Ferrovial Celebrates Strong Year and Shareholder Approval
Ferrovial's Impactful Shareholders Meeting
Ferrovial hosted its Shareholders Meeting to discuss a remarkable year filled with impressive operational achievements and strategic asset rotations. During this period, the company's stock began trading on Nasdaq, marking a significant milestone in its international expansion journey.
Chairman and Leadership Highlights
During the meeting, shareholders overwhelmingly supported the re-election of Rafael del Pino as the executive director. Óscar Fanjul also retained his position as the non-executive director. Del Pino expressed gratitude to shareholders, highlighting substantial growth across all business sectors.
Solid Business Performance
According to del Pino, the company experienced outstanding results in its Highways segment, particularly in North America, where revenue per transaction saw significant growth. The Construction division also improved its profitability, while the Airports sector made remarkable progress with the New Terminal One (NTO) at JFK International Airport in New York, expected to open in 2026.
Financial Achievements and Growth
Ferrovial reported an adjusted EBITDA of €1.3 billion in 2024, reflecting a 38.9% year-over-year increase on a like-for-like basis. The company's total revenue reached €9.1 billion, up 6.7% from the previous year, and net profits jumped to €3.2 billion, bolstered by strategic divestitures.
Strategic Divestments and Investments
Throughout the year, Ferrovial successfully divested a 19.75% interest in Heathrow Airport for €2 billion and sold a 5% stake in IRB Infrastructure Developers for €211 million. They also initiated agreements to sell their 50% stake in AGS Airports and executed various minor asset disposals, while directing funds primarily towards Highways and Airports infrastructure developments.
Shareholder Returns and Future Outlook
The company's stock price rose to €40.60 by the end of 2024, marking a 23% increase. This performance outpaced the IBEX 35 index, which saw a 14.8% rise. Total returns to shareholders reached 25.7%, with an allocation of €831 million for dividends and share buybacks in 2024. Looking forward, Ferrovial plans a distribution of €570 million along with an additional share buyback program.
Growth Strategy Focused on North America
CEO Ignacio Madridejos shared optimistic insights about the company's future, emphasizing a growth strategy centered around North America. He detailed how all assets in this region provided dividends and celebrated a record order book. The NTO infrastructure project at JFK Airport reached 60% completion, maintaining strong relationships with multiple airlines.
Commitment to Sustainability
Ferrovial has solidified its reputation as a sustainability leader, recognized as Europe’s most sustainable construction and engineering company. The firm gained accolades from the Dow Jones Best in Class Indices for 23 consecutive years and has set ambitious targets to cut carbon emissions by 2030.
Meeting Outcomes and Governance
The Shareholders Meeting confirmed the re-election of prominent board members, including key directors and approval for new shares focused on corporate needs and sustainability efforts. They also discussed the adoption of remuneration policies that align with the company’s climate strategy and corporate governance.
About Ferrovial
Ferrovial stands as one of the foremost infrastructure companies globally, engaged in operations across over 15 countries and employing more than 25,000 individuals. It holds a prominent presence on several stock exchanges, including Euronext Amsterdam and Nasdaq, and adheres to the UN Global Compact principles, fortifying its commitment to sustainability and responsible practices.
Frequently Asked Questions
What were the main highlights from Ferrovial's Shareholders Meeting?
The meeting emphasized solid performance across business sectors, significant shareholder distributions, and future growth strategies, particularly in North America.
What financial results did Ferrovial report for 2024?
Ferrovial reported an adjusted EBITDA of €1.3 billion, with revenues of €9.1 billion and net profits of €3.2 billion, showing substantial year-over-year growth.
How has Ferrovial performed in stock markets?
The company's stock appreciated by 23% in 2024, exceeding the growth of major indices like IBEX 35 and Nasdaq.
What are Ferrovial's future plans for shareholder distributions?
For 2025, Ferrovial plans to distribute €570 million in dividends, along with an additional share buyback program of up to €500 million.
How is Ferrovial addressing sustainability?
Ferrovial aims to cut direct emissions by 42% and indirect emissions by 25% by 2030, reinforcing its commitment to sustainable practices in the construction sector.
About The Author
Contact Riley Hayes privately here. Or send an email with ATTN: Riley Hayes as the subject to contact@investorshangout.com.
About Investors Hangout
Investors Hangout is a leading online stock forum for financial discussion and learning, offering a wide range of free tools and resources. It draws in traders of all levels, who exchange market knowledge, investigate trading tactics, and keep an eye on industry developments in real time. Featuring financial articles, stock message boards, quotes, charts, company profiles, and live news updates. Through cooperative learning and a wealth of informational resources, it helps users from novices creating their first portfolios to experts honing their techniques. Join Investors Hangout today: https://investorshangout.com/
The content of this article is based on factual, publicly available information and does not represent legal, financial, or investment advice. Investors Hangout does not offer financial advice, and the author is not a licensed financial advisor. Consult a qualified advisor before making any financial or investment decisions based on this article. This article should not be considered advice to purchase, sell, or hold any securities or other investments. If any of the material provided here is inaccurate, please contact us for corrections.