Sociedad Matriz SAAM (SMSAAM) Q2 2024 earnings summary

Executive summary

• Revenue for 1H24 reached US$283.6 million, up 10% year-over-year, with EBITDA at US$90.2 million, a 14% increase from 1H23 and margin up to 31.8%.

• Net income for 1H24 was US$31 million, down 7% year-over-year, but up 89% compared to continuing operations in 1H23; prior year included US$17.2 million from discontinued operations.

• Key milestones included the launch of electric tugs in Canada and Chile, new contracts in Latin America, and expansion in air cargo logistics in Ecuador.

Financial highlights

• 2Q24 revenue was US$143.3 million, up 10% from 2Q23; 1H24 revenue totaled US$283.6 million, up 10% year-over-year.

• 2Q24 EBITDA reached US$47.3 million, up 22% year-over-year.

• Net income attributable to owners was US$31 million for 1H24, a 7% decrease year-over-year; 2Q24 net income was US$9 million, down 43% due to absence of discontinued operations.

• Dividend payments totaled US$250.4 million, with US$143.7 million paid in income tax.

• Cost of sales increased 10% to US$200.8 million for 1H24; administrative expenses rose 7% to US$44.8 million.

Outlook and guidance

• Planned investments of ~US$80 million focused on infrastructure, sustainability, tug maintenance, and air logistics.

• Activity expected to increase with new operations and contracts, with normalized margins and profitability.

• Recovery in Panama Canal activity and consolidation of new contracts anticipated; normal transit capacity resumed in July.

• Continued focus on expanding air logistics and towage services, with new contracts and fleet investments.