Ibersol SGPS (IBS) Q4 2024 earnings summary

Executive summary

• Achieved 13.4% year-over-year revenue growth, reaching €474.3M in 2024, driven by expansion, delivery channel growth (+18%), and integration of new KFC units from NRS acquisition.

• EBITDA rose 29.9% to €95.7M, with margin up 2.6 p.p. to 20.2%, but net income from continuing operations fell to €11.0M (from €14.6M), impacted by higher amortizations and financial costs.

• Opened 43 new restaurants, including significant expansion of KFC, Taco Bell, and Pret A Manger, and completed the acquisition of Medfood/NRS, adding 35 KFC units in Spain.

• Distributed €20.8M in dividends and executed a share buyback, reducing capital by 844,759 shares.

• Sustainability and ESG initiatives advanced, with 52% of energy from renewables and 100% waste separation.

Financial highlights

• Revenue from continuing operations: €474.3M (+13.4% YoY); EBITDA: €95.7M (+29.9% YoY); EBITDA margin: 20.2%.

• Net income from continuing operations: €11.0M (vs. €14.6M in 2023); consolidated net income: €13.8M (includes €2.8M gain from Burger King sale).

• Operating income: €23.5M (vs. €23.0M); gross margin: 76.2% (+0.2 p.p.); personnel costs: 30.7% of revenue.

• Net debt: €176.2M (up from €67.3M), mainly due to lease liabilities and NRS acquisition.

• Dividend per share: €0.50; share buyback reduced capital to 41,514,818 shares.

Outlook and guidance

• 2025 GDP growth expected at 2.3% in Portugal and 2.7% in Spain, above Eurozone average.

• Plans to complete conversion of all airport restaurants to final formats by May 2025.

• Continued expansion focus on KFC, Taco Bell, and Pret A Manger.

• Cautious optimism due to tourism resilience, but geopolitical and economic uncertainties persist.