Becle, S.A.B. de C.V.

Good morning and thank you for joining Beckley's fourth quarter and full year unaudited financial results call. During this call, you may hear certain forward-looking statements. These statements may relate to our future prospects, developments and business strategies and may be identified by our use of terms and phrases such as anticipate, believe, could, estimate, expect, intend, may, plan, predict, project, will, goals, target, strategy, and similar terms and phrases, and may include references to assumptions. Forward-looking statements are based on our current expectations and assumptions regarding our business, the economy, and other future conditions. Because forward-looking statements relate to the future by their nature, they are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict. Our actual results may differ materially from those in forward-looking statements. For all the foregoing reasons, you are cautioned against relying on such forward-looking statements. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. Before we begin, we would like to remind you that the figures discussed on this call were prepared in accordance with International Financial Reporting Standards, or IFRS, and published in the Mexican Stock Exchange. The information for the third quarter of 2022 is preliminary and is provided with the understanding that once financial statements are available, updated information will be shared in the appropriate electronic formats. At this time, we would like to remind participants that your lines will be in listen-only mode until the question and answer session. Now, I will pass the call on to Beckley's CEO, Mr. Juan Domingo Beckman.

good morning everyone and thank you for joining us today as we discuss beckless fourth quarter and full year 2022 results once again i am pleased to announce that our regions posted solid numbers despite facing several headwinds such as inflationary pressures and supply chain constraints underlying demand for our brands remains strong allowing us to continue building on last quarter's momentum and position ourselves for a healthy start to 2023. Berkeley's strong fourth quarter and full year results are testament to the company's resiliency, adaptability, and successful strategy execution. Throughout the quarter and full year, we saw the benefits of our premiumization and product mix strategies play out across the regions, reflected in the Repulse results in volumes and lead sales. For the greater quarter, Total volume and net sales grew respectively by 3.8% and 5.1% year over year. For the full year, total volume increased 7.4% with net sales growing 16%. In the U.S. and Canada region, volume was boosted by strong growth in tequila for the quarter and full year. partially upset by decreases in the highly competitive and quickly growing low-alcoholic and RTDs market. Nevertheless, depletions grew in line with shipments, leading to adequate inventory levels, highlighting the strong demand for our brands. Our premiumization strategy in the region continues to stimulate growth and is a key driver of lead sales. Mexico and LATAM's overall results for the quarter and the year were very positive, driven by continuous growth in our tequila portfolio, successful premiumization, and product mix strategies, along with sustainable boss figures for both the oil and off-premise channels. We remain committed to diversifying our suppliers in the region to mitigate continuous supply chain constraints. The VLAPAC regions posted solid volume and led sales growth, demonstrating increased tequila adoption aided by a well-executed premiumization strategy. These excellent results came despite a high inflationary environment, suggesting a strong demand for our brands. We are pleased with the quality fourth quarter results achieved across our brands and regions. Our steady depletion levels combined with robust and effective execution of our premiumization strategy has spurred volume and led sales growth across regions. This has allowed us to navigate emerging challenges and secure sustained value growth for our shareholders. I will now turn the call over to Luis Felix to discuss our U.S. and Canada results in further detail.

Thank you, Juan, and good morning, everyone. We are very pleased with our commercial performance in the United States and Canada for the fourth quarter and for the full year of 2022. Net sales value for the region was up 3.7% compared to the fourth quarter of 2021 and ended the full year up 6.6%. On a constant currency basis, net sales value for the quarter was up 9% year-over-year and increased 7.4% for the full year. Our full-year NSV growth reflects the positive effects of our 2022 price increase across our full-strength spirits portfolio and the successful execution of our premiumization strategy, driven by improved performance of our super and ultra-premium tequila brands. Full year 2022 depletions matched shipments with a 2.5 year over year decrease in both. This is an excellent base leading into 2023. Shipments and depletions for the quarter grew 1.8 and 4.1% over the previous year respectively, lapping a top comparison year in full quarter 21, where shipments and depletions were up 11% and 6% respectively. Looking to U.S. Nielsen data for the 13 weeks ending December 31st of 2022, our brand's consumer takeaway increased by 8.7%, strongly outpacing the industry, which grew by 3% in value. Our tequila portfolio depletions were up 12% for the quarter and increased 8.1% for the full year, driven by continuous trend of our... super premium and ultra premium tequilas. Our supply chain team's proactive actions improved glass availability in the fourth quarter and managed to narrow the production gap by the end of the year. Our Ready to Drink Margarita category regained momentum and recorded 5.1% shipments growth during the quarter, but ended the year with a 7.7% decrease versus the prior year, wrapping a hard comparison basis from unprecedented growth during the pandemic, coupled with tough competitive environment. Our non-alcoholic portfolio shipment continues to underperform, negatively impacting volume figures for the quarter. These categories have faced difficult conditions due to the robust reopening of the on-premise channel as our margarita mix offering is highly skewed to off-premise consumption. So at the end, we increased A&P spending during the fourth quarter, reflecting higher media and sponsorship expenses from strategic initiatives within our premium tequila and whiskey portfolios. I will now turn the call over to Olga Limon to discuss the Mexico and Latin America results.