M. Dias Branco Profit Falls 22% to US$33 Million as Costs Squeeze Margins
Brazil's M. Dias Branco reported a 22% drop in second-quarter 2026 profit to R$168.9 million (about US$33 million), as thinner margins offset higher sales volumes. The post M. Dias Branco Profit Falls 22% to US$33 Million as Costs Squeeze Margins appeared first on The Rio Times .
Brazilian pasta and biscuit maker M. Dias Branco reported a 22% fall in profit for the second quarter of 2026, settling at R$168.9 million or roughly US$33 million. Despite selling more food than the previous year, thinner margins and lower average prices squeezed the bottom line. Net revenue grew by only 0.9% to R$2.70 billion, while operating expenses climbed, resulting in a narrowed profit margin.
While overall sales remained strong, the falling prices per kilo eroded profits despite increased volume. The company's gross margin saw a slight improvement, but this was not enough to offset the pressure on net earnings. Analysts had anticipated a softer quarter, but the extent of the profit decline drew attention. Despite the dip, M. Dias Branco remains a stable, profit-making business, with investors watching closely to see if margins improve in the coming half.
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