Store Openings

FY 2024

380 to 420 new store openings " "

380 to 420 new store openings " " "

no change

Store Expansion Strategy

Q2 2024 featured a decentralized approach with 121 net new stores and clear 2024 guidance; Q1 2024 reported 94 new stores with disciplined expansion; Q4 2023 saw record-breaking growth with 396 new stores and robust expansion metrics. " " "

Q3 2024 reported the opening of 131 net new stores with reaffirmed guidance (380–420 stores for 2024) and a focus on long‑term market potential. " "

Consistent focus with increased pace

Vintage Performance

Across Q2, Q1, and Q4, newer store vintages consistently showed faster ramp‑up, stronger sales curves, and steady solid performance, while older vintages maintained growth. " " " "

Q3 2024 continued the trend, with newer vintages breaking even faster and maintaining strong, improved sales curves. " "

Consistent strong performance with continued improvement

Same-Store Sales Growth

Q2 reported 10.7% growth with various external factors; Q1 achieved 14.8% growth; Q4 highlighted robust same‑store sales across vintages with mid‑teens guidance. " " "

Q3 2024 saw 11.6% year‑on‑year growth, driven primarily by a strong increase in transactions and ticket size. " " "

Stable growth with slight fluctuations

Operational Efficiency and Cost Management Initiatives

Q2 emphasized dilution of selling expenses, strategic investments in talent/IT, and strong working capital; Q1 highlighted ongoing efficiency projects; Q4 stressed SG&A dilution and improved operating leverage. " " "

Q3 2024 achieved a 51‑basis point reduction in SG&A, 54% EBITDA growth, and maintained a self‑funded expansion despite increased store openings. " "

Consistent drive toward efficiency with improved cost control

Pricing Strategy and Margin Management

Q2 and Q1 discussed dynamic pricing via continuous elasticity testing and better supplier negotiations leading to margin improvements; Q4 emphasized price leadership with improved gross margins achieved through supplier negotiations. " " " "

Q3 2024 maintained a dynamic approach with continuous elasticity testing, resulting in flat year‑over‑year gross margins at 15.8% while balancing pricing and unit margin optimization. " "

Steady focus on dynamic pricing and balancing margins

Currency Exposure and Peso Depreciation Risks

Q2 highlighted delayed pass‑through effects on COGS and FX gains, with Q1 noting market adjustments over 12–18 months; Q4 did not mention this topic. " " "

Q3 2024 reported significant USD cash reserves (MXN 2.9 billion in short‑term deposits) and reiterated that the impact of peso depreciation takes 8–18 months to materialize. " " "

Managed risk with emphasis on hedging; consistent strategy

Supplier Relationships and Supply Chain Dynamics

Q2 noted improved supplier terms with scaling and new distribution centers; Q1 highlighted a post‑IPO “halo effect” and scale benefits; Q4 underscored improved negotiations and growing private label penetration. " " "

Q3 2024 continued to emphasize long‑term planning and improved supplier terms driven by scale, reinforcing strong supply continuity. "

Consistent strengthening of supplier relationships

Risks from Rapid Expansion and Operational Execution

Q2 indirectly referred to lumpy store openings and timing challenges; Q1 emphasized disciplined expansion with strong vintage performance; Q4 mentioned operational challenges through timing and cost implications of rapid growth. " "

Q3 2024 did not explicitly mention any risks, focusing instead on strong expansion performance and operational efficiency. " "

Risks not explicitly discussed; previous concerns remain unhighlighted

Rising IT, Talent, and Administrative Costs

Q2 discussed a 45.8% increase in administrative expenses driven by investments in IT, talent, and regional expansion; Q1 mentioned various efficiency initiatives without specific cost concerns; Q4 highlighted additional hiring for public company obligations. " " "

Q3 2024 noted that administrative expenses remained flat compared to the previous year despite ongoing strategic investments in talent and infrastructure. "

Managed rising costs with continued optimization initiatives

Competitive Pressures and Reporting Ambiguities

Q2 addressed competitive pressures in geographical expansion with caution over lumpiness in quarterly metrics; Q1 affirmed their market lead amid healthy competition with some ambiguities in metrics reporting; Q4 clarified competitive positioning and reporting definitions. " "

Q3 2024 stressed a robust value proposition against competitors and clarified reporting details regarding same‑store sales breakdown and gross margin fluctuations. " " "

Consistent acknowledgment of competition with improved reporting clarity

External Environmental Factors

Q2 mentioned adverse weather, Easter timing shifts, and election impacts; Q1 did not mention environmental factors; Q4 discussed Hurricane Otis and its nonrecurring expense impact with a strong rebound afterward. " " "

Q3 2024 only noted minor adverse weather (rain) that had minimal impact on consumer behavior. "

Variability in impact; severe events in Q4 vs. mild effects in Q3

Post‑IPO Supplier Engagement Dynamics (No Longer Emphasized)

Q1 highlighted a strong post‑IPO “halo effect” with increased supplier motivation; Q4 noted that improved supplier negotiations benefited from the post‑IPO environment; Q2 did not mention this topic. " "

Q3 2024 did not explicitly mention post‑IPO dynamics, with the focus shifting to long‑term supplier relationship management. "

Previously emphasized post‑IPO dynamic now de‑emphasized