Tear Sheet: Controladora Mabe S.A. de C.V.

We foresee Mabe delivering steady operating performance, with revenue growing to nearly $4.8 billion in 2024 and $4.9 billion in 2025. Supporting factors include our expectation of 3%-5% volume growth and relatively flat local currency prices, although we now anticipate a weaker Mexican peso (MXN) against the U.S. dollar. Our forecast incorporates slow economic growth in key markets where Mabe operates, although consumption trends vary. In North America (51% of Mabe?s total sales in the 12 months ended June 2024) and Latin America (18%; excluding Mexico), we believe that consumers remain stretched and are delaying discretionary purchases of small and large appliances, resulting in a normalization of orders from retailers. Therefore, we still expect weak demand, with volumes relatively flat

...October 9, 2024 S&P Global Ratings' 2024-2025 revenue expectations for Controladora Mabe S.A. de C.V. (Mabe) are broadly unchanged from our forecast earlier this year. We foresee Mabe delivering steady operating performance, with revenue growing to nearly $4.8 billion in 2024 and $4.9 billion in 2025. Supporting factors include our expectation of 3%-5% volume growth and relatively flat local currency prices, although we now anticipate a weaker Mexican peso (MXN) against the U.S. dollar. Our forecast incorporates slow economic growth in key markets where Mabe operates, although consumption trends vary. Mabe's geographic diversification remains a key credit strength because it mitigates diverging consumption trends across key markets. In North America (51% of Mabe's total sales in the 12 months ended June 2024) and Latin America (18%; excluding Mexico), we believe that consumers remain stretched and are delaying discretionary purchases of small and large appliances, resulting in a normalization...

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