Slide 1: Earnings Results for ISA and its companies 2Q23
Earnings Results for ISA and its companies 2Q23
Slide 2: Webcast Participants
Webcast Participants Juan Emilio Posada Daniel Isaza Patricia Castaño Gabriel Melguizo Eduardo Larrabe 2
Slide 3: Relevant events
Relevant events Juan Emilio Posada
Slide 4: Sustainable value
Generate shareholder value ➢ ISA is awarded projects in Brazil that will contribute EBITDA margins of +90% ➢ Growing financial results in a challenging macroeconomic environment ➢ 15% ROAE Sustainable value Create a positive social and environmental impact Ensure Corporate Validity ➢ Energization of
Slide 5: Conexión Jaguar supports the first conservation project that generates carbon credits
Conexión Jaguar supports the first conservation project that generates carbon credits in a Natural World Heritage site The REDD+ Serra do Amolar More than 231,000 tons of CO2 These avoided emissions project, supported by Conexión Jaguar and were certified with the following recognitions: would be eq
Slide 6: Investments on the path to profitable growth
investments on the path to profitable growth Investment execution Investment by country COP trillion 2Q23 Perú 1,4 13% Under construction: 1,3 1,3 10% 1,1 Colombia 0,8 30% ✓ 36 projects 40% ✓ 3.400+ km of circuit Brazil Brasil ✓ 136 Kms of roads 30% ✓ $ 1 trillion annual 17% Chile income 2Q22 3Q22 4
Slide 7: Investments that strengthen ISA as an enabler of the energy transition
Investments that strengthen ISA as an enabler of the energy transition Colombia • UPME Sabanalarga- Pilot opertation 14 Reinforcements Bolivar COYA project and improvements for • SmartValves the ISA CTEEP grid Brazil Transelca Peru $ 130+ +450 billion km of circuit Annual income(1) (1) Income of bid
Slide 8: ISA is awarded one of the largest projects bid in Brazil in recent years
~ ISA is awarded one of the largest projects bid in Brazil in recent years ~ Capex¹ R$ 2.436 mill RAP 2 R$ 226,3 mill Lot 7 y Lot 9 Extension Capex1 : ~ USD 500 mill LT | 1.044 km Extension: 1.044 km of line Income2: ~USD 47 mill Construction duration3 Lote 7: 66 months Lote 9: 36 months Lot 7 Lot 9
Slide 9: Projects awarded to ensure the continuity of our businesses
Projects awarded to ensure the continuity of our businesses Colombia Roads Energy Signing of • 6 ampliaciones en Brasil complementary • 1 conexión en Colombia agreements with the MOP Chile Capex USD 88 + million 9
Slide 10: Opportunity portfolio USD 21 billion focused on profitability and diversification
Colombia: USD 3,8 bn Energy: USD 2,1 bn Panama: USD 1,1 bn ➢ UPMES Energy: USD 0,9 bn ➢ HVDC ➢ Cuarta línea Roads: USD 0,3 bn Roads: USD 1,7 bn ➢ Bids Panama MOP ➢ 2 Bids ANI Peru: USD 1 bn Brasil: USD 11 bn ➢ Bids Proinversión ➢ Licitaciones ANNEL diciembre 2023 y marzo 2024 Chile: USD 3,8 bn Energ
Slide 11: Financial Results
Financial Results Daniel Isaza 11
Slide 12: Growing revenues despite slowdown in contract escalators
Growing revenues despite slowdown in contract escalators Energy Roads Telco Revenues 2Q23 2.660 2.593 (COP Billion) Total 9% 512 507 revenues $ 3.547 552 765 ________________ 220 2.081 2.153 2Q22: $ 3.256 177 111 122 375 545 2T22 2Q22 2T23 2Q23 2Q22 2T22 2Q23 2T23 2T22 2Q22 2T23 2Q23 Operation Const
Slide 13: Currency diversification and long-term contracted revenues
Currency diversification and long-term contracted revenues Exposure to four currencies. USD 26% long-term contracted revenues OTHERS USD 1% 1-5 years Chilean peso 5% 26% 19% Perpetual 25% REVENUES REVENUES 5-10 years 6M23 6M23 19% $ 7,5 COP 17% $ 7,5 TRILLION TRILLION Brazilian Real + 10 years 37% 5
Slide 14: First-half EBITDA up 22% and net income up 38%
First-half EBITDA up 22% and net income up 38% EBITDA Net income COP Billion 22% COP Billion 38% 5.106 1.522 4.192 3% 7% 1.102 2.227 2.394 694 671 2T22 2Q22 2T23 2Q23 6M22 6M23 2Q22 2T22 2T23 2Q23 6M22 6M23 EBITDA margin 6M23 Net margin 6M23 68% ________________ 20 % ________________ 6M22: 70% 6M22:
Slide 15: Total EBITDA margin may vary due to changes in the composition of revenues
Total EBITDA margin may vary due to changes in the composition of revenues (operating and construction) and changes in the profitability of revenues Decrease in the The margin The margin relative weight of -2% Variation fell from 77% increased in 6M22 to from 8% in operating income 75% in 6M23 6M22
Slide 16: ISA maintains leverage levels in the investment grade segment
ISA maintains leverage levels that place it comfortably in the "investment grade" segment. Debt balance Gross debt/ COP Billion EBITDA (1) -5% 3,5 x _____________ 4Q22: 4,2 x Net debt/ EBITDA 2,9 x _________ 4Q22: 3,4 x Debt composition Banks 17% Green bonds Tasa fija 43% 46% Tasa variable Bonds 54%
Slide 17: Estimated CAPEX to 2023~25 trillion
Estimated CAPEX to 2023~25 trillion COP trillion Backlog Other investments (projection) Execution plan (1) (2) (3) (4) (5) (6) Roads 7% Telco 5% Energy 2023-30 88% Brazil, 54% (1) Includes investments awarded at the end of Jun 2023 (2) CTEEP Reinforcements and Improvements under execution, authorize
Slide 18: Closing messages
Closing messages • Milestones that ensure business continuity and profitability • Concrete progress in energy transition • Large growth opportunities backed by increased financial capacity 18
Slide 19: Q&A
Q&A 19
Slide 20: Disclaimer
Disclaimer ISA has prepared the following report for information purposes. The Company is not liable for any investment decision based on this report. The statements contained herein reflect our current points of view regarding future events, are based on assumptions and are subject to risks and fac