Becle, the company that owns José Cuervo tequila, managed to overcome the logistics problems that the world experienced last year and closed its sales at 9,419 million pesos, 12.5% more compared to the same period in 2020.
For the company, these results reflect a favorable mix of regions and a particularly good performance in the United States and Canada, markets where net sales increased 4.6% compared to the same period in 2020, driven by volume growth, better mix as a result of our premiumization strategy (a process through which added value is given to a product) and the depreciation of the Mexican peso against the dollar.
“2021 was a crucial year for Becle. The normalization of the consumer center channel, while facing supply chain challenges throughout the industry, led us to obtain solid financial results,” the company’s management wrote in the financial statement. “Despite cost inflation and supply chain challenges, we continue to see favorable premiumization trends across our portfolio and geographic regions.” he added.
Net sales from Mexico increased 24.4%, year over year, due to a higher average sales price per case. Net sales in the rest of the world (RoW) increased 42.9% year over year 2020, reflecting volume growth due to the continued relaxation of pandemic-related restrictions.
The ‘Other tequilas’ category was the one that had the greatest dynamism within the company’s portfolio, and in 2021 its sales increased 29.1% to 11,675 million pesos, followed by ‘Other Spirits’, which grew 19.4%. The growth of José Cuervo Tequila was 6.2% and ready-to-drink beverages, which had a boom during the pandemic, decreased their sales by 7.5%.
The company added that over the past year, total volume growth was 8.0%, to 25.6 million nine-liter cases. This increase reflects a 3.7% increase in the United States and Canada, a 7.9% increase in volumes from Mexico and a 38.8% increase in the Rest of the World region.
In addition, the company’s operating cash flow for 2021 increased 4.4% to 7,938 million pesos compared to 7,607 million pesos in 2020. Consolidated net income was 5,034 million pesos, a decrease of 2.3% compared to the same period. of 2020.
“Our results continue to outperform the Spirits industry as a whole, reflecting our attractive portfolio of brands and our favorable positioning in key categories for growth,” Becle said in the financial report.
