MONTERREY, Mexico, March 23, 2026 (GLOBE NEWSWIRE) -- Fomento Económico Mexicano, S.A.B. de C.V. (“FEMSA” or the “Company”) (NYSE: FMX; BMV: FEMSAUBD, FEMSAUB) today announces the completion of the derivative instrument known as accelerated share repurchase (“ASR”) that was first announced in December 2025. The Company repurchased a total of approximately 2.5 million American Depositary Shares (“ADSs”) 1 of the Company at an average price of $104.41 per ADS, for a total amount of USD $260 million, with the ...

MEXICO CITY, March 20 (Reuters) - Mexican retailer and bottler Femsa said on Friday it is laying ‌off workers in its fintech unit Spin, which ‌launched a digital wallet app for payments and financial transactions in ​2021. Femsa did not disclose the number of positions that it is eliminating, but a spokesperson said the move is part of a new phase meant to prioritize ‌its chain of Oxxo ⁠convenience stores. "This process has primarily focused on support functions, without impacting operations for our ⁠c ...

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Core Viewpoint - FEMSA will hold its Annual Ordinary Shareholders' Meeting and an Extraordinary Shareholders' Meeting on March 27, 2026, in Monterrey, Mexico, with formal notices to be provided soon [1]. Shareholders' Meetings - Detailed proposals for the agenda items and nominations for the Board of Directors will be available on FEMSA's website [2]. Dividend Proposals - The Board of Directors has proposed a 3.7% increase in ordinary dividends per unit compared to 2025, to be distributed in four quarterly installments: Ps. 0.9900 per FEMSAUB unit and Ps. 1.1880 per FEMSAUBD unit (Ps. 11.88 per ADS) [3]. - An extraordinary dividend is also proposed, to be paid in four quarterly installments: Ps. 1.679125 per FEMSAUB unit and Ps. 2.014925 per FEMSAUBD unit (Ps. 20.14925 per ADS), starting in April 2026 [3]. Company Overview - FEMSA operates in the retail industry through its Proximity Americas Division (OXXO) and Proximity Europe (Valora), and also has a Health Division and digital financial services initiatives [4]. - In the beverage sector, FEMSA is the largest franchise bottler of Coca-Cola products globally by volume [4]. - The company employs over 392,000 people across 18 countries and is included in several prestigious indices, such as the Dow Jones Best-in-Class World Index and FTSE4Good Emerging Index [4].

Core Insights - FEMSA reported fourth-quarter 2025 adjusted net majority earnings per ADS of 92 cents, an increase from 46 cents in the previous year, but fell short of the Zacks Consensus Estimate of $1.50 [1] - The company achieved net consolidated income of Ps. 12,709 million (US$705.8 million), reflecting a growth of 33.6% year over year [1] Revenue Performance - Total revenues reached US$12.22 billion (Ps. 220,091 million), marking a year-over-year increase of 5.7% in local currency and surpassing the Zacks Consensus Estimate of $12.14 billion [2] - Revenue growth was driven by gains across all business units, with comparable revenues growing 5.2% year over year when excluding currency effects and M&A [2] Margin Analysis - FEMSA's gross profit rose 0.5% year over year to Ps. 91,422 million (US$5.08 billion), while the consolidated gross margin contracted by 220 basis points to 41.5% [3] - The operating income improved 8.5% year over year to Ps. 24,546 million (US$1.36 billion), with a consolidated operating margin expanding 30 basis points to 11.2% [7] Segment Performance - **Proximity Americas**: Revenues increased by 5.3% year over year to Ps. 85,257 million (US$4.7 billion), with same-store sales growth of 4.4% [8] - **Proximity Europe**: Revenues grew 10.8% year over year to Ps. 14,217 million (US$789.6 million), benefiting from retail sales improvements in Switzerland [10] - **Health Division**: Reported revenues of Ps. 22,824 million (US$1.27 billion), up 4.6% year over year, but operating income declined by 52.3% [11] - **Fuel Division**: Revenues rose 3.6% year over year to Ps. 16,924 million (US$939.9 million), with operating income increasing by 8.4% [12] - **Coca-Cola FEMSA**: Revenues advanced 2.9% year over year to Ps. 77,750 million (US$4.3 billion), with an operating margin expansion of 160 basis points to 17.6% [13] Financial Position - As of December 31, 2025, FEMSA had cash and cash equivalents of Ps. 107,980 million (US$6 billion) and long-term debt of Ps. 126,992 million (US$7.05 billion) [14] - Capital expenditure for the fourth quarter totaled Ps. 14,200 million (US$788.6 million), reflecting a 31.4% decline from the prior year [15]

Financial Data and Key Metrics Changes - Total revenues increased by 5.7% year-over-year in Q4 2025, reflecting improved trends in Proximity Americas and continued growth outside of Mexico, particularly in Coca-Cola FEMSA and Valora [26] - Operating income rose by 8.5%, driven by cost containment initiatives that offset gross margin pressure [26] - Net consolidated income for the quarter reached MXN 12.7 billion, a 33.6% increase compared to Q4 of the previous year, primarily due to an increase in income from operations and a significant reduction in non-operating expenses [27] Business Line Data and Key Metrics Changes - Proximity Americas saw total revenues increase by 5.3%, or 6.3% on a comparable basis, mainly due to same-store sales growth in Mexico and top-line growth in OXXO Colombia and Peru [28] - OXXO Mexico's same-store sales for Proximity Americas approached mid-single-digit growth at 4.4%, with traffic improving to a decline of only 0.6% [5] - OXXO Colombia generated positive EBITDA for the first time for the full year, with nearly break-even EBIT in Q4 [12] Market Data and Key Metrics Changes - The consumer environment in Mexico remained soft, with macro sentiment around investment and economic activity stabilizing but not improving significantly [8] - OXXO USA ended the year with 50 converted stores under the OXXO banner, focusing on expanding food service offerings [29] - Valora in Europe delivered revenue growth of 2.5% in pesos in Q4, with operating income increasing by 10.8% [30] Company Strategy and Development Direction - The company aims to regain OXXO Mexico's growth and relevance by focusing on recovering traffic and same-store sales through a sharper value proposition and improved customer experience [9] - A leaner organizational structure has been implemented to increase efficiency and effectiveness, consolidating leadership teams across divisions [22] - The company plans to increase its store base by more than one-third over the next decade, capturing a broader share of consumer spending [11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the recovery in traffic and same-store sales, emphasizing the importance of profitable growth and market share expansion [44] - The company acknowledged challenges in the Health Division, particularly in the Colombian institutional business, but is implementing initiatives focused on cash flow generation and returns [15] - Management highlighted the need for a disciplined approach to capital allocation, linking expansion decisions to traffic recovery and margin sustainability [38] Other Important Information - The company deployed over $1 billion in CapEx for organic growth in Mexico for the third consecutive year, despite a reduction at the consolidated level compared to 2024 [12] - The restructuring efforts are expected to generate a positive impact on the bottom line of approximately MXN 1 billion on an annualized basis, primarily at the corporate level [25] Q&A Session Summary Question: Balance between growth and profitability in OXXO Mexico - Management acknowledged the need for profitable traffic growth and emphasized ongoing initiatives to improve the value proposition and assortment in Mexico [42][44] Question: Magnitude of restructuring initiatives - Management indicated that efficiency opportunities are being explored, with a focus on reducing unnecessary expenses and optimizing operations [46][48] Question: Financial services strategy and remittances - Management highlighted the growth potential in financial services and remittances, emphasizing the integration of Spin within the OXXO ecosystem to enhance customer engagement [60][62] Question: Coca-Cola FEMSA's fit within the new structure - Management clarified that Coca-Cola FEMSA and Proximity are seen as core businesses, with no plans for separation, focusing instead on maximizing value within the current structure [78][80] Question: Security incidents affecting stores - Management recognized the heroic efforts of employees during recent security incidents, confirming that no customers were injured and only minor injuries were reported among employees [81]

Financial Data and Key Metrics Changes - Total revenues increased by 5.7% year-over-year in Q4 2025, reflecting improved trends in Proximity Americas and continued growth outside of Mexico, particularly in Coca-Cola FEMSA and Valora [26] - Operating income rose by 8.5%, driven by cost containment initiatives that offset gross margin pressure [26] - Net consolidated income for the quarter reached MXN 12.7 billion, a 33.6% increase compared to the same quarter last year, primarily due to an 8.5% increase in income from operations and a 62.7% reduction in non-operating expenses [27] Business Line Data and Key Metrics Changes - Proximity Americas saw total revenues increase by 5.3%, or 6.3% on a comparable basis, mainly due to same-store sales growth in Mexico and top-line growth in OXXO Colombia and Peru [28] - OXXO Mexico's same-store sales for Proximity Americas grew by 4.4%, while traffic was down 0.6%, showing improvement compared to earlier in the year [5] - OXXO Colombia generated positive EBITDA for the first time for the full year, with nearly break-even EBIT in Q4 [12] Market Data and Key Metrics Changes - OXXO USA ended the year with 50 converted stores under the OXXO banner, focusing on expanding food service offerings [30] - Valora in Europe delivered revenue growth of 2.5% in pesos in Q4, with operating income increasing by 10.8% [31] - The Health Division's revenues increased by 4.6%, driven by strong growth in Colombia and Ecuador, while Mexico remained under pressure due to a lower store base [32] Company Strategy and Development Direction - The company aims to regain OXXO Mexico's growth and relevance by focusing on recovering traffic and same-store sales through a sharper value proposition and improved customer experience [9] - A leaner organizational structure has been implemented to increase efficiency and effectiveness, consolidating leadership teams across divisions [22] - The company plans to increase its store base by more than one-third over the next decade, capturing a broader share of consumer spending [11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the recovery in traffic and same-store sales, emphasizing the importance of gaining market share in core consumer locations [45] - The company acknowledged challenges in the macroeconomic environment but noted that initiatives implemented in the second half of 2025 have begun to show results [5] - Management highlighted the need to adapt to changing consumer demands and the importance of integrating digital capabilities with physical stores [63] Other Important Information - The company deployed over $1 billion in CapEx for organic growth in Mexico for the third consecutive year, despite a reduction compared to 2024 [12] - The restructuring efforts are expected to generate approximately MXN 1 billion in annualized savings, with full benefits anticipated by 2027 [25] - The company recorded provisions related to restructuring, which will temporarily offset some savings before full benefits are realized [36] Q&A Session Summary Question: Balance between growth and profitability in OXXO Mexico - Management acknowledged the need for profitable traffic growth and emphasized ongoing initiatives to improve the value proposition and assortment in Mexico [43][45] Question: Magnitude of restructuring initiatives - Management indicated that efficiency opportunities are being explored, with a focus on reducing unnecessary expenses and optimizing operations [44][48] Question: Financial services strategy and remittances - Management highlighted the growth potential in financial services and remittances, emphasizing the integration of Spin within the OXXO ecosystem to enhance customer engagement [60][62] Question: Coca-Cola FEMSA's fit within the new structure - Management clarified that Coca-Cola FEMSA and Proximity are seen as distinct businesses, with no current plans for separation, focusing instead on their individual growth potential [79][81] Question: Security incidents affecting stores - Management addressed recent security incidents, commending employees for their bravery and confirming that no customers were harmed, although some stores had to close temporarily [82]

Financial Data and Key Metrics Changes - Total revenues increased by 5.7% year-over-year in Q4 2025, reflecting improved trends in Proximity Americas and continued growth outside of Mexico, particularly in Coca-Cola FEMSA and Valora [26] - Operating income rose by 8.5%, driven by cost containment initiatives that offset gross margin pressure [26] - Net consolidated income for the quarter amounted to MXN 12.7 billion, representing a 33.6% increase compared to the same quarter last year [27] Business Line Data and Key Metrics Changes - Proximity Americas saw total revenues increase by 5.3%, or 6.3% on a comparable basis, primarily due to same-store sales growth in Mexico and top-line growth in OXXO Colombia and Peru [28] - OXXO Mexico's same-store sales for Proximity Americas approached mid-single-digit growth at 4.4%, with traffic improving to a decline of only 0.6% [4] - OXXO Colombia generated positive EBITDA for the first time for the full year, with nearly break-even EBIT in Q4 [11] Market Data and Key Metrics Changes - The consumer environment in Mexico remained soft, with macro sentiment around investment and economic activity stabilizing but not improving significantly [6] - OXXO USA ended the year with 50 converted stores under the OXXO banner, focusing on expanding food service offerings [29] Company Strategy and Development Direction - The company aims to regain OXXO Mexico's growth and relevance by focusing on recovering traffic and same-store sales through a sharper value proposition and improved customer experience [8] - Plans to increase the store base by more than one-third over the next decade, capturing a broader share of consumer spending [10] - The organizational structure has been redesigned to integrate leadership teams and streamline operations, enhancing efficiency and effectiveness [20] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the recovery in traffic and same-store sales, emphasizing the importance of profitable growth and market share expansion [44] - The company acknowledged challenges in the Health Division, particularly in Colombia, but is implementing initiatives focused on cash flow generation and returns [13] - Management remains confident in the resilience of the portfolio and the actions taken to unlock further value across divisions [40] Other Important Information - The company deployed over $1 billion in CapEx for organic growth in Mexico for the third consecutive year, despite a reduction at the consolidated level compared to 2024 [11] - The restructuring efforts are expected to generate approximately MXN 1 billion in annualized savings, with full benefits anticipated by 2027 [25] Q&A Session Summary Question: Balance between growth and profitability in OXXO Mexico - Management acknowledged the need for profitable traffic growth and emphasized ongoing initiatives to improve the value proposition and assortment in Mexico [42][43] Question: Magnitude of restructuring initiatives - Management indicated that efficiency opportunities exist and that a renewed focus on cost management is being implemented across the organization [42][48] Question: Coca-Cola FEMSA's fit within the new structure - Management clarified that they do not see themselves as a conglomerate and are focused on the value brought by their main businesses, with no plans for separation [74][78] Question: Impact of recent security events in Jalisco - Management reported that while some stores were temporarily closed, most were reopened quickly, and no customers were injured during the incidents [80][86]

Revenue Growth - FEMSA's total consolidated revenues increased by 5.7% to Ps. 220,091 million in 4Q25 compared to 4Q24, with income from operations rising by 8.5% to Ps. 24,546 million[14]. - Coca-Cola FEMSA's total revenues grew by 2.9% and income from operations increased by 13.3% compared to 4Q24[8]. - Total revenues increased by 5.3% in 4Q25 compared to 4Q24, driven by a 4.4% increase in same-store sales and a 4.6% store expansion[33]. - Total revenues for Bara increased by 31.0% in 4Q25, with same-store sales growth of 11.5%[36]. - OXXO Brazil's total revenues grew by 28.7% year-over-year, with same-store sales growth of 18.3%[37]. - Total revenues for Proximity Europe increased by 2.5% in 4Q25, with a 2.3% growth excluding currency effects[41]. - Total revenues for FEMSA Health increased by 4.6% in 4Q25, with same-store sales growth of 4.7%[46]. - Total revenues for OXXO Gas increased by 3.6% in 4Q25, driven by an 8.7% increase in same-station sales[52]. - Total revenues for Proximity Americas in Q4 2025 reached Ps. 85,257 million, a 5.3% increase from Q4 2024[106]. - Total revenues for Q4 2025 reached Ps. 220,091 million, a 5.7% increase compared to Q4 2024, while total revenues for the twelve months of 2025 were Ps. 840,954 million, up 7.6% from 2024[94]. Profitability - The gross profit margin for FEMSA decreased by 220 basis points to 41.5%, with a gross profit increase of only 0.5%[20]. - Gross profit margin reached 48.1%, reflecting a 40-basis point expansion due to improvements in Latam and US operations[34]. - Gross profit rose to Ps. 341,576 million, reflecting a 6.2% increase, with a gross profit margin of 40.6%, down 50 basis points from the previous year[75]. - Gross profit for Q4 2025 was Ps. 91,422 million, representing 41.5% of total revenues, with a slight increase of 0.5% compared to Q4 2024[94]. - Gross profit for Proximity Americas was Ps. 40,979 million in Q4 2025, reflecting a 6.1% year-over-year growth[106]. - Gross profit for Q4 2025 was Ps. 36,321 million, reflecting a 1.8% increase year-over-year and a 4.6% increase on a currency-neutral basis[139]. Net Income - Net consolidated income for 4Q25 was Ps. 12,709 million, a 33.6% increase from Ps. 9,510 million in 4Q24[23]. - Consolidated net income decreased by 17.9% to Ps. 33,053 million, primarily due to a non-cash foreign exchange loss of Ps. 5,747 million[77]. - Consolidated net income for Q4 2025 was 7,890 million pesos, a 5.2% increase from 7,499 million pesos in Q4 2024[200]. Capital Expenditures - Capital expenditures amounted to Ps. 14,200 million, a decrease of 31.4% compared to 4Q24, indicating a disciplined approach to growth[26]. - Capital expenditures amounted to Ps. 45,315 million, a decrease of 11.3% compared to 2024, indicating a strategic rebalancing in CAPEX spending[78]. - CAPEX for Proximity Americas decreased by 23.6% to Ps. 2,981 million in Q4 2025[106]. - CAPEX for Q4 2025 was Ps. 670 million, a decrease of 10.1% compared to Ps. 746 million in Q4 2024[111]. Debt and Financial Ratios - The net debt to EBITDA ratio (ex-KOF) as of December 31, 2025, was 1.02x, up from 0.45x in 4Q24, reflecting significant cash outflows for dividends and share repurchases[25]. - The effective income tax rate for 4Q25 was 38.5%, with a tax provision of Ps. 7,004 million, down 26.6% from 4Q24[22]. - The effective income tax rate for 2025 was 37.3%, significantly higher than the statutory rate of 30% due to non-deductible tax losses and labor-related expenses[76]. - The company’s long-term debt decreased by 10.2% to Ps. 126,992 million in 2025, compared to Ps. 141,482 million in 2024[97]. User Growth and Digital Initiatives - Spin by OXXO achieved 10.5 million active users, representing a 22.0% growth year-over-year, while Spin Premia had 28.1 million active loyalty users, a 13.8% increase[7]. - Spin by OXXO acquired 0.8 million users in 4Q25, reaching a total of 16.1 million users, a 22.7% increase year-over-year[68]. - Spin Premia acquired 2.2 million users in 4Q25, totaling 63.1 million users, a 19.3% increase year-over-year[69]. - The company announced a strategic focus on Ecosystem 2.0, centering on OXXO Mexico, with Spin responsible for the entire P&L and digital performance[83]. Market and Strategic Outlook - The company is optimistic about its growth agenda for 2026, despite a stabilizing consumer environment and new taxes in Mexico[13]. - The company plans to leverage revenue-growth-management initiatives and digital capabilities to accelerate growth in South America in 2026[129]. - The company completed the separation of the Grupo Nós joint venture in Brazil, retaining OXXO stores and a distribution center while reallocating assets with Raízen[88]. Sustainability and Corporate Governance - Coca-Cola FEMSA achieved a record score of 81 in the S&P Global Corporate Sustainability Assessment, marking a significant improvement in ESG ratings[135].

Core Insights - FEMSA reported a 5.7% increase in total consolidated revenues and an 8.5% rise in income from operations for the fourth quarter of 2025 compared to the same period in 2024 [7] - The company highlighted the positive sales trends in Mexico, particularly at OXXO, and noted the successful acquisition of full ownership of OXXO Brazil [6][7] - A restructuring effort is underway to create a more efficient corporate structure and align digital strategies with retail operations, expected to yield benefits in 2027 and beyond [8] Financial Performance - Total Revenues for FEMSA Consolidated grew by 5.7% in 4Q25 and 7.6% year-to-date [2] - Income from Operations increased by 8.5% in 4Q25 and 4.7% year-to-date [2] - Proximity Americas saw a revenue growth of 5.3% and income from operations increased by 7.7% compared to 4Q24 [7] Segment Performance - Proximity Europe experienced a revenue growth of 2.5% but a decline in gross profit by 10.5% in 4Q25 [2] - The Health division reported a significant drop in gross profit by 34.7% in 4Q25 [2] - Coca-Cola FEMSA's total revenues grew by 2.9% and income from operations increased by 13.3% compared to 4Q24 [7] User Engagement - Spin by OXXO had 10.5 million active users, representing a 22.0% growth compared to 4Q24 [7] - Spin Premia had 28.1 million active loyalty users, reflecting a 13.8% increase compared to 4Q24 [7] - The average tender at OXXO Mexico increased to 49.3% from 40.7% in 4Q24 [7] Strategic Outlook - The CEO expressed optimism about the company's growth potential and the resilience of its diversified platform despite challenges in the consumer environment and new taxes in Mexico [9] - The company aims to leverage its strong operational momentum to pursue an ambitious growth agenda in 2026 [9]