Befesa S.A. (0RVK) Q4 2024 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning and welcome to the preliminary full year 2024 results conference call of VEFESA. I am Rafael Perez, CFO of VEFESA. This morning I am joined by our group CEO, Asier Zarraonandia. Asier will start with an executive summary of the period and then he will cover the business highlights of the steel dust as well as aluminum salt slag recycling business. I will then review the financials by business and will cover the evolution of commodity prices, our hedging program. And finally, cash flow, net debt, and capital allocation. Asier will close this presentation providing an update on the outlook for 2025 and an update of our growth plan. Finally, we will open the lines for the Q&A session. Before getting started, let me remind you that this conference call is being webcasted live. You can find the link to the webcast preliminary full year 2024 results presentation on our website, www.befesa.com. Now, let me turn this call over to our CEO. Asiel, please. Thank you, Rafa. Moving to page five of the business highlights. The FESA has delivered a strong four-quarter and four-year results despite a challenging macroeconomic environment, which demonstrates the resiliency of our business model. Total adjusted BDA in the four-quarter has been 62 million euros, up 27% compared to the previous quarter and making a record level for quarterly results, reflecting a strong year-on-year performance. For the full year, adjusted VDA reached €213 million, an increase of 17% compared to the previous year. Operating cash flows have increased by 30% year-on-year, even by a strong cash conversion. Leverage at year end reached 2.9 times below our initial target of 3 times. We have delivered solid performance during the year with solid steel dust volume in our two main markets, Europe a...