Embotelladora Andina (ANDINA-B) Q1 2025 earnings summary

Executive summary

• Consolidated sales volume grew 9.7% year-over-year, led by Argentina (+21.4%) and Brazil (+13.4%), with Paraguay (+5.6%) and Chile (+1.5%) also contributing; 251.0 million unit cases sold in Q1 2025.

• Net sales rose 10.4% to $888,179 million in Q1 2025, with net income attributable to shareholders up 11.9% to $79,219 million; FY 2024 net sales were $3,371 million and net income $244 million.

• 65.5% of total net revenues were generated through digital platforms, up 29.7 percentage points year-over-year.

• Largest Coca-Cola bottler in Chile and Paraguay, second in Argentina, third in Brazil, with 909 million unit cases sold in FY 2024 and revenues of ~$3.3 billion.

• Strategic focus on market leadership, portfolio expansion, digital transformation, and sustainability.

Financial highlights

• Adjusted EBITDA rose 7.3% to $172,049 million in Q1 2025 (margin 19.4%), and FY 2024 adjusted EBITDA was $605 million (18.0% margin).

• Net income for FY 2024 was $244 million, up from $203 million in 2023; Q1 2025 net income was $83 million.

• Adjusted EBITDA margin by country in Q1 2025: Brazil 20.7%, Chile 15.1%, Argentina 21.0%, Paraguay 30.7%.

• Net financial debt/Adjusted EBITDA at 1.2x as of Q1 2025; net debt/adjusted EBITDA at 1.4x.

• Dividend payout ratio for 2024 was 67%, with a dividend yield of 9.1% for Series A shares.

Outlook and guidance

• Brazil expected to remain a key growth driver, though double-digit volume growth may moderate due to tougher comparisons.

• Argentina anticipated to continue recovering, with volume and profitability growth expected as inflation normalizes.

• Strategic objectives for 2025 include growth in core and new categories, inorganic expansion, cost efficiency, digital transformation, and sustainability.

• Commitment to double female workforce participation and increase recycled content in PET bottles by 2030.

• Chile's beverage market expected to remain stable, with pricing aligned to inflation over the long term.