Grupo Rotoplas Announces First Quarter 2021 Results

Mexico City, April 21, 2021. Grupo Rotoplas S.A.B. de C.V. (BMV: AGUA*) (“Rotoplas” or “the Company”), America’s leading company in water solutions, reports its unaudited first quarter results ending March 2021. The information has been prepared under the International Financial Reporting Standards (IFRS).

Figures expressed in millions of Mexican pesos.

1Q21 vs 1Q20 – HIGHLIGHTS

• Rotoplas reported record net sales and EBITDA for a first quarter. 

• Net sales grew 26.4% driven by water stress and droughts in some countries, as well as by an increase in water consumption due to the pandemic and changing consumer habits. All countries reported double-digit growth, except Mexico, which increased 8.4% due to a slowdown in the growth rate in the services segment. 

  • Product sales increased 30.0%, driven by Flow initiatives such as the launch of new solutions, the opening of new sales channels and the increased effectiveness of the sales force.

  • Services sales contracted 19.7%, mainly due to the absence of drinking fountain revenues due to school closures and, to a lesser extent, the delay of new water treatment plant contracts due to the uncertainty of the pandemic. 

    If the impact on sales and EBITDA due to the pandemic in March 2020 is excluded, it is estimated that sales would have increased 20.2% and EBITDA 24.3%.

• Gross profit amounted to Ps. 1,006 million and grew 19.3% to reach a margin of 41.3%. Operating income increased 9.8% to Ps. 305 million, with an operating margin of 12.5%.

• Adjusted EBITDA¹ increased 31.4%, outpacing sales growth, despite higher raw material prices and as a result of operating discipline and expense control. The margin expanded 70 bps to 19.4%. 

• Net income was Ps. 134 million, 66.2% higher than 1Q20 excluding the non-recurring financial gain from the closing of FX hedges in March 2020. 

• ROIC closed at 14.8%, an improvement of 540 bps vs. the same quarter of the previous year.

¹Adjusted EBITDA considers: operating income + depreciation and amortization + non-recurring expenses (donations and Flow
implementation expenses). In 1Q21 it takes into account Ps. 75 million of Flow expenses and Ps. 2 million of donations.

Miranda Newswire – Full Press Release: Download PDF

Investor Relations Contact Details

Mariana Fernández
E-mail: mfernandez@rotoplas.com

María Fernanda Escobar
E-mail: mfescobar@rotoplas.com

Forward Looking Statements

This press release may include certain forward-looking statements relating to Grupo Rotoplas S.A.B. de C.V. It relies on considerations of the Grupo Rotoplas S.A.B. de C.V. management which are based on current and known information; however, the expectations could vary due to facts, circumstances and events beyond the control of Grupo Rotoplas, S.A.B. de C.V.

About the Company

Grupo Rotoplas S.A.B. de C.V. is America’s leading provider of water solutions, including products and services for storing, piping, improving, treating and recycling water. With 40 years of experience in the industry and 18 plants throughout the Americas, Rotoplas is present in 14 countries and has a portfolio that includes water services and 27 product lines. Grupo Rotoplas has been listed on the Mexican Stock Exchange (BMV) under the ticker “AGUA” since December 10, 2014.