Fifco Reports Historic Dividend Payments and Financial Performance
Florida Ice & Farm announces record dividend payouts while navigating a complex financial landscape in 2024.
Florida Ice & Farm Company (Fifco) has declared a historic dividend payment of ¢47.332 million (approximately $91.1 million) to its shareholders for the year 2024, marking a significant increase from the ¢39.908 million distributed in 2023. This represents an 18.6% rise in dividends year-over-year and is the highest payout recorded by the company in the last decade.
The dividends per share reflect a yield of 7.1%, the most substantial rate in ten years, with individual dividends valued at ¢55. However, the company's net profit has shown a decline, totaling ¢86.008 million, which is a decrease of 9.72% compared to ¢95.266 million in 2023. Furthermore, the net income attributable to shareholders decreased by 10.6% to ¢69.377 million, primarily due to exchange rate fluctuations stemming from a 2.7% devaluation of the Costa Rican colón in 2024.
Operating income, excluding other expenses and taxes, increased by 6.5%, reaching ¢142.915 million due to growth in its beverages and food sectors.
In contrast, net sales fell by 0.4% to ¢823.950 million, attributed to adverse effects from currency conversion on international operations, decreased beverage sales in the United States, and a downturn in real estate activities.
This decline, however, was partially offset by growth in the food division, driven by an increase in convenience store expansions, transaction volumes, and product pricing.
In an address accompanying the Integrated Report 2024, Rolando Carvajal, the company’s CEO, highlighted efforts toward innovation and digital transformation, emphasizing the company’s evolution into a more agile and efficient organization.
Established in 1908, Fifco operates in several countries, including Mexico, Guatemala, Honduras, El Salvador, Nicaragua, Panama, the Dominican Republic, and the United States.
The company employs 6,883 staff and exports to 13 nations, operating five production plants and 13 distribution centers with a portfolio exceeding 2,675 products.
Fifco’s business encompasses three main areas: beverages and food, encompassing production, distribution, and retail; hospitality, which includes real estate development and hotel operations; and diverse investments.
The hospitality segment reported improved hotel occupancy and higher rates at the Westin Reserva Conchal and Hotel W Costa Rica, both located in Guanacaste province.
Comparisons with 2023 indicate better occupancy rates at the Westin and increased rates at the W, enhancing overall business results.
Further developments in the beer market in Costa Rica and progress in marketing flavored and functional beverages have been noted by the company.
In Central America, notable sales performance was achieved in beans and bakery products.
Strategic alliances with brands such as Heineken, PepsiCo, and Diageo have facilitated Fifco’s expansion in the United States, while it continues to grow in Central America with the acquisitions of the Kern’s and Ducal brands.
Additionally, in 2024, Fifco achieved a goal of recovering 100% of plastic packaging placed in the market, amounting to 9,617 metric tons.
The company supports this initiative with operational infrastructure that includes two collection routes in the Greater Metropolitan Area and three in rural areas.
The dividends per share reflect a yield of 7.1%, the most substantial rate in ten years, with individual dividends valued at ¢55. However, the company's net profit has shown a decline, totaling ¢86.008 million, which is a decrease of 9.72% compared to ¢95.266 million in 2023. Furthermore, the net income attributable to shareholders decreased by 10.6% to ¢69.377 million, primarily due to exchange rate fluctuations stemming from a 2.7% devaluation of the Costa Rican colón in 2024.
Operating income, excluding other expenses and taxes, increased by 6.5%, reaching ¢142.915 million due to growth in its beverages and food sectors.
In contrast, net sales fell by 0.4% to ¢823.950 million, attributed to adverse effects from currency conversion on international operations, decreased beverage sales in the United States, and a downturn in real estate activities.
This decline, however, was partially offset by growth in the food division, driven by an increase in convenience store expansions, transaction volumes, and product pricing.
In an address accompanying the Integrated Report 2024, Rolando Carvajal, the company’s CEO, highlighted efforts toward innovation and digital transformation, emphasizing the company’s evolution into a more agile and efficient organization.
Established in 1908, Fifco operates in several countries, including Mexico, Guatemala, Honduras, El Salvador, Nicaragua, Panama, the Dominican Republic, and the United States.
The company employs 6,883 staff and exports to 13 nations, operating five production plants and 13 distribution centers with a portfolio exceeding 2,675 products.
Fifco’s business encompasses three main areas: beverages and food, encompassing production, distribution, and retail; hospitality, which includes real estate development and hotel operations; and diverse investments.
The hospitality segment reported improved hotel occupancy and higher rates at the Westin Reserva Conchal and Hotel W Costa Rica, both located in Guanacaste province.
Comparisons with 2023 indicate better occupancy rates at the Westin and increased rates at the W, enhancing overall business results.
Further developments in the beer market in Costa Rica and progress in marketing flavored and functional beverages have been noted by the company.
In Central America, notable sales performance was achieved in beans and bakery products.
Strategic alliances with brands such as Heineken, PepsiCo, and Diageo have facilitated Fifco’s expansion in the United States, while it continues to grow in Central America with the acquisitions of the Kern’s and Ducal brands.
Additionally, in 2024, Fifco achieved a goal of recovering 100% of plastic packaging placed in the market, amounting to 9,617 metric tons.
The company supports this initiative with operational infrastructure that includes two collection routes in the Greater Metropolitan Area and three in rural areas.