Betterware de Mexico SAPI de C (NYSE:BWMX) Releases Quarterly Earnings Results, Misses Expectations By $0.18 EPS

Betterware de Mexico SAPI de C (NYSE:BWMX) released its earnings results on Thursday. The company reported $0.37 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.55 by ($0.18), FiscalAI reports. Betterware de Mexico SAPI de C had a net margin of 7.35% and a return on equity of 90.66%. The company had revenue of $212.26 million during the quarter.

Here are the key takeaways from Betterware de Mexico SAPI de C’s conference call:

• Strong cash and balance-sheet improvement: Q4 revenue rose 1.2% (FY +1.2%), Q4 EBITDA margin was 19% (FY 18.7%), free cash flow more than doubled in Q4 and rose 24.6% for the year after MXN 459m of inventory optimization, and total debt was reduced by MXN 700m, lowering net leverage to 1.56x.
• Operational recovery across brands: Jafra Mexico hit record Q4 sales and Jafra US delivered its first YoY growth quarter with improved profitability (legal costs excluded), while Betterware Mexico finished 2025 with improving commercial momentum, a growing associate base, and a normalized Q4 EBITDA margin (~22%) when excluding temporary FX effects.
• Major M&A to scale regionally: BeFra agreed to buy 100% of Tupperware’s Latin American business for $250m ($215m cash, $35m shares), acquiring Mexico and Brazil operations, two plants and a perpetual royalty-free brand license; management expects closing in Q2 2026 (subject to approvals) and projects the deal is accretive (~40% EPS accretion at a ~3.1x EV/EBITDA multiple).
• 2026 outlook and strategy: Management reiterated five strategic pillars and guided to a return to mid-single‑digit growth (management cited a 4%–8% range in Q&A) and an EBITDA margin around 19%+, expecting inventories near optimal levels and cash generation to normalize as top-line and profitability improve.

Betterware de Mexico SAPI de C Trading Down 9.0%

Shares of BWMX opened at $16.54 on Friday. Betterware de Mexico SAPI de C has a 12 month low of $7.00 and a 12 month high of $19.79. The stock’s 50-day moving average is $17.09 and its two-hundred day moving average is $14.82. The company has a debt-to-equity ratio of 2.66, a current ratio of 0.93 and a quick ratio of 0.44. The stock has a market cap of $617.27 million, a PE ratio of 11.25 and a beta of 1.25.

Analyst Upgrades and Downgrades

Several research analysts recently weighed in on the company. Zacks Research raised Betterware de Mexico SAPI de C from a “hold” rating to a “strong-buy” rating in a research report on Thursday, January 22nd. Weiss Ratings restated a “hold (c+)” rating on shares of Betterware de Mexico SAPI de C in a research note on Monday, December 29th. Finally, Freedom Capital raised Betterware de Mexico SAPI de C to a “strong-buy” rating in a research note on Friday, January 2nd. Two investment analysts have rated the stock with a Strong Buy rating and one has given a Hold rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Buy”.

Institutional Investors Weigh In On Betterware de Mexico SAPI de C

Several hedge funds have recently modified their holdings of the stock. State Street Corp boosted its holdings in Betterware de Mexico SAPI de C by 7.0% in the 4th quarter. State Street Corp now owns 90,082 shares of the company’s stock worth $1,280,000 after acquiring an additional 5,881 shares during the period. Goldman Sachs Group Inc. lifted its position in shares of Betterware de Mexico SAPI de C by 11.5% during the fourth quarter. Goldman Sachs Group Inc. now owns 60,663 shares of the company’s stock worth $862,000 after purchasing an additional 6,274 shares in the last quarter. Finally, Quattro Financial Advisors LLC boosted its stake in shares of Betterware de Mexico SAPI de C by 42.9% in the fourth quarter. Quattro Financial Advisors LLC now owns 50,000 shares of the company’s stock valued at $710,000 after purchasing an additional 15,000 shares during the period. 12.72% of the stock is currently owned by hedge funds and other institutional investors.

Betterware de Mexico SAPI de C Company Profile

Betterware de Mexico SAPI de C.V. is a Mexico City–based home solutions company that designs, sources and distributes a broad portfolio of organizational and household products. Through a direct-to-consumer model, Betterware offers storage and organization items, kitchenware, cleaning tools, personal care accessories and pet care products. The company leverages both digital channels and a catalog-driven distribution network to reach end customers, pairing an e-commerce platform with an independent sales advisor network.

Founded in 1995, Betterware has built a multi-channel sales infrastructure that relies on regional distribution centers and a large community of independent representatives.