MONTERREY, Mexico, Oct. 28, 2019 (GLOBE NEWSWIRE) -- Fomento Económico Mexicano, S.A.B. de C.V. (“FEMSA”) (NYSE: FMX; BMV: FEMSAUBD) announced today its operational and financial results for the third quarter of 2019.
- 18.1% income from operations growth (17.7% on an organic1 basis) at FEMSA Consolidated
- 120 basis points gross margin expansion at FEMSA Comercio’s Proximity Division
- 26.6% revenue growth (6.2% on an organic1 basis) at FEMSA Comercio’s Health Division
- 50 basis points operating margin expansion at FEMSA Comercio’s Fuel Division
- 21.1% income from operations growth at Coca-Cola FEMSA
|FINANCIAL SUMMARY FOR THE THIRD QUARTER AND FIRST NINE MONTHS 2019|
|Change vs. Comparable Results|
|Revenues||Gross Profit||Income |
Eduardo Padilla, FEMSA’s CEO, commented:
|“The third quarter was a positive one on both the operational and strategic fronts. Operationally, we saw solid performances across our business units. OXXO continued to grow at a steady pace in Mexico, and we again saw encouraging data from the international operations. The Health division continued to see a soft patch in Chile but we are quickly making progress in the integration of GPF in Ecuador, while the Fuel division did not add to its number of stations but still managed to deliver encouraging results during the quarter. For its part, Coca-Cola FEMSA saw a resilient consumer environment in Mexico and solid growth in South America, combining to deliver a positive operating performance. |
Strategically, we made two important announcements, first on our new joint venture with Raízen in Brazil, and more recently on our investment and joint venture with Jetro Restaurant Depot. These are relevant steps in our quest to deploy capital in high-growth, high-return retail assets, and we are very excited about both opportunities.”
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
This report may contain certain forward-looking statements concerning our future performance that should be considered as good faith estimates made by us. These forward-looking statements reflect management’s expectations and are based upon currently available data. Actual results are subject to future events and uncertainties, which could materially impact our actual performance.
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 FEMSA Comercio, comprising a Proximity Division operating OXXO, a small-format store chain, a Health Division, which includes drugstores and related activities, and a Fuel Division, which operates the OXXO GAS chain of retail service stations. In the beverage industry, it participates through Coca-Cola FEMSA, a public bottler of Coca-Cola products; and in the beer industry, as a shareholder of HEINEKEN, a brewer with operations in over 70 countries. Additionally, through its Strategic Businesses unit, it provides logistics, point-of-sale refrigeration solutions and plastics solutions to FEMSA's business units and third-party clients. Through its business units, FEMSA has more than 295,000 employees in 13 countries. FEMSA is a member of the Dow Jones Sustainability MILA Pacific Alliance, the FTSE4Good Emerging Index and the Mexican Stock Exchange Sustainability Index, among other indexes that evaluate is sustainability performance.
1 Excludes the effects of significant mergers and acquisitions in the last twelve months.
2 Comparable Results: Starting on the first quarter of 2019, we adopted the International Financial Reporting Standard 16 – “Leases” (“IFRS 16”) across all our business units. The Comparable Results is a set of numbers which estimate the retroactive effect that the adoption of IFRS 16 would have had on FEMSA’s 2018 financial results. The performance comparisons expressed in this document will be made relative to the Comparable Results unless stated otherwise.