Inversiones La Construcción (ILC) Q3 2024 earnings summary

Executive summary

• Q3 2024 profit reached Ch$57,841 million, up 61.6% YoY from Ch$35,841 million, on higher operating income and lower tax expense, partly offset by weaker non-operating results.

• 9M24 profit was Ch$110,936 million, down 11.2% YoY; excluding Consalud’s Ch$31,688 million after-tax Short Law liability, profit was Ch$142,623 million, up 14.4%.

• Financial subsidiaries were the main earnings drivers; RedSalud delivered stronger operating results, while Consalud remained loss-making.

Financial highlights

• Confuturo reported Q3 profit of Ch$28.4 billion; AFP Habitat Q3 profit rose 108% YoY to Ch$52.6 billion.

• RedSalud Q3 revenue increased 9.1% YoY to Ch$186.2 billion and EBITDA rose 39.1% to Ch$20.9 billion; Consalud posted a Q3 loss of Ch$6.2 billion.

• 9M24 net operating income was Ch$114,024 million, down 18.8% YoY; non-operating income was Ch$5,024 million, down 67.4%.

Outlook and guidance

• Strategy emphasizes profitability, operating flexibility and financial strength, with growth expected to be led primarily by financial businesses.

• Banco Internacional plans to expand large-corporate banking, develop retail banking and diversify products and funding; growth plans include organic and inorganic opportunities.

• Pension reform discussions center on solidarity versus individual-account contributions; approval and implementation depend on political negotiations and timing.