Compañía Cervecerías Unidas (CCL) Q4 2024 earnings summary

Executive summary

• Achieved a strong financial turnaround in 2024, with consolidated net sales of CLP 2,904,566 million, up 13.2% year-over-year, and significant EBITDA and net income growth, despite challenging conditions in Argentina and modest growth in Chile.

• Implemented effective revenue management and efficiency initiatives, including the HérCCUles plan, resulting in EBITDA of CLP 415,936 million (up 9.6% year-over-year; CLP 387,267 million excluding non-recurring land sale), and net income of CLP 160,944 million (up 52.3%).

• Strengthened regional footprint through consolidation of Aguas de Origen with Danone in Argentina and a new partnership with Grupo Vierci in Paraguay, expanding the PepsiCo license.

• Inaugurated the CirCCUlar PET recycling plant in Chile, supporting sustainability and product innovation.

• Maintained strong market positions across beer, soft drinks, and wine in Chile and international markets.

Financial highlights

• Full-year consolidated EBITDA (excluding non-recurring land sale) reached CLP 387,267 million, up 2.1%; including the gain, EBITDA rose 9.6%.

• Full-year consolidated net income (excluding non-recurring gain) expanded 32.5%; including the gain, net income increased 52.3% to CLP 160,944 million.

• Q4 2024 consolidated EBITDA was CLP 182,621 million, up 65.2% year-over-year; net income reached CLP 74,153 million, up 77.7%.

• Gross margin for 2024 was 45.2%, down 104 bps year-over-year; EBITDA margin was 14.3% (down 47 bps), or 13.3% excluding the non-recurring gain.

• Cash and cash equivalents increased to CLP 707,123 million as of December 31, 2024.

Outlook and guidance

• Strategic plan for 2025–2027 focuses on profitability, growth, and sustainability, with emphasis on revenue management, efficiencies, and high-margin innovations.

• Expecting a soft industry in Chile for 2025, with low-single-digit volume growth likely.

• Argentina anticipated to gradually recover scale, but not to 2023 levels in the near term; full recovery may take 2–3 years depending on macroeconomic factors.

• Margin recovery in 2025–2026 will depend on revenue management and efficiencies, not volume growth.

• Wine exports expected to continue gradual recovery, with innovation and commercial office expansion as key drivers.