UPDATE 1-Mexico's Femsa reports lower third-quarter profit
MEXICO CITY Oct 25 (Reuters) - Mexican bottler and retailer Femsa reported a 5 percent drop in third-quarter profit on Friday despite higher revenue, hurt by higher operating and financing costs.
Femsa said quarterly profit slipped to 4.478 billion pesos ($340 million) from 4.725 billion pesos in the year-earlier quarter.
Revenue rose 7.2 percent from the year-earlier period to 63.977 billion pesos.
"We are convinced that the short-term challenges are more than offset by the long-term opportunities," Chief Executive Jose Antonio Fernandez said in a statement.
The company operates convenience store chain Oxxo and invests in bottler Coca-Cola Femsa in a joint venture with Coca Cola Co.
Oxxo has been expanding rapidly and the company recently made its first venture into the fast-food market.
Femsa shares were up 0.54 percent at 118.97 pesos in morning trading.