(Updates with share price in final paragraph.)
Oct. 21 (Bloomberg) -- Grupo Modelo SAB, the brewer of Corona beer, said third-quarter profit rose 33 percent on higher prices and demand in Mexico.
Net income increased to 3.3 billion pesos ($240 million) from 2.5 billion pesos a year earlier, the Mexico City-based company said today in a statement to the nation’s stock exchange. Sales climbed 1.4 percent to 23.6 billion pesos.
Mexico’s economy grew 3.9 percent in this year’s first half on gains in exports and jobs, helping spur beer demand and letting Modelo increase prices.
The profit beat the 3.11 billion-peso estimate of Fernando Olvera, an analyst at the Mexican unit of Banco Bilbao Vizcaya Argentaria SA. Olvera predicted sales of 24.6 billion pesos.
Sales in Mexico rose 9.6 percent to 12 billion pesos on a 3.7 percent gain in shipments and a 5.7 percent price increase.
Export shipments fell 4.1 percent from 2010’s third quarter, which followed the end of a strike at Modelo’s plant in Oaxaca that had crimped deliveries outside Mexico. Export revenue fell 7.6 percent to 9.7 billion pesos.
Modelo, which is half-owned by Anheuser-Busch InBev NV, reported cash and marketable securities of 29.4 billion pesos at the end of September, up from 22.5 billion pesos a year earlier.
Modelo rose 2.6 percent to 80.98 pesos in Mexico City at 11:02 a.m. New York time. The shares have gained 18 percent in the past 12 months.
--With assistance from Crayton Harrison in Mexico City. Editors: Jose Enrique Arrioja, John Lear
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