Press Room
Prosegur Cash reports sales of 411 million euros and underlying Ebita increase of 60.2%, at pre-pandemic levels
Business shows solid growth of 18.8%, accompanied by the positive impact of commercial initiatives and a more favourable macroeconomic environment.
Madrid, 12 May 2022. Prosegur Cash has reported sales of 411 million euros in the first three months of 2022, up 18.8% over the same period last year. For several quarters, the company has maintained a upward trend in revenue performance across all geographies, thanks to an increase in the volumes of cash transported, favoured by the inflationary situation, and an almost neutral impact in terms of currencies. Prosegur Cash sales at the start of this year are therefore practically at the same level as in the first quarter of 2020, when the pandemic barely affected turnover.
Margins have also performed favourably. The Prosegur Cash EBITA for the quarter amounted to 55 million euros, up 0.5% with a margin of 13.3%. However, it should be noted that the underlying EBITA, which excludes capital gains from the divestments, increased 60.2% and shows a positive increase in the margin of 340 basis points, reflecting the impact of the operating leverage and the efficiency measures adopted. Lastly, the consolidated net profit for the quarter was 18 million euros, down 46.5%, mainly due to the accounting impact of higher currency-related financial costs, without cash effect.
Regarding cash generation, Prosegur Cash has maintained a solid free cash flow of 17 million euros and a conversion ratio of 86%. The financial leverage ratio remains contained at 2.4 times net financial debt over EBITDA, while investments continue to grow. Total net debt at the end of the period was up 52 million euros compared to the previous quarter, amounting to 724 million euros (including IFRS 16, deferred payments and treasury stock).
Recent highlights
Prosegur Cash has completed the acquisition of two cash-in-transit companies in Germany, allowing it to consolidate its leadership in one of the countries in the eurozone that uses cash the most. Prosegur Cash has also concluded the purchase of Facilito in Ecuador, a company that completes its New Products range in this market.
Furthermore, Prosegur Cash is continuing to work on the development of its Sustainability Plan and has just renewed its project to offset CO2 emissions.
Activity by geographies
Latin America has contributed 68% of the total turnover. The region has reported sales of 277 million euros, up 26%. The company has thus consolidated both its organic and inorganic growth, which is also favoured by the neutral impact of the exchange rate.
In Europe, which accounted for 25% of total turnover, sales amounted to 103 million euros, up 4%. The European markets have reported organic growth of 18.6%, offsetting divestment made in 2021.
Asia-Pacific has reported revenues of 30 million euros, an increase of 12%, reflecting the recovery of business activity.
Lastly, New Products increased by 24.3% compared to the first quarter of last year. This figure rises to 57.1% if we exclude divestment. New Products have reported sales of 95 million euros in the first three months of 2022 and already represent 23.1% of total revenue. In general, the contribution of this business unit has been solid, with very positive dynamics in all geographies. Progress in Latin America particularly stands out, with growth of 68.7%, up to 75 million euros, in the first quarter, and an impact on total sales of 27.1%. In Europe, turnover amounted to 14 million euros, down 47% due to divestment, which translates as growth of 28.5% excluding the divestment. In Asia-Pacific, New Products increased 14% to 5 million euros, 17.6% of total sales.