BBB Foods (TBBB) Registration Filing summary

Company overview and business model

• Pioneers and leaders in Mexico's hard discount grocery retail, operating under the 3B brand with a mission to offer quality products at low prices to value-conscious consumers.

• Operates 2,772 stores as of December 31, 2024, with a focus on low- to middle-income households, offering a limited assortment of ~800 SKUs including branded, private label, and spot products.

• Private label products are a core strategy, representing 54% of 2024 sales, with 108 brands and 458 SKUs, manufactured by over 130 suppliers.

• Stores are strategically located in central neighborhoods for convenience and high visit frequency, averaging 3-4 visits per week per customer.

• Decentralized regional management structure enables rapid expansion and operational efficiency.

Financial performance and metrics

• Total revenue grew at a 34.7% CAGR from 2020 to 2023, reaching Ps.44.1 billion (US$2.2 billion) in 2023 and an estimated Ps.57.4–57.5 billion (US$2.92–2.93 billion) in 2024.

• Same Store Sales growth was 13.4% in 2024, 17.6% in 2023, and 21.9% in 2022, consistently outpacing inflation.

• Gross profit margin was 16.0% in 2023 and 16.3% for the nine months ended September 30, 2024.

• Net profit for the nine months ended September 30, 2024 was Ps.357.99 million, compared to a net loss of Ps.209.17 million in the same period of 2023.

• Negative working capital cycle (65 Payable Days vs. 21 Inventory Days in 2023) supports self-funded growth and rapid store expansion.

Use of proceeds and capital allocation

• The company will not receive any proceeds from the sale of Class A common shares; all proceeds go to selling shareholders.

• Capital expenditures for 2025 are budgeted at approximately Ps.3,650 million, primarily for new store openings and distribution centers, funded through operating activities.

• IPO proceeds in 2024 were used to repay all outstanding Promissory Notes and Convertible Notes.