Ferrovial SE

Hello, everyone. We just released our financial results for 2025. I'm here today with our CEO, Ignacio Madrilejos. Ignacio, thank you very much for being with us today and congratulations for another great set of results. Let's start with the highlights. How would you summarize the year?

Thank you, Silvia. Yes, and as you say, it was a very good year for Ferrovial. All our business divisions grew both revenues and EBITDA. In the case of our toll roads in North America, I will highlight especially revenue per transaction, growing well above inflation in all our assets. In the case of construction, very solid results. And I will highlight the record backlog that we have in this business. In terms of the NASCAR position, a very good year, 1.3 billion euros at the end of the year. Several milestones that we achieved during 2025. One of them is the rotation of mature assets, in this case, 5% that we have left of Hydro. Also, the 50% of our airports in the UK, AGS, and other minor investments. We also invested last year an additional 5% of the 407. Also, continue investing in NTO. We were also shortlisted to be two important manned assailants projects in the US this year, in Nashville and Atlanta. And also it was a good year for our investors with a TSR above 38% and also with the Nasdaq 100 inclusion at the end of the year that reinforces our strategy in the US.

No doubt, very good year. Let's move into totals, starting with 407 ETR. A lot of discussions about traffic, promotions. What can you tell us here?

Well, also a very good year for the 407 ETR. Traffic grew last year above 6%, supported by promotions and also by increased mobility in the Great Toronto area, with more people going back to work at the office. It was a good financial year, 18% increase in revenues, 14% increase in EBITDA. We announced last year a new toll rate scheme that has already been implemented 1st of January this year. And I will highlight the promotions because this is the first time in the first year in which we implemented promotions during a large scale during the whole year. And it helped us with the segmentation and with that increased value to users and also helping us to maximize EBITDA in this asset.

We talk about the US managed lanes. We have seen very good performance across the portfolio, but with some differences in between the different assets. Could you give us some color here?

Yeah, as you say, it was a good year for all roads in the US, managed lanes in the US. In the case of the Dallas forward, The area Dallas Forward is growing, still growing, increasing population and economic activity. However, two of our assets, the NTE and LBJ, were affected by construction activity in the area that reduced traffic. But I will highlight that it was more than compensated by the revenue per transaction increase, well above inflation, that helped us to increase both revenues and EBITDA in the three assets in Dallas Forward. In the case of the i77, also was a very good year, growing both the revenues and EBITDA, supported by the very strong revenue per transaction. However, traffic was affected with the comparison with the previous year. In 2024, we benefited from the hurricane lean and some of the alternative roads that were closed because of that effect, and we have additional traffic. i66, that is the youngest asset, performed very well, increasing both revenues and EBITDA. in spite of the shutdown that we have at the end of the year and winter events, but it's performing very well, both in terms of traffic and also revenue per transaction.

Let's change the subject. Let's move into airports near Terminal 1. Amazing projects and significant milestones achieved during the year. What can you share with us?

Well, NTO is now 82 physical progress at the end of the year. and is expected to be open in this year, 2026. Also, we continue negotiating with airlines, and now we have 25, I mean, 16 airline user agreements, nine letter of intent, and we continue negotiating with many other airlines that will benefit from the new Terminal 1 and the user experience. Also, last year, we completed the refinancing of the bank debt. We substituted them by green bonds, and it was completed last year, too.

I'm sure that everyone is looking forward to this project. Let's move into cash. You mentioned before a very good year, closing with a net cash position of 1.3 billion at the end of the year. What are the main drivers for that cash position?

Yeah, it was also a very good year in terms of cash, 1.3 billion, as you commented, at the end of the year. And it's a combination of several things. It's a combination of the dividends coming from our infra assets, the activity cash flows coming from other business divisions, rotation of mature assets, but we also invested in new assets and also, of course, remuneration to shareholders. Highlighting the distributions of dividends coming from More Infra Assets, we reached an amount of €968 million of dividends from More Infra Assets, an increase from previous year. Even though the previous year was 24, we have died 77, distributing the first dividend with five years of cash loss. So it was an excellent year in terms of dividends. Also, it was a good year in terms of rotation of mature asset, the 5% left that we have in Hydro, also 50% of AGS. Good investments. We acquired an additional 5% of the 407 ETR, and also we continue investing in the NTO that has commented we'll open this year, no? And in terms of remuneration to shareholders, a combination of cash dividend and also served by BACs, the total amount is €658 million that is on track to achieve the target, the guidance that we gave, that in the period 2024-2026 will distribute to shareholders a remuneration of a total €2.2 billion.

Finally, after this great year, what's next? So what can you expect for 2026?

Well, very optimistic again for 2026. Hopefully it's a year of growth. As commented previously, we are bidding for two large projects, two new managed lanes in the US, the 285 in Atlanta and the 24 in Nashville. And we'll have other, I mean, bidding projects later on in future years, but the thing is, we have very good opportunities to grow. Also, we'll open a new terminal one, expected to open during this year, 2026. So it's also a very good opportunity for us. And of course, we'll continue engaging with new investors, especially in the US that may be attracted by our infra assets growing above GDP and inflation, and also about the pipeline of new assets, similar assets in the US. that can create value for our shareholders. So very optimistic about this year, 2026.

Well, looking forward to it. Thank you very much Ignacio for being with us.

Thank you Silvia.