Corporación Moctezuma (CMOCTEZ) Q3 2023 earnings summary

Executive summary

• Jan–Sep 2023 net sales rose 24.0% YoY to MXN 14,777m; operating income grew 39.3% and net income 39.3%, supported by commercial execution and lower costs.

• Q3 net sales increased 21.1% YoY to MXN 4,950m; operating income rose 53.4%, net income 55.7% and EBITDA 48.3%.

• Cash and equivalents reached MXN 6,935m at Sep. 30, up 38.3% from year-end 2022; financial management remained prudent and largely free of interest-bearing debt.

Financial highlights

• Jan–Sep gross profit advanced 38.8% YoY to MXN 9,500m; cost of sales increased 4.1% to MXN 5,277m against 24.0% sales growth.

• Jan–Sep operating income was MXN 6,191m, up 39.3%; net income was MXN 4,579m, up 39.3%, and EPS was MXN 5.32 versus MXN 3.77.

• Jan–Sep financial EBITDA rose 38.9% to MXN 6,666m; Q3 EBITDA increased 48.3% YoY to MXN 2,201m.

• Q3 gross profit grew 44.0% YoY to MXN 3,213m, while net income rose to MXN 1,588m from MXN 1,019m.

Outlook and guidance

• Priorities include maintaining and surpassing results achieved through Sep. 2023, with commercial execution, cost efficiency, process optimization and continued investment in productive facilities.

• Continued dividend payments are a stated capital strategy, alongside preserving financial strength and reinvesting in infrastructure and modernization.