Q3 2024 Coca-Cola Femsa SAB de CV Earnings Call Transcript
Key Points
- Coca-Cola Femsa SAB de CV (KOF) reported double-digit growth in revenues and operating income year-on-year, demonstrating resilience despite unfavorable weather conditions in Mexico.
- The company successfully expanded its digital platform, Juntos-plus, reaching 1.2 million active users, with 56% of the customer base now digital buyers.
- KOF's loyalty program, Premier Juntos-plus, saw a 21% increase in enrolled clients, reaching over 920,000.
- Gross profit increased by 11.3%, driven by top-line growth, easing raw material costs, and favorable hedging strategies.
- Adjusted EBITDA for the quarter increased by 18.4%, with a margin expansion of 130 basis points to 20.1%.
- Volume growth was modest at 0.8%, with declines in Mexico, Colombia, and Uruguay offsetting gains in Brazil, Guatemala, and Central America.
- The company faced increased fixed costs and the depreciation of the Argentine peso, which partially offset gross profit gains.
- Operating income growth was impacted by higher operating expenses, including labor, marketing, freight, and maintenance.
- The closure of the Portalegre plant in Brazil led to increased costs due to sourcing products from other bottlers, affecting profitability.
- In Colombia, consumer confidence and household expenditures declined, leading to a 4% contraction in volumes year-on-year.
Hello, and welcome to Coca-Cola FEMSA third-quarter 2024 conference call. My name is Melissa, and I will be your coordinator for today's event. Please note, this conference is being recorded. (Operator Instructions)
I'll now turn the call over to Jorge Collazo, Investor Relations Director. Please go ahead.
Thank you, Melissa. Good morning, everyone. Welcome to this webcast and conference call to review our third Quarter 2024 results. Joining me this morning are Ian Craig, our Chief Executive Officer; and Gerardo Cruz, our Chief Financial Officer.
As usual, after prepared remarks, we will open the call for a question-and-answer session. Before we proceed, please allow me to remind all participants that this conference call may include forward-looking statements and should be considered as good faith estimates made by the company. These forward-looking statements reflect management's expectations and are based upon currently available data. Actual results are subject to
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
