GEO Reports Fourth Quarter and Full Year 2012 Results
MEXICO CITY, Feb. 27, 2013
MEXICO CITY, Feb. 27, 2013 /PRNewswire/ --Corporacion GEO S.A.B. de C.V.
(BMV: GEOB; GEOB:MM, ADR Level I CUSIP: 21986V204; Latibex: XGEO) GEO,
Mexico's leading low-income housing developer, today announced results for the
fourth quarter 2012. Accumulated Revenues and EBITDA decreased 5.1% and 5.3%
respectively compared to 2011.
Luis Orvananos Lascurain, Corporacion GEO's CEO, commented, "2012 could be
characterized as a year of hurdles and challenges for the housing industry,
but also as a year when GEO made decisive choices and carried out important
steps that would align the Company's strategy to the industry's newly
strengthened focus on the Mexican Housing Policy which looks after an improved
sustainability in homebuilding. As a result of the industry changes in 2012,
accumulated revenues decreased by 5.1% compared to 2011, the result of a 6.1%
reduction in homes delivered." Mr. Orvananos continued, "We will continue to
execute our conservative strategy in an effort to further strengthen
operations. We will prioritize cash flow generation and debt level reduction
and plan to reduce our land and other CAPEX investment as appropriate while
decreasing SG&A expenses."
Fourth Quarter Twelve - Month Period
Income Statement 2012 2011 YoY var. 2012 2011 YoY var.
Sales (delivered 12,624 16,968 -25.60% 55,485 59,093 -6.11%
Revenues $4,309.8 $6,248.2 -31.02% $19,078.3 $20,104.8 -5.11%
Gross Profit $1,447.0 $1,957.5 -26.08% $6,046.9 $6,386.3 -5.31%
Gross Margin 33.6% 31.3% 2.25 pp 31.7% 31.8% -0.07 pp
Operating Profit $702.9 $1,039.5 -32.38% $3,027.0 $3,214.3 -5.83%
Operating Margin 16.3% 16.6% -0.33 pp 15.9% 16.0% -0.12 pp
Profit before Taxes $523.2 $618.1 -15.36% $1,981.9 $2,183.2 -9.22%
Profit before Taxes 12.1% 9.9% 2.25 pp 10.4% 10.9% -0.47 pp
EBITDA $973.0 $1,483.0 -34.39% $4,288.2 $4,527.2 -5.28%
EBITDA Margin 22.6% 23.7% -1.16 pp 22.5% 22.5% -0.04 pp
Net Profit $177.5 $452.2 -60.76% $1,053.4 $1,260.5 -16.43%
Net Margin 4.1% 7.2% -3.12 pp 5.5% 6.3% -0.75 pp
Free Cash Flow to -$636.8 $140.9 -$777.7 -$1,751.1 -$2,719.8 $968.7
Quarter - Quarter
Balance Sheet Data 4Q12 3Q12 QoQ var.
Cash and Cash $2,276.8 $2,126.2 7.09%
Working Capital 720 days 645 days 75 days
Total Debt ^(2) $14,230.0 $13,502.5 5.39%
Interest Coverage 2.1 x 2.2 x -0.1 x
Net Debt to EBITDA 2.8 x 2.4 x 0.4 x
Audited financial figures: Figures discussed in this announcement have been
reformulated as of December 31, 2011 in accordance with IFRS "International
Financial Reporting Standards". The figures are expressed in nominal pesos.
Tables state figures in millions of pesos unless otherwise noted.
(1) Non-reformulated 2011 figures under IFRS.
(2) Total debt obligation with financial institutions.
To obtain the full text of this earnings release, please visit our Investor
Relations website at www.corporaciongeo.com under the Shareholder Information
About Corporacion GEO S.A.B. de C.V.
Corporacion GEO is a leading housing developer in Mexico and one of the
largest in Latin America. The Company is engaged in all aspects of design,
development, construction, marketing, sales and delivery of mainly low-income
housing developments in Mexico. With operations in 22 states, GEO is one of
the most geographically diversified homebuilders in Mexico. Since its
inception GEO has sold more than 600,000 homes which currently provide housing
to 2,200,000 people. GEO's Solid Business Model focuses mainly in the
Affordable Entry Level and Economic segments, which are supported by
government policies and by the Mexican Housing Institutions INFONAVIT and
FOVISSSTE. For more information, visit www.corporaciongeo.com
Safe Harbor Statement
This release may contain forward-looking statements regarding the Company's
results and business prospects. The readers should know that the results
obtained may differ from that stated on this release. Past performances do not
guarantee the behavior of future performances. The Company undertakes no
obligation to update any of these statements, either as a result of new
information, future actions or other related events.
SOURCE Corporacion GEO S.A.B de C.V.
Contact: Corporacion GEO, S.A.B. de C.V., Francisco Martinez, Investor
Relations, firstname.lastname@example.org, +(52) 55-5480-5071; or Marco Rivera Melo,
Investor Relations, email@example.com, +(52) 55-5480-5115
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