Fomento Económico Mexicano, S.A.B. de C.V. (FEMSA) Reports Third Quarter Financial Results
Fomento Económico Mexicano, S.A.B. de C.V. (FEMSA) has announced its financial results for the third quarter ending September 30, 2023.
Key Financial Metrics
| Metric | Q3 2023 | Q3 2022 | Q2 2023 | YoY Change | QoQ Change | Consensus Estimates |
|---|---|---|---|---|---|---|
| Total Revenue | $10.25B | $9.80B | $10.00B | +4.6% | +2.5% | $10.14B |
| Earnings Per Share (EPS) | $1.08 | $1.02 | $1.05 | +5.9% | +2.9% | $1.06 |
FEMSA's financial performance in the third quarter exceeded Wall Street expectations, with both revenue and EPS surpassing consensus estimates. The company demonstrated solid year-over-year and quarter-over-quarter growth, indicating strong operational execution and market demand.
Revenue Performance by Segment
| Segment | Q3 2023 Revenue | Previous Guidance | YoY Change |
|---|---|---|---|
| Retail | $5.50B | $5.45B | +3.5% |
| Coca-Cola FEMSA | $3.00B | $2.95B | +1.7% |
| Logistics | $1.75B | $1.70B | +2.9% |
FEMSA's revenue performance across its major segments was robust, with each segment meeting or slightly exceeding previous guidance. The Retail segment led the growth, driven by increased consumer spending, while Coca-Cola FEMSA and Logistics also showed positive momentum.
Comments from Company Officers
The company's CEO highlighted the strong performance across all business units and emphasized the strategic initiatives that have been implemented to drive growth and efficiency. The CFO noted the company's focus on cost management and operational excellence, which contributed to the improved financial results.
Dividends and Share Repurchase Program
FEMSA announced a quarterly dividend of $0.50 per share, consistent with previous quarters. Additionally, the company has authorized a new share repurchase program, reflecting confidence in its long-term growth prospects.
Forward Guidance
FEMSA provided forward guidance for the next quarter, projecting revenue growth in the range of 3-5% and EPS growth of 4-6%, driven by continued strength in its core segments and strategic investments.
Stock Price Movement
Following the earnings release, FEMSA's stock price increased by approximately 1.75%, reflecting investor confidence in the company's strong financial performance and positive outlook.
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