Fomento Economico Mexicano S.A.B. de C.V. (NYSE: FMX) Q2 2025 Earnings | 07/28/2025

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Fomento Economico Mexicano S.A.B. de C.V. (FEMSA) posted a mixed set of results for Q2 2025, reflecting both ongoing challenges in consumer demand in Mexico and notable growth in several international business segments. Total consolidated revenues rose by 6.3% year-over-year, bolstered by strength in the Proximity Europe division and continued momentum in the Health and Fuel operations. Operating income edged up just 1.2% due to margin pressures, as high inflation and adverse weather weighed on the company’s ability to fully pass on rising costs—an issue that was most apparent in core Mexican retail and beverage volumes. Net consolidated income decreased more sharply versus last year, impacted by softer traffic at OXXO’s convenience stores, increased depreciation and impairment costs, and unusual investment charges. Despite these headwinds in the domestic market—where categories like soft drinks, beer, and tobacco underperformed—FEMSA’s operations outside Mexico provided a bright spot. The Proximity Europe business achieved significant revenue growth and strong operating leverage, while the Health division reported double-digit revenue and operating income expansion. In digital, Spin by OXXO reached 9.4 million active users, reflecting robust adoption of FEMSA’s financial technology initiatives, while OXXO Premia loyalty membership rose to 26.6 million. The Coca-Cola FEMSA subsidiary also grew revenue by 5%, though beverage volumes in Mexico were subdued by the same weak consumer environment and weather-related disruptions. Management remains confident in the company’s resilience and strategies for the remainder of the year, emphasizing cost controls, assortment optimization, and targeted promotional activities to reverse negative traffic and volume trends. Capital discipline was evident as the company maintained a strong balance sheet and increased same-store sales across multiple segments. Looking forward, FEMSA continues to advance its international expansion and technology-driven financial services, while working to respond rapidly to changing consumer dynamics in its home market. About Inside Ticker: For more expert analysis and real-time updates on Fomento Economico Mexicano S.A.B. de C.V. (NYSE: FMX) and other market movers, follow Inside Ticker and visit http://www.insideticker.com/ for in-depth reports, financial insights, and the latest news on leading companies. #FEMSA #FMX #Q22025 #Earnings #FinancialResults #RevenueGrowth #Retail #OXXO #SpinByOXXO #ProximityEurope #Health #Fuel #CocaColaFEMSA #NetIncome #DigitalTransformation #ConsumerTrends #InternationalExpansion #Mexico #StockMarket #InsideTicker #OperationalExcellence #2025Outlook #CostControl #ShareholderReturns #Guidance #LoyaltyPrograms #TechAdoption