KOF - 2022 Integrated Report

FINANCIAL

HIGHLIGHTS

	2022 USD¹	2022 MXN	2021 MXN	% Change
Sales Volume (million unit cases)	3,755.2	3,755.2	3,457.9	8.6%
Total Revenues	11,630	226,740	194,804	16.4%
Operating Income	1,582	30,838	27,402	12.5%
Controlling Interest Net Income²	976	19,034	15,708	21.2%
Total Assets	14,259	277,995	271,567	2.4%
Long-term bank loans and notes payable	3,598	70,146	83,329	-15.8%
Controlling Interest	6,431	125,384	121,550	3.2%
Capital Expenditures	1,009	19,665	13,865	41.8%
Book value per share³	0.06	1.13	0.93	21.2%

Millions of Mexican pesos and U.S. dollars as of December 31, 2022 (except volume and per share data).
Results under International Financial Reporting Standards.

U.S. dollar figures are converted from Mexican pesos using the exchange rate for Mexican pesos published by the U.S. Federal Reserve Board on December 31, 2022, which exchange rate was Ps. 19.50 to U.S.$1.00.
As of December 31, 2017, the Company changed the method for reporting Coca‑Cola FEMSA Venezuela to Fair Value. Due to this change, a recorded foreign currency translation charge in equity has been reclassified as a noncash one-time item to the other non-operative expenses line of the Income Statement in accordance with IFRS.
Based on 16,806.7 million outstanding ordinary shares as of December 31, 2022 and 2021.

Capitalizing on our strong market position, obsessive point-of-sale execution, and extremely solid financials, we successfully navigated a volatile and inflationary macro environment to deliver solid double-digit top- and bottom-line growth. We further improved our return on invested capital (ROIC) for the fifth consecutive year—closing the year in the double digits—and sustained our healthy net-debt-to-EBITDA ratio of 0.9 times, while ending the year with a robust cash position of more than Ps. 40 billion, reflecting our strong balance sheet.

1) Unit case is a unit of measurement that equals 24 eight-ounce servings of finished beverage.

Sustainability

Highlights

Aligned with our imperative to make a difference in environmental, social, and governance (ESG), we aim to break the ceiling on sustainability initiatives—to be at the forefront of market, regulatory, and consumer trends—while elevating ESG practices across Latin America and the world.

600 thousand

beneficiaries of activities focused on our environmental and social pillars

+250K volunteer

hours

in +2,300 initiatives

US$314.74 million

were invested during 2022 in our environmental pillar, focusing on climate action, circular economy, and water stewardship projects

DJSI

KOF was named to the Dow Jones Sustainability MILA Pacific Alliance Index for the sixth consecutive year. The company was also included in the Dow Jones Emerging Markets Index for the tenth year in a row.

17% reduction

of absolute GHG emmisions from our operations scope 3 since 2015.

1.46 liters

of water per liter of beverage produced, an industry benchmark

UNGC

In 2022 we signed the United Nations Global Compact (UNGC), committing to align our business strategy with their Ten Principles.

98.5%

of post-industrial waste recycled or properly disposed

77%

of our manufacturing facilities have earned Zero Waste certification

66%

renewable energy use in our operations

to secure approval of the Science Based Targets Initiative (SBTi) for our GHG emissions reduction goals

29%

reduction of absolute GHG emissions from our direct operations scope 1 and 2 vs 2015 base line

94%

of our Green Bond funds have been allocated

Linked Bonds

issued in the Mexican market for Ps. 9.4 billion (US$470 million) with a commitment to achieve a water use ratio of 1.26 by 2026

of inclusion on S&P Global’s Sustainability Yearbook

of inclusion in the Bloomberg Gender-Equality Index

of recognition as one of the Best Places to Work for LGBTQ+ Equality by the Human Rights Campaign Foundation and HRC Equidad MX: Global Program for Labor Equity

1^st Social Bonds

issued in the consumer sector in the Americas, and 1^st Sustainability Bonds issued in Mexico’s consumer sector for a total amount of Ps. 6 billion