BOGOTA – The commitment of Procafecol S.A – the company that manages Juan Valdez Café´s retail chain – with optimizing profitability, generating value added to its customers and shareholders, expanding its stores, and developing new products has once again led to outstanding results. The income of the Juan Valdez Café brand and retail chain increased significantly in the third quarter of 2013.
Between 2011 and 2012´s third quarters Procafecol´s operating income increased 16%. Similarly, between January and September 2013 the company´s operating income reached US$ 54.7 million, meaning a 20% rise compared to the $45.7 million registered during the same period in 2012.
According to Hernán Mendez, Procafecol S.A´s President, “as all value added projects, Juan Valdez Café´s are an investment for the future of Colombian coffee growers.” The rising number of cafés in the national and international market, the increasing presence in supermarket chains, and the institutional channel´s mounting number of customers have also played a key role in the growth of company sales.
Of the 244 Juan Valdez Cafés that are currently operating worldwide, 169 are located in 22 Colombian cities and the remaining 75 in the United States, Mexico, Aruba, Panama, Ecuador, Peru, Chile, and Spain. By the end of 2013, 16 new cafés will open their doors to the public in countries including El Salvador, Kuwait and Malaysia.
By year 2014 new Juan Valdez® Cafés are expected in Guatemala, Costa Rica, Bolivia, and in Middle Eastern and North African (MENA) countries.
By decreasing from 41% in the third quarter of 2012 to 39% between January and September 2013, Procafecol´s cost versus operating income was reduced 2%. As a result of the decreasing costs and increasing income, the company´s gross profit reached US$ 33 million in the first nine months of year 2013.
This reflects a 23% increase compared to the US$ 26.8 million registered between January and September 2012.
The royalties Procafecol S.A pays to the National Coffee Fund for the use of the Juan Valdez brand are invested in benefiting Colombian coffee growers. More than US$ 2.4 millionwere generated in royalties by
Procafecol during 2013´s third quarter. No other company from the coffee sector allocates such an important portion of their income to projects that foment sustainable coffee growing.
The company´s Earnings Before Interests, Taxes, Depreciation, and Amortization (EBITDA) also experienced increasing growth. Between January and September 2013, Procafecol´s EBITDA reached US$ 6.6 million, meaning a 33% increase compared to the same period in 2012. (
As opposed to the negative trend that had recently characterized the company´s Net Result, in 2013´s third quarter Procafecol beat its historical record.
Between January and September 2013 the company´s net result increased US$ 2 million; US$ 2 million more than the results registered during 2012´s third quarter.
Because of the company´s positive growth trend and encouraging results, 2013 is expected to be the best year in the history of Procafecol S.A.
This dazzling outcome will be accompanied by the generation of value added to shareholders and by the expansion of Juan Valdez® Café in the national and international market.