Quiñenco (QUINENCO) Q3 2024 earnings summary

Executive summary

• Net income reached Ch$286,014 million in 3Q 2024, up 29.6% year-over-year, driven by a strong contribution from CSAV, reflecting Hapag-Lloyd's robust results and lower tax expense at CSAV.

• Banco de Chile's net income rose 10.8% to Ch$288,071 million, supported by higher operating revenues and customer income, partially offset by increased credit losses.

• CCU's results improved due to better non-operating results, despite lower operating performance, mainly from Argentina.

• Enex posted a loss, mainly due to unfavorable inventory revaluation and lower industrial volumes.

• Interim dividend of approximately US$200 million approved, payable in December 2024.

Financial highlights

• Consolidated revenues in the industrial sector rose 4.3% year-over-year to Ch$1,346,736 million, mainly from Enex and SM SAAM.

• Operating income in the industrial sector fell 52.8% to Ch$11,546 million, primarily due to lower results at Enex and CSAV.

• EBITDA for the industrial sector was Ch$55,570 million, down 7.7% year-over-year.

• Non-operating income surged to Ch$312,134 million from Ch$31,063 million, mainly due to CSAV's share in Hapag-Lloyd.

• Earnings per share reached Ch$172.01 in 3Q 2024.

Outlook and guidance

• CCU expanded its PepsiCo partnership to Paraguay, maintaining 51% ownership in the new venture.

• Nexans agreed to sell AmerCable for US$280 million, aligning with its electrification strategy.

• Quiñenco reduced its stake in Nexans from 19.2% to 14.2%, generating net proceeds of US$234 million.