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Best Quarterly Report Practices for Companies in Mexico’s Stock Market

How best to report quarterly earnings? Clearly, the right answer will depend on the type of company (large, small, family owned or not etc…), the level of analyst/investor interest (Apple or Homex) and management’s view on the trade-off between adequate disclosure for the market and giving away too much information to competitors.


Here at Miranda IR, we recommend the following:


  1. If possible, it’s better to report early than late in the earnings window. This can show that management systems work well, and can give the impression of being organized and timely. In Mexico Kimberly-Clark usually report first.

  2. After sending the report to the Bolsa (EMISNET) or BIVA, email press release to your distribution list. If you are using mass email software be sure to check the SPAM list, and send separately by BCC to those with strong firewalls. Also, send earnings report to Bloomberg, Refinitiv (Reuters), Dow Jones, Infosel and Tweet a link to the earnings report on Twitter. (Miranda IR can help with all this.)

  3. With respect to the report, include the ticker symbol of the company in the announcement and beginning of the report. Be SEO smart with the title of the report. (i.e., Change “ABC Technologies – Q1 Results” to “ABC Technologies Announces its Results for its First Quarter of Fiscal Year 2017).”

  4. Having a checklist of the following best practices ensure that all bases are covered. A) Include the 3 main financial statements: Balance, Income and Cash Flow statement B) Use financial tables to display EBITDA, cash flow and operational information C) Compare with a previous quarter or same quarter last year D) For the 4Q include Full Year as well as Fourth Quarter E) Benchmark disclosure of operating metrics against local and international peers. If possible, seek to give as much information as your peers, and revise disclosure policy at least once a year. Ask your investors and sell side analysts at least once a year what information they would like to see to be comfortable with the company. F) And most importantly, to the extent possible, ask does this report answer the most common Investor and Analyst questions regarding the company.

  5. Bullet points for the main highlights and infographics as visual support makes the information easier to consume (financially/operationally oriented). Hyperlinks to previous reports or press releases that offer more information can help analysts/investors get a more comprehensive view. Include appropriate contact details to address investor/analyst concerns and questions.

  6. CEO Comments. These should not just repeat the numbers in the quarter, but seek to add strategic value. What was the most relevant development in the quarter? How are you seeing the quarter ahead? What are the strategic initiatives the company is focusing on? For the most part, we recommend against using this section to discuss your view on the Mexican economy. Investors have their own sources of information on this.

  7. In the event the company gives guidance, we believe the quarterly report is a good place to update it.

  8. Be consistent. If in one quarter you disclose certain information, keep disclosing it. If you report Adjusted EBITDA (profit, etc.) under one definition, stick to it. Try to minimize reporting Adjusted Numbers, and explain clearly the differences and logic between Adjusted and Reported Numbers. Trying to game numbers to your advantage rarely works, and undermines confidence.

  9. Include earnings call information in the earnings report. Add the disclaimer towards the end of the report (forward looking statements).



Title: Best Practices for Enhancing Earnings Releases

Author: Matt Van Tassel

Date: 2018            Source: Businesswire

Link: https://resources.businesswire.com/hubfs/FY19Q1%20IR%20Campaign/Best%20Practices%20for%20Enhancing%20Earnings%20Releases_%20Business%20Wire.pdf

: Earnings Checklist


Date: 2017            Source: Cision

Link: https://s3.amazonaws.com/cision-wp-files/ca-en/wp-content/uploads/2017/04/17154700/EarningsChecklistCanada_Final.pdf

: 5 Tricks Companies Use During Earnings Season

Author: Glenn Curtis

Date: 30/11/2019            Source: Investopedia