Resultados 2021 Prosegur Cash

Madrid, 28 February 2022.- Prosegur Cash reported sales worth 1,519 million euros in 2021, a 0.7% year-on-year increase. The company maintained the recovery trend started in previous quarters. The improvement in revenue quarter after quarter shows a strong increase in turnover in the last quarter of the year with an increase of 18.7% compared to the previous one. Overall, Prosegur Cash's organic growth in 2021 was 7.0%, accompanied by an environment of higher consumption and rising inflation, which are both positive elements for the improvement of business activity.

The margin performance was also favourable. Prosegur Cash's EBITA during the year came to 205 million euros and a margin of 13.5%. The underlying EBITA – which excludes efficiency programmes and capital gains from the divestment in Prosegur AVOS – continues to improve in the quarterly comparison and reports a margin of 14.6% of sales in the last quarter of the year. Prosegur Cash has achieved a consolidated net profit of 33 million euros, which represents an increase of 108.6% compared to the previous year.

Regarding cash generation, Prosegur Cash has maintained excellent cash generation with a Free Cash Flow of 159 million euros and a conversion ratio of 78%. The financial leverage ratio has been reduced to 2.2 times net financial debt to EBITDA thanks to improved results, financial discipline and strong cash generation. The total net debt at the end of the year held stable at 672 million euros, including IFRS 16, deferred payments and treasury stock.

Recent highlights

At its December 2021 meeting, Prosegur Cash's board of directors approved the distribution of a dividend of €0.01970 gross per share. The board also approved a programme to repurchase its own shares in order to amortise them. The programme will cover a maximum of 22,844,200 shares and has been allocated a maximum amount of 15 million euros.

Activity by geographies

Latin America has contributed 67% of the total turnover. The region has reported sales of 1,010 million euros, up 4%. Beyond the restrictions associated with the health crisis and an unfavourable exchange rate, operations in the region have reported an acceleration of organic growth of 9.9%.

In Europe, which accounted for 27% of total turnover, sales reached 400 million euros. Although organic growth was 0.8%, this figure is 8% less than in 2020 as a result of the divestment of the Prosegur AVOS business. In this regard, it is worth highlighting the notable improvement in profitability in the second half of the year.

Asia-Pacific has reported revenues of 110 million euros, up 11%, and that have accounted for 7% of total turnover. The region continues to reduce its losses in the second half of the year despite the absence of aid programmes.

Finally, New Products advanced by 15% compared to the previous year and already represent 21.4% of total sales with 326 million euros in 2021. In general, this business unit is showing very positive dynamics in all geographies. In particular, it highlights the good performance of the cash digitisation solution, Cash Today, and the correspondent banking services, Corban.

By region, New Products reported sales in Latin America of 239 million euros, 40% up on last year, and which now account for 23.2% of the region's revenues. In Europe, turnover reached 67 million euros, down 32% due to the divestment of AVOS, and maintaining a relative weight of 16.8% of total turnover. Isolating the divestment of AVOS, New Products have grown by 17%. In Asia-Pacific, they grew by 52% and reached 20 million euros, 17.9% of total sales.