Vinte Viviendas Integrales (VINTE) Q1 2024 earnings summary

Executive summary

• Q1'24 revenue rose 1.1% to MXN 933 million; EBITDA grew 18.1% to MXN 177 million and net income increased 10.8% to MXN 87 million, with higher margins.

• Lower titled-home volume was offset by higher average selling prices; management described results as in line with the annual business plan.

Financial highlights

• Revenue was MXN 933.1 million, up 1.1% YoY; gross profit rose 11.6% to MXN 295.3 million and gross margin increased 3.0 p.p. to 31.7%.

• EBITDA was MXN 176.8 million, up 18.1% YoY; EBITDA margin expanded 2.7 p.p. to 18.9%.

• Net income increased 10.8% to MXN 86.6 million; net margin was 9.3%, up 0.8 p.p., and EPS was MXN 0.40 versus MXN 0.36.

• Titled-home revenue reached a first-quarter record MXN 867 million, up 0.9% YoY; average price rose 7.0% to MXN 1.219 million.

Outlook and guidance

• Management expects net debt/EBITDA below 3.00x in Q2'24, from 3.19x at Q1 close, as investments proceed in line with the business plan.

• 2024 priorities include sustainable, profitable growth, project and location diversification, and pursuing opportunities supported by housing demand and nearshoring.