Grupo Mexico Infrastructure, Transportation Revenue Down in 1Q25

Grupo México reported its financial and operating results for 1Q25, announcing overall revenue growth of 10.4% and EBITDA growth of 12.7% compared to 1Q24. However, results showed contractions in revenues and EBITDA within its Transportation and Infrastructure divisions.

Grupo México reported that its transportation division’s revenue for 1Q25 totaled US$778 million. This figure represents a 12.1% decrease compared to 1Q24. The division's EBITDA reached US$338 million, showing a 14.9% decrease compared to 1Q24. 

Transported volumes in carloads decreased by 6.1% compared to 1Q24, totaling 487,639 carloads. Despite the overall volume decrease, the intermodal segment showed a 4.9% growth in carloads. Segments with the highest revenue growth, measured in Mexican pesos, included Intermodal, which showed 23% growth in revenues, Chemicals, which saw 9% growth in revenues thanks to increased fertilizer imports, and Energy, where revenues grew 7% due to increased energy products.

The infrastructure division's net revenues in 1Q25 totaled US$174 million, and EBITDA reached US$79 million. This represented decreases of 8.1% and 10.9%, respectively, compared to 1Q24. These declines were primarily due to the impact of suspending drilling rigs and negative foreign exchange effects, partially offset by the operation of the Fenicias Wind Farm in Nuevo Leon and the integration of a new real estate portfolio. The division's EBITDA margin was 45.5%. Within the division, power generation reported accrued revenues of US$78 million and EBITDA of US$39 million in 1Q25, representing increases of 20.5% and 24.8%, respectively, compared to 2024, mainly due to higher gas costs for the La Caridad plant and sales from the Fenicias wind farm. 

Perforadora Mexico (PEMSA) saw accrued revenues of US$29 million and EBITDA of US$7 million, decreases of 50.1% and 78.0% against 2024, due to rig suspensions and lower cementing results. 

Real estate revenues totaled US$23 million and EBITDA reached US$15 million, increases of 17.6% and 23.4% against 2024, driven by the incorporation of the new K8+Puebla portfolio in September and rent increases. 

Construction and engineering accrued revenues of US$29 million and EBITDA of US$6 million, a 2.6% decrease and a 3.6% increase year-on-year, attributable to production differences, work completion, and project continuity. Highways reported accrued revenues of US$16 million and EBITDA of US$11 million, decreases of 10.1% and 9.0%, mainly due to foreign exchange effects, although daily equivalent traffic increased 4.4%.