Corpovael (CADUA) Corporate Presentation summary

Company overview and history

• CADU Inmobiliaria, established in 2001, is a leading Mexican housing developer with over 121,000 homes sold across six states, focusing on affordable, middle-income, and residential segments.

• Holds a dominant market share in Quintana Roo, with 33% of homes sold via INFONAVIT from Jan–Apr 2024, including 95% in Tulum.

• Vertically integrated, with expertise in design, construction, and sales, and maintains a four-year land reserve policy.

• Went public in 2015 and has issued debt six times since 2012, including Mexico’s first green bond in the housing sector.

• Recognized for ESG leadership, with multiple certifications and awards for sustainability and governance.

Product portfolio and market positioning

• Offers homes in four segments: affordable entry-level (≤MXN 1M), middle-income (MXN 1M–2.5M), middle-income residential (MXN 2.5M–5M), and residential (>MXN 5M).

• Main funding sources include INFONAVIT, FOVISSSTE, commercial banks, and buyers’ own funds.

• Weighted average sale price has increased, with a focus shifting toward higher-value segments.

• Developments are located in Cancun, Playa del Carmen, Tulum, Guadalajara, and Mexico City, with expansion planned for Queretaro.

• Notable projects include "ALLURE" and "BLUME" in Cancun and the large-scale Aldea Tulum development.

Financial performance and industry comparison

• Revenue for LTM 2Q24 was MXN 2,779 million, with an EBITDA margin of 17% and net margin of 6%.

• ROE declined to 2.8% in LTM 2Q24, reflecting industry headwinds and post-pandemic recovery.

• Total debt as of June 2024 was MXN 2,198 million, with a net debt/EBITDA ratio of 2.33x.

• Outperformed industry peers in home sold revenue growth (23%) and net income growth (28%) for Jan–Jun 2024.

• Maintains competitive leverage and working capital metrics compared to other listed Mexican homebuilders.