July 24, 2015
Mexico consumes more Coca Cola per capita than any other country
Mexican retailer and bottling company Femsa on Thursday said its second-quarter profit rose 28 percent, driven by growth in its retail division which now includes a new venture into gasoline stations.
The company, which co-owns Coke bottler Coca-Cola Femsa and operates the Oxxo chain of convenience stores, reported a profit of 3.872 billion pesos ($247 million), compared to 3.018 billion pesos in the same quarter a year earlier.
Revenue grew 6 percent to 75.12 billion pesos.
In its retail division, sales increased by 31.4 percent as the company incorporated its new Oxxo gas operations and 258 net new Oxxo stores.
August 14, 2014
08/12/14 By Nathaniel Parish Flannery. Forbes
On July 30 Coca-Cola FEMSA, Latin America’s largest coke bottler shuttered a facility in the Pacific Mexican state of Guerrero, which is home to Acapulco, a city that recorded the country’s highest murder rate in 2013. On August 4 assailants stopped and burned four Coca-Cola trucks on roads near the town of Arcelia.
In 2013 Guerrero’s problems with crime attracted global attention after a group of citizen police patrols including one composed of all women emerged to enforce local law and order in different towns in the state. Overall, Guerrero is one of Mexico’s most problematic states in terms of violence and security. When I visited Acapulco last summer, it was then the most violent city in Mexico.
July 25, 2014
07/25/14 The Wall Street Journal
Mexican beverage and convenience store conglomerate Fomento Económico Mexicano SAB increased its operating profit during the second quarter despite a weak Mexican economy and new taxes aimed at trimming waistlines.
Femsa, which owns Latin America’s biggest bottler of Coca-Cola Co. products as well as the Oxxo convenience-store chain, said Friday that pricing and packaging strategies, together with efforts to contain costs and boost efficiencies, helped drive revenue growth in the period.
July 2, 2013
Mexican soft drink bottler Coca-Cola Femsa SAB is looking to drive more consolidation in the Coca-Cola Co. bottling system by moving its acquisition spree to Brazil, Latin America’s biggest economy and largest consumer market.
After having snapped up several regional bottlers in Mexico over the past two years, the company has agreed to pay $448 million in cash for Rio de Janeiro-based Coke bottler Companhia Fluminense de Refrigerantes. Coca-Cola Femsa Chief Executive Carlos Salazar called the deal an important step in the Coke system’s consolidation process, telling analysts during a conference call Monday that the acquisition also highlights the strategic significance of the Brazilian market, which is one of Coke’s top-five markets for volume consumption worldwide.
May 16, 2013
Mexico’s revamped retail industry has seen its greatest transformation at the level of mom-and-pop stores: where disorganized, dingy and poorly-supplied grocery stores were once common in metropolitan areas, there are now brightly-lit, well-stocked and strategically located convenience stores. Now another retail segment faces a similar revolution: pharmacies. And the company likely to lead this turmoil is, again, Fomento Económico Mexicano, or Femsa.
Femsa owns Oxxo, Mexico’s leading convenience store chain. It now wants to replicate a business model that has allowed it to open more than 10,500 convenience stores across the country in 30 years and generate nearly $7.1bn in annual revenue, by running and expanding a small-size pharmacy retail chain. Femsa – which is also the largest publicly-traded Coca-Cola bottling company in the world – recently completed the purchase of Farmacias Yza, one of the leading pharmacy chains in southeastern Mexico. This week, it announced a second acquisition, of Farmacias FM Moderna, based in the state of Sinaloa on the Gulf of Carifornia.
March 25, 2013
During Fernández’s tenure, FEMSA has grown from a $1.2 billion Mexican beverage company into a $36 billion Latin American powerhouse. It operates the world’s largest Coca-Cola bottler and the region’s fastest-growing retailer, the Oxxo convenience-store chain. When it became clear that global giants were transforming the beer industry, this pragmatist sold the beer business that his wife’s family founded in 1890, to Heineken, in a lucrative deal that gave FEMSA a 20% stake.
As a child, Fernández was called Diablo, a common nickname for hyperactive kids. He still has energy to spare. After two FEMSA security guards were killed in a drug shootout, he sought new ways to make the city of Monterrey safer, focusing more on community and social programs to improve prospects for youth. He also teaches an engineering course at his alma mater, the Tecnológico de Monterrey.