Becle (CUERVO) Q2 2026 earnings summary

Executive summary

• Delivered mid-single-digit organic volume growth outside the U.S. and sustained strong EBITDA margin on a constant currency basis, despite global spirits market headwinds and a cautious consumer environment.

• Second quarter 2026 saw a 6.7% decline in total volume to 6.0 million 9L cases, with sequential improvement in U.S. shipments as distributor transition progressed.

• Encouraging recovery signs in the U.S., with continued momentum in Mexico and rest of the world, supporting a constructive outlook for the second half of 2026.

• Strategic focus on brand strength, disciplined execution, and long-term profitable growth across all regions.

Financial highlights

• Consolidated net sales decreased 13.9% to MXN 9.9 billion, mainly due to peso appreciation and geographic mix; on a constant currency basis, net sales declined 5.8%.

• Gross profit fell 21.2% to MXN 5 billion; gross margin dropped to 50.4% from 55.1% year-over-year, mainly due to FX and geographic mix.

• EBITDA declined 23.4% to MXN 2.1 billion, margin contracted 260 bps to 20.9%; adjusted for FX, margin would have been 23.1%.

• Net income decreased 29.6% to MXN 1.4 billion; net margin at 14.3% vs. 17.5% prior year; EPS at MXN 0.39.

• Cash and equivalents rose to MXN 9.6 billion; total debt decreased to MXN 18.5 billion.

Outlook and guidance

• Confirmed 2026 guidance of low single-digit consolidated net sales value decline on a constant currency basis.

• Expect sequential improvement in U.S. performance as distributor transition and inventory rebalancing conclude.

• Remain focused on disciplined execution and long-term growth, with continued investment in brand equity.

• AMP expenses YTD at 19.5% of net sales, in line with full-year guidance of 19–21%.