Grupo Bimbo

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Grupo Bimbo, S.A.B. de C.V.
FormerlyPanificación Bimbo S.A. (1945–1986)
Company type Public
BMV:  BIMBO
Industry Food processing
Founded2 December 1945;78 years ago (1945-12-02)
Founders
Headquarters
Mexico City
,
Mexico
Area served
Worldwide
Key people
 Daniel Servitje (chairman)
Products
  • Bread
  • Cookies
  • Pastries
Brands
  • Bimbo
  • Marinela
  • Tia Rosa
  • Ideal
  • Barcel
  • Sara Lee
  • Mrs Baird's
  • Oroweat
  • +100 other brands
RevenueIncrease2.svg MXN348.8 billion
US$17.1 billion (2021)
Increase2.svg MXN185.3 billion
US$9.1 billion (2021)
Increase2.svg MXN43.1 billion
US$1.7 billion (2021)
Total assets Increase2.svg MXN337.6 billion
US$16.6 billion (2021)
Total equity Increase2.svg MXN101.6 billion
US$5.0 billion (2021)
Number of employees
137,000
Divisions
Website grupobimbo.com

Grupo Bimbo, S.A.B. de C.V. (also known simply as Bimbo) is a Mexican multinational food company with a presence in over 33 countries located in the Americas, Europe, Asia and Africa. [1] It has an annual sales volume of 15 billion dollars [2] and is listed on the Mexican Stock Exchange with the ticker BIMBO. [3]

Contents

Grupo Bimbo has 134,000 employees, [4] 196 bakery plants, [5] 3 million points of sale, a distribution network with 57,000 routes all over the world. [6] The company has more than 100 brands and 13,000 products, [7] like Bimbo, Tía Rosa, Entenmann's, Pullman, Rainbo, Nutrella, Marinela, Oroweat, Sara Lee, Thomas', Arnold and Barcel. [8] Its strategic associations include Alicorp (Peru); Blue Label (Mexico); Fincomún, Galletas la Moderna, Grupo Nutresa (Colombia); Mundo Dulce (Argentina); among others. [2]

Daniel Servitje has been Grupo Bimbo's chairman since 2013. [9]

History

1945 – 1960

Grupo Bimbo began operations in Mexico City [10] on December 2, 1945, with Panificación Bimbo, S.A. as the official name. [11] The company started with 34 employees, [12] selling cellophane-wrapped large and small white loaf bread, rye bread, and toast bread. [13] Lorenzo Servitje Sendra, José T. Mata, Jaime Sendra Grimau, Jaime Jorba Sendra, and Alfonso Velasco, were the partners who started the bakery company. [14]

The name "Bimbo" was chosen among other candidates such as PanRex, Pan NSE (initials in Spanish for Nutritious, Tasty, and Inexpensive), Sabrosoy, Pan Lirio, and Pan Azteca. [15] The name was formed as the combination of the Disney Bambi and Dumbo films names, which were the favourite movies of Marinela, Lorenzo Servitje's daughter. Later, the founders would find out that bimbo is an Italian slang for children (shortened from bambino), and that in China the word for bread (面包, miànbāo) is similar to the name of the brand. [16]

The brand's ambassador, the Bimbo Bear, was also created in 1945. [17] It was inspired by a bear drawing in a Christmas Card given to Jaime Jorba. Anita Mata, Jaime Sendra's wife, was the one who added distinct features such as the hat, the apron, and the bread under its arm. [18]

By 1948, Grupo Bimbo had nine different products like white bread, toast bread, black bread, sweet bread, buns, and muffins. [19] Thanks to the production growth, in 1949, the first branch outside of Mexico City was opened in Puebla, Mexico. [20]

By the 1950s, Grupo Bimbo took its products to more people with the "38", a delivery truck with speakers that helped promote the products. [21] Shortly afterward, the portfolio extended with the addition of Bimbo Bear Donuts, Bimbollos, Medias Noches (hot dog bread), and Colchones. [22]

On its tenth anniversary, in 1955, Grupo Bimbo had 700 employees and 140 vehicles. [23] In 1956, the company opened Bimbo de Occidente (Bimbo of the West) factory with Roberto Servitje as its general manager, [24] and, in 1958, launched Gansito, a chocolate-covered snack cake filled with strawberry jam and cream. [20]

1961 – 1980

In the 1960s, Grupo Bimbo kept expanding with its arrival in Monterrey, Mexico, and its first administrative restructuring in 1963, which led to the creation of its corporate structure. [25] A year later, in 1964, the company acquired the rights in Mexico of Quality Bakers of America's brand, Sunbeam. [26]

In the 1970s, the company had significant growth in several areas. In 1971, Barcel, one of its most important brands, began operations; In 1972, it opened its bakery plant located in Azcapotzalco, Mexico City, the largest in Latin America and one of the ten largest in the world, at the time. [27]

During this decade, Grupo Bimbo entered the marmalade market with Carmel (1973); inaugurated Suandy and Tía Rosa (1974), [28] began the production of Conchas Bimbo (1975); [27] and launched Ricolino, the company's leading sweets and chocolate brand, and Bubulubu with it (1978). [29] By the end of the 1970s, Grupo Bimbo was formed by three companies, 12 plants, and 15,000 employees; during this time, Roberto Servitje was appointed CEO. [30]

1981 – 2000

At the beginning of the 1980s, Grupo Bimbo presented relevant internal and external changes. It started quoting on the Mexican Stock Exchange, trading 15% of its shares, [31] and a new organizational structure was generated in 1986, from which a single industrial group was created. [32] In these years, exports to the United States of America began (1984); [33] Bimbo Centroamerica was created in 1989 with the construction of a plant in Guatemala, which was completed in 1990. [34] the company had previously operated in the 1980s in Guatemala and El Salvador through the Winni brand which would later become Marisela in those countries.

In the early 1990s, Milpa Real tortillas and Lonchibon were added to its brands. [35] In 1993, opened its new corporate building in Santa Fe, Mexico City, and in 1995, acquired Coronado, an enterprise specialized in cajeta-based products. [36] During this decade a further expansion in Latin America took place, with the arrival of Bimbo in Argentina and the opening of the regional corporate in 1991, [37] as well as the Ideal plant in Chile in 1995. [38] In 1994, Grupo Bimbo purchased La Hacienda, a tortilla maker in California expanding its operations in the U.S. market. In 1997, it furthered its US based offerings to the U.S. bread market with the purchase of Pacific Prides Bakery, San Diego, California and, in 1998 when it purchased Mrs Baird's Bakeries in Texas, Bimbo Bakeries USA (BBU) was born.

Finally, in 1997, Daniel Servitje was appointed the company's CEO, setting a new course for Grupo Bimbo's operations worldwide. [39]

2001 – 2010

At the beginning of the 21st century, Grupo Bimbo added brands such as Plus Vita and Pullman in Brazil (2001); [40] Joyco, the manufacturer of Duvalín, Bocadín and Lunetas (2004); [41] El Globo and La Corona (2005); [42] and Nutrella of Brazil (2008) to its portfolio. [43] it also introduced the Olocoons figures and animated television series which has become a culture classic towards the public in Mexico and Central America

In 2006, the company began operations in the Asian market with the acquisition of the Panrico Bakery in Beijing, China, [44] and strengthen its presence in the United States of America with the acquisition of George Weston Limited bakery, owner of brands such as Thomas, Oroweat, Arnold, Boboli, Stroehmann and Freihofer's in 2009. [45]

2011 – present

In this decade, Grupo Bimbo consolidated itself as the largest bakery company in the world by acquiring Sara Lee North American Fresh Bakery in the United States; Fargo in Argentina; [46] and Bimbo Iberia in Spain and Portugal, in 2011. [47] A year later, the company completed its most important conversion to renewable energy with the inauguration of the Piedra Larga wind farm (in Oaxaca, Mexico), which supplies several of Grupo Bimbo's facilities, as well as its electric vehicles fleet with "green" energy. [48]

In the following years, Grupo Bimbo acquired several companies to boost its global growth strategy, some of the most prominent were: in 2014, Canada Bread (Canada) [49] and Supan (Ecuador); [50] in 2015, Vachon (Canada); [51] and, in 2016, Panettiere (Colombia), General Mills (Argentina) [52] and Panrico S.A.U. (Spain and Portugal). [53]

In 2017, the company began operations in Africa and continued its growth in the continent, with the acquisition of Groupe Adghal in Morocco; [54] East Balt, one of the most important foodservice companies in China, France, Italy, Morocco, Russia, South Africa, South Korea, Switzerland, Turkey, Ukraine, and the United States; [55] and by purchasing 65% of the Ready India Private Limited's (Ready Roti) shares. [56] This year, Grupo Bimbo added to its portfolio brands like Bays English Muffins (United States) and Stonemill Bakehouse (Canada). [57]

In 2018, the company continued its expansion and completed the purchase of Nutra Bien brands in Chile [58] and El Paisa in Colombia, in order to grow in South America; Grupo Mankattan, a leader in the baking industry in China, thriving its growth in the fast-food channel in that country. That same year, Grupo Bimbo joined the RE100 initiative, committing to being 100% renewable, energy-wise, by 2025. [59] It also became the first Mexican company to issue Clean Energy Certificates for Distributed Generation. [60]

In 2019, it kept promoting some of its corporate social responsibility initiatives like the Good Neighbor program, [61] Reforestamos México (Reforestation), [62] and Limpiemos México (Clean-up). [63] Among these campaigns, Without Leaving Trace stood out, with which Grupo Bimbo committed that 100% of its packaging will be recyclable, biodegradable, and/or compostable by 2025. [64]

In February 2020, Grupo Bimbo expanded its operations and arrived in Kazakhstan, through Bimbo QSR (Quick Service Restaurants), a strategic association agreement was signed with Food Town, the exclusive supplier of buns and McDonald's franchisee in that country. With this agreement, the company expanded its presence to 33 countries. [65]

In May 2022, Grupo Bimbo agreed to sell its confectionery business, Ricolino, to the Chicago-headquartered food processing company, Mondelēz International for approximately US$1.3 billion. [66] The sale was completed on November of that same year.

In April 2024, Rafael Pamias was appointed as CEO. Daniel Servitje remains as Chairman of the Board of Directors.

Corporate structure

Grupo Bimbo is composed, in a first tier, of a Shareholders' Meeting, whose task is to appoint the members of the Board of Directors, which must be made up of a minimum of 5 directors and a maximum of 21; 25% of them should be independent agents. [67] The following tier is the Steering Committee, [68] which is established as follows:

Chairman of the Board of Directors: Daniel Javier Servitje Montull [68]

CEO: Rafael Pamias

Executive Vice Presidents: Javier Augusto González Franco

       Gabino Miguel Gómez Carbajal

       Rafael Pamias Romero

Chief Financial Officer: Diego Gaxiola Cuevas [68]

Global People Director: Juan Muldoon Barrena [68]

Global Vice President of Information and Transformation: Raúl Ignacio Obregón Servitje [68]

Acquisitions

Global sales

Figures in millions of nominal Mexican pesos

YearTotal Net Sales

(MXN)

Total Assets

(MXN)

Total Liabilities

(MXN)

Capital

(MXN)

2012$173,139$137,140$90,082$47,058 [77]
2013$176,041$134,727$86,944$47,783 [78]
2014$187,053$177,761$124,159$53,602 [79]
2015$219,186$199,633$137,774$61,859 [80]
2016$252,141$245,165$170,089$75,076 [81]
2017$267,515$259,249$182,225$77,024 [82]
2018$288,266$263,316$178,741$84,575 [83]
2019$291,926$279,081$200,770$78,311 [84]

Sustainability

Grupo Bimbo manages its environmental actions through the platform A Sustainable Way, [85] formed by four strategic pillars:

Carbon

Grupo Bimbo set itself the objective of minimizing its environmental impact through the improvement and consolidation of technologies related to renewable energy, energy efficiency, and compensation of resources. [86] To achieve this, the company joined the RE100 pact, committing itself to be 100% renewable by 2025 (energy-wise). The RE100 climate program is made up of large multinational companies to boost their processes with natural energy. [87]

Grupo Bimbo uses air energy provided by wind farms: Piedra Larga (Mexico), Santa Rita East (USA), and three in Argentina. The first, located in the state of Oaxaca, has an installed capacity of 90 MW, [88] which provides energy to 70% of its work centers in Mexico and avoids the annual emission of 180,000 tons of CO2 into the atmosphere. [89] For its part, the second is located in Texas, has a capacity of 100 MW, and supplies 100% renewable energy to its operations in the United States. [90]

The bakery has the largest electric vehicle fleet in Mexico and one of the most robust in Latin America. [91] It currently has 41 hybrid utility cars and more than 500 electric delivery vehicles, [92] the latter developed by Moldex, a Grupo Bimbo's subsidiary that provides technological solutions. [93] The company committed to growing its electric fleet in Mexico and incorporating 4,000 electric cars by 2024, 1,000 during each year. [94]

Grupo Bimbo also developed Bimbo Solar, a self-supply system inaugurated in 2018 to install solar roofs, more than 71 distributed generation systems, with a capacity of 25 MW, and thus avoid the emission of approximately 21,000 tons of CO2. annually. [95] This program stands out for having a solar roof with 308 panels, [96] in the Grupo Bimbo corporate building in Mexico City; the largest solar roof in Mexico, and the second in Latin America in its Metropolitan Distribution Center; [97] as well as one of the largest solar roofs in Chile. [98]

Water

Grupo Bimbo focuses its efforts to reduce the water footprint under the following lines of action: reduction of consumption; water treatment and reuse; and new technologies. [98] The company fostered responsible use through dry cleaning techniques, semi-wet formats, or steam. [99] The result of this process has saved the equivalent to 186,000,000 liters since 2016. [100]

The company has standardized the treatment and reuse of water for green areas' irrigation, sanitary services, and vehicle washing. [101] Grupo Bimbo reports that 82% of the water used worldwide is treated in its plants and has also incorporated rainwater in 108 work centers that, during 2019, collected more than 2.5 million rainwater liters worldwide. [100]

Waste

Grupo Bimbo launched, in 2019, the "Without Leaving a Trace" campaign, to minimize its impact on the environment. [102] Through a Comprehensive Waste Management strategy, the company focuses on packaging innovation, waste reduction and reuse, and post-consumer management. [103] The main goal of this strategy is that, by 2025, 100% of its packaging are recyclable, biodegradable, and/or compostable. [104]

To achieve this, the company has committed to continuously improve its packaging, making use of new technologies to reduce the impact on the environment. Currently, all Grupo Bimbo's packaging in Mexico that can incorporate d2w technology (under the ASTMD 6954-18 standard) [105] is already biodegradable. [106] Additionally, in 2019, Grupo Bimbo developed its first 100% compostable packaging for the brand Vital, [104] which has the OK Compost certificate, for domestic and industrial processes, issued by the TÜV institute in Austria, meaning that it biodegrades and is naturally reintegrated into the environment. [107]

Throughout its value chain, Grupo Bimbo promotes actions to reduce and recycle waste. Its goal is to achieve, at least, 90% waste recycling in its global operations. [102] To achieve this, today it has 43 plants with zero waste to landfills and 144 plants with more than 80% recycling, and it has implemented circular economy projects. [108]

The company also takes part in different post-consumer programs that promote recycling in countries such as Mexico, the United States, Canada, Spain, Portugal, and Brazil. [109]

Natural capital

Grupo Bimbo has promoted an environmental strategy, collaborating with suppliers, focused on caring for biodiversity. The company works with strategic suppliers, small and medium enterprises (SMEs) in soy, sesame, and palm traceability programs; with the International Maize and Wheat Improvement Center (CIMMYT) in various sustainable agriculture programs. [108]

Grupo Bimbo focuses on maintaining an environmental balance and, therefore, promotes initiatives such as Reforestamos México AC, created in 2002, whose mission is the conservation of forest ecosystems. [110] From 2012 to 2019, this organization has managed to plant 96,609 trees in various Mexican locations [111] and, in the last year, collaborated with 90 companies to reforest 133.95 hectares of forests in 12 different entities. [109]

Accolades

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

See also

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References

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  2. 1 2 "Grupo Bimbo Today". Grupo Bimbo. 16 August 2017. Archived from the original on 8 June 2019. Retrieved 14 January 2021.
  3. ↑ ".::. Grupo BMV .::. Trading Statistics". www.bmv.com.mx. Retrieved 14 January 2021.
  4. ↑ "Bimbo: la panificadora mexicana de los cuatro continentes". Líder Empresarial (in Spanish). 15 January 2020. Retrieved 14 January 2021.
  5. ↑ "Grupo Bimbo expande operaciones a Kazajistán". SDP (in Spanish). 13 February 2020. Retrieved 14 January 2021.
  6. ↑ "Bimbo logra 300,000 puntos de venta más en 2018 | Opportimes". www.opportimes.com (in Spanish). 14 March 2019. Retrieved 14 January 2021.
  7. ↑ EFE (5 September 2019). "Bimbo emite títulos de deuda por 600 mdd, con vencimiento en 2049; recursos son para refinanciarse". SinEmbargo MX (in Spanish). Retrieved 14 January 2021.
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  10. ↑ "Así comenzó todo | Bimbo".
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  21. ↑ Español, Entrepreneur en (3 February 2017). "5 claves de marketing de Lorenzo Servitje que enamoraron a los consumidores de Bimbo". Entrepreneur (in Spanish). Retrieved 26 January 2021.
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  23. ↑ Téllez, Estephanie Suárez y Cristian. "Grupo Bimbo, empresa con mucha levadura". El Economista. Retrieved 26 January 2021.
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  28. ↑ "Portafolio de marcas: ¿Qué hay detrás de Tía Rosa?". Revista Merca2.0. 29 January 2019. Retrieved 3 February 2021.
  29. ↑ "Portafolio de marcas: ¿Qué hay detrás de Ricolino?". Revista Merca2.0. 14 January 2019. Retrieved 3 February 2021.
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  34. ↑ Pantaleón, Israel (3 February 2017). "Así expandió Lorenzo Servitje la operación de Bimbo en Latinoamérica • Últimas Noticias • Forbes México". Forbes México (in Mexican Spanish). Retrieved 11 February 2021.
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  51. ↑ "Bimbo concreta la compra de Saputo Bakery en Canadá". www.elfinanciero.com.mx. 2 February 2015. Retrieved 25 February 2021.
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  62. ↑ "Reforestamos México reconoce a sus aliados para asegurar los bosques del país". SDP (in Spanish). 6 November 2019. Retrieved 4 March 2021.
  63. ↑ "Adrián Rubalcava, Fundación Azteca y Grupo Bimbo trabajan por el medio". www.milenio.com (in Mexican Spanish). 14 April 2019. Retrieved 4 March 2021.
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