Obrascón Huarte Lain (OHLA) Q4 2024 earnings summary

Executive summary

• Achieved or exceeded all 2024 strategic and financial targets, with robust order intake, backlog growth, and recapitalization strengthening financial structure and market confidence.

• Share price rose significantly during 2024, with market capitalization surpassing €540M.

• Maintained ESG leadership, achieving top GRESB rating and significant progress on sustainability goals.

• Employee and shareholder support for capital increase was strong, with oversubscription in both groups.

• Attributable net loss of €49.9M, mainly due to Canalejas project adjustment.

Financial highlights

• 2024 sales reached €4,172M, up 16% year-over-year and 9.8% above forecast; EBITDA was €152.6M, up 11.3% year-over-year and 5.2% above forecast.

• Free cash flow from activity was €98.8M, excluding capital increases and asset sales.

• Order intake for 2024 was €5.1Bn, with a book-to-bill ratio of 1.2x–1.3x and an order book of €9.2Bn (+8.7%–9% YoY).

• EBITDA margin stable at 3.7%–3.9%; construction EBITDA margin around 5% for two consecutive years.

• Market capitalization increased from €150M to over €540M during 2024.

Outlook and guidance

• 2025 targets: sales growth to €4.3Bn (+3.1%), order intake above €4.5Bn, and EBITDA growth to over €175M (+14.7%).

• Focus on cost reduction, margin improvement, operational efficiency, and international growth.

• Anticipates an improvement in credit rating due to strengthened financials and continued cash generation.