Bolsa Mexicana Tumbles as Profit Outlook Cut: Mexico City Mover
The shares fell 3.7 percent to 25.12 pesos at the close of trading, the biggest decline since May 18. The benchmark IPC index (MEXBOL) of 35 Mexican stocks slipped 1.3 percent.
Full-year net income will be 720 million pesos ($55 million) to 725 million pesos, down from an earlier projection of 745 million pesos to 750 million pesos. Officials pared estimates for derivatives volumes and added increased expenses for technology into the outlook, Ramon Guemez, the company’s investor relations chief, said on a conference call today.
The announcement was a “negative surprise” after second- quarter earnings met expectations, Banco Santander SA (SAN) analysts including Boris Molina said in an e-mailed research note today.
Net income climbed 17 percent to 184.5 million pesos in the second quarter on 453.4 million pesos in revenue, according to a report posted on the stock exchange’s website yesterday after markets had closed. Operating income was 210.3 million pesos in the period.
The bourse also cut projections for its operating profit margin this year to a range of 45 percent to 46 percent, down from 46 percent to 47 percent.
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