Grupo Industrial Maseca S A De C V Inactive
Filed: 24 Feb 06, 12:00am
United States
Securities and Exchange Commission
Washington, D.C. 20549
FORM 6-K
Report of Foreign Private Issuer
Pursuant To Rule 13a-16 or 15d-16
of the
Securities Exchange Act of 1934
For the month of February, 2006
GRUPO INDUSTRIAL MASECA, S.A. de C.V.
(MASECA INDUSTRIAL GROUP, INC.)
(Translation of Registrant's name into English)
Calzada del Valle Ote. 407
Col. Del Valle, San Pedro Garza Garcia, N.L. Mexico 66220
(Address of principal office)
(Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.)
Form 20-F X Form 40-F ___
(Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.)
Yes ___ No X
CONTENTS
* Press Release dated February 23, 2006
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
GRUPO INDUSTRIAL MASECA, S.A. de C.V.
By /s/ Raul Alonso Pelaez Cano
___________________________
Raul Alonso Pelaez Cano
Chief Financial Officer
Date: February 23, 2006
| Rogelio Sanchez (52 81) 8399-3312 (52 81) 8399-3324 |
| Monterrey, N.L., Mexico, February 23, 2006 |
|
FOURTH-QUARTER 2005 RESULTS
(Peso amounts are stated in millions in constant terms as of December 31, 2005)
RESULTS OF OPERATIONS
3Q05 vs. 3Q04
Sales volume increased 17% to 439,856 metric tons during 4Q05 mainly as a result of the recent acquisition of Agroinsa, whose operations are reflected in GIMSA beginning August 2005. Excluding Agroinsa, GIMSA's sales volume increased 2% in 4Q05. |
Net sales increased 17% to Ps 1,816 million, reflecting the aforementioned acquisition of Agroinsa. |
Cost of sales as a percentage of net sales improved to 69.1% from 72.2% mostly as a result of lower corn costs. In absolute terms, cost of sales increased 12% in connection with sales volume growth derived from the inclusion of Agroinsa. |
SG&A as a percentage of net sales rose to 18.9% from 18.2% and, in absolute terms, increased 22%. Both increases were due mainly to the aforementioned acquisition of Agroinsa and higher selling expenses, mostly in connection with increased advertising. |
Operating income as a percentage of net sales improved to 12.0% from 9.6% and, in absolute terms, increased 45% to Ps 218 million, due mainly to lower corn costs. |
Comprehensive financing cost, net, resulted in income of Ps 15 million versus a cost of Ps 8 million in fourth quarter 2004. This improvement resulted mainly from higher interest income and lower monetary position loss due to lower inflation and higher monetary liabilities in connection with the acquisition of Agroinsa. |
Provisions for income taxes and employees' profit sharing totaled Ps 71 million, compared to an income of Ps 105 million in 4Q04. The Ps 176 million difference resulted from higher pretax income, the impact from changes in the tax law regarding the treatment of purchases, and the effect of the reduction of the income tax rate. |
Majority net income decreased 32% to Ps 166 million due mainly to higher provisions for income taxes and employees' profit sharing in 4Q05. Majority net income as a percentage of net sales declined to 9.1% from 15.7%. |
FINANCIAL POSITION
December 2005 vs. December 2004
Balance-Sheet Highlights | Total assets rose Ps 784 to Ps 8,502 million due mainly to the incorporation of Agroinsa and higher cash balances. Total liabilities increased Ps 752 to Ps 2,162 million due primarily to the incorporation of Agroinsa and higher long-term accounts payable in connection with the pending payment for the acquisition of Agroinsa. Most of the payment will mature in 2008. Stockholders' equity on December 31, 2005, was Ps 6,340 million, representing a 1% increase. |
Other Ratios
| Operational Ratios | 4Q05 | 3Q05 | 4Q04 |
| Accounts receivable outstanding (days to sales) | 49 | 52 | 51 |
| Inventory turnover (days to cost of sales) | 84 | 102 | 95 |
| Net working capital turnover (days to sales) | 87 | 108 | 114 |
| Asset turnover (total assets to sales) | 1.2 | 1.2 | 1.2 |
| Profitability Ratios | |||
| ROA | 6.2 | 7.5 | 5.7 |
| ROE | 7.9 | 9.4 | 6.9 |
| ROIC | 6.4 | 5.8 | 3.8 |
CONFERENCE CALL
The company will hold a conference call to discuss its fourth-quarter 2005 results on Friday, February 24, 2006, at 12:00 p.m. ET (11:00 a.m. Mexico and CT, 10:00 a.m. MT, 9:00 a.m. PT). From the United States or Canada please call (800) 946-0706; international or local callers dial (719) 457-2638; the passcode for all callers is 7523472. For the conference replay, please call (888) 203-1112 from the United States or Canada, or (719) 457-0820 for international or local callers; passcode 7523472. For more details, please go to the Investor Relations page of GRUMA's website, www.gruma.com. The audio webcast will be archived on the site.
ACCOUNTING PROCEDURES
All figures have been restated in Mexican pesos of constant purchasing power as of December 31, 2005, and were prepared in accordance with Mexican generally accepted accounting principles, commonly referred to as ''Mexican GAAP''. The restatement was prepared using factors derived from the Mexican National Consumer Price Index.
ABOUT GIMSA
Founded in 1949, GIMSA, S.A. de C.V., is the world's largest producer of corn flour. GIMSA is engaged principally in the production, distribution, and sale of corn flour in Mexico under the MASECA® brand name. GIMSA's corn flour is used mainly in the preparation of tortillas and other related products.
This report may contain certain forward-looking statements and information relating to GIMSA, S.A. de C.V., that are based on the beliefs of its management as well as assumptions made by and information then available to GIMSA. Such statements reflect the views of GIMSA with respect to future events and are subject to certain risks, uncertainties, and assumptions. Many factors could cause the actual results, performance, or achievements of GIMSA to be materially different from historical results or any future results, performance, or achievements that may be expressed or implied by such forward-looking statements. Such factors include, among others, changes in economic, political, social, governmental, business, or other factors globally or in Mexico, as well as world and domestic corn prices. If one or more of these risks or uncertainties materializes, or underlying assumptions are proven incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, or targeted. GIMSA does not intend, and undertakes no obligation, to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
February 23, 2006
Comision Nacional Bancaria y de Valores
Avenida Insurgentes Sur # 1971
Colonia Guadalupe Inn
Delegacion Alvaro Obregon
Mexico, D.F. C.P. 01020
At'n: Karla Siller Ojeda
Chief Supervisor for Issuers
We, ROBERTO GONZALEZ BARRERA and JUAN ANTONIO QUIROGA GARCIA, Chief Executive Officer and Senior Corporate Controller, respectively, of GRUPO INDUSTRIAL MASECA, S.A. DE C.V. (the ''Issuer''), in accordance with article 33, section II of the Disposiciones de Caracter General Aplicables a las Emisoras de Valores y a Otros Participantes del Mercado de Valores (''Mexican General Applicable Rules for Securities Issuers and Other Participants in the Securities Market''), hereby state under oath that, within the scope of our duties, we prepared the information contained in this quarterly report which, to the best of our knowledge, fairly presents the Issuer's condition. Furthermore, we state that we do not have knowledge of omitted or untrue material information in this quarterly report or that it contains information that might mislead investors.
GRUPO INDUSTRIAL MASECA, S.A. DE C.V.
/s/
____________________________
Name: Roberto Gonzalez Barrera
Title: Chief Executive Officer
/s/
_______________________________
Name: Juan Antonio Quiroga Garcia
Title: Senior Corporate Controller