Betterware de México, S.A.P.I. de C.V. (NYSE: BWMX) ("BeFra" or the "Company"), announced today its consolidated financial results for the third quarter 2025. The figures presented in this report are expressed in nominal Mexican Pesos (Ps.) unless otherwise noted, presented and approved by the Board of Directors, prepared in accordance with IFRS, and may include minor differences due to rounding.

Message from the President and CEO

BeFra delivered solid results for the third quarter of 2025. Revenue continued to increase, expanding by 1.4% YoY, despite still subdued consumption trends in Mexico. At the same time, we significantly strengthened third quarter profitability and operating cashflow, with EBITDA increasing by 22%, EPS by 71%, and Free Cash Flow by 32.6%, the latter representing 77% conversion of EBITDA. This also enabled us to further lower BeFra’s net debt-to-EBITDA QoQ from 1.97 to 1.8x, which underscores our continued focus on financial discipline while we pursue stronger growth.

As noted, BeFra faced soft consumption trends in our home market, resulting in a 5.3% decrease in Betterware Mexico’s revenue, although sales increased 7.9% at Jafra during the quarter. While it has been more difficult to grow in such an unexpectedly challenging market - particularly with Betterware’s focus on discretionary goods - both of our core businesses nevertheless continued to strengthen their profitability; Betterware Mexico achieved an 11.7% increase in EBITDA, despite expansion investments in Guatemala and Ecuador, while Jafra Mexico achieved an exceptional 31% increase.

On the international side, we continue to make promising progress. Jafra US delivered flat year-over-year performance in USD terms, after two quarters of decreases, as our revamped compensation plan, redesigned catalog, and the adoption of our Shopify+ platform all kicked in to accelerate growth. In September, the business achieved its best month in three years, posting 30% year-over-year growth.

Further south, although still not material to our consolidated results, Betterware Ecuador continued surpassing expectations, reaching more than 5,900 associates by the end of third quarter. In September, net revenue reflected a strong run rate, with sustained compounded growth of approximately 20% month over month. The Betterware brand has exceeded our expectations in Ecuador, validating the potential of our expansion model for Andean markets. Building on this success, we plan to launch Betterware Colombia in the first quarter of 2026. In Guatemala, we achieved a 32% YoY net revenue increase for the third quarter. These results have begun contributing to improved performance of Betterware and its subsidiaries overall.

In closing, despite weaker-than-anticipated consumer trends in Mexico - our primary market today - and overall macro instability, we remain committed to our long-term “Great Brands, One Essence” strategy, led by our popular Betterware and Jafra brands and person-to -person model. Our brands continue outperforming the home goods and beauty markets in Mexico and abroad, while we deliver strong profitability and cashflow, as well as maintain financial discipline. Although we have made meaningful progress in revenue and profitability relative to an even more challenging first quarter, we expect full-year growth in both metrics to remain in the low single-digit range.

As we enter the final quarter of 2025, our focus remains on closing the year positively and regaining momentum going into 2026.

Andrés Campos Chevallier

President and CEO BeFra Group

Note on the financial statements: All 2024 figures include the adjustments disclosed in our Q3 and Q4 2024 earnings releases. These refer to (i) a non-cash effect related to the sale of non-operative asset, which led to the disclosure of Adjusted EBITDA, Net Income, and EPS for Q3 2024; and (ii) a correction in the classification of certain production-related costs within Jafra Mexico’s financial statements, with no impact on revenues, EBITDA, or net income. For further details, please refer to those earnings releases available on BeFra’s Investor Relations website.

Q3 2025 Select Consolidated Financial Information

Revenue Growth Maintained: Consolidated net revenue increased 1.4% YoY. While the quarter experienced softer consumer demand for home goods in Mexico, overall group revenue maintained its growth trajectory, thanks to top-line growth at Jafra Mexico.

Profitability Remains Strong: Consolidated EBITDA increased 22% YoY, with the margin expanding both sequentially and YoY, reflecting an ongoing focus on strengthening profitability across all business units.

Strong Free Cash Flow Generation: BeFra continued generating strong positive Free Cash Flow during the quarter, with a 32.6% increase YoY and converting 77% of EBITDA, supported by disciplined working capital management and normalized payment cycles. The company remains on track to maintain its historical annual cash flow conversion rate of ~60%.

Net Income Growth: net income increased 71% YoY, mainly reflecting a combination of factors: higher operating income, lower income tax expense, lower financial costs, and the absence of non-recurring FX and deferred tax effects that had impacted last year’s results

For more details, please refer to Financial Results by Business, beginning on page 5.

Financial Performance

Balance sheet at the end of Q3 2025.

Capital Allocation

Quarterly Dividends: Considering BeFra’s results to date, the company remains committed to enhancing shareholder value through quarterly dividends. The board of directors had proposed maintaining a Ps. 200M dividend for Q3 2025, which was approved by the Ordinary General Shareholders’ Meeting held on October 21^st, 2025.

2025 Guidance and Long-Term Growth Prospects: Despite a challenging start to the year during the first quarter, which has impacted BeFra’s YTD performance, the Company has been gaining momentum quarter after quarter across all business units and expects a solid close to the year in the fourth quarter. Accordingly, management anticipates closing 2025 with revenue and EBITDA growth of between 1% and 5% and remains confident in sustaining this positive momentum going forward.

Q3 2025 Financial Results by Business

Betterware Mexico

Key Financial and Operating Metrics

Highlights

• Revenue Declines on Lower Consumer Demand: Betterware Mexico reported a 5.3% YoY revenue decline. Although Q2 and Q3 showed improvement after a weak start to the year, market softness persisted, particularly in Q3, as vacation spending and the back-to-school season limited demand for discretionary products, contributing to overall consumption weakness.
• Profitability Improvement: Despite lower revenues, gross margin rose from 54.8% to 57.1% YoY, reflecting the success of a profitability-focused growth strategy. EBITDA growth was 11.7% YoY, after investments in geographic expansion, which totaled $16.7M pesos in the quarter and $61.9M pesos year to date.
• Sales Force Dynamics Stable: The independent sales force showed a year-over-year decline of 3.2% in Distributors and 2.7% in Associates. However, results throughout 2025 indicate stability from year-end 2024 to Q3 2025, thanks to net growth achieved in Q2 and stability in Q3.
• Operational Discipline and Continued Inventory Reduction: Inventories were reduced by 17%, or approximately $240M YoY, and decreased 5% QoQ, reflecting strong execution in inventory optimization and working capital efficiency, which contributed to healthy cash generation during the quarter.

Q4 2025 Priorities

• Product Mix and Pricing: While consumer demand in Mexico remains soft, Betterware Mexico has lined up a stronger holiday season portfolio than last year, which is expected to help strengthen growth in the fourth quarter. At the same time, the Company intends to strike the right balance between revenue growth and profitability by reducing the mix of promotional items, to strengthen gross margin and revenues.
• Catalog Design Improvements: Refresh key visuals and better highlight the innovative benefits of Betterware’s products, emphasizing key differentiators versus competing household products. 

Jafra Mexico

Key Financial and Operating Metrics

Highlights

• Continued Strong Revenue Growth: Jafra Mexico delivered 7.9% YoY revenue growth, supported by strong commercial execution and targeted initiatives that kept the sales force active despite the typically slow summer season. Revenue growth was led by the renewal of Jafra’s Royal Body care line, the launch of a new men’s fragrance, Magnetique, and the continued strong performance of the rebranded Royal Jelly skincare line.
• Sales Force and Productivity Increases: The Associates base grew 2.1% and Distributors increased 0.7%, while average order value rose 11% year over year, reflecting stronger engagement and higher-quality sales.
• Increasing Profitability. EBITDA increased 31.3% YoY, driven by a strong gross margin in the quarter, supported by a more favorable product mix, a tailored pricing strategy, and strict expense control.

Q4 2025 Priorities

• Seasonal Promotions: Launch of holiday season promotions featuring key products, enabling the creation of attractive consumer bundles and competitive price offers.
• Product Renovations & Innovation: Continue advancing rebranding strategy for key products, seasonal sets and packages in the Fragrance, Skin Care and Body Care categories. By the end of the year, Jafra Mexico will have renovated more than 80% of its product lines, and by the end of 1H’26 it will have finished 100% of product line renovations under the brand renewal strategy.

Jafra US

Key Financial and Operating Metrics

Highlights

• Revenue Recovery and Strong Execution: While net sales were practically unchanged YoY, the sales trend has begun to improve. It is important to note that September marked Jafra U.S.’s best monthly performance in three years, reaching $5.5 million USD and reflecting a 30% increase in net revenue compared to September 2024. This growth reflects the success of the redesigned catalog, the continued ramp-up of the Shopify+ platform, and a new incentive plan that has been well received by consultants since its May launch, strengthening engagement and visibility.
• Profitability Improvement: Gross margin increased 334 bps YoY to 77%. Although the business still posted an EBITDA loss, the improvement in both sales and margins confirms that Jafra U.S. is progressing toward sustainable profitability. Accumulated EBITDA through third quarter 2025 included approximately $27 million pesos in one-time extraordinary legal settlement fees related to labor claims made prior to Jafra’s 2022 acquisition. When excluding these fees, operating EBITDA was positive during this period, demonstrating that the underlying performance of the business is on the right track toward profitability.

Q4 2025 Priorities

• Continue leveraging the two strongest growth initiatives, the new incentive plan and Shopify+ platform.
• Strengthen merchandising techniques: Enhance merchandising initiatives to boost revenue, such as the new Leadership Retreat qualification — 400 consultants qualified versus 150 expected.
• Improve our ease of doing business: Deploy easier and more effective onboarding plans for new consultants and leaders.

Appendix

Financial Statements

Key Operating Metrics

Betterware Mexico

Jafra Mexico

Jafra US

Key Financial Metrics

Consolidated

Betterware Mexico

Jafra Mexico

Jafra US

Use of Non-IFRS Financial Measures

This announcement includes certain references to EBITDA, EBITDA Margin, Net Debt:

EBITDA: defined as profit for the year adding back the depreciation of property, plant, and equipment and right of use assets, amortization of intangible assets, financing cost, net and total income taxes.

EBITDA Margin: is calculated by dividing EBITDA by net revenue.

EBITDA and EBITDA Margin are not measures recognized under IFRS and should not be considered as an alternative to, or more meaningful than, consolidated net income for the year as determined in accordance with IFRS or as indicators of our operating performance from continuing operations. Accordingly, readers are cautioned not to place undue reliance on this information and should note that these measures as calculated by the Company, may differ materially from similarly titled measures reported by other companies.

BeFra believes that these non-IFRS financial measures are useful to investors because (i) BeFra uses these measures to analyze its financial results internally and believes they represent a measure of operating profitability and (ii) these measures will serve investors to understand and evaluate BeFra’s EBITDA and provide more tools for their analysis as it makes BeFra’s results comparable to industry peers that also prepare these measures.

Definitions: Operating Metrics

Starting Q2 2024, the Company will report salesforce under the same name for all business units, Distributors (previously stated as Leaders in Jafra) and Associates (previously stated as Consultants for Jafra). It is important to note that the metrics are calculated with the same method as previous quarters and the reference name change has no adverse effect on the results of the operating metrics reported by the Company.

Betterware (Associates and Distributors)

Avg. Base: Weekly average Associate/Distributor base

EOP Base: Associate/Distributor base at the end of the period

Weekly Churn Rate: Average weekly data. Total Associates/Distributors lost during the period divided by the beginning of the period Associate/Distributor base.

Weekly Activity Rate: Average weekly data. Active Associates/Distributors divided by ending Associate/Distributor base.

Avg. Weekly Order: Average weekly data. Total Revenue divided by number of active Associates/Distributors

Jafra (Associates and Distributors)

Avg. Base: Monthly average Associate/Distributor base

EOP Base: Associate/Distributor base at the end of the period

Monthly Churn Rate (Associates): Average monthly data. Total Associates lost during the period divided by the number of active Associates 4 months prior. An Associate is terminated only after 4 months of inactivity.

Monthly Churn Rate (Distributors): Average monthly data. Total Distributors lost during the period divided by end of period Distributors’ base.

Monthly Activity Rate: Average monthly data. Active Associate/Distributor divided by the end of period Associate/Distributor base.

Avg. Monthly Order (Associates): Average monthly data. Total Catalog Revenue divided by number of Associates orders.

Avg. Monthly Order (Distributors): Average monthly data. Total Distributors Revenue divided by number of Distributors orders.

About Betterware de México, S.A.P.I. de C.V.

Founded in 1995, Betterware de Mexico is the leading direct-to-consumer company in Mexico focused on offering innovative products that solve specific needs related to household organization, practicality, space-saving, and hygiene. Through the acquisition of JAFRA on April 7, 2022, the Company now offers a leading brand of direct-to-consumer in the Beauty market in Mexico and the United States where it offers Fragrances, Color & Cosmetics, Skin Care, and Toiletries. The combined company possesses an asset-light business model with low capital expenditure requirements and a track record of strong profitability, double digit rates of revenue growth and free cash flow generation. Today, the Company distributes its products in Mexico and in the United States of America.

Forward-Looking Statements

Q3 2025 Conference Call

Management will hold a conference call with investors on October 23^rd, 2025, at 3:30 pm Mexico City Time / 5:30 pm Eastern Time (EST). For anyone who wishes to join live, the dial-in information is:

Toll Free: 1-877-451-6152

Toll/International: 1-201-389-0879

Conference ID: 13756176

Webcast Link: https://viavid.webcasts.com/starthere.jsp?ei=1736819&tp_key=22999cab18

If you wish to listen to the replay of the conference call, please see instructions below:

Toll Free: 1-844-512-2921

Toll/International: 1-412-317-6671

Replay Pin Number: 13756176

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