Stock Groups

Cuervo parent Becle expects supply problems to persist, CEO says -Breaking

[ad_1]

© Reuters. FILEPHOTO: Jose Cuervo Tequila bottles are displayed on a Mexican shelf, Mexico City. Feb 8, 2017. REUTERS/Edgard Garrido

(Reuters.) Mexican distiller Becle, also known as Jose Cuervo tequila’s parent company, said Friday it expects to have more supply chain challenges this year.

Juan Domingo Beckmann (Becle Chief Executive) stated that “we still see disruption”, citing specifically glass supplies.

Beckmann’s family is the owner of the company. He said that disruptions have decreased from last year but that the company doesn’t know when it will normalize.

The company released its first quarter results on Thursday. However, it noted that there were still challenges in supply chains. It said however that they are managing them with “logistics mitigation strategy.”

Becle reported a net profit of 1.35 Billion Pesos (67.9 Million) in its first quarter, an increase of 9.4% over the previous year.

Becle, the Mexican stock market’s top-earning trader on Friday closed more than 5% higher in spite of the general index falling 2%.

($1 = 19.8911 pesos by end-March)

[ad_2]