M White''s profit jumps in third quarter

The M white, pasta and cookies manufacturer, reported a net profit of R$ 269,700,000 in the third quarter of the year, 63.4 percent of registered in the same range of 2015. The company owns brands such as Adria, Isabella, Richester, Vitarella and Fortress.
The performance exceeded the forecasts made by analysts of banks Itau BBA, Morgan Stanley and BTG Pactual for the third quarter. The result of the company was associated with an improvement in sales volume due to the stability of the dollar and restructuring measures and spending control adopted by the company, which helped to increase their profitability in the period.
In the third quarter, net M White reached 1.45 billion R$, 14.4% higher amount than that presented in the third quarter of 2015. In the period, the company''s sales volume increased by 4.2%.
Cookies and margarine in cookies, M increased from 1.6% White on sales volume and, in the category, the advance was of 6.4%. The increase in revenue was due to the readjustment of 8% in the prices of biscuits and 6% in masses. In margarines and fats, the company increased prices by 10% in the third quarter. The sale of margarines and fats increased by 24.8% in the quarter.
In the period, M White kept the leadership in the market of biscuits, with 28.5% stake, and the mass market, with 28.7% stake, according to data from Nielsen.
The company''s performance was also favored by a reduction of 11.7% in the average cost of wheat, due to the fall in commodity prices and the devaluation of the dollar against the real. Operating costs increased by 2.1% in the quarter, to R$ 889,700,000. Sales expenses grew by 0.8% in the quarter, to R$ 238,900,000. General and administrative expenses increased by 14.1% to R$ 41,200,000.
The earnings before interest, taxes, depreciation and amortization (Ebitda) reached 313,300,000, R$ with high of 62.4%. Is the highest Ebitda obtained by the company in a quarter since 2006. The Ebitda margin reached 21.7%, compared to 15.2% a year before.
Equipment
The Board of Directors of M White today approved the purchase of two equipment for your unit in New Delhi, in Ceará, by total value of 19 million R$. The company will buy a motorized conveyor by R$ and a roller conveyor 10,800,000 Tine by R$ 8,100,000.