Modelo has posted a rise in profit and revenue for the second quarter. The Mexican brewer announced yesterday that net profit for April to June increased by 15.5% year-on-year to MXN1.792 bln (US$156 m), based on a rise in revenue of 9.4% to MXN12.358 bln.

The increases were credited to beer price increases at home and abroad and a rise in volumes sold.

The company said that total sales volumes rose by 2.7% in the quarter. Although domestic shipments fell as wet weather in spring hurt local consumption, exports soared, especially to the US, the brewer's main export market.  Around 90% of exports traditionally go to the US. Exports for the first six months of 2004 were up by 7.7%, the company said.

Operating performance in the quarter improved as the company reduced distribution costs and cut advertising spending.

Earnings before interest, taxes, depreciation and amortization (EBITDA) increased by 18% to MXN4.366 bln.