Motiva Infraestrutura de Mobilidade (MOTV3) Q2 2024 earnings summary

Executive summary

• Adjusted net income surged 102.1% year-over-year in Q2, with adjusted net revenue up 12.5% and consolidated adjusted EBITDA rising 14.4%.

• All business segments (toll roads, urban mobility, airports) posted volume growth, with notable efficiency gains and portfolio resilience.

• Ancillary/complementary revenues grew 18.6% year-over-year, reflecting successful diversification and new initiatives.

• Major long-term financing for RioSP (R$10.8 billion) and record debenture issuances, plus the sale of Samm for R$100 million, were completed.

• Operational efficiency improved, with Opex (Cash)/Net Revenue LTM ratio dropping 2.0 p.p. to 40.5%.

Financial highlights

• Adjusted net revenue reached R$3,488 million (+12.5% YoY); adjusted EBITDA was R$2,009 million (+14.4% YoY); adjusted net income was R$411 million, up 102.1% from 2Q23.

• Adjusted EBITDA margin improved to 57.6% (+0.9 p.p. YoY).

• Net debt/Adjusted EBITDA LTM stood at 3.1x in 2Q24.

• CAPEX totaled R$1,628 million in 2Q24, up 16.6% YoY.

• Opex (cash)/adjusted net revenue (LTM) ratio improved by 2.0 p.p., reaching 40.5%.

Outlook and guidance

• Strategic focus on profitable and selective growth, value generation, strong balance sheet, and sustainability leadership.

• Commitment to expand ancillary revenues and maintain operational efficiency.

• Ongoing investments in expansion, modernization, and improvement of assets, especially highways and airports.

• Efficiency program targets OpEx to revenue below 38% by 2026 and under 25% by 2035.

• Commitment to carbon neutrality (scopes 1 and 2) by 2035.