Interconexion Electrica Sa Esp · BVC:ISA
Interconexion Electrica Sa Esp — ISA — 2024 Securities Emerging Markets Corporate Conference
19 slides from Interconexion Electrica Sa Esp's conference presentation, July 2024
Slide 1: Important note
CORPORATE PRESENTATION Important note ISA has prepared the following report for informational purposes. The Company is not responsible for any investment decisions based on this report. The statements contained herein reflect our current views regarding future events and are, therefore, based on ass
Slide 2: Corporate Presentation March 2024
CORPORATE PRESENTATION March 2024
Slide 3: Leading multilatin developer and operator of power transmission systems, roads and digital infrastructure
Panamericana Este: 246 km 65% ISA + ITCO 59% Transelca 6% Ruta Costera: 146 km Leading multilatin developer and operator of power transmission systems, roads and digital infrastructure in the Latam region 72% CTM 40% REP 28% 19% CTEEP1 12% TAESA 7% ISA Peru 5% Key metrics Transformer Roads in 4% ISA
Slide 4: Attributes of ISA's value proposition
Attributes of ISA´s value proposition Long-term hired revenue Perpetual or long-term Robust cash flow with inflation protection concessions generation Strong presence in Healthy financial Economic cycle growth markets position resilience 3
Slide 5: Sustainable Value
Generate shareholder value o Projects under construction that will generate COP 434 M. in new revenues 1. o Net income of COP 634 B in 1Q24. o 14% ROAE at the end of the 1Q24. o The General Shareholders' Meeting approved a dividend per share of COP$ 1,110, equivalent to 50% of the 2023 net income. S
Slide 6: ISA executed investments totaling USD 252 million in Q1 2024
ISA executed investments totaling USD 252 million in Q1 2024, focusing on the expansion and strengthening of the energy transmission network and the road business. Executed CAPEX1 CAPEX by country CAPEX by business unit USD million Peru; Other; Telco; 291 Roads; 274 277 10% 2% 3% 252 16% 244 Colombi
Slide 7: ISA continues strengthening the transmission network, with awards during Q1 2024
ISA continues strengthening the transmission network, with the award of projects during Q1 2024, with investments of ~ USD 330 million. Power Transmission ISA was awarded two UPME projects: a transformer at the Primavera Substation and another one at the Sogamoso Substation. o Capex1: USD 38 M (~ CO
Slide 8: Solid performance in first quarter of 2024
We continue to have a solid performance. During the first quarter of 2024, our financial results were impacted by foreign exchange rate effect. Roads; Telco; Peru; Colombia; Colombia; Peru; 16% 3% 18% 27% 26% 18% Revenue EBITDA2 Net Profit 1Q24 1Q24 1Q24 USD$ 943 M USD$ 586 M USD$ 153 M Brazil; Chil
Slide 9: 20% of revenue in USD, close to 80% from awarded projects for 10+ years
20% of our revenue is denominated in USD, and close to 80% is from awarded projects, for 10+ years Revenue from long-term awarded projects, Foreign currency diversified mainly B2G 1-5 years 2 % Other; 1% COP; 24% 10+ years Perpetual BRL; 39% 51 % 33 % Revenue Revenue LTM Q1/24 LTM Q1/24 USD $ 3.4 bn
Slide 10: Investment grade rating with leverage
Investment grade rating with leverage ISA Fixed MOODY'S Baa2 Capital Green Markets; rate; Fitch Ratings BBB Bonds 18% 46% 42% CTEEP Fitch Ratings AAA Total DCM Total CTM Debt 1T24 Debt MOODY'S Baa3 Fitch Ratings BBB Ordinary Variable Interchile Banks; Bonds rate; MOODY'S Baa1 82% 54% 58% Fitch Ratin
Slide 11: Committed investments pending to be executed closed at USD 7.1 bn
Committed investments pending to be executed closed at USD$ 7.1 bn. (Amounts in billions of US dollars) Increases Decreases Evolution Composition Execution 7.0 0.3 7.1 Other investments 0.2 0.3 Maintenance projection 6 - 0.2 Projected reinforcements 5 0.8 and improvements 0.4 Committed Capital Contr
Slide 12: A diversified portfolio of opportunities for sustainable growth
A diversified portfolio of opportunities for sustainable growth Panama USD 0.4 Bn. Opportunities* Colombia USD 11 Bn. USD 3.1 Bn. Brazil Peru USD 0.9 Bn. USD 3.1 M Energy Transmission Roads Chile USD 9.0 Bn. USD 2.0 Bn. USD 3.9 Bn. * Investment opportunities portfolio for 12 months as of March 31, 2
Slide 13: Our low cost of debt reflects regional diversification of our portfolio
Our low-cost of debt reflects the regional diversification of our portfolio G-Spread 1 500 (03/23 – 03/24) 450 400 350 300 250 200 150 03/23 04/23 05/23 06/23 07/23 08/23 09/23 10/23 11/23 12/23 01/24 01/24 02/24 03/24 Col 31 Col 34 ISA 33 Col 31 Col 34 ISA 33 Max 434 499 313 Min 270 317 200 Avg 333
Slide 14: ISA's country risk premium is significantly lower than Colombia's
ISA’s country risk premium, when weighted by EBITDA, is significantly lower than the country risk of Colombia Bps 400 350 Colombia 300 ISA EMBI 250 Brazil 200 Peru 150 Chile 100 80 120 160 200 240 280 320 360 Bps CDS Country Brazil Chile Colombia Peru ISA avg1 CDS 232 114 304 131 212 EMBI 196 122 29
Slide 15: ISA and the Colombian market have seen a change of trend during 2024
ISA and the Colombian market have seen a change of trend during 2024, appreciating by 19% and 7% in the last twelve months. Shares’ daily behavior - ISA vs Colcap1 Company Line of business EV/EBITDA May 2023 – May 2024 Engie Complete power chain 13,1 Index Base 1002 Taesa Power transmission 10,7 130
Slide 16: General Shareholders' Meeting approved an ordinary dividend of USD 0.3 per share
The General Shareholders’ Meeting of ISA approved an ordinary dividend of USD 0.3 per share(4), equivalent to USD 322 M, representing 50% of the 2023 net profit. (Amounts in USD) 88% 70% CAGR (1) (2019-2024) 50% 50% 45% 45% 15% 40% 40% 0.4 0.2 0.2 0.3 Dividend 0.1 Yield (3) 0.2 0.2 0.2 0.1 0.2 7,2%
Slide 17: Closing statements
Closing statements o Committed to the energy transition, we have identified a robust pipeline of opportunities and will prioritize investments that allow us to advance along the growth path with discipline and value generation. o When comparing the results of the first quarter of 2024 to those of th
Slide 18: Thank you!
Thank you! Visit our Valuation Kit for more information about ISA and its companies: https://www.isa.co/es/inversionistas/informacion-financiera/#kit
Slide 19: Appendix D: ISA, 55 years in Colombia & Latin America
Appendix D: ISA, 55 years in Colombia & Latin America 2002 2021 Second equity Ecopetrol 1967 1982-1984 issuance: 2006 Chivor and San 1998 47.000 new Acquisition 2012 acquires ISA and aims to Establishment Carlos I Inception of shareholders Creation of become one of of CTEEP, INTERCHILE of ISA Hydroe
ISA — 2024 Securities Emerging Markets Corporate Conference on 6ix