/Operating and financial performance
The company turned in a strong performance for 2014 given the extent of the plunge in the price of oil and of some products we distribute, and the degree to which economic activity remained depressed in sectors that are key for Pochteca such as mining and construction. The Company has sustained double digit EBITDA growth in the past two years of 14% in 2013 and 40% in 2014, including Coremal. We managed to achieve 14% organic growth (excluding the acquisition of Coremal in Brazil) during 2014, an achievement that reflects the resilience and strength of our business model. Pochteca sales totaled Ps 6.03 billion, 35% more than the Ps 4.47 billion revenue of the previous year. Operating income grew 25% to Ps 195 million.
Net income fell significantly from 2013 to Ps 5 million in 2014, due to forex losses totaling Ps 77 million, more than twice what we registered for 2013, as a result of the 13% depreciation of both the Mexican peso and the Brazilian real in relation to the US dollar during 2014.
(millions of pesos)
During 2014, we strengthened our management team by bringing on board two executives with vast experience.
Rafael Dávalos Sandoval, previously served as CEO of Mexichem and of PMV Petroquímica Mexicana de Vinilo, a joint venture between Mexichem and Pemex. His extensive experience in operating areas will be especially useful given our high degree of transactionality and the company’s logistical and operational complexity.
Juan Carlos Mateos worked in the Finance departments of Procter & Gamble and of Grupo Gigante. He was a banker at The Chase Manhattan Bank and was Head of Equity Research at HSBC Mexico, BBVA Latin America and Merrill Lynch Mexico. His more than 18 years in the brokerage industry will help us to build stronger relations with domestic and international investors, which in turn we believe will improve our stock’s medium term marketability.