Grupo Mexico S.a.b. De C.v. Class B · BMV:GMEXICO/B
Grupo Mexico S.a.b. De C.v. Class B — Q4 2021 Earnings Presentation
26 slides from Grupo Mexico S.a.b. De C.v. Class B's earnings presentation, February 2022
Slide 1: 4Q21 & 2021 Results
4Q21 & 2021 RESULTS FEBRUARY 2022
Slide 2: Disclaimer
Disclaimer R E S U L T S 4 Q 2 1 This information is given in summary form and does not purport to be This presentation may contain forward looking statements including complete. Information in this presentation, including financial forecasts, statements regarding our intent, belief or current expec
Slide 3: Contents
Contents R E S U L T S 01 Grupo México’s Main Highlights 4 Q 2 1 p. 04 02 Main Highlights of our Mining Division p. 10 03 Main Highlights of our Transportation Division p. 16 04 Main Highlights of our Infrastructure Division p. 22 05 Q&A Session p. 25 3
Slide 4: Grupo México Main Highlights
Main ESG Highlights Highlights Scorecard Financial Highlights Balance sheet Debt Maturity Profile 4
Slide 5: ESG Highlights
ESG R E S U L T S Highlights 4 Q 2 1 ▪ Southern Copper Corporation’s rating in the 2021 Corporate Sustainability S&P GLOBAL Assessment of S&P Global increased 22%. ▪ Our performance was 79% above the average registered by Metals and Mining industries due to the good ratings we obtained. ▪ Southern C
Slide 6: Scorecard
Scorecard R E S U L T S FINANCIAL PERFOMANCE EBITDA EBITDA Margin 4 Q 2 1 SUPPORTS SHAREHOLDER RETURNS HISTORIC RECORD US$8.93 BN. 60.4% Sales +66.5% vs 2020 vs 49.2% in 2020 HISTORIC RECORD +26.3% vs 4Q20 US$14.78 BN. +35.5% vs 2020 +17.4% vs 4Q20 Production Cash Cost Mainly driven by favorable cop
Slide 7: Financial Highlights
Financial Highlights R E S U L T S 4 Q 2 1 USD 4Q21 4Q20 VAR % 2021 2020 VAR% REVENUE (MM) 3,776 3,217 17.4% 14,777 10,909 35.5% OPERATING INCOME (MM) 1,841 1,315 40.0% 7,467 3,958 88.7% EBITDA (MM) 2,190 1,735 26.3% 8,927 5,363 66.5% EBITDA MARGIN 58.0% 53.9% 60.4% 49.2% CASH COST 0.94 0.83 13.1% 0
Slide 8: Grupo Mexico maintains a solid balance sheet
Grupo Mexico R E S U L T S maintains a solid Dividend Payments 4 Q 2 1 balance sheet 5.7% 7.4% 6.7% 6.4% 3.6% 5.4% 6.4% 5.5% 5.9% 7.4% 7.4% 8.1% ▪ Low leverage $1.75 $1.75 $1.75 ▪ 96% of the debt has a fixed rate $1.50 $1.25 $1.00 $0.80 $0.80 $0.80 $0.80 $0.80 Debt $0.40 QUARTERLY DIVIDEND YIELD 0.3
Slide 9: Debt Maturity Profile
Debt Maturity R E S U L T S Profile US MILLIONS 4 Q 2 1 1,500 1,400.0 MINING DIVISION 1,200 1,200.0 1,111 TRANSPORTATION DIVISION 1,016 1,000 1,000.0 INFRASTRUCTURE DIVISION 800.0 720 702 600.0 506 ▪ Comfortable maturity schedule. 400.0 347 ▪ No significant payments until 2035. 182 200.0 133149 ▪ Ca
Slide 10: Mining Division
Mining Division Copper Market Financial Highlights Projects Update Continuous Value Creation 10
Slide 11: Copper Market Outlook
Copper Market Outlook R E S U L T S 6.0 4 Q 2 1 ▪ 4Q21: The LME copper price increased +35.4%, from $3.25 per lb in 4Q20 to $4.40. 4.8 5.0 ▪ Currently: prices are between $4.40 and 4.50, which remains higher than the 2021 average of $4.23 per lb. 4.0 We believe the following factors are influencing
Slide 12: Mining Financial Highlights 2021
Financial R E S U L T S 2021 Highlights RECORD IN SALES AND EBITDA 4 Q 2 1 SALES EBITDA NET INCOME US$12,088 MM. US$7,580 MM. US$3,570 MM. HISTORIC RECORD 82.4% TOP-LINE INCREASE 2021 sales were 41.1% higher than in 2020, During 2021, with a 62.7% margin. During 2021. mainly due to a favorable price
Slide 13: Projects Update
Projects R E S U L T S Update 4 Q 2 1 PROJECT QUARTER HIGHLIGHTS ▪ Pilares, Sonora, Mexico (2H22) : A 25-meter-wide road for mining trucks PILARES to transport the ore from the pit and the primary crushers at La Caridad is completed. ▪ 48% of investment has been deployed up to date. ▪ Buenavista Zin
Slide 14: Projects Update
Projects R E S U L T S Update 4 Q 2 1 PROJECT QUARTER HIGHLIGHTS ▪ Los Chancas, Apurimac, Peru (2027): An open-pit mine with a combined LOS CHANCAS operation of concentrator and SX-EW processes to produce 130,000 tons of copper and 7,500 tons of molybdenum annually. ▪ In 2021, we continued to engage
Slide 15: Continuous Value Creation
Continuous Value Creation R E S U L T S ROBUST PIPELINE 4 Q 2 1 GROWTH PROJECTS THOUSAND OF TONS +75% Michiquillay El Arco Los Chancas Tía María Buenavista Pilares Zinc El Pilar 2029 Copper Copper Production Production Including 2021 Projects PROJECTS IN MEXICO PROJECTS IN PERU 15
Slide 16: Transportation Division
Transportation Financial Highlights Division 4Q21 Highlights Main Variations Operating Metrics CAPEX GMXT 2022 16
Slide 17: Transportation Financial Highlights 2021
Financial R E S U L T S 2021 Highlights MOST SEGMENTS SHOW POSITIVE VARIATIONS IN REVENUE, CARLOADS AND TONS -KILOMETER. 4 Q 2 1 SALES EBITDA US$2,523 MM. US$1,123 MM. A 16.9% increase vs 2020, mainly driven by higher 18.9% higher than 2020. transported volumes during the year. 44.5% margin. 4Q21 sa
Slide 18: 4Q21 Highlights
4Q21 Highlights R E S U L T S 4 Q 2 1 Highlights 4Q21vs 4Q20 Volumes have returned Revenue increased 17.2%, in MXN$50cts/share stronger than Pre-COVID MXN driven by market share dividend was levels in most business volume gains. approved by the units. Board. Both the 4Q21 & 2021 Exclusivity rights a
Slide 19: Main Variations
Main Variations R E S U L T S REVENUE 4Q21 4 Q 2 1 % REVENUE GROWTH Energy: Increased fuel oil, traffics of refined products, and coal. 53% Industrial: Market share gains in consumption products, beer market, as well as a recovery of new railcar 28% export volumes. Chemicals: Increased volumes of ba
Slide 20: Operating Metrics
Operating Metrics R E S U L T S 2021 VS 2020 4 Q 2 1 AVERAGE TRAIN SPEED DWELL TIME CARS VELOCITY (KM/HR) -4.3% ( H O U RS) -4.5% (KM/DAY) -0.9% 38.23 30.13 28.78 300 37.86 22.21 36.24 286 283.4 +1.0% -5.2% -26.3% +29.6% +4.9% -5.5% 2019 2020 2021 2019 2020 2021 2019 2020 2021 AVERAGE TRAIN LENGTH G
Slide 21: CAPEX GMXT 2022
CAPEX GMXT 2022 R E S U L T S MILLION USD 4 Q 2 1 DESCRIPTION 2022 MAIN PROJECTS MAINTENANCE $ 294.1 • New Rail & Ties (1) • Locomotive overhaul • Rail maintenance • Tools and equipment • Bridges (2) • Surfacing • Track Equipment • Celaya Bypass (4) GROWTH $ 119.3 • Monterrey Bypass (5) • Ojinaga –P
Slide 22: Infrastructure Division
Infrastructure Financial Highlights Division Relevant Events 22
Slide 23: Infrastructure Financial Highlights 2021
Financial R E S U L T S 2021 Highlights 4 Q 2 1 2021 SALES EBITDA US$558 MM. US$228 MM. 5.7% higher than in 2020. 14.3% lower vs 2020, with a margin of 41.0%. 4Q21 sales were US$148 million, an increase of 8.7% vs 4Q20. 4Q21 EBITDA totaled US$55 million, -13.7% lower than in 4Q20, mainly due to the
Slide 24: Relevant Events
Relevant R E S U L T S Events 4 Q 2 1 ▪ Record Year. We recorded historical figures, with increases of 19% in ENGINEERING sales and 8% in EBITDA vs. 2020. SERVICES ▪ This was achieved mostly through a greater number of projects contracted with third parties and the execution of our EPC projects for
Slide 25: Q&A Session
OX TAN 2022
Slide 26: Grupo México
= GrupoMéxico