Arca Continental (AC) Q4 2025 earnings summary

Executive summary

• 2025 was marked by extreme weather, operational disruptions, and macroeconomic volatility, impacting consumption and traffic in several markets.

• Consolidated net sales for 2025 increased 4.6% year-over-year to Ps. 247,926 million, with EBITDA up 3.0% to Ps. 50,180 million, surpassing the Ps. 50 billion mark for the first time.

• Net income for the year was Ps. 19,580 million, in line with the previous year, with a net margin of 7.9%.

• Despite challenges, strong execution, digital transformation, and disciplined cost management led to improved fundamentals and operational flexibility.

• The year saw a transition with investments in digital platforms, supply chain, and productivity, positioning the company for future growth.

Financial highlights

• Full-year net sales: Ps. 247,926 million (+4.6% YoY); 4Q25: Ps. 64,540 million (-0.6% YoY).

• Full-year EBITDA: Ps. 50,180 million (+3.0% YoY, margin 20.2%); 4Q25: Ps. 13,547 million (-4.5% YoY, margin 21.0%).

• Full-year net income: Ps. 19,580 million (+0.1% YoY, margin 7.9%); 4Q25: Ps. 4,658 million (-11.5% YoY, margin 7.2%).

• Cash and equivalents at year-end: MXN 28.6 billion; total debt: MXN 62.3 billion; net debt/EBITDA: 0.67x.

• Dividend of MXN 8.62/share (75% payout, 4.3% yield) distributed in 2025, including an extraordinary dividend.

Outlook and guidance

• 2026 consolidated sales growth expected in the mid-single digits, supported by price adjustments at least in line with inflation.

• Pricing actions to offset inflation, with focus on affordability and relevance.

• Capex planned at ~7% of sales, targeting execution, network expansion, and digital agenda.

• Anticipates volume decline in Mexico due to new taxes, but expects mitigation from digital tools, pricing strategies, and World Cup tailwinds.

• Margin pressure expected in Mexico from tax-related volume impacts, but efficiency initiatives and favorable comps to help protect margins.