73 Integrated Report 2018 73

TRESMONTES LUCCHETTISales COP billion

EBITDA COP billion

995

129

338981

127

332978

96

322

0,7% 2,4%

15,9%

CAGR CAGR

CAGR

of Grupo Nutresa’s total sales

of Grupo Nutresa’s ebitda

Tresmontes Lucchetti represents The international sales represent

Tresmontes Lucchetti represents

2018

2018

20182016

2016

20162017

2017

2017

Total Sales International Sales

13,0% 13,0% 9,8%Margin

11,0% 100%

11,5%

Relevant aspects from 2018

4.643TOTAL

Local

(Direct employees, indirect employees and apprentices)

Women 32,9%

0% 100%International*

Men 67,1%

Employees

Justo García GamboaPresident Part of Grupo Nutresa since 201356 years old

MUIBON. Venture into the chocolate confectionery market in Chile with the

launch of the Muibon portfolio, with 13 product

references that participate in four market segments. The

Muibon products are offered in individual and family-size

presentations, which are sold through both the supermarket

and traditional channels.

1,7% 1,8%-0,3%3,0%

9,4%-1,7%

1,8%2,3%

31,9%

(Direct employees and apprentices)

USD million

Growth percentage Growth percentage

Growth percentage

Tresmontes Lucchetti entered the chocolate candy category under the Muibon brand with a broad and novel proposal, enjoying a good level of acceptance in the market.

The profitability of the Business was boosted by focusing on the main categories that had the highest levels of profitability and by adequately managing the channels that presented a spe-cial progress in terms of distribution to major retail chains.

Progress was made in the implementation of our efficiency and productivity model, with a parti-cular emphasis on expenditure.

Progress was made in the formation and the results of our Food Service department.

We received the Business Evolution Award, given by Manufacturing Promotion Society in Chile. This accolade was awarded for being the most outstanding company in terms of the adoption of good business practices in sustainability.

Progress was made in the instant cold beverage mar-ket with Zuko and we worked on our innovation effort by launching the Livean brand with a new value proposition.

The industrial area of pasta products was reinfor-ced, guiding the staff team and allocating resour-ces for the development in the local business.

The operation profitability enhancement was continued through price management, effective marketing and expenditure productivity. In addi-tion, the working capital was optimized by using the sales and operations planning tool.

Mex

ico

Chi

le

of the total business unit sales

*It includes employees from Mexico and Chile

Most innovative product

74

Performance of the Business Units

74

Direct Presence in

1

3

3,1%

17,7%

2,5%

3,9%

72,8%

6

ICB*

Pasta

Coffee

35,5%

19,9%10,0%

24,7%

9,9%

Other

Potato chips

Market shareMain categories Raw materials and other

ICB(Chile)

Coffee (Chile)

59,4%

-3,2%

Pasta (Chile)

ICB (Mexico)

Potato chips (Chile)

28,1%

0,5%

15,2% 35,4%

-0,5% 1,4%

18,0%

-0,1%Variation

countries

Entering a new Grupo Nutresa category.

Advancing with new Muibon proposals in order to consol-idate our participation in the chocolate candy category.

Promoting comprehensive plans in the instant cold beverage category with the aim of fostering the growth of the market share, focus-ing on the renewal of value propositions in the portfolio.

Concentrating the develop-ment on coffee and snacks categories to boost their performance.

Consolidating the specialized distribution strategy in the multiple channels served by the Business.

Developing productivity plans in all the cost and expenditure variables, and making progress in the Brands and Networks Management Model.

Keep boosting the instant cold beverage category with Zuko and Livean through a plan that enhances their promi-nence and closeness to the consumers.

Implementing the transaction and management system integration project.

Outlook for 2019

Mexico

United States

Central America

ChileOther countries

(% of total sales )

(includes direct

labor, IMCs and

other raw materials)

3,2%10,3%

1,0%

2,2%

29,2%Packaging material

54,1%

Oils and fats

SugarOther

CoffeeWheat

Mex

ico

Chi

le

*Instant Cold Beverages

Leyend

[GRI102-2]

Presence of our main brands

% of the Business Sales

Production facilities

Brands with sales over USD 50 Million