Mexico's Arca Continental reports higher 1st-qtr profit
MEXICO CITY, April 22 (Reuters) - Mexico's No.2 Coke bottler, Arca Continental, on Wednesday reported a 12 percent rise in its first-quarter profit, helped by stronger sales.
The company reported a profit of 1.3 billion pesos ($85.22 million), up from 1.16 billion pesos in the year-earlier period.
Revenue rose 14 percent to 15.27 billion pesos.
Mexico approved a tax of 1 peso per liter on sugary drinks and an 8 percent tax on fast food in 2013 as part of a wider tax overhaul that took effect at the start of 2014.
Mexicans are the world's biggest consumers of soda per person, drinking an average 707 8-ounce (0.24 liter) servings each year, according to U.S. newsletter Beverage Digest.
Since the tax change, sales of Coke products have fallen for Arca and its bigger rival, Coca-Cola Femsa. Both companies have been trying to offset that by offering more types of beverages, such as juices and teas, as well as water.
($1 = 15.2610 pesos at end March) (Reporting by Gabriel Stargardter; Writing by Elinor Comlay; Editing by Chizu Nomiyama)
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