Arca Continental Reports EBITDA Growth of 7.3% With Net Sales up 4.1% In 2Q19

Arca Continental, S.A.B. de C.V. (BMV:AC*) ("Arca Continental" or "AC"), the second-largest Coca-Cola bottler in Latin America, announced its results for the second quarter and first half of 2019 ("2Q19" and "6M19").

Table 1: Financial Highlights

2Q19 HIGHLIGHTS

• Net Sales increased 4.1% when compared to 2Q18, to Ps. 41,982 million.
• EBITDA reached Ps. 8,091 million with a margin of 19.3%, an increase of 7.3% when compared to 2Q18.
• Net Income was Ps. 2,818 million, an increase of 5.2% for a margin of 6.7%

6M19 HIGHLIGHTS

• Net Sales increased 3.2% to Ps. 78,903 million.
• EBITDA reached Ps. 14,363 million, 6.8% higher than 6M18 and representing a margin of 18.2%.
• Net Income grew 12.8% to Ps. 4,519 million for a margin of 5.7%

COMMENTS FROM THE CHIEF EXECUTIVE OFFICER

"The constant drive in the various commercial initiatives aimed at perfecting our market service, helped us increase our top line by 4.1%. This, in addition to the proper execution of our efficiency plans, was also reflected in 7.3% EBITDA growth, and an expansion of our EBITDA margin for the second consecutive quarter," stated Arturo Gutiérrez, Chief Executive Officer of Arca Continental.

"With the goal of continuing to recover the growth dynamic in our sales and strengthening the creation of value for our investors, in the second half of the year we will keep deploying our digital initiatives at the point of sale, improving execution and increasing our product and service offering for our customers and consumers, while maintaining strict controls in all our operations."

CONFERENCE CALL INFORMATION

Arca Continental will host a conference call on July 19, 2019 to discuss these results at 10:00 am Mexico/Monterrey time / 11:00 am New York time. A live webcast of this event will be available at www.arcacontal.com or connect via telephone.

To participate, please dial:
+1-877-712-5080 (U.S. participants)
+1-334-245-3009 (International participants)
0-1-800-062-2650 (Mexico participants)
Passcode: 36151

Please Note: The full earnings release in PDF and information in the financial tables available for download in MS Excel format are now available at the following link: http://www.arcacontal.com/investors/financial-reports.aspx

About Arca Continental

Arca Continental is a company dedicated to the production, distribution, and sale of non-alcoholic beverages which are brand names of The Coca-Cola Company as well as salty snacks under the brands of Bokados in Mexico, Inalecsa in Ecuador, and Wise and Deep River in the United States. With an outstanding track record of more than 93 years, Arca Continental is the second largest Coca-Cola bottling company in Latin America and one of the most important in the world. Within its Coca-Cola franchise, the company serves a population of more than 119 million in the northern and western parts of Mexico as well as Ecuador, Peru, the northern region of Argentina and the Southwestern U.S. Arca Continental is listed on the Mexican Stock Market under the ticker symbol "AC". For further information about Arca Continental, please visit www.arcacontal.com.

This material may contain forward-looking statements regarding Arca Continental and its subsidiaries based on management's expectations. This information as well as statements regarding future events and expectations is subject to risks and uncertainties, as well as factors that could cause the results, performance and achievements of the Company to differ at any time. Such factors include changes in the general economic, political, governmental and commercial conditions both domestically and globally, as well as variations in interest rates, inflation rates, exchange rate volatility, tax rates, the demand for and the price of carbonated beverages, water, and the price of sugar and other raw materials used in the production of sparkling beverages, weather conditions and various others. As a result of these risks and factors, actual results could be materially different from the estimates provided; therefore, Arca Continental does not accept responsibility for any variations or for the information provided by official sources.