Morixe Hermanos S.A. 5 Votes

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What it is

In 1901, Francisco Morixe installed a steam-powered flour mill in Buenos Aires — a company that for most of its first century ground wheat and little else. In recent years it moved into consumer packaged goods, launching wheat flour, breadcrumbs, cake mixes, frozen potatoes, mashed potato powder, polenta, olive oil, sunflower oil, balsamic vinegar, canned olives, oatmeal, pasta, biscuits, and pulses.

Its products reach 50,000 points of sale across Mercosur and more than 20,000 in Argentina. Flour and grain-based lines represent roughly half of sales — a sharp drop from near-total dependence just a few years ago.

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Who owns it

Sociedad Comercial del Plata (SCP) holds the 78% controlling stake in Morixe, acquired in July 2023 for US$18 million; the dominant shareholder of SCP itself is entrepreneur Ignacio Noel. Morixe shares have traded on the Buenos Aires stock exchange since 1961, with the remaining 22% free float held by more than 5,500 registered shareholders.

Noel had bought Morixe out of insolvency in 2017 and built it up before moving it into his industrial holding. SCP has stated its intention to keep Morixe listed, as it has traded continuously for more than 60 years.

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Who runs it

Román Malceñido is CEO of Morixe Hermanos S.A.C.I. He has been the general manager who planned the company’s product-expansion strategy, including the push into new categories.

A separate CFO is not disclosed in available sources. Pablo Arnaude serves as CEO of the controlling parent, Sociedad Comercial del Plata.

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The money, in plain words

Revenue swung sharply across the three years on record: ARS 52.9bn (~US$36.2m) in FY2023, ARS 136.8bn (~US$93.6m) in FY2025, and ARS 120.7bn (~US$82.6m) in FY2026 — a nominal drop of 11.8% (our calculation), reflecting both weaker Argentine consumer spending and the exit from the frozen-potato business. The company keeps under 1 cent of profit from every peso of sales — a net margin of just 0.55%, thin even for a commodity food business.

For every peso owners have invested, the company earns less than 2 cents a year — a return on equity of 1.86%, well below Argentina’s risk-free rate. The market nonetheless values the shares at 80 times annual earnings (price-to-earnings ratio of 80×), pricing in a recovery; that is a demanding multiple for a margin this slim.

One comfort: with ARS 14.9bn in cash (~US$10.2m) and no debt on the balance sheet (our calculation), the company is not financially fragile.

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What it is doing now

During 2025, Morixe completed three acquisitions: a 60% stake in Biomac, a healthy and organic-foods company with sales in the United States and Canada; a 70% stake in Intertrópico Colombiana, a Madrid-based distributor of Latin American foods with over 1,400 clients across Europe; and the former Quaker oat factory in the Buenos Aires district of Barracas, along with the Mágica brand.

Morixe also closed a capital increase of ARS 10.8bn (US$7 mn), which the market read as a strategic bet on reducing dependence on the Argentine market and accelerating exports. Separately, it exited its commercial relationship with Lamb Weston Argentina — receiving US$13 million to terminate supply and licensing contracts.

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What to watch

• Margin recovery: A net margin of 0.55% leaves almost no room for error; whether the higher-value export mix lifts this toward 3–4% is the central financial question.
• International revenue share: Flour volumes in Argentina continue to fall as domestic consumption stagnates, so the pace of export growth through Biomac and Intertrópico directly determines whether the acquisition strategy pays off.
• P/E compression risk: A P/E of 80× is sustainable only if profits grow sharply; any macro setback in Argentina could reprice the stock quickly.
• SCP parent dynamics: With SCP holding 78%, decisions about further capital raises or acquisitions rest almost entirely with the Noel-controlled parent — minority investors follow, not lead.

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This is news, not investment advice.