Administradora de Fondos de Pensiones Habitat (HABITAT) Q4 2024 earnings summary

Executive summary

• Net profit rose 6.5% to CLP 140,146 million in 2024, driven by higher commission income and improved investment returns.

• Ordinary revenues increased 5.1% year-over-year to CLP 251,523 million.

• AFP Habitat maintained the largest AUM market share at 27.4% and led with CLP 50.7 trillion in pension fund assets.

• EBITDA grew 5.6% to CLP 208,069 million, reflecting operational efficiency.

• Recognized for corporate reputation, ranking #5 in Great Place to Work Chile and #1 among AFPs in Merco Talento 2024.

Financial highlights

• Operating revenues grew 5.1% to CLP 251,523 million, mainly from higher mandatory savings commissions.

• Personnel expenses rose 9.8%, mainly due to increased sales and administrative salaries.

• Financial costs decreased 35.3% year-over-year, supporting improved net results.

• Return on encaje rose 21.7% to CLP 40,445 million, reflecting strong pension fund investment performance.

• Depreciation and amortization expenses increased 37.8% to CLP 10,681 million, driven by higher software amortization and leased asset depreciation.

Outlook and guidance

• The Central Bank of Chile projects 2024 GDP growth at 2.3%, with slower monetary policy rate reductions and ongoing cost pressures.

• Local interest rates rose sharply, impacting fixed-income fund returns, while funds with higher foreign exposure outperformed.

• Habitat achieved top returns in Fund A and strong performance across other funds over 12 and 36 months.