Earnings call transcript: Ola Group Q4 2024 reports strong sales growth

Ola Group reported robust financial results for the fourth quarter of 2024, with total sales surpassing forecasts by 9.8% and EBITDA reaching €152.6 million, exceeding estimates by 5.2%. The company’s stock, traded under the symbol OHLA, saw a 1.8% increase in its price, reflecting positive investor sentiment. According to InvestingPro analysis, the stock appears undervalued, with strong momentum evidenced by a remarkable 48.73% price return over the past six months. The company currently trades at an attractive EV/EBITDA multiple of 3.18x, suggesting potential upside opportunity. The company also recorded a 16% increase in sales compared to the previous year and a notable reduction in recourse financial debt.

Key Takeaways

• Sales exceeded forecasts by 9.8%, with a 16% year-over-year increase.
• EBITDA grew by 11.3% to €152.6 million.
• Free cash flow amounted to €98.8 million.
• Stock price rose by 1.8% following the earnings release.
• Order book increased by 8.7% to €9.2 billion.

Company Performance

Ola Group demonstrated significant growth in 2024, driven by strong sales and effective debt reduction strategies. The company’s order intake reached €5.1 billion, resulting in a book-to-bill ratio of 1.2 times. This performance underscores Ola Group’s competitive edge in key markets such as the US, Europe, and Latin America.

Financial Highlights

• Revenue: €4.3 billion, a 16% increase from 2023.
• EBITDA: €152.6 million, an 11.3% rise year-over-year.
• Free cash flow: €98.8 million.
• Recourse financial debt reduced to €332 million from €749 million in 2020.

Outlook & Guidance

For 2025, Ola Group aims for a 3% sales growth, targeting €4.3 billion, and a 14.7% increase in EBITDA to €175 million. The company plans to maintain its order book over €4.5 billion, focusing on profitability improvement and potential credit rating enhancements. InvestingPro data shows the company maintains a GOOD financial health score of 2.8, with particularly strong marks in relative value (3.77) and price momentum (3.18), supporting its growth trajectory.

Executive Commentary

Luis, the President of Ola Group, emphasized the company’s commitment to long-term value creation, stating, "Our objective is to keep generating value in the long term for all our stakeholders." CEO Thomas Reap highlighted the company’s improved leverage ratio, noting, "We have reached levels which are normal in the industry in terms of leverage ratio."

Risks and Challenges

• Ongoing litigation related to the Sidra hospital project may pose legal risks.
• The potential issuance of convertible bonds up to €50 million could affect financial stability.
• Market volatility in the infrastructure sector could impact future order intake.

Ola Group’s strategic initiatives and strong market position suggest a positive outlook, although the company remains mindful of potential challenges in the coming year.

Full transcript - Obrascon Huarte Lain SA (OHLA) Q4 2024:

Unidentified Speaker, Ola Group: Distinguished

Luis, President, Ola Group: shareholders and collaborators of Ola, it is an honor to address you as president of this company, which is over 100 years old, in a day which is key for all of us. Today, 02/27/2025, we are announcing that the Ola Group is showing robust yearly results, which meet and excel all the objectives that were presented to the market just one year ago. In these figures, which we will break down later, you will see reflected not only the strength of the group, but also the commitment and the effort carried out by the over 35,000 employees of the Ola Group. In a year in which, on top of the day to day challenges, we have had to meet great challenges. The work has allowed us to move forward in a highly complex environment whilst maintaining our competitiveness and strengthening our OVLA brand as a key actor in the infrastructure industry.

As I have already mentioned, Ola has fared better than expected in all operating figures, which measure the group’s performance. And we are proud of this growth because we have achieved this whilst completing successfully our ambitious recapitalization, which was a key step to increase our foundations. Such a great scale process needs planning, discipline, and a strong commitment with transparency. And today, we can proudly say that we have met each of these principles. As we had committed to do with our shareholders during our extraordinary general meeting, Ola finished the month of February its recapitalization and met all the agreed items.

Thanks to that, we have not only managed to strengthen our financial structure, but also to reduce our leverage ratio in over nine times in the last five years. In total, after allocating over €190,000,000 to debt cancellation and coupon payment, the Ola Group is now entering the average levels in our industry. This is evidenced by the fact that our capital increase has allowed the company to manage to get the reference banks to liberate most of the securities in favor of the Ola Group for over €100,000,000. This would not have been possible without the reduction of our financial leverage. In this sense, I would like to highlight the resounding success of the capital extension that we have carried out.

This is a milestone that reflects both the strong confidence of the market in Ola and also the potential of our growth strategy. I would like to highlight the success of the capital increase, which has been especially important both in terms of employee exclusive shares where we received over twice the amount of applications for share subscription and also in the rights for our group shareholders where we had excess demand. This clear fact shows the support that we have both internally and externally from our shareholders, employees, and stakeholders in the roadmap of the Ola group. The operation has been subscribed and approved for the maximum amount of €150,000,000 and it has allowed to incorporate new investors to the company, thus strengthening our shareholder base. This support consolidates our financial structure by giving us greater robustness and flexibility and also strengthens our ability to carry out new strategic projects and keep growing in a market which is more and more competitive every day.

As I was saying, this result shows clear support to our vision and to the projects that we are fostering. And it also strengthens the positive perception that the market has of our ability to deal and generate long term challenges. At this point, I would like to sincerely thank all employees of the Ola Group who have shown vital support and commitment to the strength of this capital increase. As I mentioned before, their active participation in the employee shares plan with which they have subscribed to the maximum level available shows both their trust in the future of the company and also highlights their commitment with the group’s growth and success in the long term. And for all these reasons, I am convinced that today we are a more robust company with a financial structure which is much more optimized and has the ability to keep boosting our growth.

To conclude, the results that we are presenting today show clearly that Hola is in the right path. I would like to reassure you that myself, as the rest of directors, and all the employees at Hola will keep working with the same determination, commitment, and strategic vision to guarantee sustainable growth of our company. Have no doubt that our objective is to keep generating value in the long term for all our stakeholders. And now I’m going to give CEO, Mr. Thomas Reap, who will give you a breakdown and a more profound outlook of the figures that we have achieved, advances and next steps in our strategy.

I am sure that you will appreciate the effort and the achievements that we have managed in such a significant year for the Ola Group. Our main challenge once we have this financial strengthening will be not only to keep boosting our growth but also to improve our profitability. Thank you very much for your attention and for your continued support to Ola Group. Thank you, mister president. Good morning, everyone.

It is a pleasure for me to be here with you to share Ola’s result for tax year 2024. As our president has mentioned before, the results we are going to present today show that Ola has met and exceeded the forecasted objectives and has advanced clearly and sustainably. This shows the robustness of our strategy both in the long and the short term. It’s important to highlight that these results have been achieved whilst we were recapitalizing the company, which puts even more in the spotlight these achievements. The data that we’re showing today shows sustained growth in the main operating figures, which strengthens our position as a benchmark in the infrastructure industry without a doubt.

I would like to sincerely thank the members of the board for the trust and continued support. These have been essential to keep us growing successfully. Without further ado, let me start analyzing our performance. We are showing in this graph the results of the company with a solid trajectory and an exciting future outlook. This is a company that is not only adapting to market challenges, but also overcoming them with determination and with the maximum guarantee of excellence in absolutely all their projects.

This is a group that meets the word and meets their commitments. And another year, I am happy to be able to announce that AUGLA has achieved and even exceeded the objectives announced to the market. The company has increased its sales, its EBITDA, and its main financial ratio. At the same time, it has generated over €98,000,000 in cash in directivity. And as the president has explained, we have achieved all of this whilst carrying out a very complex recapitalization and refunding operation.

As you can see on the table, Olga achieved million sales in 2024. This is 9.8% more than forecasted and the estimates. In 2024, Ola achieved EBITDA of €152,600,000 which is 5.2% more than estimated. In the last five years, we have increased our EBITDA by 135%. In other words, we have more than doubled our results.

Both figures exceed the, the estimates that we presented at the beginning of twenty twenty four to the market. Allow me to say that we’re especially satisfied with the evolution of our leverage ratio, which is now 2.2 times EBITDA after the end of the year and the recapitalization operation. In other words, this is nine times less compared to 2019. This is easy to say, but in the last few years, we have paid over €534,000,000 which is about 60% of the debt the company had back in 2020. For the first time in many years, we can say that this important performance indicator is around the average in the industry, and our objective is to decrease it even more.

Don’t fret, this financial discipline has been an essential pillar in our transformation and will keep accompanying our strategy in the next few years. Just a few weeks ago, as the president has mentioned, Ola closed the group’s recapitalization, which was announced to strengthen their financial structure. And the end of this process, as you can imagine, has been extremely relevant. We have met rigorously and punctually all the deadlines and commitments that were established and approved by our shareholders in the extraordinary general meeting. And we have done so with the maximum meet and with exceed demand.

Unidentified Speaker, Ola Group: Now the main milestones within the process has been as follows. We have successfully achieved a recap of EUR 150,000,000, which has allowed new investors to come and has also had a very positive impact in our financial robustness. We have also improved our financial leveraging, which is reaching 2.2 times EBITDA in at the end of recapitalization. Also, we have reached an agreement with our financial entities, which has allowed us to free EUR107.8 million of cash. Now this is a turning point in the relationship with the financial entities, and it shows the trust in our company.

This agreement also includes a commitment by different entities to bring support to Ola’s operation. Also, we have extended the debt maturity till the 12/31/2029, making the financial conditions more flexible. Additionally, we have achieved the debt cancellation of EUR 190,000,000 in debt, which includes the repayment of ICO credit EUR 40,000,000 plus interests. Also the cancellation of EUR 139,000,000 in bonds and the payment of EUR 11,400,000.0 regarding the coupon of September 2024. Also, we have completed the sale of our participation in the Montreal Hospital Centre, CHUM, which is a non strategic asset and is also part of our recapitalization.

And finally, we will continue with our non strategic assets turnover to continue in the deleveraging roadmap. As a consequence of the success of our recapitalization and reducing leveraging the price of our share price has significantly strengthened. And we have reached increases of 80%. So our market cap has increased to 150,000,000 since 2024 to more than €500,000,000 at present times. Now regarding the operating results, we have closed 2024 with the next key figures.

Compared to 2023, there’s been a 16% increase on sales, an 11.3% increase in EBITDA, an increase of 14% on order intake. The second year, we have created an activity, cash, which is a free cash flow accounting for EUR 98,800,000.0. Regarding the year order intake, we have reached €5,100,000,000 which gives us a book to bill ratio of 1.2 times. With this, our total order book at 12/31/2024 has reached €9,200,000 which accounts for 8.7% growth compared to 2023. Regarding to business cash flow generation, we have increased 60% our forecast.

I like to insist on the idea that this company meets its words. And as you can see, we have exceeded all the forecasts that we presented one year ago. In this sense, we have reached an increase of 9.8% on sales regarding the forecasted sales in 2024, a growth of 5.2% in the initial EBITDA and also 25% increase in order intake announced by then. Regarding debt evolution, our policy to reduce debt has been our main pillars guiding the financial behavior at Hola, achieving satisfactory results to the date. In 2020, the recourse financial debt reached €749,000,000 Today, after a rigorous and decided management, we have made to reduce it, thanks to recapitalization, to EUR $332,000,000.

And as I said before, the financial debt ratio has suffered a steady and consistent decrease passing from 11.1 EBITDA in 2020 to 2.2 times in 2024. As I previously mentioned, in the last four years, we have paid $534,000,000, which account to 60% of the balance in 2020. Closing of 2024, the total Ola order intake reaches €9,200,000,000 with Europe, 1 of the largest markets, accounting for 38% of the total amount, followed by The U. S. With 35.7% and Latin America with 25.

This, I’d like to highlight that at the moment, we have a healthy order book with a book to bill ratio above one times since 2020, which shows the good health and the positive forecasts of our activity. As you can see in this slide, in 2024, Ola has achieved the award of very important project across the different markets they operate. And within this context, I’d like to highlight the, how the group is performing in The US. We have where we have reinforced our activity with key awards. When we build the correctional center in Miami Dade, which we announced in the month of September, we have also included in the last quarter the award of our greatest project per volume in 2024, design and construction of Southwest Tenth Street Connector in Florida.

I’d like to highlight that Ola started to operate in The U. S. More than twenty years ago, participating since then in great developments and being acknowledged as the contractor of the year in New York and California. In Europe, the group has reinforced its presence with very important awards, especially in Nordic countries. And Switzerland, the group is the greatest contractor in Stockholm subway, and we have also included a new railway project, valued at €160,000,000.

Within the Nordic countries, I’d like to highlight that the order intake has also been reinforced in Norway with an award of a tunnel in Oslo. In Spain. New contracts due to the participation of the company in the UTE railway LORCA. In Latin America, the project I’d like to highlight due to its size in 2024 is the Riverbank Defense in Rio Cangniete and in River Waura, 1 Hundred And 14 Point 7 Million. 20 20 4 has been a key year for Ola in terms of sustainability.

And as you can see in the graph here, we have made significant progress that make us consolidated within the sector on a benchmark. We can announce that we have committed to 85% of our sustainability plan in 2022, ’20 ’20 ’4, showing what our real commitment is with a more responsible development. Also, in terms of governance, we seal we are still committed for transparency and responsibility, and we link 20% of the variable remuneration based work and management objectives to all the entities linked to ESG metrics. Now before presenting the goals of our group for 2025, I’d like to insist on some key variables that have been paramount in our recent journey. And I truly believe that they explain how Ola can bring meaningful value to our shareholders.

First and foremost, I’d like to highlight the operating robustness that the group has proved with construction margins around 5%, two consecutive years of positive cash flow with a record portfolio or record order book of more than EUR 9,000,000,000. All of this has been achieved with very challenging conditions and at every moment, we have complied with our commitments in the market. Secondly, I should insist on how important the recapitalization operation was, and it was closed by the group successfully in the month of February. Thanks to this, we have a company with a healthier leveraging ratio. We have strengthened our commitment with more liquidity and we have also achieved the commitment of financial entities to renovate the different lines to the company.

Thanks to this financial robustness order is a very good place to boost expansion and maintain competitive in an environment where markets become to be more and more dynamics. Last, I should highlight that this process has had very strong support by all the shareholders at Ola. In this sense, in the context of this operation, the group has reached to agreement with bondholders, banks, shareholders new investors. All of them and with their support to this process show the support and trust to the business plan and the future perspective business at Ola. This is why in 2025, our priority, as the chairman said before in his speech, will aim to focus on improving profitability and assess the sustainable growth.

For that, in the short term, we are going to implement a program to reduce our costs with a clear focus on improving our margins. We will also ensure more efficiency and profitability in our operations. For the year, our goal is to reach a 3% growth in sales until EUR 4,300,000,000.0 with an order book superior to EUR 4,500,000,000.0. And with this evolution, we aim to have an increase of 14.7% on EBITDA reaching EUR 175,000,000. All these measures not only will contribute our to strengthen our position, but also it will also improve the revenues, the net revenues, boosting better management of our resources and increase of profitability in our operations.

In 2025, we also forecast an improvement in our credit rating as a direct result of the solid progress that we’ve made and the results that we are sharing today. We’re aware that with a clear focus on profitability, efficiency and solid growth, or is the correct path to face the upcoming challenges. Thank you very much for your attention. And now we are going to pass to the Q and A session. With me, we will have Jose Maria Saguardoy, CFO.

And I will hand over the floor to Don Pedro Arellano, investors and market capital relations manager. Thank you for your attention.

Luis, President, Ola Group: Thank you very much, Luis. Thank you, Thomas. Just a reminder that questions are being sent through the webcast. And please do ask any questions you might have. I have written down a few, but I will try to read and answer as many as possible and read them out to Thomas and Josemaria Zagardoy.

So just to reiterate our commitment and thanks to all the people who are here today and just to highlight what they have already said during their presentations, this is a company that meets its word, that meets its objectives, and we are consolidating that regard. And we have paid over €534,000,000 of debt in the last few years. It’s an honor to keep making history in this Centennial Company. Okay. So without further ado, let’s have a look at the questions that we have received.

This person who has asked quite a few questions, and I have seen I will call them later because I see that some of the figures that they have written are not correct. So we have the financial statements for December, the presentation and all the information that you’ve seen have been published already in our results report, Page 11. You can see all the investments, the investments, cash flow generation and so on. And this list is a bit of a mixture of everything, but just to highlight, investments have been million as we have announced. The divestments include CHUMOWO is the last thing that we did at the beginning of the year and capital extension at the beginning of the year.

And that’s what makes out of the figure that you will see in that page. And then Thomas is asking a few questions about divestments. Can we give an update? What do we expect and when full? Yes, absolutely.

As we have announced, the company keeps on the strategy of non strategic asset turnover. And our key objective is to keep decreasing our leverage ratio. But we also have a second objective, which is to keep investment in more profitable Canajas project, which is an iconic project in Madrid, but which is not part of Ola’s strategic assets. And the second one is the service division, which is also for sale. The processes will keep ongoing, although these successful recapitalization will allow us to keep on working on these processes in a very serious manner but without rush so we don’t have to undersell our assets.

This is something that is not going to happen. Okay. So, following up on the divestment question, there are quite a few people. And let me just show the slide, the objective slide, because quite a few people, as I was saying, have asked about objectives. So talking about the evolution of Canalikas and why we have adjusted the price of Canalikas in our results this year.

Well, in that regard, what I would say is two two side answer. On the one hand, we have the assets, which is composed by the hotel, the gallery, and the parking lot. And this is an asset that is growing successfully and has very solid and rigorous sales. The results are very satisfactory as well. However, and I think this is normal with this kind of asset, our interest in that asset is reviewed every year and it’s adjusted to the book valuations that we have available.

And this is why we have adjusted the value of our interest this year. And I would like to highlight that this is a book adjustment and has had no effect on our cash flow. Okay. Thank you, Thomas. We have one new question, which is also related to many of the other questions that we have had before.

And this is to do with mitigation awards. And just to remind you that the unedited financial statements, there’s been an update on these material awards as well. There has been no material changes. But Tomas Josemaria, we are being asked on our opinion on Sidra and other awards. So just on the mediation awards and any other litigation that we processes that we currently have, we have different processes to processes to present claims in different projects in different places.

Some of these claims have resulted in litigation and we have mixed results. Sometimes results are favorable and sometimes they are negative for a company. But other than the normal, let’s say, litigation inventory, I would highlight Sidra. In the case of Sidra, this is a hospital in Qatar. And as we have, said a few times, our estimate is not modified.

And the main variables that we need to take into account are the fact that the hospital or the project of the hospital was finished by 95%, and this is something that the mediation tribunal has the arbitration tribunal has already awarded, and this was €1,800,000,000. And we think the remaining 5% that is still that still needs to be constructed would be around EUR 90,000,000 and million. Also, just would like to remind you that we have had guarantees for the UTE or the joint venture that we created for the construction of that hospital, and that amounted to €230,000,000 Also, we have won litigations against subcontractors for the execution of guarantees for around €80,000,000 of which €40,000,000 are already in the UTE accounts. And the other 40, although we have one in first instance, are now going to be are going to the Appalachian tribunal. So now this concerning guarantees.

Now concerning the 80,000,000 reserves that we have

Thomas Reap, CEO, Ola Group: for any

Luis, President, Ola Group: potential awards, we think it’s provisioned adequately, and we’re ready for any kind of resolution in this litigation process. However, and just to conclude, we have big litigation as well like PES in Qatar. We have the metro in Doha, which for which we’re expecting, a positive result in the short term, possibly before the one for Sidra and possibly in 2025. And we think it’s going to be a favorable result because the tribunal has already determined that the contract Thank you, Thomas. Just going over the list of questions, they were asking about different litigations.

We have no news. And the news that we have have been published this morning in the non audited financial statements. Okay? Now concerning operating levels, we are being asked whether there’s going to be an issue with awards in the last few years, whether construction is going well in all the projects. And they’re also asking whether we have analyzed internally the rebuilding of Ukraine or whether this is still early stages.

Well, in that regards, I would say that in our order current order book, we don’t see any material risk in any contract other than the normal contracts abnormal risks in this kind of operations, yeah, construction operations. And in terms of awards, they are ongoing. We have materialized a few of them in more time than expected for technical reasons because sometimes we didn’t have permits or we didn’t have administrative authorizations. But everything is ongoing, everything is going well, and we don’t expect any material issues. They’re also asking also in terms of operations for the future of the company.

We would like to say once again that what we have announced today is what we published to the market in November 2024 and all the information that we’ve given concerning the recapitalization and the roadmap of the group. But we are being asked about service evolution. This is something that is included in the results report in the annual accounts. There’s another question concerning whether there’s going to be a dividend distribution in the next two years or when you’re expecting to do that? Okay.

So I think in terms of services, the results have been published and we had an EBITDA of €10,500,000 this year. Last year was €11,000,000 So as it happens in many other service companies, service providers, we are facing normal challenges in terms of contracts with the public administrations and with the increase of the official minimum wage and increases wages in general. But other than that, we are working to keep improving the results of this division, which as we have already mentioned is on sale. Now what was the second question, sorry? Oh, dividend distribution.

Okay. Well, if we talk about net profit, I think the first thing that we need to highlight is that the measures that we want to implement in the short term are focusing on improving our margins. And the idea is to achieve greater profitability in our company. We have reached a turning point with the recapitalization, which improves significantly, as we have said a few times, our leverage ratio. And we’re now hoping to use three different levers to increase profitability in the short term.

First of all, launching a reduction cost reduction plan immediately. And the idea behind this is to simplify our organizational structure. Secondly, second lever, we have already mentioned, non strategic asset turnover. And the idea behind this is to reinvest in other award and development projects or in our main business. And the third lever would be to keep on developing investment business, which will be award and real estate developments.

And the combination of these three levers will no doubt bring greater margins to our business. Indeed, these investment projects ensure greater construction margins. And in this way, we will keep trying to achieve better profitability. And also, we are regulating financial expenses. And we are, unfortunately, there’s no microphone, so we cannot hear properly.

Also, could you give your opinion on the reconstruction of Ukraine? As you know, we have an important operation going on in the Czech Republic, which is close to the Ukraine. And we have talked to different representatives, especially with the Ukrainian embassy, with the Ukrainian Embassy with the possibility of about the possibility of moving forward, but we don’t have a specific project. And I think indeed it’s early stages. And some questions concerning the business plan and very specifically on the euro value of the activities that we have on sale.

Once again, this is included in the results report that we have published this morning. On Page 10 of the results report, it’s Canalejas and the one for services is in the financial states statements. And they’re asking whether you have any figures or objectives in terms of leverage ratio where you think the company will be having comfortable to focus on operating growth exclusively? Well, I think as the president has said, we have reached levels which are, shall we say, normal in the industry in terms of leverage ratio. But one of my main objectives will be is to keep it improving this.

And I think under twice EBITDA should be our goal in the midterm. There’s a very a question that has been asked lots of times, which is to do with the Kuwait litigation. As you have said, the updates are in the unaudited financial statements this morning. We didn’t see anything different from what we have been saying this year, right? Yes.

Exactly. In the case of Kuwait, as we said, we executed guarantees for €39,000,000 to the UTE. This is an execution which we think is extremely, abusive, and this is why we had preventative measures in place to prevent it from going forward. And then the government of Kuwait applied for the elimination of those measures and we won that we had an appeal. We won that appeal and it’s going to be resolved in the next in in the near future.

But, I would like to say that the execution of guarantees is illegal and it’s abusive. And if this were executed in the end, we would have a credit that would allow us to fight the termination of the contract. Also, it’s important to highlight that the result would not be affected by this decision because we had already taken into account the potential losses that we would get from this in our results.

Unidentified Speaker, Ola Group: Some questions regarding the recapitalization with the agreement of new investors. And after the new capital extension, there was a possibility to have access to liquidity and new sources of funding in the company at board level. They wanted to know if any progress has been made and if there’s any piece of news. And is there any lockup from new investors in order to say at the Well, regarding the first question, the board has agreed to, deep dive with the independent mother experts to analyze the issuance of a convertible bond that may be up to €50,000,000 but this is something that is still under analysis. And regarding the second question and regarding the shareholders in the company and the agreements in order to increase the financial support across different financial entities, there is a long term commitment.

Well, let me just highlight here that we are not just talking about new investors but also the greater shareholders in the company in order to give some stability to the business plan. Another question. Has the litigation or the debt that Bienmir Group should pay to you all, EUR 30,000,000 is what it remains to be paid apparently. Well, this is an old litigation that has been addressed at different stages and there is a balance to be covered into two times EUR 11,000,000 and another one which accounts to EUR 22,000,000. The very first one is, well, some actions have been already been implemented in order to pay for that.

The other one is still not eligible because it is subject to certain conditions. But we will do our best in anything we can in order to collect it. Let me just say that this is a non recourse debt, and we need to see what is the guarantee that we obtained from all of these two trenches, which is what the board said before. There’s no recourse against the Bjornmir Group. There’s a pending question made by analysts.

The EUR 98,800,000.0 cash flow is due to the activity itself or the capital increase? Let me just say that the answer is no. It is explained on Page 11. The pure business activity is 98.8%. This is just created by the business excluding capital increase, expansions and sales.

And is it comparable to last year or do we aim to maintain this level to the upcoming years? Well, we can it’s comparable because last year, we had a similar range even though there were some extraordinary matters. But the goal of our company is to maintain these cash flow creation and even improve it, if possible. Okay. Thank you.

I believe it’s important that whenever we see the cash evolution in the upcoming year, I think nobody should be surprised about the numbers, say, because it affects 100,000,000 after excluding taxes and interests and everything. And please remember how the effort we have made on debt repayment, and we have to pay till ’29. We have any question. This is a recurrent question, Pacadar. Have we thought about selling the company?

And we truly believe that Paccadar is a company that brings value. Well, Paccadar is positively evolving with 12,000,000 EBITDA per year generating cash flow and order intake. So by the moment, it is not expected to be on sale. And it’s never and we’ve never thought about this really. This is an asset that comes from the very first refinancing process because this is when we did the in payment action, but this is an asset that the company has never thought about selling really.

And as Thomas said before, the Pacalar progress is very positive in EBITDA and in net profit. Another question. In the development activity, do we aim to build public housing in Spain. I think this question is focusing on the shifting towards different change in housing. Well, before talking about the different developments that we are going to do, the growth on concession and different housing developments need to be done progressively with a a special care to the cash in the company and the financial strength of our company.

And having said this, we don’t have business expected for this specific business area. Some other

Luis, President, Ola Group: projects will

Unidentified Speaker, Ola Group: in Spain will go along with the housing sector. Another question. The enforcement of corporate governance with new investors, the relationship is being nice. And what are the roles that benefit these new investors when joining the company? I think the company has been positively affected by new investors, the share shareholders, but also at the board where the different points of view come together and where they have a very enriched strategic perspective.

Another question, is The U. S. Ever going to be at the stock or is ever going to be listed? Well, this is not a possibility in the short term. This is something that we are considering, but it’s not in our roadmap at the moment.

What about could we give any detail about the Canalaha sales project, which has been confidential? I believe that we cannot give any detail about the interests or not, if someone else was interested in this. We have already talked about the evolution, the sale, which is an asset for sale. And we have 50%. I don’t know if you want to add something else on this.

Well, nothing else to say. Some potential buyers showed an interest on these assets at different price levels. But these assets, just that we have 50% participation, but we have all their partners there. So in this specific case, we didn’t reach to any point regarding sale itself. Well, no more questions.

That’s everything unless I’ve made any mistake. And if there’s any missing, sorry, in advance. But these are all the questions that we’ve received. Let me just say that from the Investors Relationship department, we are at your disposal to address any question you may have. I think it’s the moment to conclude.

Thank you for your time. And key messages again, we are a trustworthy company that meets its words. We have reduced the leverage ratio by two times, very far below what we ascended some years ago, and we are on the right track. Thank you for your time.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.