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6-K 1 ea0262224-6k_betterware.htm REPORT OF FOREIGN PRIVATE ISSUER

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20546

 

FORM 6-K

 

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

 

October 2025

 

Commission File Number:  001-39251

 

 

 

BETTERWARE DE MÉXICO, S.A.P.I. DE C.V.

(Name of Registrant)

 

Cruce Carretera Gdl-Ameca Huaxtla Km 5

El Arenal, Jalisco, 45350, México

+52 (33) 3836-0500

(Address of Principal Executive Office)

 

 

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

 

Form 20-F ☒    Form 40-F ☐

 

 

 

 


 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

  BETTERWARE DE MÉXICO, S.A.P.I. DE C.V.
     
  By: /s/ Luis Campos
  Name: Luis Campos
  Title: Board Chairman

 

Date: October 23, 2025

 

1


 

Exhibit Index

 

Exhibit No.   Description
99.1   BeFra Third Quarter 2025 Earnings Release

 

2

 

EX-99.1 2 ea026222401ex99-1_betterware.htm BEFRA THIRD QUARTER 2025 EARNINGS RELEASE

Exhibit 99.1

 

 

 


 

 

 

Message from the President and CEO

 

BeFra delivered solid results for the third quarter of 2025. Revenue continued to increase, expanding by 1.4% YoY, despite still subdued consumption trends in Mexico. At the same time, we significantly strengthened third quarter profitability and operating cashflow, with EBITDA increasing by 22%, EPS by 71%, and Free Cash Flow by 32.6%, the latter representing 77% conversion of EBITDA. This also enabled us to further lower BeFra’s net debt-to-EBITDA QoQ from 1.97 to 1.8x, which underscores our continued focus on financial discipline while we pursue stronger growth.

 

As noted, BeFra faced soft consumption trends in our home market, resulting in a 5.3% decrease in Betterware Mexico’s revenue, although sales increased 7.9% at Jafra during the quarter. While it has been more difficult to grow in such an unexpectedly challenging market - particularly with Betterware’s focus on discretionary goods - both of our core businesses nevertheless continued to strengthen their profitability; Betterware Mexico achieved an 11.7% increase in EBITDA, despite expansion investments in Guatemala and Ecuador, while Jafra Mexico achieved an exceptional 31% increase.

 

On the international side, we continue to make promising progress. Jafra US delivered flat year-over-year performance in USD terms, after two quarters of decreases, as our revamped compensation plan, redesigned catalog, and the adoption of our Shopify+ platform all kicked in to accelerate growth. In September, the business achieved its best month in three years, posting 30% year-over-year growth.

 

Further south, although still not material to our consolidated results, Betterware Ecuador continued surpassing expectations, reaching more than 5,900 associates by the end of third quarter. In September, net revenue reflected a strong run rate, with sustained compounded growth of approximately 20% month over month. The Betterware brand has exceeded our expectations in Ecuador, validating the potential of our expansion model for Andean markets. Building on this success, we plan to launch Betterware Colombia in the first quarter of 2026. In Guatemala, we achieved a 32% YoY net revenue increase for the third quarter. These results have begun contributing to improved performance of Betterware and its subsidiaries overall.

 

In closing, despite weaker-than-anticipated consumer trends in Mexico - our primary market today - and overall macro instability, we remain committed to our long-term “Great Brands, One Essence” strategy, led by our popular Betterware and Jafra brands and person-to-person model. Our brands continue outperforming the home goods and beauty markets in Mexico and abroad, while we deliver strong profitability and cashflow, as well as maintain financial discipline. Although we have made meaningful progress in revenue and profitability relative to an even more challenging first quarter, we expect full-year growth in both metrics to remain in the low single-digit range.

 

As we enter the final quarter of 2025, our focus remains on closing the year positively and regaining momentum going into 2026.

 

Andrés Campos Chevallier

President and CEO BeFra Group

 

2


 

 

Note on the financial statements: All 2024 figures include the adjustments disclosed in our Q3 and Q4 2024 earnings releases. These refer to (i) a non-cash effect related to the sale of non-operative asset, which led to the disclosure of Adjusted EBITDA, Net Income, and EPS for Q3 2024; and (ii) a correction in the classification of certain production-related costs within Jafra Mexico’s financial statements, with no impact on revenues, EBITDA, or net income. For further details, please refer to those earnings releases available on BeFra’s Investor Relations website.

 

Q3 2025 Select Consolidated Financial Information

 

    Q3     9M  
Results in ‘000 MXN   2025     2024     2025     2024  
Net Revenue   $ 3,377,299     $ 3,330,394       1.4 %   $ 10,439,093     $ 10,322,290       1.1 %
Gross Margin     68.5 %     66.9 %     158 bps       67.3 %     68.2 %     -92 bps  
EBITDA   $ 722,149     $ 156,546       361.3 %   $ 1,936,226     $ 1,568,071       23.5 %
EBITDA Margin     21.4 %     4.7 %     1,668 bps       18.5 %     15.2 %     336 bps  
Adj. EBITDA   $ 722,149     $ 591,576       22.1 %   $ 1,936,226     $ 2,003,101       -3.3 %
Adj. EBITDA Margin     21.4 %     17.8 %     362 bps       18.5 %     19.4 %     -86 bps  
Net Income     314,205     $ -112,561       379.1 %   $ 792,905     $ 486,423       63.0 %
Adj. Net Income   $ 314,205     $ 183,584       71.2 %   $ 792,905     $ 782,568       1.3 %
EPS     8.42       -3.02       379.1 %     21.24       13.03       63.0 %
Adj. EPS     8.42       4.92       71.2 %     21.24       20.97       1.3 %
Free Cash Flow   $ 553,573     $ 417,379       32.6 %   $ 1,089,884     $ 1,235,471       -11.8 %
Net Debt / EBITDA     1.80       1.76               1.80       1.76          
Interest Coverage     3.71       3.52               3.71       3.52          
Associates                                    
Avg. Base     1,113,669       1,127,767       -1.2 %     1,124,878       1,173,222       -4.1 %
EOP Base     1,099,550       1,151,069       -4.7 %     1,099,550       1,151,069       -4.7 %
Distributors                                                
Avg. Base     63,774       65,236       -2.3 %     62,845       64,785       -3.0 %
EOP Base     63,021       64,433       -2.2 %     63,021       64,435       -2.2 %

 

Revenue Growth Maintained: Consolidated net revenue increased 1.4% YoY. While the quarter experienced softer consumer demand for home goods in Mexico, overall group revenue maintained its growth trajectory, thanks to top-line growth at Jafra Mexico.

 

Profitability Remains Strong: Consolidated EBITDA increased 22% YoY, with the margin expanding both sequentially and YoY, reflecting an ongoing focus on strengthening profitability across all business units.

 

Strong Free Cash Flow Generation: BeFra continued generating strong positive Free Cash Flow during the quarter, with a 32.6% increase YoY and converting 77% of EBITDA, supported by disciplined working capital management and normalized payment cycles. The company remains on track to maintain its historical annual cash flow conversion rate of ~60%.

 

Net Income Growth: net income increased 71% YoY, mainly reflecting a combination of factors: higher operating income, lower income tax expense, lower financial costs, and the absence of non-recurring FX and deferred tax effects that had impacted last year’s results

 

For more details, please refer to Financial Results by Business, beginning on page 5.

 

3


 

 

Financial Performance 

Balance sheet at the end of Q3 2025.

 

Liquidity ratios

 

BeFra’s cash flow is returning to the normal operating cash cycle of the business after the non-recurring events and economic volatility seen in Q1. It is expected that cash generation will continue to improve in the upcoming quarters.    

 

    Q3 2025     Q3 2024      
Current Ratio     0.93 x     1.07 x     -13.1 %
FCF / Adj. EBITDA     76.6 %     70.6 %     +322 bps  
CCC (days)     78       41       +37days  

 

* CCC: Cash Conversion Cycle

 

Return on Investment

 

Throughout its history, BeFra has consistently delivered solid returns on investment. Despite a challenging first quarter, there were clear signs of recovery in both Q2 and Q3, supported by stronger commercial and operational execution as well as improved profitability across key business units. While year-to-date profitability indicators still reflect the impact of Q1, this is seen as a short-term deviation, and the company remains confident in the long-term value-creation capacity of its business model.    

 

    Q3 2025     Q3 2024      
Equity Turnover     11.00 x     11.63 x     -5.4 %
ROE     78.8 %     74.7 %     +410 bps  
ROTA     10.1 %     8.1 %     +203 bps  
Dividend Yield     8.48 %     11.91 %     -343 bps  

 

* Equity Turnover = Net Revenues TTM / Equity
* ROE = Net income TTM / Stockholders Equity
* ROTA = Net Income TTM / (Cash + Accounts Receivable + Inventories + Fixed Assets)
* Calculation of Dividend Yield Using the Closing Price on September 30, 2025, which was $13.45

 

Asset Light Business – Low fixed cost structure

 

BeFra’s asset-light business model continues to be a key pillar of business resilience. The decrease in fixed assets was due to the strategic sale of Jafra Mexico’s real estate assets, consistent with the Company’s asset-light approach. With regard to other fixed costs, BeFra continues seeking ways to further reduce SG&A expenses.

 

    Q3 2025     Q3 2024     ∆ bps  
Fixed Assets / Total Assets     17.0 %     19.5 %     -252 bps  
Variable Cost Structure     74.7 %     75.1 %     -60 bps  
Fixed Cost Structure     25.3 %     24.7 %     60 bps  
SG&A / Net Revenues     45.2 %     47.4 %     -223 bps  

 

Debt Leverage

 

BeFra’s current level of debt primarily reflects two key strategic initiatives: the acquisition of the Jafra beauty products business in 2022 and the investment in the new Betterware Campus, which opened in 2021. The Company remains firmly committed to its debt reduction strategy During the third quarter, we settled a $500M bond (MXN), which will be fully covered with internal resources by the end of the year, further demonstrating BeFra’s strong cash generation and disciplined financial management.

 

Net Debt to EBITDA improved from 1.97x in Q2 2025 to 1.80x in Q3 2025

 

    Q3 2025     Q3 2024     ∆%  
Debt to EBITDA     1.93 x     1.87 x     +3.2%  
Net Debt to EBITDA     1.80 x     1.76 x     +2.3%  
Interest Coverage     3.71 x     3.52 x     +5.4%  

 

Capital Allocation

 

Quarterly Dividends: Considering BeFra’s results to date, the company remains committed to enhancing shareholder value through quarterly dividends. The board of directors had proposed maintaining a Ps. 200M dividend for Q3 2025, which was approved by the Ordinary General Shareholders’ Meeting held on October 21st, 2025

 

2025 Guidance and Long-Term Growth Prospects: Despite a challenging start to the year during the first quarter, which has impacted BeFra’s YTD performance, the Company has been gaining momentum quarter after quarter across all business units and expects a solid close to the year in the fourth quarter. Accordingly, management anticipates closing 2025 with revenue and EBITDA growth of between 1% and 5% and remains confident in sustaining this positive momentum going forward.

 

    2025     2024     Var %  
Net Revenue   $14,900 - $ 15,300     $ 14,101     ≈6.0% - 9.0%  
EBITDA   $2,900 - $ 3,000     $ 2,775     ≈6.0% - 9.0%  

 

* Figures in millions Pesos.

 

4


 

 

Q3 2025 Financial Results by Business 

Betterware Mexico  

Key Financial and Operating Metrics

 

    Q3     9M  
Results in ‘000 MXN   2025     2024     2025     2024  
Net Revenue   $ 1,387,586     $ 1,465,577       -5.3 %   $ 4,249,244     $ 4,496,979       -5.51 %
Gross Margin     57.1 %     54.8 %     238 bps       55.8 %     57.1 %     -127 bps  
EBITDA   $ 312,669     $ 279,889       11.7 %   $ 864,907     $ 966,463       -10.5 %
EBITDA Margin     22.5 %     19.1 %     344 bps       20.4 %     21.5 %     -114 bps  
Associates                              
Avg. Base     675,696       694,277       -2.7 %     659,457       708,022       -6.9 %
EOP Base     667,501       700,893       -4.8 %     667,501       700,893       -4.8 %
Monthly Activity Rate     63.3 %     66.3 %     -295 bps       64.8 %     66.8 %     -198 bps  
Avg. Monthly Order   $ 2,043     $ 2,034       0.4 %   $ 2,116     $ 2,038       3.8 %
Distributors                                                
Avg. Base     43,220       44,639       -3.2 %     42,161       44,159       -4.5 %
EOP Base     42,673       43,939       -2.9 %     42,673       43,939       -2.9 %
Monthly Activity Rate     97.9 %     98.0 %     -6 bps       98.2 %     98.2 %     3 bps  
Avg. Monthly Order   $ 20,752     $ 21,531       -3.6 %   $ 21,878     $ 22,261       -1.7 %

 

Highlights

 

Revenue Declines on Lower Consumer Demand: Betterware Mexico reported a 5.3% YoY revenue decline. Although Q2 and Q3 showed improvement after a weak start to the year, market softness persisted, particularly in Q3, as vacation spending and the back-to-school season limited demand for discretionary products, contributing to overall consumption weakness.

 

Profitability Improvement: Despite lower revenues, gross margin rose from 54.8% to 57.1% YoY, reflecting the success of a profitability-focused growth strategy. EBITDA growth was 11.7% YoY, after investments in geographic expansion, which totaled $16.7M pesos in the quarter and $61.9M pesos year to date.

 

Sales Force Dynamics Stable: The independent sales force showed a year-over-year decline of 3.2% in Distributors and 2.7% in Associates. However, results throughout 2025 indicate stability from year-end 2024 to Q3 2025, thanks to net growth achieved in Q2 and stability in Q3.

 

Operational Discipline and Continued Inventory Reduction: Inventories were reduced by 17%, or approximately $240M YoY, and decreased 5% QoQ, reflecting strong execution in inventory optimization and working capital efficiency, which contributed to healthy cash generation during the quarter.

 

Q4 2025 Priorities

 

Product Mix and Pricing: While consumer demand in Mexico remains soft, Betterware Mexico has lined up a stronger holiday season portfolio than last year, which is expected to help strengthen growth in the fourth quarter. At the same time, the Company intends to strike the right balance between revenue growth and profitability by reducing the mix of promotional items, to strengthen gross margin and revenues.

 

Catalog Design Improvements: Refresh key visuals and better highlight the innovative benefits of Betterware’s products, emphasizing key differentiators versus competing household products.

 

5


 

 

Jafra Mexico

Key Financial and Operating Metrics

 

    Q3     9M  
Results in ‘000 MXN   2025     2024     2025     2024  
Net Revenue   $ 1,752,179     $ 1,623,697       7.9 %   $ 5,475,829     $ 5,144,830       6.4 %
Gross Margin     76.3 %     76.8 %     -54 bps       75.0 %     77.1 %     -211 bps  
EBITDA   $ 417,760     $ -116,882       -457.4 %   $ 1,097,826     $ 610,716       79.8 %
EBITDA Margin     23.8 %     -7.2 %     3,104 bps       20.0 %     11.9 %     818 bps  
Adj. EBITDA   $ 417,760     $ 318,148       31.3 %   $ 1,097,826     $ 1,045,746       5.0 %
Adj. EBITDA Margin     23.8 %     19.6 %     425 bps       20.0 %     20.3 %     -28 bps  
Associates                              
Avg. Base     411,670       403,340       2.1 %     439,356       435,027       1.0 %
EOP Base     405,599       421,073       -3.7 %     405,599       421,073       -3.7 %
Monthly Activity Rate     49.4 %     51.6 %     -216 bps       49.9 %     52.0 %     -205 bps  
Avg. Monthly Order   $ 2,552     $ 2,347       8.7 %   $ 2,489     $ 2,290       8.7 %
Distributors                                                
Avg. Base     18,950       18,823       0.7 %     19,045       18,883       0.8 %
EOP Base     18,964       18,722       1.3 %     18,964       18,722       1.3 %
Monthly Activity Rate     93.7 %     93.2 %     46 bps       94.3 %     94.2 %     11 bps  
Avg. Monthly Order   $ 3,023     $ 2,694       12.2 %   $ 2,874     $ 2,594       10.8 %

 

Highlights

 

Continued Strong Revenue Growth: Jafra Mexico delivered 7.9% YoY revenue growth, supported by strong commercial execution and targeted initiatives that kept the sales force active despite the typically slow summer season. Revenue growth was led by the renewal of Jafra’s Royal Body care line, the launch of a new men’s fragrance, Magnetique, and the continued strong performance of the rebranded Royal Jelly skincare line.

 

Sales Force and Productivity Increases: The Associates base grew 2.1% and Distributors increased 0.7%, while average order value rose 11% year over year, reflecting stronger engagement and higher-quality sales.

 

Increasing Profitability. EBITDA increased 31.3% YoY, driven by a strong gross margin in the quarter, supported by a more favorable product mix, a tailored pricing strategy, and strict expense control.

 

Q4 2025 Priorities

 

Seasonal Promotions: Launch of holiday season promotions featuring key products, enabling the creation of attractive consumer bundles and competitive price offers.

 

Product Renovations & Innovation: Continue advancing rebranding strategy for key products, seasonal sets and packages in the Fragrance, Skin Care and Body Care categories. By the end of the year, Jafra Mexico will have renovated more than 80% of its product lines, and by the end of 1H’26 it will have finished 100% of product line renovations under the brand renewal strategy.

 

6


 

 

Jafra US

Key Financial and Operating Metrics

 

    Q3     9M  
Results in ‘000 MXN   2025     2024     2025     2024  
Net Revenue   $ 237,534     $ 241,120       -1.5 %   $ 714,020     $ 680,481       4.9 %
Gross Margin     77.0 %     73.3 %     370 bps       75.7 %     73.6 %     202 bps  
EBITDA   $ -8,280     $ -6,462       28.1 %   $ -26,507     $ -9,108       191.0 %
EBITDA Margin     -3.5 %     -2.7 %     81 bps       -3.7 %     -1.3 %     237 bps  

 

    Q3     9M  
Results in ‘000 USD   2025     2024     2025     2024  
Net Revenue   $ 12,745     $ 12,748       0.0 %   $ 36,627     $ 38,425       -4.68 %
Gross Margin     77.0 %     73.6 %     334 bps       75.7 %     73.6 %     202 bps  
EBITDA   $ -442     $ -342       29.4 %   $ -1,346     $ -503       167.9 %
EBITDA Margin     -3.5 %     -2.7 %     79 bps       -3.7 %     -1.3 %     237 bps  
Associates                              
Avg. Base     26,303       30,150       -12.8 %     26,066       30,173       -13.6 %
EOP Base     26,450       29,103       -9.1 %     26,450       29,103       -9.1 %
Monthly Activity Rate     51.3 %     41.6 %     973 bps       48.8 %     43.6 %     521 bps  
Avg. Monthly Order   $ 228     $ 233       -2.1 %   $ 232     $ 229       1.3 %
Distributors                                                
Avg. Base     1,604       1,774       -9.6 %     1,639       1,743       -5.9 %
EOP Base     1,384       1,772       -22.0 %     1,384       1,772       -22.0 %
Monthly Activity Rate     92.6 %     87.5 %     512 bps       90.6 %     88.5 %     208 bps  
Avg. Monthly Order   $ 201     $ 233       -13.7 %   $ 211     $ 226       -6.6 %

 

Highlights

 

Revenue Recovery and Strong Execution: While net sales were practically unchanged YoY, the sales trend has begun to improve. It is important to note that September marked Jafra U.S.’s best monthly performance in three years, reaching $5.5 million USD and reflecting a 30% increase in net revenue compared to September 2024. This growth reflects the success of the redesigned catalog, the continued ramp-up of the Shopify+ platform, and a new incentive plan that has been well received by consultants since its May launch, strengthening engagement and visibility.

 

Profitability Improvement: Gross margin increased 334 bps YoY to 77%. Although the business still posted an EBITDA loss, the improvement in both sales and margins confirms that Jafra U.S. is progressing toward sustainable profitability. Accumulated EBITDA through third quarter 2025 included approximately $27 million pesos in one-time extraordinary legal settlement fees related to labor claims made prior to Jafra’s 2022 acquisition. When excluding these fees, operating EBITDA was positive during this period, demonstrating that the underlying performance of the business is on the right track toward profitability.

 

Q4 2025 Priorities

 

Continue leveraging the two strongest growth initiatives, the new incentive plan and Shopfiy+ platform.

 

Strengthen merchandising techniques: Enhance merchandising initiatives to boost revenue, such as the new Leadership Retreat qualification — 400 consultants qualified versus 150 expected.

 

Improve our ease of doing business: Deploy easier and more effective onboarding plans for new consultants and leaders.

 

7


 

 

Appendix

Financial Statements

 

Betterware de México, S.A.P.I. de C.V.

Consolidated Statements of Final Position

As of September 30, 2025 and 2024

(In Thousands of Mexican Pesos)

 

    Sep 2025     Sep 2024  
Assets            
Cash and cash equivalents     333,522       316,378  
Trade accounts receivable, net     1,191,536       1,200,117  
Accounts receivable from related parties     18       2,407  
Account receivable "San Angel"     115,760          
Inventories     2,300,381       2,504,370  
Prepaid expenses     174,063       100,303  
Income tax recoverable     120,461       67,701  
Derivative financial instruments     0       105,469  
Non-current assets held for sale     40,000       0  
Other assets     118,183       421,875  
Total current assets     4,393,924       4,718,620  
Account receivable "San Angel"     48,703       0  
Property, plant and equipment, net     1,713,003       2,121,418  
Right of use assets, net     291,221       291,960  
Deferred income tax     525,086       524,876  
Intangible assets, net     1,513,648       1,590,916  
Goodwill     1,599,718       1,599,718  
Other assets     14,257       14,387  
Total non-current assets     5,705,636       6,143,275  
Total assets     10,099,560       10,861,895  
                 
Liabilities and Stockholders’ Equity                
Short-term debt and borrowings     1,661,924       618,279  
Accounts payable to suppliers     1,730,717       2,372,520  
Accrued expenses     368,196       410,253  
Provisions     668,882       778,992  
Value added tax payable     54,662       44,614  
Statutory employee profit sharing     97,875       86,885  
Lease liability     118,746       109,873  
Derivative financial instruments     33,563       0  
Total current liabilities     4,734,565       4,421,416  
Employee benefits     142,485       139,701  
Deferred income tax     495,118       572,301  
Lease liability     193,055       214,098  
Long term debt and borrowings     3,242,407       4,334,713  
Total non-current liabilities     4,073,065       5,260,813  
Total liabilities     8,807,630       9,682,229  
Stockholders’ Equity                
Capital stock     321,312       321,312  
Share premium account     -25,264       -25,264  
Retained earnings     1,036,602       916,606  
Other comprehensive income     -37,187       -31,508  
Non-controlling interest     -3,533       -1,480  
Total Stockholders’ Equity     1,291,930       1,179,666  
Total Liabilities and Stockholders’ Equity     10,099,560       10,861,895  

 

8


 

 

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 September 30, 2025 and 2024

(In Thousands of Mexican Pesos)

 

    Q3 2025     Q3 2024     ∆%  
Net revenue     3,377,299       3,330,394       1.4 %
Cost of sales     1,064,701       1,103,468       -3.5 %
Gross profit     2,312,598       2,226,926       3.8 %
                         
Administrative expenses     564,547       649,765       -13.1 %
Selling expenses     961,693       928,707       3.6 %
Distribution expenses     159,282       152,281       4.6 %
Total expenses     1,685,522       1,730,753       -2.6 %
                         
Other expenses - Sale of fixed assets     0       435,030       NA  
                         
Operating income     627,076       61,143       925.6 %
                         
Interest expense     -131,907       -159,087       -17.1 %
Interest income     5,473       2,751       98.9 %
Unrealized loss in valuation of financial derivative instruments     0       82,876       -100.0 %
Foreign exchange loss, net     1,038       -27,586       -103.8 %
Financing cost, net     -125,396       -101,046       24.1 %
                         
Income before income taxes     501,680       -39,903       -1357.2 %
                         
Income taxes     188,055       72,634       158.9 %
                         
Net income including minority interest     313,625       -112,537       -378.7 %
Non-controlling interest loss     580       -24       -2516.7 %
Net income     314,205       -112,561       -379.1 %
                         
Concept   Q3 2025     Q3 2024     ∆%  
Net income     313,625       -112,537       -378.7 %
(+) Income taxes     188,055       72,634       158.9 %
(+) Financing cost, net     125,396       101,046       24.1 %
(+) Depreciation and amortization     95,073       95,402       -0.3 %
EBITDA     722,149       156,545       361.3 %
EBITDA margin     21.38 %     4.70 %        
(+) Other expenses - Sale of fixed assets             435,030       -100.0 %
(+) Impairment of fixed assets             0          
EBITDA adjusted     722,149       591,575       22.1 %
EBITDA margin adjusted     21.38 %     17.76 %        

 

9


 

 

Betterware de México, S.A.P.I. de C.V.

Consolidated Statements of Profit or Loss and Other Comprehensive Income

For the nine-months ended September 30, 2025 and 2024

(In Thousands of Mexican Pesos)

 

    9M 2025     9M 2024     ∆%  
Net revenue     10,439,093       10,322,290       1.1 %
Cost of sales     3,418,781       3,285,321       4.1 %
Gross profit     7,020,312       7,036,969       -0.2 %
                         
Administrative expenses     1,886,385       1,923,042       -1.9 %
Selling expenses     2,976,073       2,907,457       2.4 %
Distribution expenses     514,655       489,593       5.1 %
Total expenses     5,377,113       5,320,092       1.1 %
                         
Other expenses - Sale of fixed assets     0       435,030       NA  
                         
Operating income     1,643,199       1,281,847       28.2 %
                         
Interest expense     -422,219       -483,894       -12.7 %
Interest income     29,451       13,554       117.3 %
Unrealized loss in valuation of financial derivative instruments     -108,846       153,389       -171.0 %
Foreign exchange loss, net     73,165       -88,839       -182.4 %
Financing cost, net     -428,449       -405,790       5.6 %
                         
Income before income taxes     1,214,750       876,057       38.7 %
                         
Income taxes     423,728       389,586       8.8 %
                         
Net income including minority interest     791,022       486,471       62.6 %
Non-controlling interest loss     1,883       -48       -4022.9 %
Net income     792,905       486,423       63.0 %
                         
Concept                   ∆%  
Net income     791,022       486,471       62.6 %
(+) Income taxes     423,728       389,586       8.8 %
(+) Financing cost, net     428,449       405,790       5.6 %
(+) Depreciation and amortization     293,027       286,224       2.4 %
EBITDA     1,936,226       1,568,071       23.5 %
EBITDA margin     18.55 %     15.19 %        
(+) Other expenses - Sale of fixed assets     0       435,030       -100.0 %
(+) Impairment of fixed assets     0       0          
EBITDA adjusted     1,936,226       2,003,101       -3.3 %
EBITDA margin adjusted     18.55 %     19.41 %        

 

10


 

 

Betterware de México, S.A.P.I. de C.V. 

Consolidated Statements of Cash Flows

For the nine-months ended September 30, 2025 and 2024

(In Thousands of Mexican Pesos)

 

    Q3 2025     Q3 2024  
Cash flows from operating activities:            
Profit for the period     791,022       486,471  
                 
Adjustments for:                
Income tax expense recognized in profit of the year     423,728       389,586  
Depreciation and amortization of non-current assets     293,027       286,224  
Interest income recognized in profit or loss     -29,451       -13,554  
Interest expense recognized in profit or loss     422,219       483,894  
Unrealized loss (gain) in valuation of financial derivative instruments     108,846       -153,389  
Share-based payment expense             -8,894  
Gain on disposal of equipment     -8,147       699,176  
Currency effect     20,420       -17,021  
Movements in not- controlling interest     72       103  
Movements in working capital:                
Trade accounts receivable     -58,443       -127,662  
Trade accounts receivable from related parties     232       -2303  
Trade account receivable "San Angel"     47,159          
Inventory, net     204,712       -470,236  
Prepaid expenses and other assets     -57,982       -170,656  
Accounts payable to suppliers and accrued expenses     -441,500       668,348  
Provisions     -80,036       -25,756  
Value added tax payable     -16,530       -73,747  
Statutory employee profit sharing     -41,380       -45,970  
Trade accounts payable to related parties     -1,237       20  
Income taxes paid     -445,478       -633,554  
Employee benefits     14,173       12,551  
Net cash generated by operating activities     1,145,426       1,283,631  
                 
Cash flows from investing activities:                
Payments for property, plant and equipment, net     -61,767       -174,996  
Proceeds from disposal of property, plant and equipment, net     6,225       126,836  
Interest received     29,451       13,554  
Net cash used in investing activities     -26,091       -34,606  
                 
Cash flows from financing activities:                
Repayment of borrowings     -3,914,700       -2,071,500  
Proceeds from borrowings     4,031,200       1,945,000  
Interest paid     -431,383       -497,796  
Lease payment     -118,787       -109,541  
Dividends paid     -648,701       -748,540  
Net cash used in financing activities     -1,082,371       -1,482,377  
Net increase (decrease) in cash and cash equivalents     36,964       -233,352  
Cash and cash equivalents at the beginning of the period     296,558       549,730  
Cash and cash equivalents at the end of the period     333,522       316,378  

 

11


 

 

Key Operating Metrics

 

Betterware Mexico

 

    Q2 2024     Q3 2024     Q4 2024     Q1 2025     Q2 2025     Q3 2025  
Associates                                    
Avg. Base     713,144       694,277       693,666       645,359       657,317       675,696  
EOP Base     699,033       700,893       674,654       649,076       670,349       667,501  
Monthly Activity Rate     66.4 %     66.3 %     64.8 %     65.5 %     65.6 %     63.3 %
Avg. Monthly Order   $ 2,027     $ 2,034     $ 2,158     $ 2,152     $ 2,153     $ 2,043  
Monthly Growth Rate     13.8 %     15.7 %     14.3 %     18.7 %     16.6 %     16.1 %
Monthly Churn Rate     15.0 %     15.6 %     15.6 %     19.5 %     15.6 %     16.3 %
Distributors                                                
Avg. Base     44,953       44,639       43,585       41,202       42,062       43,220  
EOP Base     45,009       43,939       42,608       41,810       43,292       42,673  
Monthly Activity Rate     98.0 %     98.0 %     96.7 %     97.9 %     98.8 %     97.9 %
Avg. Monthly Order   $ 21,669     $ 21,531     $ 22,945     $ 22,534     $ 22,347     $ 20,752  
Monthly Growth Rate     11.4 %     10.4 %     8.7 %     9.8 %     10.7 %     9.6 %
Monthly Churn Rate     11.0 %     11.2 %     10.3 %     11.2 %     9.4 %     10.1 %

 

Jafra Mexico

 

    Q2 2024     Q3 2024     Q4 2024     Q1 2025     Q2 2025     Q3 2025  
Associates                                    
Avg. Base     432,450       403,340       476,211       468,356       438,041       411,670  
EOP Base     419,931       421,073       480,532       446,998       429,472       405,599  
Monthly Activity Rate     50.50 %     51.6 %     49.9 %     50.5 %     49.8 %     49.4 %
Avg. Monthly Order   $ 2,284     $ 2,347     $ 2,439     $ 2,419     $ 2,495     $ 2,552  
Monthly Growth Rate     8.4 %     12.0 %     13.2 %     10.1 %     10.1 %     10.0 %
Monthly Churn Rate     10.8 %     11.9 %     8.6 %     12.5 %     11.3 %     12.0 %
Distributors                                                
Avg. Base     19,073       18,823       18,889       19,150       19,036       18,950  
EOP Base     19,035       18,722       19,093       19,202       18,966       18,964  
Monthly Activity Rate     93.10 %     93.2 %     94.6 %     95.1 %     94.1 %     93.7 %
Avg. Monthly Order   $ 2,693     $ 2,694     $ 2,758     $ 2,744     $ 2,855     $ 3,023  
Monthly Growth Rate     0.7 %     0.9 %     1.8 %     1.2 %     0.6 %     1.2 %
Monthly Churn Rate     0.8 %     1.5 %     1.1 %     1.0 %     1.0 %     1.3 %

 

Jafra US

 

    Q2 2024     Q3 2024     Q4 2024     Q1 2025     Q2 2025     Q3 2025  
Associates                                    
Avg. Base     31,013       30,150       26,540       24,703       27,191       26,303  
EOP Base     31,474       29,103       25,272       25,973       28,188       26,450  
Monthly Activity Rate     45.9 %     41.6 %     44.5 %     45.9 %     49.2 %     51.3 %
Avg. Monthly Order (USD)   $ 232     $ 233     $ 248     $ 243     $ 225     $ 228  
Monthly Growth Rate     14.4 %     11.2 %     10.0 %     12.8 %     13.2 %     11.4 %
Monthly Churn Rate     11.9 %     13.7 %     14.7 %     11.8 %     9.7 %     14.0 %
Distributors                                                
Avg. Base     1,726       1,774       1,786       1,504       1,808       1,604  
EOP Base     1,766       1,772       1,638       1,493       1,901       1,384  
Monthly Activity Rate     89.8 %     87.5 %     85.5 %     89.3 %     89.8 %     92.6 %
Avg. Monthly Order (USD)   $ 229     $ 233     $ 219     $ 228     $ 206     $ 201  
Monthly Growth Rate     8.5 %     5.8 %     2.7 %     4.0 %     8.5 %     3.8 %
Monthly Churn Rate     6.7 %     5.7 %     5.0 %     6.9 %     0.0 %     12.8 %

 

12


 

 

Key Financial Metrics

 

Consolidated

 

    Q2 2024     Q3 2024     Q4 2024     Q1 2025     Q2 2025     Q3 2025  
Net Revenue   $ 3,389,393     $ 3,330,394     $ 3,778,468     $ 3,499,151     $ 3,562,643     $ 3,377,299  
Gross Margin     67.8 %     66.9 %     67.3 %     66.2 %     67.1 %     68.5 %
EBITDA   $ 656,136     $ 591,575     $ 771,596     $ 535,265     $ 678,812     $ 722,149  
EBITDA Margin     19.4 %     17.8 %     20.4 %     15.3 %     19.1 %     21.4 %
Net Income   $ 303,745     $ 183,608     $ 270,083     $ 150,728     $ 327,306     $ 313,625  
Free Cash Flow   $ 458,437     $ 417,379     $ 548,430     $ -55,841     $ 592,152     $ 553,573  

 

Betterware Mexico

 

    Q2 2024     Q3 2024     Q4 2024     Q1 2025     Q2 2025     Q3 2025  
Net Revenue   $ 1,476,375     $ 1,465,577     $ 1,494,855     $ 1,403,065     $ 1,458,593     $ 1,387,586  
Gross Margin     56.4 %     54.8 %     57.2 %     55.3 %     55.2 %     57.1 %
EBITDA   $ 304,467     $ 279,889     $ 330,075     $ 261,493     $ 290,745     $ 312,669  
EBITDA Margin     20.6 %     19.1 %     22.1 %     18.6 %     19.9 %     22.5 %

 

Jafra Mexico

 

    Q2 2024     Q3 2024     Q4 2024     Q1 2025     Q2 2025     Q3 2025  
Net Revenue   $ 1,671,137     $ 1,623,697     $ 2,038,993     $ 1,869,818     $ 1,853,832     $ 1,752,179  
Gross Margin     77.0 %     76.8 %     74.1 %     73.5 %     75.3 %     76.3 %
EBITDA   $ 344,478     $ 318,146     $ 440,630     $ 286,706     $ 393,360     $ 417,760  
EBITDA Margin     20.6 %     19.6 %     21.6 %     15.3 %     21.2 %     23.8 %

 

Jafra US

 

    Q2 2024     Q3 2024     Q4 2024     Q1 2025     Q2 2025     Q3 2025  
Net Revenue   $ 241,881     $ 241,120     $ 244,620     $ 226,268     $ 250,218     $ 237,534  
Gross Margin     73.6 %     73.3 %     73.1 %     73.9 %     76.0 %     77 %
EBITDA   $ 7,192     $ -6,463     $ 891     $ -12,934     $ -5,293     $ -8,280  
EBITDA Margin     3.0 %     -2.7 %     0.4 %     -5.7 %     -2.1 %     -3.5 %

 

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.

 

13


 

 

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 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 salesforce 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.

 

14


 

 

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 beyond its control that might occur inside Mexico or abroad and which might affect the outcome of these projections and encourages you to review the ‘Cautionary Statement’ and the ‘Risk Factor’ sections of our annual report on Form 20-F for the year ended December 31, 2020 and any of the Company’s other applicable filings with the Securities and Exchange Commission for additional information concerning factors that could cause those differences

 

The Company undertakes no obligation and does not intend to update these forward-looking statements to reflect events or circumstances occurring after the date hereof. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Further information on risks and uncertainties that may affect the Company’s operations and financial performance, and the forward statements contained herein, is available in the Company’s filings with the SEC. All forward-looking statements are qualified in their entirety by this cautionary statement.

 

Q3 2025 Conference Call

 

Management will hold a conference call with investors on October 23rd, 2025, at 3:30 pm Mexico City Time / 5:30 pm Eastern Time (EST). For anyone who wishes to join live, the dial-in information is:

 

Toll Free: 1-877-451-6152

Toll/International: 1-201-389-0879

Conference ID: 13754386

Webcast Link: https://viavid.webcasts.com/starthere.jsp?ei=1724802&tp_key=1369fe2566

 

If you wish to listen to the replay of the conference call, please see instructions below:

 

Toll Free: 1-844-512-2921

Toll/International: 1-412-317-6671

Replay Pin Number: 13754386

 

Contacts.

 

Company:

 

BeFra IR

ir@better.com.mx

+52 (33) 3836 0500 Ext. 2011

 

InspIR:

 

Investor Relations

Ivan Peill

ivan@inspirgroup.com

 

15