MEXICO CITY, MEXICO--(Marketwired - Feb 24, 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 fourth quarter of
2016.
Operational and Financial Highlights
- Revenues grew 21.6%, while comparable revenues grew 3.7% for the fourth quarter of 2016.
- Operating income grew 7.8%, but on a comparable basis, it declined 8.3% for the fourth quarter of
2016.
- Operating cash flow increased 22.6%, but decreased 2.3% as a comparable metric for the fourth quarter of
2016.
- Earnings per share were up 12.4% to Ps. 1.69, whereas comparable earnings dropped 11.1% to Ps. 1.30 in the fourth
quarter of 2016.
Results Summary
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Fourth Quarter |
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|
Year to Date |
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| |
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as Reported |
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Comparable (1) |
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as Reported |
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|
Comparable (1) |
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| |
|
2016 |
|
D% |
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|
2016 |
|
D% |
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|
2016 |
|
D% |
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|
2016 |
|
D% |
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| Total revenues |
|
49,533 |
|
21.6 |
% |
|
44,300 |
|
3.7 |
% |
|
177,718 |
|
16.6 |
% |
|
157,277 |
|
6.6 |
% |
| Gross profit |
|
22,388 |
|
15.9 |
% |
|
20,237 |
|
1.3 |
% |
|
79,662 |
|
10.6 |
% |
|
72,284 |
|
4.5 |
% |
| Operating income |
|
7,167 |
|
7.8 |
% |
|
6,251 |
|
(8.3 |
%) |
|
23,920 |
|
5.6 |
% |
|
22,646 |
|
4.0 |
% |
| Operating cash flow (2) |
|
10,812 |
|
22.6 |
% |
|
8,685 |
|
(2.3 |
%) |
|
35,495 |
|
13.6 |
% |
|
30,931 |
|
4.0 |
% |
| Net income attributable to equity holders of the company |
|
3,509 |
|
12.4 |
% |
|
2,690 |
|
(11.1 |
%) |
|
10,070 |
|
(1.6 |
%) |
|
9,290 |
|
0.6 |
% |
| Earnings per share (3) |
|
1.69 |
|
|
|
|
1.30 |
|
|
|
|
4.86 |
|
|
|
|
4.48 |
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| Expressed in millions of Mexican pesos. |
|
| (1) Comparable: 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 and (iii) the results of hyperinflationary economies in both periods. Currently, only Venezuela
qualifies as a hyperinflationary economy. |
|
| (2) Operating cash flow = operating income + depreciation + amortization & other
operative non-cash charges. |
|
| (3) Quarterly & FY earnings / outstanding shares as of the end of period.
Outstanding shares as of 4Q'16 and YTD were 2,072.9 million. |
|
| |
|
Message from the Chief Executive Officer
"We closed 2016 focused on our operating and financial discipline, while capturing opportunities that enabled us to strengthen
our portfolio and consolidate geographically. We managed to deliver solid financial results for the year in the face of a very
complex macroeconomic environment. On a comparable basis, our revenues and operating income increased by 6.6% and 4.0%,
respectively, by leveraging our pricing flexibility across our markets.
"Our transactions continued to outperform volumes across most of our operations thanks to our focus on affordability,
commercial practices, and improved route-to-market capabilities. In Mexico, volume and transactions grew across our sparkling and
still beverage categories, propelling our operation to a banner year. While in Central America, our performance was driven by
Costa Rica and Nicaragua's highest volume growth in the past 10 years. Our South America division faced the most difficult
macroeconomic and consumer environments of our territories. Nevertheless, our flexibility to adapt to local market conditions
enabled us to maintain or gain market share across key markets and categories. Finally, our Philippines operation delivered
accelerated volume and transaction growth, while improving profitability, ahead of its consolidation in 2017.
"During the year, we accelerated the transformation of our operating models, highlighted by the aggressive rollout of our
KOFmmercial Digital Platform in Mexico and its initial rollout in Brazil. Importantly, we strengthened our footprint by closing
our acquisition of Vonpar, bolstering our leading position in Brazil.
"As we enter a new year, we renew our efforts to strengthen our portfolio, deploy our transformational initiatives, and
continue our cultural evolution in order to deliver sustainable, profitable growth for our shareholders," said John Santa Maria
Otazua, Chief Executive Officer of the Company.
Conference Call Information
Our fourth quarter 2016 conference call will be held on February 24, 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.: 888-256-1027 or International: 913-312-0850.
Participant code: 7683144. We invite investors to listen to the live audiocast 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.