MONTERREY, Mexico, Oct. 28, 2024 (GLOBE NEWSWIRE) — Fomento Económico Mexicano, S.A.B. de C.V. (“FEMSA”) (NYSE: FMX; BMV: FEMSAUBD, FEMSAUB) announced today its operational and financial results for the third quarter of 2024.
- FEMSA: Total Consolidated Revenues grew 8.3% and Income from Operations increased 14.6% compared to 3Q23.
- FEMSA Retail1: Proximity Americas total Revenues grew 4.8% and Income from operations increased 5.9% versus 3Q23.
- DIGITAL: Spin by OXXO had 8.2 million active users2 representing 28.9% growth compared to 3Q23 while Spin Premia had 23.8 million active loyalty users2 representing 34.6% growth compared to 3Q23, and an average tender3 of 38.5%.
- COCA-COLA FEMSA: Total Revenues and Income from Operations grew 10.7% and 13.9%, respectively against 3Q23.
| Financial Summary for the Third Quarter 2024 | ||||||||||||||||
| Change vs. comparable period | ||||||||||||||||
| Total Revenues | Gross Profit | Income from Operations | Same-Store Sales | |||||||||||||
| 3Q24 | YTD24 | 3Q24 | YTD24 | 3Q24 | YTD24 | 3Q24 | YTD24 | |||||||||
| FEMSA Consolidated | 8.3% | 10.2% | 12.1% | 14.0% | 14.6% | 14.1% | ||||||||||
| Proximity Americas | 4.8% | 9.3% | 12.5% | 16.3% | 5.9% | 7.9% | 0.0% | 4.3% | ||||||||
| Proximity Europe | 20.4% | 11.7% | 20.5% | 13.5% | 57.2% | 71.7% | N.A. | N.A. | ||||||||
| Health | 12.5% | 3.3% | 15.7% | 2.1% | 7.2% | (17.2%) | 7.4% | (3.5%) | ||||||||
| Fuel | 8.2% | 13.0% | 8.2% | 10.2% | 17.0% | 14.6% | 7.6% | 9.9% | ||||||||
| Coca-Cola FEMSA | 10.7% | 12.4% | 11.3% | 14.0% | 13.9% | 13.4% | ||||||||||
José Antonio Fernandez Carbajal, FEMSA’s Chief Executive Officer, commented:
During the third quarter, most of our business units delivered encouraging results, with revenue growth and margin expansion across our income statement even as we continue to see a soft consumer environment in the second half of the year, particularly in our key Mexican market.
Proximity Americas had mixed trends in its same-store sales performance, with a growth in average ticket which offset a contraction in average traffic that reflected adverse weather in Mexico, a decline in volumes of our key beverage categories, and a demanding comparison base. However, stellar gross margin and continued solid store expansion once again set the division up for a good result. For its part, Coca-Cola FEMSA again delivered a notable set of numbers with double-digit growth in revenues and profits, reflecting positive dynamics in most markets which offset a softer performance in Mexico.
In similar fashion, Valora delivered strong results driven by a combination of solid execution and favorable currency effects, while OXXO Gas once again put together a robust set of numbers. Our Health division showed sequential improvement, reflecting better trends in certain markets as well as currency tailwinds, partially offset by the intense competitive environment in Mexico which the team is working hard to address. At Digital, the team made further progress growing our user base, with a focus on containing costs while generating more and better engagement, and recurring revenue.
During the quarter, we also continued to make progress with the remaining steps of FEMSA Forward, including the recent announcement that we signed a transaction to divest Solistica, and we closed the Delek transaction in the US, where we are already busy. We will keep you updated as we take on this exciting new challenge.
As we make a final push to achieve a strong close to the year, we are hard at work laying out the plans and objectives for an even better 2025. Once again, I want to thank our entire team for their unwavering effort and excellence.
| To obtain the full text of this earnings release, please visit our Investor Relations website at https://femsa.gcs-web.com/ under the Financial Reports section |
| CONFERENCE CALL INFORMATION | ||
| Our Third Quarter 2024 Conference Call will be held on: Monday, October 28, 2024, 10:30 AM Eastern Time (8:30 AM Mexico City Time). The conference call will be webcast live through streaming audio. | ||
| Telephone: | Toll Free US: | (866) 580 3963 |
| International: | +1 (786) 697 3501 | |
| Webcast: | https://edge.media-server.com/mmc/p/bbomq2ga/ | |
| Conference ID: | FEMSA | |
| If you are unable to participate live, the conference call audio will be available on https://femsa.gcs-web.com/financial-reports/quarterly-results | ||
ABOUT FEMSA
FEMSA is a company that creates economic and social value through companies and institutions and strives to be the best employer and neighbor to the communities in which it operates. It participates in the retail industry through a Proximity Americas Division operating OXXO, a small-format store chain, and other related retail formats, and Proximity Europe which includes Valora, our European retail unit which operates convenience and foodvenience formats. In the retail industry it also participates though a Health Division, which includes drugstores and related activities and Digital@FEMSA, which includes Spin by OXXO and Spin Premia, among other digital financial services initiatives. In the beverage industry, it participates through Coca-Cola FEMSA, the largest franchise bottler of Coca-Cola products in the world by volume. Across its business units, FEMSA has more than 392,000 employees in 18 countries. FEMSA is a member of the Dow Jones Sustainability MILA Pacific Alliance, the FTSE4Good Emerging Index and the Mexican Stock Exchange Sustainability Index: S&P/BMV Total México ESG, among other indexes that evaluate its sustainability performance.
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1 FEMSA Retail: Proximity Americas & Europe, Fuel and FEMSA Health.
2 Active User for Spin by OXXO: Any user with a balance or that has transacted within the last 56 days.
Active User for Spin Premia: User that has transacted at least once with OXXO Premia within the last 90 days.
3 Tender: OXXO MXN sales with Spin Premia redemption or accrual / Total OXXO MXN Sales, during the period.
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