Servicios Corporativos Javer (BMV) investor relations material

Executive summary

• Achieved revenue growth of 6.5% in 3Q24 and 5.3% in 9M24 year-over-year, with double-digit increases in gross profit, EBITDA, and net income, driven by a strategic shift toward higher-value residential units and improved sales mix.

• Positive free cash flow generated in both 3Q24 and 9M24, supported by higher EBITDA and reduced land bank investments.

• Opened three new residential projects in Jalisco and Queretaro during 3Q24, totaling nine new projects in 2024, with seven having preliminary EDGE certification.

• The company remains on track to meet its annual guidance, expecting double-digit EBITDA growth and continued free cash flow generation.

Financial highlights

• 3Q24 net revenues: Ps.2,481.1 million (+6.5% YoY); 9M24: Ps.7,042.0 million (+5.3% YoY).

• Gross profit: Ps.787.9 million in 3Q24 (+10.2% YoY); EBITDA: Ps.460.9 million in 3Q24 (+11.8% YoY); net income: Ps.217.9 million in 3Q24 (+42.9% YoY).

• Units sold decreased by 3.4% in 3Q24 and 5.2% in 9M24, but average sales price per unit increased by 10.6% in 3Q24.

• Gross margin improved to 32.5% in 3Q24 from 31.8% in 3Q23; EBITDA margin rose to 18.6% from 17.7%.

• Working capital cycle extended to 280 days as of September 30, 2024, up from 238 days a year earlier due to higher inventories and land bank acquisitions.

Outlook and guidance

• Guidance for 2024 reaffirmed: double-digit EBITDA growth and positive free cash flow expected.

• Over 2,800 additional homes expected to be EDGE certified in the short term, adding to the 14,949 already certified.

• Government housing plan aims to build at least 1 million homes over six years, with new programs for rent-to-own and home improvement loans.

• Awaiting regulatory approval for Vinte's tender offer to acquire up to 100% of outstanding shares.

• Credit rating upgraded to “HR AA” with a stable outlook, reflecting improved profitability and lower leverage.