combining the classic McCormick® mayonnaise with the unmistakable Frank's Red Hot® sauce, we provide a brand new and delicious experience.
Since the first eight weeks of introduction, we achieved 80% of estimated sales and increased our market share by 2.7%. We continue to gain relevance in the flavored mayonnaise category with a growth of 5.2% in volume, which exceeds the growth of the category in general.
Yemina®
This year it was positioned in the Top 10 growing brands by Kantar's Brand Footprint. The recognition highlights the results of the expansion and penetration strategy, especially in the Bajío, central and southern regions of the country. At the end of 2023, we achieved a record market share of 11.5%.
Since 1984 we have been the leading pasta in northern Mexico made from 100% high quality Mexican wheat pasta.
Del Fuerte ®
90 years celebrating the strength of the tomato
In 2023, the Del Fuerte® brand celebrated 90 years with a notable presence: 5 out of every 10 households in Mexico consume a Del Fuerte® puree and the market share is above 70%.
In 2021 we began to collaborate with the initiative to conserve natural ecosystems in the Ejido Topia, in Durango, in addition to the recycling initiatives of Tetrapak® and the collaboration with the Forest Stewardship Council, which certifies the sustainable origin of our multilayer packaging.
The Ejido Topia is of great relevance for the production of the raw material for the mash. The water basins located in the area supply part of the fields where tomatoes are grown for Del Fuerte®.
Consult the Environmental Impact chapter to learn about the actions and results of the program.
E-commerce
In 2023, our sell out sales in the e-commerce channel totaled 708 million pesos, for the preserves and ice cream categories. This is a major milestone for us, as we have doubled sales in just three years from the start-up of e-commerce.
In the Preserves segment, this growth has been driven largely by the launch of Barilla®, McCormick®, Blasón® and Hoy Toca®, brand stores, leading to sales growth of 242% on Amazon.
Impulse
His segment continues to demonstrate a post-pandemic recovery with a growth of 19.4% compared to the previous year. Faced with this, Helados Nestlé® played an important role, a consequence of the new migration strategy towards more profitable products, operational discipline and a mix of sales channels.
In the retail delivery channel we registered a growth of 68% compared to the previous year, thanks to the incorporation of brands such as Cielito Querido Café®, Moyo® y Nutrisa® to the Uber Eats platform.
Helados Nestlé®
The Helados Nestlé® portfolio increased its market share during the year, becoming the category leader, driven mainly by the individual presentations segment. The best-performing brands were Mega® y Carlos V®.
We gave the Mega®, platform a makeover; in 2022, this brand made us a benchmark in best marketing practices for Helados Nestlé® globaly. This change reflects our commitment to providing a wide variety of options to all consumers. The new Mega® flavors are Chocolate & Nuts, Chocolate & Coconut, and Chocolate & Cherry.
Cielito Querido Café®
In 2023, sales of drinks at Cielito Querido Café® rew by double digits, notably in cold drinks. There were seasonal new flavors, such as Coconut Passionfruit, Blackberry, and Strawberry Kiwi Fruit, or the Cold Brew varieties such as Arroz con Leche, Carajillo, Flanpuchino, and Horchata.
The sale of packaged foods also saw a double-digit increase, as we launched salads and empanadas, expanding the offer of products in our cafes.
Chilim Balam® and
McCormick® marmalades in Nutrisa®
With the objective of expanding ways to enjoy the retail brand’s favorites, and to create flavor experiences with other brands in the Grupo Herdez® portfolio, in 2023, Chilim Balam® was added to the Nutrisa® toppings bar, with a variety of sweet and savory gummies, as well as some marmalades from the McCormick® Balance line.
International
markets
More than 12 million Mexicans currently live outside of Mexico (IME, 2021), with whom we would like to share the best flavors of our food. We are very proud of our solid presence in the top three countries with the most Mexicans: United States, Canada, and Spain, as well as taking the best of Mexican food to 21 countries all over the world.
We export 70% of production from our plant in San Luis Potosi
Herdez®
Habanero Hot Sauce
We expanded our hot salsa line in 2023, with Herdez® Habanero Hot Sauce, made with real habanero chiles. This hot sauce promises a distinctive, spicy flavor to enhance any dish, from tacos, burritos, hamburgers, and chicken wings, to eggs, salty snacks, ramen noodles, chili, and more.
With the launches of Herdez® Habanero Hot Sauce and Herdez® Avocado Hot Sauce, we have entered the hot sauce category in the United States, which has high growth potential, and wide diversity for consumption, such as meals made at home, a dipping sauce for snacks, and restaurants.
Herdez®
Traditional Refrigerated Salsa
New traditional refrigerated Herdez® salsas are made with simple ingredients, such as tomatoes, onions, garlic, chiles, and jalapeño peppers. This salsa can be included in recipes, or enjoyed as a condiment.
The recipe that inspires this traditional salsa is inspired by the one made at Fundación Herdez®, which has carefully preserved Mexican culinary traditions and shared the rich heritage of our food for more than 30 years in Mexico City.
Guacamole for everyone
WHOLLY® experienced an innovative year in 2023; this guacamole brand focuses on being part of celebrations at home, and was advertised during sporting events such as American football. Fans were reminded of why WHOLLY® GUACAMOLE is not only the number one guacamole brand in sales in the United States, but also the best-known brand in the market.
Our new ad during American football games, with a Guac Chair Quarterback, showed our fun guacamole characters, also known as the WHOLLY ® crew. These characters are sports announcers analyzing a person having trouble preparing homemade guacamole, and who decides to choose WHOLLY® GUACAMOLE as the hero of Game Day Dips. After testing the impact of the ads on consumers, the product’s score improved by 1.9 times. Guac Chair received a Creative Effect score of 240, which measures brand attention and behavior change.Guac
In addition to football, summer barbecues are events where families and friends gather. We partnered with “So Yummy!” to create delicious recipes that show various ways to use our ready-to-eat products. The recipes included hot dogs, also known as Guac Dogs, covered with WHOLLY® GUACAMOLE, and avocado ice cream with a cheese tart using our WHOLLY® AVOCADO products. We generated more than nine million visits on social media.
Products to consume outside the home
Herdez® Mexican Refrigerated Entrées
According to the study Future of Dinner Report de NPD (2023), after the pandemic, consumers in the United States have returned to their busy lifestyles, and want practicality in the kitchen, especially when preparing dinner.
Together with our partner Hormel Foods, we launched three dishes: carnitas, chicken with chipotle sauce, and barbacoa beef, ready-to-eat products that allow our consumers to enjoy Mexican food within a matter of minutes.
Through a large portfolio of Herdez® brand products, we want to be in even more homes in the United States, so that families can experience Mexican food easily, at any time of the day.
Message from the CEO
Consult our consolidate financial statements
