MONTERREY, Mexico, October 28 /PRNewswire/ -- Fomento Economico Mexicano, S.A. de C.V. ("FEMSA") today announced its
operational and financial results for the third quarter and nine months of
Third Quarter 2005 Highlights
- Total revenues increased 8.1% to Ps. 26.625 billion (US$ 2.5 billion),
led by 21% growth at Oxxo, combined with strong performance at FEMSA
Cerveza and Coca-Cola FEMSA.
- Income from operations increased 10.7% to Ps. 4.144 billion (US$ 383
million), driven by growth of 17% at FEMSA Cerveza and 18% at Oxxo.
- Net majority income increased 9.5% to Ps. 1.641 billion (US$ 152
- Net debt of Ps. 28.017 billion (US$ 2.6 billion) in 3Q05, a reduction
of US$ 273 million from 2Q05.
- Coca-Cola FEMSA increased its consolidated volumes by 3%, while
offsetting pressures in raw material costs, maintaining stable
operating margins at 17.3% of total revenues.
- FEMSA Cerveza total beer sales volume increased 6.7% (5.5% domestic
and 18.7% exports) and expanded its operating margin by 160 basis
points to 25% of total revenues.
- Oxxo increased its total revenues by 20.7%, driven by the opening of
122 net new stores and a 7.4% increase in same-store sales during
the quarter. Oxxo remains on track to open approximately 600 net
new stores for the full year.
"In the third quarter we continued to deliver solid growth, demonstrating
the strength of our integrated beverage strategy. I am very pleased with the
performance at FEMSA Cerveza this quarter, which contributed to our
consolidated year-to-date operating income growth of 11% in real peso terms,
or 18% expressed in US dollars. We are very focused on continuously improving
our business while maintaining our vision of responsible leadership for the
beverage industry in Latin America. This approach has proven to create
long-term value for our shareholders and we believe it will continue to do so
well into the future," commented Jose Antonio Fernandez, Chairman and CEO of
To obtain the full text of this earnings release, please visit our
Investor Relations website at
http://www.femsa.com/investor 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
FEMSA is the leading beverage company in Latin America. It controls an
integrated beverage platform that comprises the largest Coca-Cola bottler in
the region, Coca-Cola FEMSA; the second largest brewer in Mexico and
important beer exporter to the United States, FEMSA Cerveza; and Oxxo, the
largest and fastest growing convenience store chain in Mexico with over 3,600
Web site: http://www.femsa.com