FEMSA Announces 2Q22 Financial Results

MONTERREY, Mexico, July 28, 2022 (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 second quarter of 2022.

• FEMSA: Total Consolidated Revenues grew 22.2% against 2Q21, and 30.6% against 2Q19.
• PROXIMITY: EBITDA margin expanded 80 basis points year-on-year and 30 bps above the 2Q19 margin to reach 15.3%, a record for a second quarter.
• HEALTH: Same-store sales grew 9.0% against 2Q21 on a currency-neutral¹ basis.
• LOGISTICS & DISTRIBUTION: 17.3% organic² total revenue growth compared to 2Q21.
• DIGITAL: Spin by OXXO reached 3.1 million users (over 61% active³) while OXXO Premia reached 15.0 million loyalty users (over 68% active³) and a 17% accumulated tender⁴.
• COCA-COLA FEMSA: Total volume grew 11.9% against 2Q21, driven by growth across all its geographies.

Financial Summary for the Second Quarter and First Six Months 2022
Change vs. comparable period

Daniel Rodríguez Cofré, FEMSA’s Chief Executive Officer, commented:

“We had a very strong second quarter across the company, reflecting sound plans and solid execution at every business unit, and continuing with the good momentum that began at the end of last year and has accelerated through the first half of this year. Most of our operations continued to show strong growth and profitability trends, as consumers continued to resume pre-COVID behaviors while making modest adjustments required by the shape of our “new normality” across our different markets.

At Proximity, we recorded the highest-ever EBITDA margin for a second quarter, while Health operations continued to perform well against an increasingly challenging comparison base in Chile. Our Digital efforts made progress in customer acquisition, surpassing 15 million users that are already part of our digital ecosystem, either through Spin by OXXO, OXXO Premia or both. Logistics and Distribution operations also had a good quarter, as facility occupancy trends continued to improve in the United States and we advanced in our cross-selling efforts at Envoy Solutions. And Coca-Cola FEMSA delivered solid top-line growth and successfully navigated a challenging raw material environment, defending profitability.

Halfway through the year our business units are in great shape, and we feel good about our chances to meet our ambitious plans for the full-year and beyond. Beyond our solid organic expansion, we continue to selectively deploy capital along our core business verticals, always driven by our outstanding team of colleagues. We will continue to push ourselves to create long-term value through profitable growth, but also ensuring that the value we create, is shared by all our stakeholders.”

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_{¹ Calculated by translating comparable period figures at the foreign currency exchange rates used in the current period.
² Excludes the effects of significant mergers and acquisitions in the last twelve months.
³ Active User for Spin by OXXO: Any user with a balance or that has transacted within the last 56 days.
  Active User for OXXO Premia: User that has transacted at least once with OXXO Premia within the last 90 days.
⁴ Tender: Accumulated sales with OXXO Premia redemption or accrual / Total OXXO Sales.}

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 Division operating OXXO, a small-format store chain, and OXXO Gas, a chain of retail service stations; through a Health Division, which includes drugstores and related activities; and through FEMSA’s Digital Division, which includes Spin by OXXO and OXXO Premia, among other loyalty and 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; and in the beer industry, as the second largest shareholder of Heineken, one of the world’s leading brewers with operations in over 70 countries. FEMSA also participates in the logistics and distribution industry through its Strategic Business Unit, which additionally provides point-of-sale refrigeration and plastic solutions to its business units and third-party clients. Across its business units, FEMSA has more than 320,000 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 its sustainability performance. 

Media Contact
(52) 555-249-6843
comunicacion@femsa.com.mx
www.femsa.com

Investor Contact
(52) 818-328-6167
investor@femsa.com.mx
www.femsa.com/inversionista