SOURCE: Coca-Cola FEMSA

April 26, 2017 09:10 ET

2017 First Quarter Results

MEXICO CITY, MEXICO--(Marketwired - Apr 26, 2017) - Coca-Cola FEMSA, S.A.B. de C.V. (BMV: KOFL) (NYSE: KOF) ("Coca-Cola FEMSA" or the "Company"), the largest franchise bottler in the world by sales volume, announces results for the first quarter of 2017.

Operational and Financial Highlights

  • Revenues grew 38.4%, while comparable revenues grew 2.7% for the first quarter of 2017.
  • Operating income grew 24.1%, while comparable operating income grew 7.2% for the first quarter of 2017.
  • Operating cash flow increased 35.9%, while comparable operating cash flow grew 4.6% for the first quarter of 2017.
  • Earnings per share increased 145.5% to Ps. 2.84 in the first quarter of 2017.

Results Summary

             
    First Quarter
    as Reported   Comparable (1)
    2017   D%   D%
             
Total revenues   51,357   38.4%   2.7%
Gross profit   22,297   31.8%   4.4%
Operating income   6,090   24.1%   7.2%
Operating cash flow (2)   9,554   35.9%   4.6%
Net income attributable to equity holders of the company   5,887   145.5%    
Earnings per share (3)   2.84        
             
Expressed in millions of Mexican pesos.            
(1) Comparable means, with respect to a year-over-year comparison, the change in a given measure excluding the effects of (i) mergers, acquisitions and divestitures, (ii) translation effects resulting from exchange rate movements (iii) the results of hyperinflationary economies in both periods, and (iv) includes the results of Coca-Cola FEMSA Philippines Inc., as if the consolidation had taken place at the beginning of first quarter 2016. From our operations, only Venezuela qualifies as a hyperinflationary economy.
(2) Operating cash flow = operating income + depreciation + amortization & other operative non-cash charges.
(3) Quarterly earnings / outstanding shares as of the end of period. Outstanding shares as of 1Q'17 were 2,072.9 million.

Message from the Chief Executive Officer

"For the first quarter of 2017, we further accelerated towards excellence by delivering positive results. Our revenues and operating income increased 38.4% and 24.1%, respectively, as we focused on executing the right strategies across our geographically diversified footprint. These results were highlighted by the continuous growth of our Mexican operation, driven by our pricing flexibility and our strengthening portfolio--underscored by the successful launch of Coca-Cola Sin Azúcar. Additionally, we rolled out affordability initiatives across our operations, which enabled us to gain or maintain market share across our key markets, highlighting our Company's ability to adapt to challenging consumer and macroeconomic environments to deliver solid results.

Moreover, we are encouraged by stabilization and signs of recovery in Brazil. As we smoothly integrated and began capturing planned synergies from Vonpar, we further consolidated the first full quarter of this newly acquired Brazilian territory. Importantly, we started consolidating the financial results of our Philippines operation beginning in February 2017. This operation's encouraging performance is now positively contributing to our Company's consolidated results.

We look forward to continuing to create value for our shareholders thanks to our talented team of professionals, our operating and financial discipline, and our ability to expand and consolidate our position as a truly diversified multi-category global beverage leader," said John Santa Maria Otazua, Chief Executive Officer of the Company.

Conference Call Information

Our first quarter 2017 conference call will be held on April 26, 2017, at 12:30 P.M. Eastern Time (11:30 A.M. Mexico City Time). To participate in the conference call, please dial: Domestic U.S.: 888-204-4394 or International: 913-981-5533. Participant code: 8897993. We invite investors to listen to the live audio cast of the conference call on the Company's website, www.coca-colafemsa.com. If you are unable to participate live, the conference call audio will be available at www.coca-colafemsa.com.

About the Company

Stock listing information: Mexican Stock Exchange, Ticker: KOFL | NYSE (ADR), Ticker: KOF | Ratio of KOF L to KOF = 10:1

Coca-Cola FEMSA, S.A.B. de C.V. is the largest franchise bottler in the world by sales volume. The company produces and distributes trademark beverages of The Coca-Cola Company, offering a wide portfolio of 154 brands to more than 375 million consumers daily. With over 100 thousand employees, the company markets and sells approximately 4 billion unit cases through 2.8 million points of sale a year. Operating 66 manufacturing plants and 328 distribution centers, Coca-Cola FEMSA is committed to generating economic, social, and environmental value for all of its stakeholders across the value chain. The company is a member of the Dow Jones Sustainability Emerging Markets Index, FTSE4Good Emerging Index, and the Mexican Stock Exchange's IPC and Social Responsibility and Sustainability Indices, among other indexes. Its operations encompass franchise territories in Mexico, Brazil, Colombia, Argentina, and Guatemala and, nationwide, in the Philippines, Venezuela, Nicaragua, Costa Rica, and Panama. For more information, please visit www.coca-colafemsa.com.

Contact Information

  • For additional information or inquiries contact the Investor Relations team:
    Maria Dyla Castro
    Email Contact
    (5255) 1519-5186

    Jorge Collazo
    Email Contact
    (5255) 1519-5218

    Tania Ramírez
    Email Contact
    (5255) 1519-5013