KOF
NYSE · Consumer Defensive · Beverages - Non-Alcoholic · MX
Research · Oct 30, 2026
Mexican Retail and Beverage Operators Turn to Automation as Workweeks Shrink
KOF and Walmex are responding to shorter workweeks and wage increases with automation and pricing, but the reforms differ in timing and near-term cost impact.
Research · Sep 3, 2026
[KOF] Coca-Cola FEMSA Thesis 2026: Latin American Bottler Drives Mexico Plus Brazil Volume Recovery
Coca-Cola FEMSA S.A.B. de C.V. (NYSE: KOF) FY2025 revenue ~Mex$280-300B (~$15-17B; +5-9%) with diluted EPS ~Mex$11-13 reflecting continued ~4.0-4.2 billion unit cases aggregate volume growth (~+2-4% YoY) across Mexico (~50% revenue) + Brazil (~25%) + Argentina + Colombia + Guatemala + Costa Rica + Nicaragua + Panama + Uruguay + Venezuela + selected various LATAM under continued President + CEO Ian Craig (~3-year tenure since June 2023). World's largest publicly-traded Coca-Cola bottler with operations across selected ~10 LATAM countries. Founded 1979 as Coca-Cola FEMSA via FEMSA (Fomento Económico Mexicano S.A.B. de C.V.; founded 1890 as Cervecería Cuauhtémoc Mexican brewery + Cervecería Moctezuma) Mexican holding company subsidiary; selected post-1993 NYSE ADR + Mexican Bolsa listings; selected post-2003 ~$3.6B aggregate Latin American Coca-Cola bottling consolidation; selected post-2013 Coca-Cola FEMSA Philippines acquisition; selected post-2017 ~$2.5B Brazilian + Philippines bottler consolidation; selected post-June 2023 Ian Craig CEO appointment; selected post-December 2024 Philippines divestiture announcement ($1.65B aggregate to TCCC + selected various). Headquartered in Mexico City Mexico; ~80,000+ employees globally with ~Mex$280-300B revenue. Three primary geographic segments: Mexico + Central America (~55% revenue ~Mex$155-165B — Mexico ~50% aggregate + Guatemala + Costa Rica + Nicaragua + Panama; ~125+ million Mexican per-capita consumption — selected highest globally), South America (~40% ~Mex$112-120B — Brazil ~25% + Argentina + Colombia + Uruguay + Venezuela), Other (~5% ~Mex$15B). Latin American Coca-Cola bottler franchise leadership: ~4.0-4.2 billion unit cases aggregate FY2025 (~+2-4% YoY); selected ~10 country LATAM Coca-Cola System franchise. Mexico + Brazil volume recovery: Mexico ~+2-4% volume growth FY2025 (~50% aggregate revenue); Brazil ~+3-5% volume growth FY2025 (~25% aggregate revenue); selected post-December 2024 Philippines divestiture LATAM-focused strategic positioning. Capital return + Philippines divestiture: ~Mex$13.50-14.50 annual dividend FY2025 (~+5-10% growth); modest buybacks; aggregate capital return ~Mex$25-30B; net cash position ~Mex$10-15B (post-Philippines divestiture proceeds); investment-grade A2/A- credit rating. President + CEO Ian Craig since June 2023 (~3-year tenure); CFO Jorge Collazo. FY2026 thesis: Latin American bottler franchise leadership + Mexico + Brazil volume recovery + Philippines divestiture proceeds deployment + ~Mex$25-30B aggregate capital return + selected continued post-2024 LATAM consumer cycle recovery. Risks: Mexican peso + Brazilian real currency volatility, LATAM consumer cycle, PepsiCo + selected various LATAM Coca-Cola bottler competition, Mexican + Brazilian regulatory + tax, ~50% combined TCCC + FEMSA family ownership concentration.
Research · Sep 3, 2026
[FMX] FEMSA Thesis 2026: OXXO Convenience Network Scales Alongside New Bara Format
FEMSA (Fomento Económico Mexicano) FY25 — diversified Mexican consumer + retail conglomerate. Q4 Proximity Americas (OXXO) revenues +5.3% / +6.3% comparable; gross margin 48.1%; operating margin 12%. Added 209 net new OXXO stores Q4. OXXO Mexico same-store sales + traffic improving (recovery from FY24 challenges). OXXO Colombia positive EBITDA full year + nearly breakeven EBIT Q4. OXXO USA 50 converted stores year-end. Bara discount format +63 net new stores Q4 / +157 FY25; ~1/3 store base growth target FY26. Valora (Europe convenience) revenue +2.5% pesos / op income +10.8% / record op income. Health division Q4 revenue +4.6% / +6.7% comparable but underperformance + uncollectible accounts provision. Coca-Cola FEMSA (KOF) revenue +2.9% / op income +13.3%. OXXO GAS same-station +8.7% / margin 4.8%. Spin reduced negative EBIT. Restructuring ~MXN 1B annual run rate savings from 2027. $3.1B total capital returned to shareholders March 2025-March 2026.