- Total revenues decreased 36% in the first
quarter, compared to 1Q15
- A 49% decrease in civil construction revenues
from 1Q15 affected results
- The Adjusted EBITDA margin of 22.6% was unchanged
from 1Q15
- The gain on sale of OMA Series B shares, recorded
in the stockholders' equity account, resulted in an increase in
stockholders' equity of Ps. 3,519 million compared to December 31,
2015
- Financial and operating restructuring
continues
- April 30, 2016 headcount was reduced by 35% from
December 2015 levels, as part of restructuring process
- Comprehensive backlog was Ps. 60,757 million as
of March 31, 2016
MEXICO CITY, May 26, 2016 (GLOBE
NEWSWIRE) -- Empresas ICA, S.A.B. de
C.V. (BMV:ICA) (NYSE:ICA) announced today its unaudited
results for the first quarter of 2016, which have been prepared in
accordance with International Financial Reporting Standards. During
the fourth quarter of 2015, the Company suspended the sale of its
social infrastructure projects. Accordingly, these projects
are no longer classified as available for sale, and financial
statements from prior periods have been restated for comparability.
In addition, ICA is no longer consolidating San Martín, effective
October 1, 2015, as a result of the reduction in ICA's shareholding
to 31.2% from 51%.
Financial
and Operating Results
First quarter consolidated net
revenues decreased 36% to Ps. 6,108 million from Ps. 9,501 million
in 1Q15. This reduction was principally the result of lower volumes
of construction work on various projects and the deconsolidation of
San Martín effective 4Q15. Revenues of the Construction segment
decreased to Ps. 3,062 million in 1Q16 from Ps. 6,053 million in
1Q15.
The consolidated net loss was Ps.
1,101 million in 1Q16. The net loss was principally the result of
the reduction in Construction segment revenues and comprehensive
financing cost. Loss per share was Ps. 2.23 (US$ 0.51 per ADS).
The gain on sale of OMA Series B
shares was recorded as a direct credit to equity, and did not pass
through the income statement. This gain offset the
consolidated net loss, and stockholders' equity increased by Ps.
3,519 million compared to December 31, 2015.
|
|
|
|
|
|
Consolidated
Results |
|
|
|
|
Ps.
million |
1Q15 |
1Q16 |
%
Chg |
|
Revenues |
|
9,501 |
|
|
6,108 |
|
|
(36 |
) |
|
Operating Income |
|
1,570 |
|
|
978 |
|
|
(38 |
) |
|
Consolidated Net (Loss) |
|
(708 |
) |
|
(1,101 |
) |
|
(55 |
) |
|
Net Loss of Controlling Interest |
|
(846 |
) |
|
(1,370 |
) |
|
(62 |
) |
|
Adjusted EBITDA |
|
2,091 |
|
|
1,379 |
|
|
(34 |
) |
|
Operating Margin |
|
16.5 |
% |
|
16.0 |
% |
|
|
Adjusted EBITDA Margin |
|
22.0 |
% |
|
22.6 |
% |
|
|
EPS (Ps.) |
|
(1.38 |
) |
|
(2.23 |
) |
-- |
|
EPADS (US$) |
|
(0.36 |
) |
|
(0.51 |
) |
-- |
|
|
|
|
|
|
|
|
|
Liquidity and
Debt
Total consolidated debt decreased
8% to Ps. 62,498 million as of March 31, 2016, as compared to
December 31, 2015. The decrease was principally the result of
loan payments to Santander, Deutsche Bank, Barclays, and Value that
were secured by the pledge of OMA B shares, payment of a working
capital line to BBVA Bancomer, and scheduled amortizations of debt
of operating projects.
Total cash was Ps. 8,298 million
as of March 31, 2016.
Comprehensive backlog
Comprehensive backlog, including
ICA's share of backlog of unconsolidated affiliates and joint
ventures, reached Ps. 60,757 million as of March 31, 2016, a
decrease of Ps. 3,786 million compared to December 31, 2015.
Consolidated backlog was Ps. 31,129 million, down Ps. 1,251 million
from year-end. Total backlog of non-consolidated affiliates and
joint ventures (principally at ICA Fluor) decreased Ps. 3,112
million to Ps. 62,254 million.
Reduction in
Costs and Expenses
During the fourth quarter of 2015,
ICA entered into a process of operational restructuring, in order
to reduce costs and expenses. Through April 30, 2016, the
workforce had decreased 35% from the levels as of December 2015,
and 51% as compared to December 2014. Independently of other
efforts to reduce costs, payroll costs have decreased by 35% and
43%, compared to the levels at the end of 2015 and 2014,
respectively.
Restructuring Activities
ICA is currently focused on the
definition of a financial restructuring plan. We continue to
work with our advisors, Rothschild México and FTI Consulting, to
complete this plan.
ICA's full earnings report is
available on the investor relations page of www.ica.mx.
This press release contains projections or other
forward-looking statements related to ICA that reflect ICA's
current expectations or beliefs concerning future events.
Forward-looking statements involve inherent risks and
uncertainties. We caution you that a number of important factors
could cause actual results to differ materially from the plans,
objectives, expectations, estimates and intentions expressed in
such forward-looking statements. These factors include
cancellations of significant construction projects included in
backlog, material changes in the performance or terms of our
concessions, additional costs incurred in projects under
construction, failure to comply with covenants contained in our
debt agreements, developments in legal proceedings, unanticipated
increases in financing and other costs or the inability to obtain
additional debt or equity financing on attractive terms, changes to
our liquidity, economic and political conditions and government
policies in Mexico or elsewhere, changes in capital markets in
general that may affect policies or attitudes towards lending to
Mexico or Mexican companies, changes in inflation rates, exchange
rates, regulatory developments, customer demand, competition and
tax and other laws affecting ICA's businesses and other factors set
forth in ICA's most recent filing on Form 20-F and in any filing or
submission ICA has made with the SEC subsequent to its most recent
filing on Form 20-F. All forward-looking statements are based on
information available to ICA on the date hereof, and ICA assumes no
obligation to update such statements.
Empresas
ICA, S.A.B. de C.V. carries out large-scale civil and industrial
construction projects and operates a portfolio of long-term assets,
including airports, toll roads, water systems, and real estate.
Founded in 1947, ICA is listed on the Mexican and New York Stock
exchanges. For more information, visit
ir.ica.mx.
For more information, contact:
Christianne Ibánez
christianne.ibanez@ica.mx
relacion.inversionistas@ica.mx
+(5255) 5272 9991 x 3607
Pablo García
pablo.garcia@ica.mx
Chief Financial Officer
In the United States:
Daniel Wilson, Zemi Communications
+(1212) 689 9560
dbmwilson@zemi.com