GUADALAJARA, Mexico--(BUSINESS WIRE)--April 23, 2026--
Betterware de México, S.A.P.I. de C.V. $(BWMX)$ ("BeFra" or the "Company"), announced today its consolidated financial results for the first quarter 2026. The figures presented in this report are expressed in nominal Mexican Pesos (Ps.) unless otherwise noted, presented and approved by the Board of Directors, prepared in accordance with IFRS, and may include minor differences due to rounding.
Message from the President and CEO
We began 2026 with a solid performance overall, as most of our business units delivered meaningful revenue growth and substantially improved profitability during the first quarter. Our most recent results reflect the strength of BeFra's business model in a still challenging macro environment and continued progress enhancing commercial and operational execution across our brand platform.
Revenue growth remained modest during the quarter, increasing 0.3% year-over-year, as consumption trends gradually normalized. Although the global and regional environments continue to reflect considerable uncertainty, we are seeing a more stable backdrop compared to the heightened volatility experienced throughout 2025. In this context, our performance was supported by a solid recovery at Betterware, still improving trends at Jafra US, and by the contribution of our expansion efforts in Latin America. Revenue growth was partially offset by softer top line results at Jafra Mexico, where we expect growth to recover in 2Q, an unfavorable shorter quarter (one fewer week) for Betterware, as well as FX effects that impacted Jafra US in MXN terms.
Profitability showed strong improvement during the quarter, with EBITDA increasing 13.9% on substantial margin expansion. This drove ROIC to 27.0%, reflecting improved operating efficiencies and favorable margin dynamics across our business portfolio. Importantly, when excluding investments related to Tupperware transaction, EBITDA would have been 1pp higher, reflecting the underlying strength of our profitability. Operating cash flow remained solid, supported by these profitability gains and our continued focus on working capital discipline.
Our geographic expansion strategy continues to deliver encouraging results. Jafra US is showing clear signs of return to growth, supported by stronger commercial execution and improving field engagement that started last year. At the same time, our operations in the Andean and Central America region continue to grow rapidly, with particularly strong performance across existing markets. We are also pleased to have successfully launched operations in Colombia, the region's fourth largest economy, during the first week of March, marking another important milestone in our regional growth strategy.
The acquisition of Tupperware's Latin America operations will significantly accelerate our expansion by giving BeFra immediate access to Brazil. We continue working closely with the relevant authorities, with final approvals expected in the second quarter of this year. In parallel, we are actively advancing our integration and value creation plans, developing a robust pipeline of growth initiatives across multiple fronts to fully capitalize on this opportunity once the transaction is completed. As a reminder, it is expected to be highly accretive to our fellow shareholders, with earnings accretion estimated at 40% per share in 2026.
In closing, while the operating environment remains dynamic and challenging, we remain confident in the strength of our five-pillar growth strategy, the resilience of our business model, and our ability to continue delivering sustainable growth and profitability. We are mindful of the recent events in the Middle East and their potential impact on our business. With that in mind we have been developing strategies to effectively offset any possible disruptions from them. As we move forward this year, we remain focused on disciplined execution, expansion, and long-term value creation.
Andrés Campos Chevallier
President and CEO BeFra Group
Q1 2026 Select Consolidated Financial Information
Q1
--------------------- --------------------------------
Results in '000 MXN 2026 2025 26 vs 25
--------------------- ---------- ---------- --------
Net Revenue $3,509,702 $3,499,151 0.3%
--------------------- ---------- ---------- --------
Gross Margin 66.3% 66.2% 10 bps
--------------------- ---------- ---------- --------
EBITDA $609,913 $535,263 13.9%
--------------------- ---------- ---------- --------
EBITDA Margin 17.4% 15.3% 211 bps
--------------------- ---------- ---------- --------
Net Income $281,361 $150,728 86.7%
--------------------- ---------- ---------- --------
EPS $7.54 $4.06 85.7%
--------------------- ---------- ---------- --------
Free Cash Flow $351,543 -$55,841 N/A
--------------------- ---------- ---------- --------
Net Debt / EBITDA 1.50 2.08
--------------------- ---------- ---------- --------
Interest Coverage 4.74 3.20
--------------------- ---------- ---------- --------
Associates
-------------- --------- --------- -----
Avg. Base 1,125,030 1,138,418 -1.2%
-------------- --------- --------- -----
EOP Base 1,120,638 1,122,047 -0.1%
-------------- --------- --------- -----
Distributors
-------------- --------- --------- -----
Avg. Base 61,641 61,856 -0.3%
-------------- --------- --------- -----
EOP Base 62,837 62,505 0.5%
-------------- --------- --------- -----
Revenue: Net revenue increased slightly during the quarter, reflecting early signs of recovery across BeFra's key business units. Betterware returned to growth, with its reported performance partially affected by one less week in the quarter. Jafra US also returned to growth, supported by improving commercial momentum and execution, with results in pesos affected by U.S. dollar depreciation. These positive trends were partially offset by a softer-than-expected quarter at Jafra Mexico, which is expected to progressively recover starting in Q2 as we change focus towards consultant base growth. Overall, the quarter's results indicate improving growth momentum across key business units and a more diversified revenue base, positioning BeFra for solid top line growth for the rest of 2026.
Profitability: All business units delivered improved profitability during the quarter, reflecting the effectiveness of margin-focused initiatives across BeFra's brand platform. EBITDA increased 13.9% YoY, with margin expanding 211 bps YoY to 17.4%, in line with management's expectations and supported by disciplined cost management and improved operating efficiency. Excluding non-recurring expenses related to the Tupperware Latam transaction, EBITDA margin would have been 18.4%, highlighting the strength of the underlying business. Net income normalized, growing 86.7% YoY. The Tupperware transaction, together with Betterware Ecuador and Colombia, is expected to accelerate and strengthen Group profitability.
Cash Flow: Operating cash flow normalized during the quarter, with a cash conversion rate of 58%, in line with internal expectations and reflecting an abnormal 1Q25. Ps. 351.5 million in cash flow was supported by continued discipline in working capital management and overall financial execution. Strong cash generation enabled further deleveraging of BeFra's balance sheet, with Net Debt-to-EBITDA improving to 1.50x from 2.08x in 1Q25 and 1.56x in 4Q25.
2026 Focus: As BeFra enters the second quarter of 2026 with solid growth momentum at Betterware Mexico and Jafra US, a key priority is activating a new phase of growth at Jafra Mexico, through a renewed focus on consultant base expansion and product innovation. And with regulatory approval of the Tupperware transaction expected during the second quarter, management will also focus on executing a turnaround strategy for its operations and iconic brand, in addition to effectively integrating them into the BeFra group.
Financial Performance
Balance sheet at the end of Q1 2026.
Asset Light Business -- Low fixed
Liquidity ratios cost structure
BeFra's cash flow continues to
normalize toward the business'
natural operating cycle, following
the higher inventory levels and BeFra's asset-light business model
economic volatility in 1Q25. During continues to be a key pillar of
the quarter, cash generation showed operational resilience. During the
a clear improvement again, supported quarter, the cost structure remained
by stronger underlying profitability stable and well-managed, reflecting
across business units and continued discipline across
disciplined working capital operations. Management remains
management. This performance committed to an asset-light strategy
reinforces a stable liquidity and continues to identify
position and a continued recovery in opportunities to optimize SG&A and
cash conversion. enhance operational efficiency.
Q1 Q1 Q1 Q1
2026 2025 2026 2025 bps
---------- ----- ------ --------- ---------- ----- ------ ---------
Fixed
Assets /
Current Total
Ratio 0.93 0.92 1.1% Assets 17.3% 16.6% 74 bps
Variable
FCF / Cost
EBITDA 57.6% -10.4% 6800 bps Structure 74.5% 76.3% -180 bps
Fixed
CCC Cost
(days) 39 58 -32.8% Structure 25.5% 23.7% 180 bps
SG&A /
Net
Revenues 46.7% 48.9% -219 bps
Return on Investment Leverage
BeFra remains firmly committed to
its deleveraging strategy, supported
by strong cash generation and
disciplined financial management.
During the quarter, leverage ratios
improved meaningfully, with net debt
to EBITDA decreasing to 1.5x,
BeFra continues to deliver solid reflecting continued strengthening
returns on investment, reflecting of the balance sheet. Interest
the strength and resilience of its coverage also improved to 4.74x,
business model. During the quarter underscoring the company's solid
there was a meaningful improvement debt service capacity and the
in overall profitability and capital resilience of the Company's capital
efficiency, supported by stronger structure. This strong financial
operational execution across position provides ample flexibility
business units. These results to take on the additional debt
reinforce management's confidence in associated with the Tupperware
the business' ability to acquisition, which has an implied
consistently generate long-term 2025 leverage ratio of 1.9x Net
value. Debt-to-EBITDA.
Q1 Q1 Q1 Q1
2026 2025 2026 2025 %
---------- ----- ------ --------- ---------- ----- ------ ---------
Equity Debt to
Turnover 9.61 13.33 -27.9% EBITDA 1.61 2.21 -26.9%
---------- ----- ------ ---------
Net Debt
to
ROIC 27.0% 22.4% 460 bps EBITDA 1.50 2.08 -27.9%
Interest
ROE 80.4% 54.1% 2630 bps Coverage 4.74 3.20 48.1%
ROTA 22.7% 9.8% 1290 bps
Dividend
Payout 53.0% 74.3% -2130 bps
*Current Ratio = Total current
assets / Total current liabilities
*CCC (Cash Conversion Cycle) = DSO
+ DIO -- DPO *ROIC = NOPAT TTM /
Operating Assets *ROE = Net income
TTM / Stockholders Equity *ROTA =
Net Income TTM / (Cash + Accounts
Receivable + Inventories + Fixed
Assets) *Debt to EBITDA = Total
Debt / EBITDA TTM *Net Debt to
EBITDA = (Total Debt - Cash and
cash equivalents) / EBITDA TTM
*Interest Coverage = Interest
expense TTM / Operating income TTM
*Dividend Payout TTM =
Dividend/NOPAT
Capital Allocation
Quarterly Dividends: In light of BeFra's results to date, management remains committed to enhancing shareholder value through quarterly dividends. Accordingly, it is proposed to maintain a Ps. 200M dividend for Q1 2026 that represents 58% of NOPAT and is subject to approval at the Ordinary General Shareholders' Meeting. This would mark the 25th consecutive quarter of dividend payments since becoming public.
2026 Guidance and Long-Term Growth Prospects: While operational performance remained solid during the first quarter of 2026, revenue growth was modest at 0.3%. However, profitability improved meaningfully, with EBITDA margin expanding 211 bps compared to the same period last year. This reflects various initiatives to strengthen margins and operational efficiency and reinforces management's confidence in the resilience of the Company's business model as well as the ability to continue delivering on BeFra's long-term objectives. Our current guidance does not reflect the Tupperware transaction and will be revised once the transaction is finalized.
2026 2025 Var %
------------ ----------------- ------- -----------
Net Revenue $14,800 - $15,400 $14,265 4.0% - 8.0%
------------ ----------------- ------- -----------
* Figures in millions Ps.
Management still expects an EBITDA margin of at least 19% in 2026.
Q1 2026 Financial Results by Business
Betterware Mexico & Subsidiaries
Key Financial and Operating Metrics
Q1
--------------------- --------------------------------
Results in '000 MXN 2026 2025 26 vs 25
--------------------- ---------- ---------- --------
Net Revenue $1,439,958 $1,403,065 2.6%
--------------------- ---------- ---------- --------
Gross Margin 55.0% 55.3% -30 bps
--------------------- ---------- ---------- --------
EBITDA $295,278 $261,493 12.9%
--------------------- ---------- ---------- --------
EBITDA Margin 20.5% 18.6% 187 bps
--------------------- ---------- ---------- --------
Free Cash Flow $99,300 -$29,732 N/A
--------------------- ---------- ---------- --------
Associates
--------------------------------- ------------- ------------- -------------
Avg. Base 663,599 645,359 2.8%
--------------------------------- ------------- ------------- -------------
EOP Base 684,696 649,076 5.5%
--------------------------------- ------------- ------------- -------------
Monthly Activity Rate 64.6% 65.5% -91 bps
--------------------------------- ------------- ------------- -------------
Avg. Monthly Order $2,072 $2,152 -3.7%
--------------------------------- ------------- ------------- -------------
Distributors
--------------------------------- ------------- ------------- -------------
Avg. Base 41,249 41,202 0.1%
--------------------------------- ------------- ------------- -------------
EOP Base 42,447 41,810 1.5%
--------------------------------- ------------- ------------- -------------
Monthly Activity Rate 98.6% 97.9% 71 bps
--------------------------------- ------------- ------------- -------------
Avg. Monthly Order $21,826 $22,534 -3.1%
--------------------------------- ------------- ------------- -------------
* Subsidiaries: Credilazos, Betterware USA, Betterware Guatemala, Betterware
Andino.
Highlights
Revenue: Betterware delivered a solid performance in the quarter, with the associate base growing 2.8% YoY, marking a key inflection point as the base resumes its expansion and begins to rebuild momentum. This recovery supported revenue growth of 2.6% YoY, with underlying trends remaining positive and EOP associate base 5.5% above last year's level. It is also important to note that 1Q26 had one fewer week than 1Q25, average weekly revenue grew 3.3% in Betterware Mexico. Although Betterware Latam still represents less than 1% of total revenue, the region continues to grow at double-digit rates.
Profitability: The business delivered a strong profitable quarter, with EBITDA increasing 12.9% YoY, mainly the result of the margin expanding 187 bps to 20.5%, driven by disciplined cost management and solid operational execution in line with internal expectations. Gross margin remained broadly stable, as improvements in product mix offset by revaluation of unit inventory related to FX changes and higher freight costs. The shorter quarter also had a slight impact on reported growth.
Cash Flow: Cash flow generation showed significant improvement during the quarter. This performance was primarily driven by a normalization of working capital, as the business was no longer impacted by excess inventory, following the successful execution of targeted inventory reduction and optimization strategies.
2026 Focus: Betterware kicks off the year with net revenue growth and a well-established expansion strategy. In the quarter ahead, BW will seek to consolidate its position across Latin American markets and to replicate its proven business model as it enters the Colombian market.
Jafra Mexico
Key Financial and Operating Metrics
Q1
--------------------- --------------------------------
Results in '000 MXN 2026 2025 26 vs 25
--------------------- ---------- ---------- --------
Net Revenue $1,858,104 $1,869,818 -0.6%
--------------------- ---------- ---------- --------
Gross Margin 74.0% 73.5% 50 bps
--------------------- ---------- ---------- --------
EBITDA $315,494 $286,707 10.0%
--------------------- ---------- ---------- --------
EBITDA Margin 17.0% 15.3% 165 bps
--------------------- ---------- ---------- --------
Free Cash Flow 282,165 -$27,974 N/A
--------------------- ---------- ---------- --------
Associates
----------------------- ------- ------- --------
Avg. Base 435,887 468,356 -6.9%
----------------------- ------- ------- --------
EOP Base 409,204 446,998 -8.5%
----------------------- ------- ------- --------
Monthly Activity Rate 47.6% 50.5% -290 bps
----------------------- ------- ------- --------
Avg. Monthly Order $2,464 $2,419 1.9%
----------------------- ------- ------- --------
Distributors
----------------------- ------- ------- --------
Avg. Base 19,029 19,150 -0.6%
----------------------- ------- ------- --------
EOP Base 19,087 19,202 -0.6%
----------------------- ------- ------- --------
Monthly Activity Rate 95.0% 95.1% -10 bps ----------------------- ------- ------- -------- Avg. Monthly Order $2,539 $2,744 -7.5% ----------------------- ------- ------- --------
Highlights
Revenue: Net revenue decreased 0.6% YoY, reflecting a temporary stagnation in growth following the capture of short-term efficiency gains post-transaction. During the period, Jafra Mexico prioritized improving productivity of its existing consultant base, with less emphasis on expanding the base through recruitment initiatives. Additionally, product strategies were focused on renovating existing product lines rather than introducing new innovations, which temporarily weighed on top-line performance. The business unit already pivoted back toward expansion of the consultant base during Q1, while innovation initiatives are ramping up in Q2, both of which are expected to restore sales growth with Q2 revenue anticipated to be in line with our estimates.
Profitability: The business delivered a solid improvement in profitability compared to 1Q25, reflecting stronger cost management and the absence of extraordinary expenses. The 10% increase in EBITDA and 165 bps expansion of margin also reflect the positive impact of expense restructuring initiatives implemented last year and which are now materializing.
Cash Flow: Cash flow generation normalized during the quarter, in line with expectations and reflecting the absence of the extraordinary effects seen in 1Q25.
2026 Focus: Jafra Mexico continues to be one of BeFra's strongest cash generation engines, underpinned by solid commercial execution and disciplined cost management. In 2Q26, the business unit will transition to the second phase of its commercial strategy, shifting from brand renovation to innovation while also prioritizing expansion of the consultant base. During the quarter, we shifted focus to prioritize consultant base growth through targeted initiatives and promotions, which we expect to begin contributing results in 2Q.
Jafra US
Key Financial and Operating Metrics
Q1
--------------------- ----------------------------
Results in '000 MXN 2026 2025 26 vs 25
--------------------- -------- -------- --------
Net Revenue $211,640 $226,268 -6.5%
--------------------- -------- -------- --------
Gross Margin 75.0% 73.9% 110 bps
--------------------- -------- -------- --------
EBITDA -$859 -$12,934 N/A
--------------------- -------- -------- --------
EBITDA Margin -0.4% -5.7% 531 bps
--------------------- -------- -------- --------
Free Cash Flow -$29,922 $1,865 N/A
--------------------- -------- -------- --------
Q1
--------------------- --------------------------
Results in '000 USD 2026 2025 26 vs 25
--------------------- ------- ------- --------
Net Revenue $12,033 $11,077 8.6%
--------------------- ------- ------- --------
Gross Margin 75.0% 73.9% 110 bps
--------------------- ------- ------- --------
EBITDA -$56 -$633 N/A
--------------------- ------- ------- --------
EBITDA Margin -0.5% -5.7% 520 bps
--------------------- ------- ------- --------
Free Cash Flow -$1,702 $91 N/A
--------------------- ------- ------- --------
Associates
----------------------- ------ ------ -------
Avg. Base 25,544 24,703 3.4%
----------------------- ------ ------ -------
EOP Base 26,738 25,973 2.9%
----------------------- ------ ------ -------
Monthly Activity Rate 50.8% 45.9% 490 bps
----------------------- ------ ------ -------
Avg. Monthly Order $219 $243 -9.9%
----------------------- ------ ------ -------
Distributors
----------------------- ------ ------ -------
Avg. Base 1,363 1,504 -9.4%
----------------------- ------ ------ -------
EOP Base 1,303 1,493 -12.7%
----------------------- ------ ------ -------
Monthly Activity Rate 95.4% 89.3% 610 bps
----------------------- ------ ------ -------
Avg. Monthly Order $186 $228 -18.4%
----------------------- ------ ------ -------
Highlights
Revenue: Net revenue in USD increased 8.6% YoY, driven primarily by strong growth in consultant activity and an increase in the average associate base. This reflects improved field engagement and a more active salesforce, which translated into higher order volumes. Overall, the business continues to make solid progress in building a larger, more productive, and engaged consultant base.
Profitability: Gross margin expanded 110 bps YoY, driven by an improved promotional strategy and tighter management of consultant discounts. EBITDA margin improved significantly, from -5.7% in last year's comparable quarter to -0.5% in 1Q26, supported by stronger revenue and the benefits of cost reductions following restructuring initiatives in 2025. Excluding extraordinary legal expenses incurred during the quarter, Jafra US would have delivered an EBITDA margin of 2.6%, effectively turning profitable and signaling a clear path toward sustainable earnings growth.
2026 Focus: Jafra US is building momentum as it transitions from stabilization to growth, supported by a more efficient cost structure and improving commercial execution. Going forward, the business is focused on executing its strategic priorities, with a particular emphasis on strengthening product innovation and enhancing its sampling strategy to drive product adoption and higher field engagement.
Appendix
Financial Statements
Betterware de México, S.A.P.I. de C.V.
Consolidated Statements of Final Position
As of March 31, 2026 and 2025
(In Thousands of Mexican Pesos)
-------------------------------------------------------------------
Mar 2026 Mar 2025
-------------------------------------------- --------- ----------
Assets
-------------------------------------------- --------- ----------
Cash and cash equivalents 311,762 344,073
-------------------------------------------- --------- ----------
Trade accounts receivable, net 1,190,866 1,176,138
-------------------------------------------- --------- ----------
Accounts receivable from related parties 0 18
-------------------------------------------- --------- ----------
Account receivable "San Angel" 80,770 120,158
-------------------------------------------- --------- ----------
Inventories 2,072,173 2,529,057
-------------------------------------------- --------- ----------
Prepaid expenses 221,605 169,064
-------------------------------------------- --------- ----------
Income tax recoverable 164,921 309,263
-------------------------------------------- --------- ----------
Derivative financial instruments 18,262 28,667
-------------------------------------------- --------- ----------
Non-current assets held for sale 40,000 40,000
-------------------------------------------- --------- ----------
Other assets 95,811 94,709
-------------------------------------------- --------- ----------
Total current assets 4,196,170 4,811,147
-------------------------------------------- --------- ----------
Account receivable "San Angel" 25,291 105,458
-------------------------------------------- --------- ----------
Property, plant and equipment, net 1,691,109 1,766,045
-------------------------------------------- --------- ----------
Right of use assets, net 305,471 282,858
-------------------------------------------- --------- ----------
Deferred income tax 452,582 525,086
-------------------------------------------- --------- ----------
Intangible assets, net 1,490,332 1,549,649
-------------------------------------------- --------- ----------
Goodwill 1,599,718 1,599,718
-------------------------------------------- --------- ----------
Other assets 13,445 14,389
-------------------------------------------- --------- ----------
Total non-current assets 5,577,948 5,843,203
-------------------------------------------- --------- ----------
Total assets 9,774,118 10,654,350
-------------------------------------------- --------- ----------
Liabilities and Stockholders' Equity
-------------------------------------------- --------- ----------
Short-term debt and borrowings 1,145,034 1,818,486
-------------------------------------------- --------- ----------
Accounts payable to suppliers 2,057,297 2,012,268
-------------------------------------------- --------- ----------
Accrued expenses 350,882 362,857
-------------------------------------------- --------- ----------
Provisions 648,300 735,894
-------------------------------------------- --------- ----------
Value added tax payable 26,060 41,160
-------------------------------------------- --------- ----------
Trade accounts payable to related parties 0 0
-------------------------------------------- --------- ----------
Statutory employee profit sharing 181,329 174,291
-------------------------------------------- --------- ----------
Lease liability 125,095 94,806
-------------------------------------------- --------- ----------
Derivative financial instruments 0 0
-------------------------------------------- --------- ----------
Total current liabilities 4,533,997 5,239,762
-------------------------------------------- --------- ----------
Employee benefits 150,024 131,852
-------------------------------------------- --------- ----------
Deferred income tax 486,451 495,118
-------------------------------------------- --------- ----------
Lease liability 196,377 214,400
-------------------------------------------- --------- ----------
Long term debt and borrowings 2,923,772 3,522,769
-------------------------------------------- --------- ----------
Total non-current liabilities 3,756,624 4,364,139
Total liabilities 8,290,621 9,603,901
-------------------------------------------- --------- ----------
Stockholders' Equity
-------------------------------------------- --------- ----------
Capital stock 321,312 321,312
-------------------------------------------- --------- ----------
Share premium account -25,264 -25,264
-------------------------------------------- --------- ----------
Retained earnings 1,184,072 794,278
-------------------------------------------- --------- ----------
Other comprehensive income 5,186 -37,489
-------------------------------------------- --------- ----------
Non-controlling interest -1,809 -2,388
-------------------------------------------- --------- ----------
Total Stockholders' Equity 1,483,497 1,050,449
-------------------------------------------- --------- ----------
Total Liabilities and Stockholders' Equity 9,774,118 10,654,350
-------------------------------------------- --------- ----------
Betterware de México, S.A.P.I. de C.V.
Consolidated Statements of Profit or Loss and Other Comprehensive Income
For the three-months ended March 31, 2026 and 2025
(In Thousands of Mexican Pesos)
------------------------------------------------------------------------------
Q1 2026 Q1 2025 %
----------------------------------------------- --------- --------- -------
Net revenue 3,509,702 3,499,151 0.3%
----------------------------------------------- --------- --------- -------
Cost of sales 1,183,601 1,183,324 0.0%
----------------------------------------------- --------- --------- -------
Gross profit 2,326,101 2,315,827 0.4%
----------------------------------------------- --------- --------- -------
Administrative expenses 647,086 691,825 -6.5%
----------------------------------------------- --------- --------- -------
Selling expenses 991,217 1,020,998 -2.9%
----------------------------------------------- --------- --------- -------
Distribution expenses 168,596 169,099 -0.3%
----------------------------------------------- --------- --------- -------
Total expenses 1,806,899 1,881,922 -4.0%
----------------------------------------------- --------- --------- -------
Other expenses - Sale of fixed assets 0 0 N/A
----------------------------------------------- --------- --------- -------
Operating income 519,202 433,905 19.7%
----------------------------------------------- --------- --------- -------
Interest expense -99,706 -146,036 N/A
----------------------------------------------- --------- --------- -------
Interest income 11,673 16,071 -27.4%
----------------------------------------------- --------- --------- -------
Loss in valuation of financial derivative
instruments 0 -66,410 N/A
----------------------------------------------- --------- --------- -------
Foreign exchange loss, net -12,115 42,181 N/A
----------------------------------------------- --------- --------- -------
Financing cost, net -100,148 -154,194 N/A
----------------------------------------------- --------- --------- -------
Income before income taxes 419,054 279,711 49.8%
----------------------------------------------- --------- --------- -------
Income taxes 137,693 128,983 6.8%
----------------------------------------------- --------- --------- -------
Net income including minority interest 281,361 150,728 86.7%
----------------------------------------------- --------- --------- -------
Non-controlling interest (loss) gain -17 666 -102.6%
----------------------------------------------- --------- --------- -------
Net income 281,344 151,394 85.8%
----------------------------------------------- --------- --------- -------
Concept Q1 2026 Q1 2025 %
----------------------------------------------- --------- --------- -------
Net income 281,361 150,728 86.7%
----------------------------------------------- --------- --------- -------
(+) Income taxes 137,693 128,983 6.8%
----------------------------------------------- --------- --------- -------
(+) Financing cost, net 100,148 154,194 -35.1%
----------------------------------------------- --------- --------- -------
(+) Depreciation and amortization 90,711 101,360 -10.5%
----------------------------------------------- --------- --------- -------
EBITDA 609,913 535,265 13.9%
----------------------------------------------- --------- --------- -------
EBITDA margin 17.4% 15.3%
----------------------------------------------- --------- --------- -------
Betterware de México, S.A.P.I. de C.V.
Consolidated Statements of Cash Flows
For the three-months ended March 31, 2026 and 2025
(In Thousands of Mexican Pesos)
------------------------------------------------------------------------------
Q1 2026 Q1 2025
------------------------------------------------------ ---------- ----------
Cash flows from operating activities:
------------------------------------------------------ ---------- ----------
Profit for the period 281,361 150,728
------------------------------------------------------ ---------- ----------
Adjustments for:
------------------------------------------------------ ---------- ----------
Income tax expense recognized in profit of the year 137,693 128,983
------------------------------------------------------ ---------- ----------
Depreciation and amortization of non-current assets 90,711 101,360
------------------------------------------------------ ---------- ----------
Interest income recognized in profit or loss -11,673 -16,071
------------------------------------------------------ ---------- ----------
Interest expense recognized in profit or loss 99,706 146,036
------------------------------------------------------ ---------- ----------
Loss (gain) in valuation of financial derivative
instruments 0 66,410
------------------------------------------------------ ---------- ----------
Gain on disposal of equipment -629 -1,663
------------------------------------------------------ ---------- ----------
Currency effect -2,450 357
------------------------------------------------------ ---------- ----------
Movements in not- controlling interest 0 0
------------------------------------------------------ ---------- ----------
Movements in working capital:
------------------------------------------------------ ---------- ----------
Trade accounts receivable -9,419 -43,045
------------------------------------------------------ ---------- ----------
Trade accounts receivable from related parties 0 232
------------------------------------------------------ ---------- ----------
Trade account receivable "San Angel" 0 -13,994
------------------------------------------------------ ---------- ----------
Inventory, net -74,636 -23,964
------------------------------------------------------ ---------- ----------
Prepaid expenses and other assets -138,066 -26,358
------------------------------------------------------ ---------- ----------
Accounts payable to suppliers and accrued expenses 290,486 -172,194
------------------------------------------------------ ---------- ----------
Provisions -73,646 -13,024
------------------------------------------------------ ---------- ----------
Value added tax payable -67,857 -30,032
------------------------------------------------------ ---------- ----------
Statutory employee profit sharing 34,801 35,036
------------------------------------------------------ ---------- ----------
Trade accounts payable to related parties 0 -1,237
------------------------------------------------------ ---------- ----------
Income taxes paid -190,296 -333,998
------------------------------------------------------ ---------- ----------
Employee benefits 2,033 3,540
------------------------------------------------------ ---------- ----------
Net cash generated by (used in) operating
activities 368,119 -42,898
------------------------------------------------------ ---------- ----------
Cash flows from investing activities:
------------------------------------------------------ ---------- ----------
Investment in subsidiaries 0 0
------------------------------------------------------ ---------- ----------
Payments for property, plant and equipment, net -17,253 -13,574
------------------------------------------------------ ---------- ----------
Proceeds from disposal of property, plant and
equipment, net 677 631
------------------------------------------------------ ---------- ----------
Commission for the sale of properties 0 0
------------------------------------------------------ ---------- ----------
Interest received 9,163 16,071
------------------------------------------------------ ---------- ----------
Net cash (used in) generated by investing
activities -7,413 3,128
------------------------------------------------------ ---------- ----------
Cash flows from financing activities:
------------------------------------------------------ ---------- ----------
Repayment of borrowings -2,750,100 -1,000,800
------------------------------------------------------ ---------- ----------
Proceeds from borrowings 2,746,600 1,546,800
------------------------------------------------------ ---------- ----------
Interest paid -128,507 -165,627
------------------------------------------------------ ---------- ----------
Lease payment -45,670 -43,574
------------------------------------------------------ ---------- ----------
Dividends paid -199,611 -249,514
------------------------------------------------------ ---------- ----------
Net cash (used in) generated by financing
activities -377,288 87,285
------------------------------------------------------ ---------- ----------
Net (decrease) increase in cash and cash
equivalents -16,582 47,515
------------------------------------------------------ ---------- ----------
Cash and cash equivalents at the beginning of the
period 328,344 296,558
------------------------------------------------------ ---------- ----------
Cash and cash equivalents at the end of the period 311,762 344,073
------------------------------------------------------ ---------- ----------
Key Operating Metrics
Betterware Mexico
Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026
----------------------- ------- ------- ------- ------- ------- -------
Associates
----------------------- ------- ------- ------- ------- ------- -------
Avg. Base 693,666 645,359 657,317 675,696 667,086 663,599
----------------------- ------- ------- ------- ------- ------- -------
EOP Base 674,654 649,076 670,349 667,501 654,680 684,696
----------------------- ------- ------- ------- ------- ------- -------
Monthly Activity Rate 64.8% 65.5% 65.6% 63.3% 65.2% 64.6%
----------------------- ------- ------- ------- ------- ------- -------
Avg. Monthly Order $2,158 $2,152 $2,153 $2,043 $1,971 $2,072
----------------------- ------- ------- ------- ------- ------- -------
Monthly Growth Rate 14.3% 18.7% 16.6% 16.1% 17.3% 16.6%
----------------------- ------- ------- ------- ------- ------- -------
Monthly Churn Rate 15.6% 19.5% 15.6% 16.3% 18.0% 15.2%
----------------------- ------- ------- ------- ------- ------- -------
Distributors
----------------------- ------- ------- ------- ------- ------- -------
Avg. Base 43,585 41,202 42,062 43,220 42,156 41,249
----------------------- ------- ------- ------- ------- ------- -------
EOP Base 42,608 41,810 43,292 42,673 40,723 42,447
----------------------- ------- ------- ------- ------- ------- -------
Monthly Activity Rate 96.7% 97.9% 98.8% 97.9% 98.3% 98.6%
----------------------- ------- ------- ------- ------- ------- -------
Avg. Monthly Order $22,945 $22,534 $22,347 $20,752 $20,690 $21,826
----------------------- ------- ------- ------- ------- ------- -------
Monthly Growth Rate 8.7% 9.8% 10.7% 9.6% 9.2% 9.9%
----------------------- ------- ------- ------- ------- ------- -------
Monthly Churn Rate 10.3% 11.2% 9.4% 10.1% 10.8% 8.5%
----------------------- ------- ------- ------- ------- ------- -------
Jafra Mexico
Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026
----------------------- ------- ------- ------- ------- ------- -------
Associates
----------------------- ------- ------- ------- ------- ------- -------
Avg. Base 476,211 468,356 438,041 411,670 438,864 435,887
----------------------- ------- ------- ------- ------- ------- -------
EOP Base 480,532 446,998 429,472 405,599 444,244 409,204
----------------------- ------- ------- ------- ------- ------- -------
Monthly Activity Rate 49.9% 50.5% 49.8% 49.4% 50.1% 47.6%
----------------------- ------- ------- ------- ------- ------- -------
Avg. Monthly Order $2,439 $2,419 $2,495 $2,552 $2,702 $2,464
----------------------- ------- ------- ------- ------- ------- -------
Monthly Growth Rate 13.2% 10.1% 10.1% 10.0% 13.0% 10.5%
----------------------- ------- ------- ------- ------- ------- -------
Monthly Churn Rate 8.6% 12.5% 11.3% 12.0% 10.1% 13.4%
----------------------- ------- ------- ------- ------- ------- -------
Distributors
----------------------- ------- ------- ------- ------- ------- -------
Avg. Base 18,889 19,150 19,036 18,950 19,006 19,029
----------------------- ------- ------- ------- ------- ------- -------
EOP Base 19,093 19,202 18,966 18,964 19,063 19,087
----------------------- ------- ------- ------- ------- ------- -------
Monthly Activity Rate 94.6% 95.1% 94.1% 93.7% 94.0% 95.0%
----------------------- ------- ------- ------- ------- ------- -------
Avg. Monthly Order $2,758 $2,744 $2,855 $3,023 $3,166 $2,539
----------------------- ------- ------- ------- ------- ------- -------
Monthly Growth Rate 1.8% 1.2% 0.6% 1.2% 1.3% 1.3%
----------------------- ------- ------- ------- ------- ------- -------
Monthly Churn Rate 1.1% 1.0% 1.0% 1.3% 1.2% 1.2%
----------------------- ------- ------- ------- ------- ------- -------
Jafra US
Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026
------------------------ ------- ------- ------- ------- ------- -------
Associates
------------------------ ------- ------- ------- ------- ------- -------
Avg. Base 26,540 24,703 27,191 26,303 26,270 25,544
------------------------ ------- ------- ------- ------- ------- -------
EOP Base 25,272 25,973 28,188 26,450 26,681 26,738
------------------------ ------- ------- ------- ------- ------- -------
Monthly Activity Rate 44.5% 45.9% 49.2% 51.3% 48.9% 50.8%
------------------------ ------- ------- ------- ------- ------- -------
Avg. Monthly Order
$(USD)$ $248 $243 $225 $228 $222 $219
------------------------ ------- ------- ------- ------- ------- -------
Monthly Growth Rate 10.0% 12.8% 13.2% 11.4% 10.1% 12.6%
------------------------ ------- ------- ------- ------- ------- -------
Monthly Churn Rate 14.7% 11.8% 9.7% 14.0% 9.7% 12.4%
------------------------ ------- ------- ------- ------- ------- -------
Distributors
------------------------ ------- ------- ------- ------- ------- -------
Avg. Base 1,786 1,504 1,808 1,604 1,503 1,363
------------------------ ------- ------- ------- ------- ------- -------
EOP Base 1,638 1,493 1,901 1,384 1,420 1,303
------------------------ ------- ------- ------- ------- ------- -------
Monthly Activity Rate 85.5% 89.3% 89.8% 92.6% 95.1% 95.4%
------------------------ ------- ------- ------- ------- ------- ------- Avg. Monthly Order (USD) $219 $228 $206 $201 $197 $186 ------------------------ ------- ------- ------- ------- ------- ------- Monthly Growth Rate 2.7% 4.0% 8.5% 3.8% 7.0% 4.2% ------------------------ ------- ------- ------- ------- ------- ------- Monthly Churn Rate 5.0% 6.9% 0.0% 12.8% 5.8% 7.0% ------------------------ ------- ------- ------- ------- ------- -------
Key Financial Metrics
Consolidated
Results in '000 MXN Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 --------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Net Revenue $3,330,394 $3,778,468 $3,499,151 $3,562,643 $3,377,299 $3,825,539 $3,509,702 --------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Gross Margin 66.9% 67.3% 66.2% 67.1% 68.5% 65.0% 66.3% --------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- EBITDA $591,575 $771,596 $535,265 $678,812 $722,149 $726,463 $609,913 --------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- EBITDA Margin 17.8% 20.4% 15.3% 19.1% 21.4% 19.0% 17.4% --------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Net Income -$112,537 $225,305 $150,728 $327,306 $314,205 $249,851 $281,361 --------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Free Cash Flow $417,379 $548,430 -$55,841 $592,152 $553,573 1,132,307 351,543 --------- ---------- ---------- ---------- ---------- ---------- ---------- ----------
Betterware Mexico and Subsidiaries
Results in '000 MXN Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 --------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Net Revenue $1,465,577 $1,494,855 $1,403,065 $1,458,593 $1,387,586 $1,474,205 $1,439,958 --------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Gross Margin 54.8% 57.2% 55.3% 55.2% 57.1% 52.6% 55.0% --------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- EBITDA $279,889 $330,075 $261,493 $290,745 $312,669 $263,529 $295,278 --------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- EBITDA Margin 19.1% 22.1% 18.6% 19.9% 22.5% 17.9% 20.5% --------- ---------- ---------- ---------- ---------- ---------- ---------- ----------
Jafra Mexico
Results in '000 MXN Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 --------- ---------- ---------- ---------- ---------- ---------- --------- ---------- Net Revenue $1,623,697 $2,038,993 $1,869,818 $1,853,832 $1,752,179 2,112,869 $1,858,104 --------- ---------- ---------- ---------- ---------- ---------- --------- ---------- Gross Margin 76.8% 74.1% 73.5% 75.3% 76.3% 72.2% 74.0% --------- ---------- ---------- ---------- ---------- ---------- --------- ---------- EBITDA $318,149 $440,630 $286,706 $393,360 $417,760 $452,697 $315,494 --------- ---------- ---------- ---------- ---------- ---------- --------- ---------- EBITDA Margin 19.6% 21.6% 15.3% 21.2% 23.8% 21.4% 17.0% --------- ---------- ---------- ---------- ---------- ---------- --------- ----------
Jafra US
Results in '000 MXN Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 --------- -------- -------- -------- -------- -------- -------- -------- Net Revenue $241,881 $241,120 $244,620 $226,268 $250,218 $237,534 $238,465 --------- -------- -------- -------- -------- -------- -------- -------- Gross Margin 73.6% 73.3% 73.1% 73.9% 76.0% 77.0% 77.4% --------- -------- -------- -------- -------- -------- -------- -------- EBITDA -$6,463 $891 -$12,934 -$5,293 -$8,280 $10,237 -$859 --------- -------- -------- -------- -------- -------- -------- -------- EBITDA Margin 3.0% -2.7% 0.4% -5.7% -2.1% -3.5% 4.3% --------- -------- -------- -------- -------- -------- -------- --------
Use of Non-IFRS Financial Measures
This announcement includes certain references to EBITDA, EBITDA Margin, Net Debt:
EBITDA: defined as profit for the year adding back the depreciation of property, plant, and equipment and right of use assets, amortization of intangible assets, financing cost, net and total income taxes.
EBITDA Margin: is calculated by dividing EBITDA by net revenue.
EBITDA and EBITDA Margin are not measures recognized under IFRS and should not be considered as an alternative to, or more meaningful than, consolidated net income for the year as determined in accordance with IFRS or as indicators of our operating performance from continuing operations. Accordingly, readers are cautioned not to place undue reliance on this information and should note that these measures as calculated by the Company may differ materially from similarly titled measures reported by other companies.
BeFra believes that these non-IFRS financial measures are useful to investors because (i) BeFra uses these measures to analyze its financial results internally and believes they represent a measure of operating profitability and (ii) these measures will serve investors to understand and evaluate BeFra's EBITDA and EBITDA BU and provide more tools for their analysis as it makes BeFra's results comparable to industry peers that also prepare these measures.
Definitions: Operating Metrics
Starting Q2 2024, the Company will report sales force under the same name for all business units, Distributors (previously stated as Leaders in Jafra) and Associates (previously stated as Consultants for Jafra). It is important to note that the metrics are calculated with the same method as previous quarters and the reference name change has no adverse effect on the results of the operating metrics reported by the Company.
Betterware (Associates and Distributors)
Avg. Base: Weekly average Associate/Distributor base
EOP Base: Associate/Distributor base at the end of the period
Weekly Churn Rate: Average weekly data. Total Associates/Distributors lost during the period divided by the beginning of the period Associate/Distributor base.
Weekly Activity Rate: Average weekly data. Active Associates/Distributors divided by ending Associate/Distributor base.
Avg. Weekly Order: Average weekly data. Total Revenue divided by number of active Associates/Distributors
Jafra (Associates and Distributors)
Avg. Base: Monthly average Associate/Distributor base
EOP Base: Associate/Distributor base at the end of the period
Monthly Churn Rate (Associates): Average monthly data. Total Associates lost during the period divided by the number of active Associates 4 months prior. An Associate is terminated only after 4 months of inactivity.
Monthly Churn Rate (Distributors): Average monthly data. Total Distributors lost during the period divided by end of period Distributors' base.
Monthly Activity Rate: Average monthly data. Active Associate/Distributor divided by the end of period Associate/Distributor base.
Avg. Monthly Order (Associates): Average monthly data. Total Catalog Revenue divided by number of Associates orders.
Avg. Monthly Order (Distributors): Average monthly data. Total Distributors Revenue divided by number of Distributors orders.
About Betterware de México, S.A.P.I. de C.V.
Founded in 1995, Betterware de Mexico is the leading direct-to-consumer company in Mexico focused on offering innovative products that solve specific needs related to household organization, practicality, space-saving, and hygiene. Through the acquisition of JAFRA on April 7, 2022, the Company now offers a leading brand of direct-to-consumer in the Beauty market in Mexico and the United States where it offers Fragrances, Color & Cosmetics, Skin Care, and Toiletries. The combined company possesses an asset-light business model with low capital expenditure requirements and a track record of strong profitability, double digit rates of revenue growth and free cash flow generation. Today, the Company distributes its products in Mexico and in the United States of America.
Forward-Looking Statements
This press release includes certain statements that are not historical
facts but are forward-looking statements for purposes of the safe harbor
provisions under the United States Private Securities Litigation Reform Act
of 1995. Forward-looking statements generally are accompanied by words such
as "believe," "may," "will", "estimate", "continue", "anticipate", "intend",
"expect", "should", "would", "plan", "predict", "potential", "seem", "seek,"
"future," "outlook", and similar expressions that predict or indicate future
events or trends or that are not statements of historical matters. The
reader should understand that the results obtained may differ from the
projections contained in this document and that many factors could cause our
actual activities or results to differ materially from the activities and
results anticipated in forward looking statements. For this reason, the
Company assumes no responsibility for any indirect factors or elements
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