Shares of BBB Foods Inc. (NYSE: TBBB) tumbled 6.94% in after-hours trading on Wednesday following the release of the company's third-quarter 2025 earnings report. The sharp decline came as the Mexican grocery hard discounter missed analyst expectations and reported a significant net loss for the quarter.

BBB Foods reported a quarterly loss of $(0.66) per share, substantially missing the analyst consensus estimate of $(0.43) by 53.49%. This marks a dramatic reversal from the $0.10 per share earnings reported in the same period last year. Revenue for the quarter came in at $1.089 billion, slightly below the expected $1.090 billion, despite representing a 38.87% increase year-over-year.

The company's financial performance was further marred by a decline in EBITDA, which fell to a loss of 404 million Mexican pesos, compared to a positive 688 million pesos in the third quarter of 2024. While BBB Foods highlighted strong revenue growth and continued store expansion, with 131 net new stores opened during the quarter, investors appeared to focus on the bottom-line challenges. The significant increase in administrative expenses, largely due to non-cash share-based payment expenses, contributed to the quarterly net loss of 1.424 billion pesos, compared to a net profit of 257.6 million pesos in the same quarter last year.