Interpretes Independientes: Good morning to all. I want to thank you for your company today. This conference will be dedicated to
Interpretes Independientes: present the financial results of group, Argos at the end of the second quarter, 2022 3. With us. We have the Vice Presidential strategy and corporate fighters for group Argos, Rafael.
Interpretes Independientes: Chief Corporate Affairs office officer of group Argos. Maria Clara
Interpretes Independientes: Addis is our manager of the realistic business panel at Rojiv.
That is CEOL. Sorry Cfo for Odyssey, and
Interpretes Independientes: on our website we have available all the information for the portrait to get with presentation that we will follow during the call to download it. You can enter the menu financial information, the report sections. We are also transmitting this conference, this
Interpretes Independientes: twitter
please go to
Interpretes Independientes: slide 3 of the presentation to begin the meeting, which you can afford to very much want to stay on good morning to all.
Interpretes Independientes: We thank you for being with us today
Interpretes Independientes: at at this meeting to share with you the good results that we've had.
Interpretes Independientes: During the second quarter of this 2023, I would indicate that
Interpretes Independientes: very similar to the trend that we have had since the beginning of the year.
Interpretes Independientes: First quarter was
Interpretes Independientes: courts that had very positive results, and the
Interpretes Independientes: second quarter
continues along that those same lines, however, before expanding on
Interpretes Independientes: these results, we would like to mention.
the progress that is being made in the transaction to
Interpretes Independientes: transfer our investment and proponent traces.
Food business
Interpretes Independientes: in exchange for shares of which was announced on June sixteenth past
Puerto Rico has been moving forward with realising that transaction.
Interpretes Independientes: Right now the Company has obtained the corresponding corporate authorizations from its corporation
Interpretes Independientes: including authorizations related to conflicts of interest from the
Interpretes Independientes: shareholders meeting, and the approval. To proceed with this transaction from his Board of Directors, the transaction has different steps. and several of those steps require government authorizations in Colombia and in other countries around the region.
Interpretes Independientes: We are working very hard. Because we are committed to moving forward
Interpretes Independientes: as quickly as possible. With this operation and report was
also in the framework of this transaction.
Interpretes Independientes: They simply global indicated the the performance of this operation would have no impact of the financial education of roboticos and maintain the highest
Interpretes Independientes: credit ratings. At the end of the second quarter group. Argos has a cash position of close to 684 billion pesos.
Interpretes Independientes: which allows it to meet all its obligations of this transaction
Interpretes Independientes: and Eve, and maintain a very sound liquidity position. In this sense, group articles triple. A rating was maintained, the highest
granted by that entity
Interpretes Independientes: which is evidence of the organization of the organization's structural soundness in the context of the
Interpretes Independientes: transaction that we announced to you before
Interpretes Independientes: moving on to the Consolidated financial results for the Company. They say corporate group articles managed to maintain a positive trend with
Interpretes Independientes: double digit.
Growth rates
Interpretes Independientes: in its main consulting figure
Interpretes Independientes: revenue at the quarter top. One trillion pesos growing 50 a bit close
Interpretes Independientes: 3.1 trillion business growing, 19%
Interpretes Independientes: net income close at
above one to a business scoring 14%.
Interpretes Independientes: Nathan comes to the controlling entity and it 718
1 billion business growing. 84% of this
Interpretes Independientes: is in spite of considerable growth in financial expenditures. Compared to the first semester of 2022,
our separated financial statements. as well as in the consolidated statements.
Interpretes Independientes: we had very positive results.
Interpretes Independientes: This is the result of highlight, of highlighting results
Interpretes Independientes: in all our investments, as well as the revenue received from the sale of group water share and obtain. After a conclusion of the airport, vertical with Macquarie.
Interpretes Independientes: accumulated revenue for the year was 984 billion business had beat was 763 billion business and net income was 704 billion paces.
Interpretes Independientes: And all of these figures more than double what we saw in the same period the previous year. This income is achieved. and just the first submit. Half of the year is equal to over 800 businesses per share
Interpretes Independientes: and is proof of group water goes capacity to generate volume for its show shareholders. I would now like to invite you to move to Slide 6,
Interpretes Independientes: where we will
Interpretes Independientes: see detailed results for all our businesses.
Interpretes Independientes: I'm going to start with the cement business.
Interpretes Independientes: as was announced to the market at the beginning of this year, during the quarter
Interpretes Independientes: made a successful progress with a series of initiatives to transfer volume to shareholders. We highlight
Interpretes Independientes: the the shareholder meeting held on June 22, approved an extraordinary dividend that will allow. Submit those articles dividend to it. Shareholders this year be 445 billion
Interpretes Independientes: pesos.
Interpretes Independientes: That's 50% higher than 2022.
Interpretes Independientes: On the other hand, to think about diversifying
revenue sources for the company in a region with a lot of growth potential
Interpretes Independientes: as is Central American Central America. The Caribbean, during the quarter cementus Argos reached an agreement to evaluate potential structures that will allow it to supply aggregates
Interpretes Independientes: throughout the Caribbean Basin, including the United States
Interpretes Independientes: from
Interpretes Independientes: Costa Rica. Additionally.
Interpretes Independientes: the company began approach it to expand its cement, producing capacity by 25% in Dominican Republic.
Interpretes Independientes: and we expect that this will be completed
Interpretes Independientes: in the remainder of twenty-twenty-three. We should also highlight that
and
Interpretes Independientes: context of high interest rates the
Interpretes Independientes: net companies net debt to a bit of ratio
has
Interpretes Independientes: been maintained below 3 times, which is proof of the financial soundness of the company. Also, 31% of the company's current indigenous is tied to esg indicators.
Interpretes Independientes: which ratifies the company's commitment to the idea of achieving profitable growth. Considering
Interpretes Independientes: well-being of all its stakeholders
Interpretes Independientes: moving on to the results for the quarter. Thanks to good operational dynamics, there is still 2 to double digit growth in all its lines.
Interpretes Independientes: Revenue was 3.3 trillion growing 70% year on year. They paid closer to 662 billion
Interpretes Independientes: growing 30%
year on year
Interpretes Independientes: in operational terms of the torture.
Submit volumes.
Interpretes Independientes: Were for
1 million tons
Interpretes Independientes: the concrete business register volumes of 1.8 million cubic meters.
Interpretes Independientes: These are our slightly lower figure. So those reported last year. But in the midst of a commercial strategy that focuses on the highest profit.
Interpretes Independientes: the most profitable segments for the company.
Interpretes Independientes: Maintaining price leadership and expanding margins. As the priority for the organization
Interpretes Independientes: results are particularly favorable in the United States region.
Interpretes Independientes: Which concentrates over half of the company's revenue, and a bit currently.
Interpretes Independientes: where in the course of the year, revenue has grown 50%, and it has grown 42% leveraged by a positive dynamic
Interpretes Independientes: in the commercial and infrastructure segments in that country, as well as very good pricing dynamics.
Interpretes Independientes: First event in this sector.
Interpretes Independientes: Likewise
Interpretes Independientes: we can highlight the behavior of exports from Columbia.
Interpretes Independientes: which continue growing, and tons of submit exported. 14. Compared to the first semester. The first half of 2022. It should be remembered that with its plans and the Columbia Caribbean, like the
Interpretes Independientes: but both of which have bulk ports are submit. Business has a great capacity to export and connect to the
Interpretes Independientes: largest growing geographies in the Americas. Now, let's look.
But the energy business
Interpretes Independientes: in the face of an El Nino phenomenon.
Celsia is prepared in all its businesses.
Interpretes Independientes: To face the climate situation!
Interpretes Independientes: It has a balance portfolio that will allow it to manage the impacts to this phenomenon. and also has generation plans that have
Interpretes Independientes: alright and optimum technical conditions to be able to deal with this climate conditions. Censure also has guaranteed fuel contracts for the operation of its thermal plants. All of the above is added to the is current
Interpretes Independientes: contracting policy that will allow the company to be capable to assume the consequences
Interpretes Independientes: that may arise in the market. Because of this phenomenon.
Interpretes Independientes: over 94% of the energy contracted by Cenci is assured.
Under this mode.
Interpretes Independientes: On the other hand, during the third quarter of the year
Interpretes Independientes: we expect the the sale of some of census assets in Central America will be concluded which will allow the company to strengthen its
Interpretes Independientes: liquidity, position, and
Interpretes Independientes: reduce its net debt
by close to
Interpretes Independientes: cost of 1.6 trillion pesos with the seal of these assets.
Interpretes Independientes: since he will have the resources and financial flexibility to continue deploying his strategy focused on renewable energy, especially solar and wind energy. And it's different geographies, and it will look for opportunities to strengthen is asset management, portfolio.
Interpretes Independientes: transmission and distribution assets and energy efficiency in other countries in the region
Interpretes Independientes: operating results. So you can see on slide 9
Interpretes Independientes: so consolidated revenue of close to
Interpretes Independientes: 1.6 trillion pesos during the second quarter.
Interpretes Independientes: growing 31% year on year
and edit. So that ended the portrait close to
Interpretes Independientes: 481 1 billion, and so scrolling 7%. If we add to this the beta that was generated by our platforms.
Interpretes Independientes: which was the expression of Coba c. 2. Energy loaded. and the commissioning of the Tasunito plant will be more and more relevant.
Interpretes Independientes: The event with the platforms
Interpretes Independientes: year to date, close at 1.2 trillion business growing 70%.
Interpretes Independientes: Compare to the first quarter of 2022 desperito is A. The. The desperate project is a particular highlight.
Interpretes Independientes: which, with thermal generation will be key to provide reliability to the system during the Eleanor situation
Interpretes Independientes: and
Interpretes Independientes: year to date is already registered revenue 210 billion in revenue and in a bit of 58 billion faces. Energy generated for the period
Interpretes Independientes: close up 1,318 megawatts hour reduction compared to the previous to previous quarters, which is displayed mainly by a decrease and hydrogen, and the frame rate of operations to be prepared.
Interpretes Independientes: or a potential El Nino phenomenon.
Interpretes Independientes: Now let's look at the
Interpretes Independientes: rail roadway and airport concessions business on Slide 10 in the last quarter, and Mcquarrie asset management
Interpretes Independientes: announced
Interpretes Independientes: the entry into operation of a new platform that will manage airport assets
Interpretes Independientes: for a value of 1.3 trillion business.
Interpretes Independientes: This new partnership between Alice and Macquarie Conferbs the confidence of this global investor and the organization's
Interpretes Independientes: management capacity. And it's trusted Columbia as an investment destination are these will manage the platform
Interpretes Independientes: that includes the airport concessions of editor all the way. Colombia and Mariska Sukran in Ecuador.
Interpretes Independientes: Consider 2 of the best airports.
Interpretes Independientes: and South America. According to sky tracks.
Interpretes Independientes: The platform may develop new projects and opportunities in the Americas.
Interpretes Independientes: and will continue promoting private initiatives.
Interpretes Independientes: including the new Cartagena airport. to
Interpretes Independientes: a project called Eldorado, Max and Company, Willo, or Flight Field in Eldorado.
Interpretes Independientes: Although this transaction prepares or did stuff for powerful growth in the long term. Here, it is worth remembering that with the creation of verticals, with my query, the company of no longer consolidates most of assesses, and this makes its contribution to pnl significantly lower to facilitate and understand, and its platforms
Interpretes Independientes: through our website, we would invite you to see if the new kit an investor kit that we have prepared for this business.
Interpretes Independientes: It should also be highlight that our products, field, central center connection, private initiative that improves connectivity within the coffee Bro region by completing the dual carriageway roadway system. Submitted to the A. And I the technical studies, the financial model, and other documents that will allow this project to continue moving forward with its feasibility stage.
Interpretes Independientes: Let's move on now to the
Interpretes Independientes: Companies. Operational results this quarter average daily traffic on the roadway platform decrease slightly due to
Interpretes Independientes: decrease of traffic mainly along cafe product of the situation, with the
Interpretes Independientes: bridge which collapsed which we have already mentioned before intern airport traffic continues to approve.
Passengers mobilized by the airport platform
Interpretes Independientes: reached 10.8 million last quarter. 6% year on year growth. We highlight the good dynamics of keyboard traffic
Interpretes Independientes: which allow the airport to recover pre pandemic traffic levels.
Interpretes Independientes: and which is translated into year on year growth of above 2025%
Interpretes Independientes: and
Interpretes Independientes: really tastes returns business.
Interpretes Independientes: gross cash revenue was 111 billion businesses growing 54% year and year, and it beta for the quarter was 59 billion businesses
Interpretes Independientes: growing 94%
Interpretes Independientes: year on year
Interpretes Independientes: after adjusting for divestments gross cash revenue. And a beta grew 12 and 31 respectively.
Interpretes Independientes: in terms of the save assets for the first semester for the first half of the year net operating revenue, and if Beta grew 20% at 24
Interpretes Independientes: in total.
Interpretes Independientes: 43,000 square metres and contracts were renewed.
Interpretes Independientes: and 22,000 m² and new contracts were entered to in during the second quarter, 2023. At the end of the period the fund
Interpretes Independientes: ended with occupation of the non hotel portfolio of 96% I decreased of 49 basic points compared to the same period of 2022 and 85 basic points
compared to the previous portraiture.
Interpretes Independientes: but with very, very healthy levels of occupation. The sector with greatest revenue growth compared to the second quarter, 2022 was the hotel business which end with an average occupation of 58%
Interpretes Independientes: and a medium rate of 283,000 business Rev. Per or revenue per available room. Resulting was 165,000 pesos, which is growth of 6%
Interpretes Independientes: compared to the previous year. That's because specifically both.
Interpretes Independientes: it's with piloting good sales of behavior which surpassed our expectations and generation increase, and variable reaches of 34 compared to the same period previous year.
Interpretes Independientes: Regarding the real estate business
accumulated to the month of June. The
Interpretes Independientes: business obtained
Interpretes Independientes: cash, flow, revenue of 111 billion pencils, and a beta of cop.
Interpretes Independientes: Fortunately, this is a 40% increase compared to the same period the previous year. This year most of the deeds will be signed in the last month of year. And so I, Beta is stabled stable in the Pnl. Compared to the previous quarter
Interpretes Independientes: cash flow revenue
Interpretes Independientes: for the quarter. We're 50 billion.
Interpretes Independientes: 12% less than the previous year.
Interpretes Independientes: but 20 higher. If we compare values year to date.
Interpretes Independientes: During the quarter, we saw a fall in housing sales throughout the country.
Interpretes Independientes: This is due to the changes in the way that subsidies are assigned, delays in delivery of subsidies. increasing costs in labor and construction materials, we continue to seek opportunities that.
Interpretes Independientes: optimizing our
Interpretes Independientes: our urban development plans and carry forward comply with all our commitments to our customers. Despite this situation, we continue seeing a great appetite for our product, for the products we offer. We recently had a call where we received proposals.
From our clients that
Interpretes Independientes: we're 6 times what we were offering, and will allow us to exceed our original plans for this year.
Interpretes Independientes: Now, let's look at the slide on
slide 17 to look at the Consolidated results.
Interpretes Independientes: Revenue was 6.4 trillion business during the quarter, which is
Interpretes Independientes: an increase of 8% compared to the same period, 2022
Interpretes Independientes: higher sales levels was to was translated into a growth in evento which closed the period 1.5 trillion business with 12% year-year growth.
Interpretes Independientes: Controlling entity for the period and 313 billion is 36% higher for the same course the previous year.
Interpretes Independientes: On slide 18,
Interpretes Independientes: we can see the variation in the contribution per business to Consolidated Revenue, and a bitter on these charts. We can see improved contributions from this invention energy business, thanks to their good operating performance, as well as a significantly higher contribution from the concessions business
Interpretes Independientes: due to non-recurring revenue related to the conclusion of the airport vertical with Macquarie, which we mentioned earlier.
Interpretes Independientes: Now let's look at the slide on assigned 20 channels. Evolution of Consolidated Index
Interpretes Independientes: consolidation. Close 12 the same period the previous year.
Interpretes Independientes: Despite a debt that does not increase substantially because of increasing interest rates. net financial expenses increased 58%
Interpretes Independientes: compared to the second quarter of 2,022
Interpretes Independientes: separated results. We can see them on slide 21
Interpretes Independientes: is separate from results.
Interpretes Independientes: Sorry to the Consolidated results. Show positive results.
Interpretes Independientes: Revenue for the porter ended 55,000,000,490
Interpretes Independientes: 1 billion and net income are 357
Interpretes Independientes: 1 million, all more than tripling the results for the same course of the previous year.
Interpretes Independientes: thanks to the cash position with which we end the quarter
Interpretes Independientes: groupw, are those separated net debt, which you can see on slide 24
Interpretes Independientes: end of the quarter at 950 billion.
Interpretes Independientes: a reduction of 8% compared to the same quarter the previous year.
Interpretes Independientes: Group. Wireless cost of debt continues. to give way.
Interpretes Independientes: Ending the quarter 10.5 at the end of this quarter 150 basic points less than the closure, 2,022.
I see the trend and the Cpi. We hope that this will be maintained which would represent an important relief
Interpretes Independientes: for the organization's financial expenses, which have
Interpretes Independientes: significantly increased. Because of these indexes
Interpretes Independientes: that
Interpretes Independientes: having mentioned before. Additionally, I'm doing this quarter. The company has continued to implement its buyback program. I'm interested. We seek to
Interpretes Independientes: affirm our trust in the business plan and the strategy that is being executed by group Bargos. And it's company. Since the beginning of the Buyback program the company has bought back over 1.2 million ordinary shares and over 245,000 preferential shares. Sustainability.
Interpretes Independientes: besides an excellent financial results
through particles.
Interpretes Independientes: continues
Interpretes Independientes: moving forward while stones in its mission to always be thinking about sustainable development, together with all its stakeholders, between 2,018 and 2,022,
Interpretes Independientes: invested over 200 billion basis and works for taxes projects that have benefited over 240,000 people
Interpretes Independientes: throughout the entire country. On the other hand.
Interpretes Independientes: the Coca River Center for forest research and Conservation, or Sirca in Spanish, open its doors on July 21, intending to offer and develop alternatives.
To propagate plant material, provide education and research on tropical forests
Interpretes Independientes: and other ecosystems associated with the
Interpretes Independientes: Middle basin of the Calca River. This research center
Interpretes Independientes: required an investment of over 2.1 billion business, and has the capacity to produce 500,000 seedlings a year of native species from the tropical forest in the southeast of Antioch.
Interpretes Independientes: We're only 22% of the original plug coverage still remains. Construction of Sinko was possible, thanks to coordination of efforts and wills
Interpretes Independientes: are between
Interpretes Independientes: Odinsa for the Co group of Argos, Kofama.
Interpretes Independientes: Julia's here, not this foundation and intends to have
Interpretes Independientes: positive impact on water bases in the organization's area of influence.
Interpretes Independientes: To close this presentation I would like to highlight. 5 fundamental points of this quarter. First.
Interpretes Independientes: the operational dynamic of all our businesses is very positive.
Interpretes Independientes: and its contributions to
consolidated results continue growing
Interpretes Independientes: dual digits
Interpretes Independientes: by double tinches. At the end of the quarter it grew. Puerto's
Interpretes Independientes: has a very healthy cash position
Interpretes Independientes: that gives the organisation financial flexibility to
Interpretes Independientes: perform and implement its strategic plan. Third.
Interpretes Independientes: the conclusion of the
Interpretes Independientes: airport vertical business is the realization of that strategic plan
Interpretes Independientes: which will additionally leverage future growth
Interpretes Independientes: voice.
Interpretes Independientes: During the period a framework agreement was signed for
Interpretes Independientes: I'm exchanging
Interpretes Independientes: shares in the group or Tresa for business.
And regarding this, as I think global indicated, this has no impact on through part of those financial indicators.
Interpretes Independientes: and it maintained the highest credit rating for the organization, and fifth, the company
Interpretes Independientes: is still focused on decreasing its indebtedness.
Interpretes Independientes: and in future months is net index will decrease by close to 1.6 trillion pesos with
Interpretes Independientes: the divestment of a certain inserted assets
Interpretes Independientes: of since Central America. Finally, our guidance for the rest of the year is maintained. According to the figures, communicate the beginning of the year. We hope to end the year with
Interpretes Independientes: consolidate hit revenue of 22 trillion businesses and an inventor of over 5.2 2 business. Now, I'd like to give the floor to what I say to continue with our conversation and any questions you may have. Thank you very much.
Interpretes Independientes: I would like to remind you all that you can ask your questions in the QA. Section enabled on the
Interpretes Independientes: platform. So we have no questions. Right now. We're going to pause the call for a few minutes. So you can ask questions.
Interpretes Independientes: Okay, we have the first question from Sebastian Luparia. and he has the following.
Interpretes Independientes: Erez agmoni, I understand that the subsidies some of those articles is going to leave Mse. You have been carrying out a buyback. How much more space do you have?
To buy
Interpretes Independientes: alright to give? Thank you very much for your question. In fact, report was in the past
Interpretes Independientes: as
being personally on the secondary market, we have announced that they were public.
Interpretes Independientes: And this the space we have now is very small, very reduced. and we would have to if we wanted to.
Interpretes Independientes: To carry out
Interpretes Independientes: larger buyback we would have to use
Interpretes Independientes: a takeover mechanism. And
Interpretes Independientes: from the point of view of cemento circus they also announced the possibility to
Interpretes Independientes: purchasing using certain mechanisms or structures that are still being reviewed, depending on the market conditions
Interpretes Independientes: at a given time. That would be the answer.
Interpretes Independientes: That we would give as we have been given
Interpretes Independientes: in the past as regards the buyback of Cementos articles, and also articles can use in the future
Interpretes Independientes: on coming down there
Interpretes Independientes: as just a fine.
Interpretes Independientes: What can you tell us about the issue of decree on
Interpretes Independientes: the freezing of toll rates? How has have negotiations with the government move forward. They'd like to do the floor to who's with us? Probably. So with regarding decree, would like to remind you that
Interpretes Independientes: it was a decree that was enacted by the Government in January to not
Interpretes Independientes: increase and toll rates in Colombia. In the case of Ovensa ovensa, under the private capital fund. We have forecast sessions in Colombia that 123
Interpretes Independientes: decree only affected 2 of those 4 concessions, because our departmental concessions we did increase
Interpretes Independientes: toll of rates, and in the case of outbreaks to the cafe
Interpretes Independientes: the decree came out after the increase that was complicated under the contract and the national infrastructure agency agreed to maintain the increase that had been applied. So
Interpretes Independientes: This are the clearly affected because and
Interpretes Independientes: the other. and the contact Pacific call those
Interpretes Independientes: also already considered reduced collection. So those had been done even before this decree.
Interpretes Independientes: Because of the contractual development of the concession
Interpretes Independientes: it was already submitting to the A and I portually records to collect the difference of
Interpretes Independientes: in the collection that should have been received by the contract versus what should have should have been collected so doesn't, because already had a mitigation
Interpretes Independientes: indication visual vision. We've already used it.
Interpretes Independientes: The present goes. There's already.
Interpretes Independientes: Erez Agmoni submitted 5 of these records to the A and I and fourth have already been paid, and the fifth one is already being paid without any kind of
Interpretes Independientes: objection. In the case of investment, who's income depends exclusively on the
Interpretes Independientes: on the toes collected, and this is effectively effectively affected, that our contract, and in the complimentary agreement that was entered to in twenty-twenty.
Interpretes Independientes: it contemplated a reduction of scope. In the event, certain rates didn't increase. So what the Administration is doing today is is talking and negotiating with the A and I to define whether this is the only mitigation mechanism, or whether there would be a space for other mitigation measures which are currently under discussion.
Interpretes Independientes: Maybe use some cash that is.
Interpretes Independientes: now in the trust, because of all the historical collections. After the renegotiation of that contract. And so we're only really being affected, invite me on the Meta, and we are currently in negotiations with the a day to compensate that mitigation and on the other 3 concessions either there were was no effect or there was
Interpretes Independientes: are. There's already medication, and I'd like to give a macro comment. The country has
Interpretes Independientes: and discussion because of the
Interpretes Independientes: something that the Ministry of Treasury mentioned.
Interpretes Independientes: review this freezing of rates to be able to guarantee the stability of the concession system. So
Interpretes Independientes: we need to celebrate those signs that are looking at
reestablishing the normal regime for increasing tour rates. Thank you very much.
Interpretes Independientes: We have the
Interpretes Independientes: following question from Ben Carnegus. Thank you for the call. Could you give us details on portfolio performance?
Interpretes Independientes: Yes, we can share that. There was
Interpretes Independientes: but first observation, as you will see on the figures that I'm just going to share with you.
Interpretes Independientes: There's set considerable reduction in the investments from the equity bit
Interpretes Independientes: method from the investment that group are goes
Interpretes Independientes: has a group of Sudo as group of Sudo will explain in extensive detail. This has to do with
Interpretes Independientes: definition
Interpretes Independientes: of reclassification of certain investments that group of Suda has, particularly the ones it has
Interpretes Independientes: at
Interpretes Independientes: intending to prepare the structure of a spell sheet to carry out the project of
Interpretes Independientes: shares. What for shares in Teresa? This effect of reclassification simultaneously produces
Interpretes Independientes: the appearance of
Interpretes Independientes: contingency accounts
Interpretes Independientes: of a deferred tax
Interpretes Independientes: which has been moved to the result. Statement in this
Interpretes Independientes: this this quarter, and it said the extraordinary charge on
Interpretes Independientes: group was, gonna prepare to carry out the share. Swap
Interpretes Independientes: under the agreement with
Jb, and I see I like to give the floor to Alejandro so he could give you the details of the variation between.
Interpretes Independientes: Yes, effectively, as you mentioned. If you look at our revenue and group Argos
of 222 versus 2 23
Interpretes Independientes: last year, however, when you look at that portfolio, how it's divided that basically, that portfolio has 2 main components. The first one
Interpretes Independientes: is certain dividends that we receive 43 billion get 61 1 billion. And the other one, which is the equity method. From Suda it goes from 260 to 184 billion business so effectively that difference.
Interpretes Independientes: Between these periods.
Interpretes Independientes: Generated a drop of close to 31 1 billion business, and that means that the delta is a negative delta. That native delta is what I was mentioning.
Interpretes Independientes: Which group Wasura will talk about in detail is
Interpretes Independientes: do mainly to reclassification that gives rise to a deferred taxes, important deferred taxes, which sooner we'll talk about board, debt.
Interpretes Independientes: and as you know, this has
Interpretes Independientes: accounting effects, not cash flow effects, but they do affect the operational income of lupus suda, which, under the equity method, affects us and
Interpretes Independientes: and means that we have a reduction in 31 million. This.
Interpretes Independientes: thank you very much. Heather. Hano.
Interpretes Independientes: where is that following?
Good morning. So don't just buy back
Interpretes Independientes: program under as you mentioned. You said you bought back what? 2 billion shares at 5 months, which is low and would not meet the goal from here to 3 years. What is the plan? Implementation plan.
Interpretes Independientes: Yes, we continue
Interpretes Independientes: buying the
Interpretes Independientes: maximum amount allowed under the
Interpretes Independientes: mechanism that we're using today, which has a limitation of 25
Interpretes Independientes: damage. In that sense.
Interpretes Independientes: and volumes will continue growing
Interpretes Independientes: and
Interpretes Independientes: level of buyback that we can forward will also increase. The decision of the Board of directors is to continue
Interpretes Independientes: using so
python screen method
Interpretes Independientes: at
Interpretes Independientes: with the maximum level as possible, and as the
Interpretes Independientes: market is revitalized and volumes increase, that we will continue to see a growth in that demand.
Interpretes Independientes: The operation, as you mentioned, was suspended
Interpretes Independientes: for some months.
Interpretes Independientes: and then, restarted recently
Interpretes Independientes: by with authorization from the shareholder meeting.
Interpretes Independientes: after having
proceed with all the issues relating to the takeover bids.
Interpretes Independientes: and I trust that as the market becomes revitalized the volumes will continue to be positive, we will continue to use this mechanism.
Interpretes Independientes: With
Interpretes Independientes: great commitments, and as we evaluate its performance, together with the board, we will carry out the necessary actions to be able to fulfill our commitment. Thank you very much.
Interpretes Independientes: Diane Cordula is asking following. Could you share with us? What are your expectations of dividend received for 2,023, considering
Interpretes Independientes: the conclusion of the reception with Kalinsky leveraging of group of Suda, and therefore it's
Interpretes Independientes: lower paper capacity. And then nonexistence of extraordinary contributions from
Interpretes Independientes: okay, Alejandro, you have 4.
Interpretes Independientes: Thank you. Hard and well. basically.
Interpretes Independientes: in 2023. We have
Interpretes Independientes: we're protected route one or 2 year. Passengers and dividends receive. I'll go to
more detail, because
Interpretes Independientes: revenue for 2,023 shows to our strong cash flow position. We have estimated
Interpretes Independientes: a additional revenue of 240 billion business from the really situation that we just received on imported flow of
Interpretes Independientes: from
Interpretes Independientes: are divestments here for
Interpretes Independientes: participation in
and and then also from an operating point of view, we are revenue close to 1.6 million pesos.
Interpretes Independientes: When you look at the are the dividend, we pay these administrative expenses and taxes.
Interpretes Independientes: We're close to 817 1 billion business. Other really. bypass gives us an operational cash flow of
Interpretes Independientes: organization, etc. I will go into all that detail. But in cash flow what we have stipulated
Interpretes Independientes: to end 2,023 and available cash flow is close to one trillion business in cash. What does this mean? This allows us to have flexibility
Interpretes Independientes: regarding obligations that could arise Kevin purchasing
Interpretes Independientes: the sheer swap due to the purchase by a couple of minutes scanned Ghc. Which we presented in detail. Not just S and P. That maintained our triple a rating.
Interpretes Independientes: but also fit. Looking at cash for 2,023, and with a project shoot out to 2,025, which is what they look at. Our cash for our flexibility would be sufficient
Interpretes Independientes: in any given situation. So regarding your second question regarding the top of the Internet is that we have the sufficient financial flexibility.
Interpretes Independientes: in the event is that we have any variation in the dividends received from certain businesses which are part of the work that we showed them, which is part of the analysis that the risk rating agencies did which was, they looked to those scenarios of the fluctuations that
Interpretes Independientes: group wars could have
Interpretes Independientes: due to lower revenue from dividends. And what this shows is that due to this excess cash position, we have, we have great possibility, great
flexibility towards the future.
Interpretes Independientes: The same line, Diana Guadalaasses. To follow up with this in essence we could. I'll give more informational dividends for next year.
Interpretes Independientes: From the point of view of the provisions that we're doing
Interpretes Independientes: in the analysis and in our models, Daniel.
Interpretes Independientes: a product of moving into that private equity fund model we do not have stipulated revenue dividends from the airport and
Interpretes Independientes: from each of the businesses. What we usually do in the exercise is we do is regarding the dividends received from in previous periods. And as we look at the results of the companies, we adjust these to date, and with the figures that you've seen for
Interpretes Independientes: what we're seeing is that we would maintain from within our model, we would have dividends that are going to be growing
Interpretes Independientes: alongside inflation, and from the other businesses. In our own case we have. in the case of Utreza we will not receive dividends, and we would
Interpretes Independientes: as a result of the
Interpretes Independientes: issues, too, though we could have additional conversation. But
Interpretes Independientes: we also run in areas where
Interpretes Independientes: we might have a reduction in the case of example.
Interpretes Independientes: Group of Sura that would still allow us to maintain our
Interpretes Independientes: and dividend payments by group articles which
Interpretes Independientes: is mainly what we were explaining at showing to the risk rating agencies.
Which was what
Interpretes Independientes: I
Interpretes Independientes: meant that they maintained our triple a rating. Thank you very much.
Interpretes Independientes: We have several questions from Catherine Ortiz.
Interpretes Independientes: I'll start with the first one.
Interpretes Independientes: What is exactly lacking in the United States to list cement those articles operations in that country. Yes, thank you, Katharine. as
Interpretes Independientes: we. We need to find our market window that will allow us to
Interpretes Independientes: carrier operation that will generate volume for stakeholders. The company is working very hard on preparing.
Interpretes Independientes: not just accounting but also operational complying with us regulations
Interpretes Independientes: supplying all the documents and documents and forwards to the SSD. And we are ready from an operational point of view. However,
Interpretes Independientes: market windows have it.
Interpretes Independientes: We're not excited about any market windows yet to be able to list the company on the and by his team, which requires partial virtualization of the asset. So we will do this
Interpretes Independientes: when the value
Interpretes Independientes: generation conditions how the investors made and the way to transfer it to the volume of the share in
Interpretes Independientes: volatility markets that we've experienced over the last year, and so
Interpretes Independientes: ha has
Interpretes Independientes: not only delayed our materialization of this
Interpretes Independientes: of those operations, but also for many companies around the world. But I'm optimistic that we will find
conditions to materialize this project which will
Interpretes Independientes: generate thought of value. So we're working on that, and I would
Interpretes Independientes: oh, so as with the market, assist us, we will be able to
realize this in the relatively short term.
Interpretes Independientes: Catherine also assessed the following
Interpretes Independientes: regarding the process of exiting you share in Utreza.
Interpretes Independientes: can you please? Update the progress way to date? Give the forward to Dr. Rafael Oliver so he can
update us on this process.
Interpretes Independientes: Good morning to all of you. Thank you for your question
Interpretes Independientes: as we guys. The process of
Interpretes Independientes: of the sovereign shares of
Interpretes Independientes: Teresa, we obtained authorization from the shareholder meeting. We obtained authorization from. We signed a framework agreement. What we
Interpretes Independientes: now what we
Interpretes Independientes: have the the swap to acquire the share in utreus alimentos, and then the swap as such
Interpretes Independientes: erez agmoni. What's next? Is the decision by nutrition, and the company will soon be providing a little bit more visibility on that 123
Interpretes Independientes: if they should.
Interpretes Independientes: it's a little bit premature to define a date, because we really need that decision to take place. So we can take full steps that transaction, but we can mentioned from the part was that all of us
are fully committed.
Interpretes Independientes: To
Interpretes Independientes: erez agmoni are making this happen as soon as possible. We've been flowing in the direction because all the parties have their authorization and are fully committed to moving forward with this 143
Interpretes Independientes: as quickly as possible.
Interpretes Independientes: Thank you very much, Raphael.
Interpretes Independientes: there's another answer that provides for the question. That was, yes, right. Daniel. Third question is the point. There are some companies that are facing challenging scenario because of our tolls and interest rates. Are you evaluating purchasing new roadway concessions
Interpretes Independientes: that her own offer. Yes, thank you. I would say that
Interpretes Independientes: Olinsa
and Macquarie.
Interpretes Independientes: and with their capital, for with their equity fund, their roadway, I would find that we have developed.
Interpretes Independientes: They have the purpose they intend to grow, not just to Colombia, but also the region 250,
Interpretes Independientes: as was agreed with Macquarie.
Interpretes Independientes: And so we're just looking at alternatives, not just in Colombia, but within the region.
Interpretes Independientes: There are no concrete operations right now, but there is a very important pipeline of projects. not just Ed Green or Brownfield, but also
Interpretes Independientes: of acquisitions of the Secretary markets, and not just in Colombia, but in the region as we find opportunities
Interpretes Independientes: the provide the required features that give the guarantees and security under the contractual scheme, and also, as we
Interpretes Independientes: achieve greater visibility and clarity on the regulation in Colombia. regarding tools and regulatory stability of the system.
Interpretes Independientes: Then we will
Interpretes Independientes: look at the investments that appear in the secondary broken with a lot more interest and appetite.
Interpretes Independientes: But right now we're being very prudent and careful. When analyzing these alternatives
Interpretes Independientes: to make sure that we have the visibility of long-term profitability that is appropriate for shareholders. Thank you very much for Himalaya.
Interpretes Independientes: Have the next question from Estefania Mosqueda.
Interpretes Independientes: could you give us an update on the
infrastructure?
Interpretes Independientes: Project Pipeline, I'll give the floor to Paulo.
Interpretes Independientes: Proposed Powdered, that.
Interpretes Independientes: So you talk about both verticals. Yes, sir, effectively. It's a pipeline
Interpretes Independientes: has 2. the case just want to begin this pipeline. It does not belong exclusively to this.
Interpretes Independientes: Pipeline is part of the perimeter with the transaction of a query. The
the first part of the
Interpretes Independientes: roadway platform that we concluded 12 months ago, and the airport platform that
Interpretes Independientes: in the year for platform to conclude about the go. So we have 3 projects 3 roadway projects, and another 3
Interpretes Independientes: airport projects.
Interpretes Independientes: and the investor Kit that I was being mentioned at the start of the presentation. There's a good description of these projects that I
Interpretes Independientes: I mentioned. So I'm going to explain a little bit more about the status of each of this projects, because Kpex and amounts and
Interpretes Independientes: are in that investigate so and roadways.
Interpretes Independientes: we have one that's called correction Cetro, which is mentioned during the call at the beginning.
because in last July listed a month ago
Interpretes Independientes: we filed with the Ni. All the feasibility studies technical feasibility.
Interpretes Independientes: risk feasibility financial feasibility. The whole information package required for the A and I to hire an an evaluation reviewer, a third party to review these studies. We all have already funded the body required to
Interpretes Independientes: hire that reviewer.
Interpretes Independientes: And it's currently the reviewers currently being hired at what's through. There is a reporter that we have an iteration and transaction process with the reviewer.
Interpretes Independientes: To reach turbul agreement which is when that project is tendered. So connect to is basically an expansion of
Interpretes Independientes: how to pieces the cafe. I do a carriageway
Interpretes Independientes: that will take the whole chat
Interpretes Independientes: whole road between. And that's currently under feasibility. That's currently in the
Interpretes Independientes: stage. Recently, we're working very fast, very quickly, on expanding the Oriente right now. There it only has one tunnel in use.
Interpretes Independientes: but which could have 2 tunnels
and could become basically a dual carriageway
Interpretes Independientes: erez agmoni the government of Ethiopia has already been given all the technical studies and the qualification of the investment that this would require. And we're currently negotiating with the government of Ethiopia
Interpretes Independientes: how
Interpretes Independientes: that investment could be compensated, and how we could turn that into an expansion of which and we hope that construction works will begin in 2,024, and the third
Interpretes Independientes: project and the railway pipeline
Interpretes Independientes: is in the area of public. It's the Ring Road. It's also a departmental the Concessions agent would be the Concessions Institute of Kunti Ramara.
Interpretes Independientes: and it's also in the feasibility stage.
Interpretes Independientes: And this Institute has the feasibility studies, and it is reviewing our feasibility study. So
Interpretes Independientes: maybe. And and each of them where
maybe months away from reaching
Interpretes Independientes: an agreement on terms
Interpretes Independientes: except for which may be derived from the existing contract.
Interpretes Independientes: In the case of airports, we have the new airport of Cartagena. where we had to
Interpretes Independientes: update our feasibility studies which we're doing right now, which we have to deliver to the national in infrastructure agency in November this year, and then the evaluator would
Interpretes Independientes: we would start interacting with the reviewer again.
Interpretes Independientes: in the case of company which is to
Interpretes Independientes: take over the runways took to take the over the runways under concession. And so the physical stage there's been an if you're appointed and we've we're interacting with, this reviewer
Interpretes Independientes: to negotiate and reach the agreementers and the largest
Interpretes Independientes: approach. It is Endore Max, which is the expansion of the passenger terminal of eldoret airport. And right now we are working
Interpretes Independientes: very harder this to be able to
Interpretes Independientes: complete our
Interpretes Independientes: feasibility studies, and we have a commitment to delivering them in October 2024, so that we can
interact with the reviewer and then reach an agreement of terms. So this is a very big project that requires considerable feasibility studies
Interpretes Independientes: which are being covered by a partner. So inside and a query, and we would structure it and deliver it to the Government in October next year.
Interpretes Independientes: I think that's
Interpretes Independientes: That's sufficient illustration. I'm just doing hold here.
Interpretes Independientes: Can't hear.
Okay on your muted.
Interpretes Independientes: I'm sorry.
Interpretes Independientes: Finally. we have a question from Daniel Cordella about the I don't know. There's a share. Swap the first quest. Part of that question has ornamine answered
Interpretes Independientes: on the timeline of the transaction. But the second part, and
Interpretes Independientes: in the event that the Takeover Bill bid for the 3 settlement achievement minimum of 10%,
Interpretes Independientes: and therefore at least an 87% of cannot be transferred to no public key. What would be the mechanism to remedy that potential difference? I'll give the
Interpretes Independientes: answer that question. Thank you very much, Danielle, for the
Interpretes Independientes: a question of what has been agreed on contractually is what has been forward to market. We have
Interpretes Independientes: that obligation to transfer that 87%. And the particles is doing all the efforts today to reach that resetting for 8, 7, and that has been
Interpretes Independientes: what we haven't been focusing on investing on our understand? We are
we trust
Interpretes Independientes: that we will be able to commit our contractual commitment, because there's 23 of shares that are floating in the market. And this is part of the work that we have to do
Interpretes Independientes: to be able to close the transaction. So
Interpretes Independientes: what has been agreed is stressor of that 87. And we're working on that
regarding times, as I mentioned before, this is a transaction that is not simple.
Interpretes Independientes: It's
Interpretes Independientes: transactions have achieved
Interpretes Independientes: corporate approval. What's next is a spin off of group Theresa, after the spin of there will be
Interpretes Independientes: take over, and then there will be swap, and that will be fundamental to be able to anticipate more certain
Interpretes Independientes: dates, and in the next call we will be able to give you more information on the closing dates. But, what's next is a situation where a group of interest and all those teams are working, and once we have a greater visibility, then
Interpretes Independientes: this will clarify the closing dates. But,
Interpretes Independientes: All the parties are working to make this happen as soon as possible. Thank you very much for the
Interpretes Independientes: question which allows me to affirm.
what I mentioned earlier. Thank you very much, Raphael. We have no additional questions.
Interpretes Independientes: Okay, thank you very much for being with us on this call.
Interpretes Independientes: and all of us here are completely available. If you want to go into greater depth on any aspect of the results, and we thank you for your company today.
Interpretes Independientes: Thank you.