Market Overview

Alicorp Second Quarter 2017 Consolidated Financial Statements


Consolidated Revenue amounted to S/ 1,827.4 million (+12.2% YoY).
EBITDA increased by S/ 47.4 million, to S/ 241.7 million (+24.4% YoY)
with an EBITDA Margin of 13.2% (+1.3 p.p. YoY). Additionally, Net Income
reached S/ 128.2 million, with a Net Margin of 7.0%, an increase of 2.4
p.p. YoY. Net Debt-to-EBITDA ratio decreased from 1.66x as of December
2016 to 1.06x as of June 2017.

Alicorp S.A.A. ("the Company" or "Alicorp") (BVL: ALICORC1 and ALICORI1)
announced today its unaudited financial results corresponding to the
Second Quarter 2017 (Q2 17'). Financial figures are reported on a
consolidated basis and are in accordance with International Financial
Reporting Standards ("IFRS") in nominal Peruvian Soles, based on the
following statements, which should be read in conjunction with the
Financial Statements and Notes to the Financial Statements published at
the Peruvian Securities and Exchange Commission (Superintendencia del
Mercado de Valores -

1. Consolidated Revenue amounted to S/ 1,827.4 million (+12.2% YoY),
while Volume reached 481.2 thousand tons (+9.5% YoY). Increase in
Revenue was mainly explained by: i) a 43.1% YoY increase in the
Aquaculture business as a result of capturing a higher market share
while an expansion of the Ecuador's shrimp feed market and the Chile´s
fish feed market was occurring; ii) a 8.3% YoY increase in the Consumer
Goods Peru business due to the growth of the core categories; and iii) a
4.4% YoY increase in the B2B business due to higher Revenue in the Food
Service platform.

2. Revenue and Volume from the Consumer Goods Peru business reached S/
666.8 million (+8.3% YoY) and 129.0 thousand tons (+3.0% YoY) during Q2
17'. This increase was mainly explained by i) the launch of the canned
tuna category which explained one third of Consumer Goods Peru´s Revenue
growth, and ii) the organic growth registered by our core categories
such as Laundry Detergents (+8.2% YoY), Edible Oils (+7.1% YoY), Sauces
(+10.9% YoY), Softeners (78.2% YoY), and Laundry Soap (+7.9% YoY) due to
the Company's commercial strategy that resulted in an equal or a higher
value share in 12 of 14 categories.

3. Regarding product innovation, during Q2 17' the Company launched 10
products (6 in Consumer Goods Peru, 2 in Consumer Goods International, 1
in B2B and 1 in Aquaculture) The following launches can be highlighted:
i) canned tuna under the "Primor" brand, launching a new category, ii)
"Care blocks" for the fish feed platform, launching a new line of
nutritional complements, and iii) "Casino Black", revamping a core brand
in the cookies & crackers category.

4. Gross Margin increased by 1.4 p.p. YoY (31.6% in Q2 17' versus 30.2%
in Q2 16'), while Gross Profit reached S/ 577.3 million, a 17.2%
increase compared to the S/ 492.4 million of Q2 16'. The improvement was
mainly explained by i) revenue management and design-to-value
initiatives in the Consumer Goods Peru business, despite rising prices
of raw materials, ii) savings in procurement and manufacturing as a
result of our efficiencies program, iii) lower raw material prices in
the Aquaculture business and iv) a higher operating contribution from
Consumer Goods in Brazil.

5. EBITDA amounted to S/ 241.7 million (+24.4% YoY), and EBITDA Margin
increased by 1.3 p.p. YoY (13.2% during Q2 17' versus 11.9% in Q2 16').

6. Consequently, Net Income totaled S/128.2 million during Q2 17', an
increase of 71.4% YoY, while Net Margin reached 7.0%, an increase of 2.4
p.p. YoY. As a result of the aforementioned profitability´s increase and
Net Financial Expenses´ decrease. Thus, Earnings per Share (EPS)
increased from S/ 0.087 in Q2 16' to S/ 0.148 in Q2 17'.

7. Cash flow from Operations as of June 2017 was S/ 598.7 million, S/
378.2 million higher than the figure generated as of June 2016. This
increase was mainly explained by: i) a higher Consolidated Revenue and
EBITDA generation, and ii) an efficient working capital management. Cash
Flow used in Investing Operations was S/ 16.6 million, compared to S/
44.8 million registered as of June 2016. CAPEX investments as of June
2017 were S/ 34.3 million.

8. As of June 2017, Net Debt decreased by S/ 411.8 million versus
December 2016, reaching S/ 921.1 million. Total Debt was S/ 1,624.5
million as of June 2017, S/ 18.1 million higher compared to December
2016. Net Debt decreased as a result of a strong cash flow generation
and a higher profitability. Net Debt-to-EBITDA ratio decreased from
1.66x as of December 2016 to 1.06x as of June 2017.

For a full version of ALICORP's Second Quarter 2017 Earnings Release,
please visit:

Conference Call

Alicorp S.A.A. (BVL: ALICORC1 and ALICORI1)

Cordially invites you to discuss Second Quarter 2017 Results
Date: Friday, August 4, 2017
Time: 12:00 p.m. Eastern Time
11:00 a.m. Lima Time
To access the call, please dial:
From the U.S.: 1-800-311-9401
From Outside the U.S.: 1-334-323-7224
Conference ID Number: 68632

Alicorp's 2Q17 Results will be accompanied by a webcast
presentation available at:



Alicorp is a leading Consumer Goods company headquartered in Peru, with
operations in other Latin American countries, such as Argentina, Brazil,
Chile, Ecuador, and exports to other countries. The Company focuses on
three core businesses: (1) Consumer Products (food, personal and home
care products), in Peru, Brazil, Argentina, Ecuador, Colombia and Chile,
among other countries, (2) B2B Products (industrial flour, industrial
lard, pre-mix and food service products), and (3) Aquaculture (fish and
shrimp feeding). Alicorp has over 7,600 employees in its operations in
Peru and international subsidiaries. The Company´s common and investment
shares are listed on the Lima Stock Exchange under the ticker symbols
ALICORC1 and ALICORI1, respectively.

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