Good afternoon, I'm Manuel Manrique, Chairman and CEO of Sacyr. Joining me today, as usual, is Carlos Mijangos, the company's Chief Financial Officer. Thank you very much to all of you, analysts, media representatives, and investors, for attending this presentation of Sacyr's financial results for the first half of 2024. Two months ago, at our last Investors Day, we presented the 2024/ 2027 strategic plan, as well as Sacyr's vision for 2033 as a global infrastructure concessionaire. We then spoke about the growth plan that we foresee underpinned by our four major strengths. That is, the vertical integration of our business divisions working as one, a unique management platform that enables us to win projects, finance them, build them, commission them, and operate them subsequently. Also, our highly qualified and committed professional team, and a sustainable management approach to all our projects.
The valuation of our concessions, which today amounts to EUR 3.55 billion, will continue to grow, thanks to their huge cash flow generating capacity, this being the data we use for the valuation calculation, and also thanks to our high success rate in bids that we have identified worth EUR 75 billion. In the first half of the year, we improved our operating cash flow by 60% to EUR 574 million, compared to EUR 360 million last year. This significant increase over the first half of the year is due to the start up of some major new concessions in this period. This amount of operating cash flow is higher than the investments made in our concessions in the amount of EUR 458 million.
Now, the conversion factor, that is the operating cash flow divided by EBITDA, is 87%, which shows a sharp increase from 57% in the same period of the previous year, and points to the financial strength of our businesses. This increase can be seen in the graph to the left, which depicts the evolution of both operating cash flow and EBITDA. All of our concessions, once they become operational, have EBITDA of a horizontal type, maintaining the same value. However, operating cash flow remains high as a result of such commissioning. I would like to emphasize that there is no other company with our profile in Spain, and most probably in the world, and this is very important for us to make clear.
More than 90% of our EBITDA comes from concessions with demand risk mitigation mechanisms, which are classified for accounting purposes as financial assets. Therefore, EBITDA goes down as projects become operational and while cash flow goes up gradually. This is in line with our 2027 targets, when cash flow will grow by 60% to EUR 1.35 billion, compared to EUR 850 million in 2023. In turn, EBITDA will grow only by 6%. This concession company model is driven by dividend distributions from our more than 70 assets, which will exceed EUR 16 billion over the whole concession term, or 6 x our current market capitalization. Therefore, and consistent with our strategic plan, the figures that we are reporting today reflect a record half year in terms of cash flows. That is an indicator of both growth and value creation.
During the first half of the year, we continued to add assets to our portfolio with the awarding of the A21 highway in Italy, the Lima Peripheral Road Ring in Peru, and the Torrevieja Desalination Plant in Spain. It is worth noting that of the EUR 1,819 million in contracts awarded to our construction division in the first half of 2024, 82% corresponds to concessions, and this figure does not yet include the backlog corresponding to Anillo Vial Periférico Lima. During the period, we also put into full service Ferrocarril Central in Uruguay and the Pamplona-Cúcuta Highway in Colombia, which are already contributing to this cash flow. To further accelerate this growth, we are already working on the configuration of Voreantis, the company that will group together most of our brownfield concessions, and to which we will bring in a financial partner.
We have held and will continue to hold exploratory meetings with potential interested investors. We are already entering the final phase to select the financial advisors for this transaction, and in September, we will start the vendor due diligence phase to prepare the sale prospectus and be ready to go out to the market. Regarding our sales processes in Chile and Colombia, we now have an additional factor to make a decision, which is Voreantis. Also, against the current macroeconomic background, we, with interest rates and discount rates, we believe that in the coming months, they will be more favorable to us, and therefore, we will be able to maximize their value. Therefore, we are now assessing different alternatives, one of which could be incorporating Voreantis to this perimeter. As you know, we are not in a hurry.
In May, we carried out a capital increase, and we have therefore been able to cover all the necessary funds required to deploy our strategic plan to grow between now and 2027. At the latest Annual General Shareholders' Meeting, held in June, two scrip dividends were approved. The first one will be paid in September, in addition to the one paid in January, in the amount of one new share for every 50 old shares or 0.062 EUR for each share. The shareholders meeting also adopted a resolution to appoint a new independent female director. Thus, we continue to make steady progress to fulfill our commitment by 2025 of having 40% female directors on our board. The chart on the screen shows the key financials for the first half of 2024, some of which I have already mentioned.
Revenue fell slightly as we continue to remain highly prudent regarding construction projects, since we are focusing on concessions with the aim of minimizing risk. EBITDA grew by 4.5%, in line with forecasts. The operating margin also continues to grow, reaching 31%, and net profit also rises in line with expectations. Next, Carlos Mijangos will give you more color and specific details of Sacyr's results and of each of the company's business lines.
Thank you, Mr. Chairman. Now we're going to delve into the operational evolution of the company. As to financial evolution, these are the highlights. On the one hand, the capital increase carried out in May this year, amounting to EUR 222 million, issued 67.5 million new shares.
We reported very high, very high demand five times, covering the order book and large global infrastructure funds coming in. These funds will contribute to some of the projects that have been awarded already and the growth that we foresee for the 2024/2027 plan, and they will provide greater liquidity to our shares in the market, giving us financial flexibility to reach the investment grade rating. On the other hand, as for operations with treasury shares, the We issued two forwards in January 2024, with a reference price of 3.04 EUR, and in May 2024, amounting to 10 million shares in the amount of 3.40 EUR. In March 2024, we also closed the acquisition of another forward contract that had been issued in prior years by 5 million shares for 2.10 EUR per share.
Once again, this is a very strong bid on the future value of our own shares. If we now take into account net debt evolution on a consolidated basis, it went up to EUR 245 million over this semiannual period. We continue to invest strongly in concession assets. If we now analyze each of these elements that contribute to the evolution of debt, first and foremost, we should mention EUR 574 million of operating cash flow, as the chairman mentioned, which already goes beyond EUR 458 million in net investment, which we have made in our projects in this period. EUR 350 million in financial results, this is concerned with financing projects. Concerning our assets, then we had EUR 220 million from the capital increase, and then forex and financing flows.
All these amounts show how foreign exchange has evolved over the period. This, in this case, we're talking about leasing and the acquisition of treasury shares. If we now take into account recourse net debt reduction, it amounts to EUR 126 million. We have invested more than EUR 70 million in our concessions. This has been a very significant investment. This is the recourse activity leading to EUR 24 million over the period, with two peculiar effects in this case. On the one hand, the impairment of working capital, that is mainly due to the seasonal component of this business, together with the slowdown of the construction sector, and also a significant increase in the number of concessions coming from some of our operational assets.
We should deduct, or add, in this case, the financial expenses, plus the net investment, and also taking into account Forex, in order to reach EUR 196 million in June 2024. If we now take into account the evolution of each business line, in the case of concessions, revenue has gone up by 4%. However, we should understand that the operating revenue or concessions that are now operational, and this is the core activity in this case, have gone up by 10%, reaching EUR 646 million. On the other hand, construction revenue, that is, the investments that are made in concessions, have gone down by 14%, due mainly to the completion of three major projects since the six-month period last year: the Ferrocarril Central in Uruguay, and also the final sections of the Pamplona-Cúcuta in Colombia, among others.
There has also been an improvement as a result of the good operational performance of some projects, such as a road in Chile. We should also mention the Velindre Hospital financial close. This is a project that we are already building. We are the most important world construction developer in the world, according to a very important publication, and this is a relevant piece of data. More than 80% of all this capital has already been invested in assets that are already operational. Therefore, the company's risk is also coming down. In the first half, we invested EUR 103 million in our assets.
If we now take into account the breakdown by country, taking into account EBITDA, Italy, as you know, is accounted for in the consolidated, in the construction accounting records, due to some requirements by the Italian public authorities. They have contributed EUR 184 million in revenue, 236 in the case of Colombia and Chile, 263 , so they account for more than 80% of the overall divisions, EBITDA, for a total amount of EUR 570 million, all in all. Let us take a look at engineering infrastructure. Revenue has gone down by 8% from EUR 1.224 million, actually from EUR 1.327 billion- EUR 1.224 billion. The backlog, however, has grown strongly by more than 21%.
In this case, we continue working in order to reduce the activity and the risks that are incidental to this kind of business through third-party contracts. The backlog weight accounts for 63% already, even though over this period, as the chairman said, 82% of the awards correspond to the concessions division. Apart from EUR 9 billion, we're talking about 53 months of activity being covered by all such awards. Two major projects have been completed over this period: the Ferrocarril Central project in Uruguay and the Pamplona-Cúcuta highway in Colombia, respectively. We're also making steady progress in several other roadway projects in the United States, such as the US 59 highway in Texas or the Vanderbilt Beach Road in Florida. If we set aside the concessions division, we can say that construction reaches 4.9% on a steady basis.
These are the main awards. On the one hand, we should highlight the construction of the I-10 Louisiana highway in the United States. In Spain, we can mention the Hospital Universitario, Boadilla, several real estate developments. Also, the Antequera-Granada high-speed line, amounting to EUR 40 million. The railway access and inland network in La Coruña, amounting to EUR 22 million. And the Torrevieja Desalination Plant, totaling EUR 7 million. The Velindre Hospital in Wales, accounting for EUR 364 million, and in Italy, the Via del Mare highway, totaling EUR 160 million. As for the water division, revenue has gone up, as well as EBITDA, by 3%, from EUR 113 million - EUR 116 million, from 2023 and 2024 in terms of EBITDA, respectively.
However, we should underscore the great number of awards that we were granted over the past six months, such as the Torrevieja Desalination Plant. Also, the Carboneras plant for a full year period for EUR 13 million, a desalination plant in Alicante for a two-year renewable period, totaling EUR 12 million, so the drinking water treatment plant in Cuevas for seven years and a total investment of EUR 7 million. So we're talking about EUR 5 billion in backlog. All in all, we have invested more than EUR 120 million in concession assets. We are the leading desalination company in Spain at this point in time. Without any further ado, Mr. Chairman, let me give the floor back to you. Now, we shall be at your disposal to answer any questions that the analysts may have.
Good afternoon, everybody. Next, we are going to open the Q&A session. We are going to first deal with the questions through the telephone line, and afterwards, we are going to continue with questions coming in through the webcast. Miguel González from JB Capital Markets, please, you have the floor. Go ahead with your question. Good afternoon. I have three questions. The first question concerning the working capital evolution of the construction division over this period. Cash flow amounts to EUR 40 million, more than in, compared to last year, taking into account that there were some delays in the amount of EUR 75 million from customers that you collected in the first quarter. So there is a difference of about EUR 100 million if we take into account outflows in the prior six-month period.
You said that this is due to the reduction of the construction division's backlog, that in Q4 you recovered a little bit of this, but I don't know whether, based on current data, you could give us some guidance as to how much working capital you expect to consume by year end. Next, I have a question about divestments in Chile and Colombia. As the chairman pointed out, I would like to know whether the sale process right now is on hold, and whether you are waiting to see which Voreantis final perimeter will be, or whether you expect any divestment before year end. And finally, as for the FFO evolution, which it seems that has been quite positive over the past quarter, it seems that the calculation of this ratio is right now about 100%.
So I would like to know if this is a trend that we should expect going forward, or whether you believe that by through the construction of new projects, receivables could go up, and therefore, this situation might be reversed at some point down the road. Miguel, we will get back to you in a minute. Miguel, in answering the first question concerning working capital, in the construction business, we have a common denominator in all countries, and this is something that happens to all companies. Usually, the first quarter of the year is quite efficient. It's followed by a poor quarter, a third quarter that is pretty good, and the fourth quarter usually being very good. This is commonplace amongst all companies. It happens to us, and it happens to us every year.
Therefore, we believe that we will reach the end of the year with little consumption levels in the case of the construction activity. In addition to the seasonality component, there has been a drop of 8% in activity, and when the activity slows down, working capital goes up. The same happens when activity goes up, working capital goes down, and that's a fact. That's just pure mathematics. Secondly, the divestment in Chile and Colombia is now being reviewed based on the three aspects that we mentioned before during the presentation. The third question will be addressed by Carlos.
The third question is very technical, Miguel. In fact, right now, we have more operating cash flow, more than EBITDA, coming from concessions. Therefore, any adjustments in, with regards to financial assets has been offset by cash flow generation. So the answer is yes, and that's why we showed this chart on slide number four, which illustrates that cash flow is normally offset in EBITDA generation. So the projects that are already operational produce negative EBITDA every year. EBITDA goes down every year, but then you make new contributions with new awards. That's why we are aiming at a steady plan with a growth rate of 6% based on several awards following this model. So the question is that this is sustainable and is going to continue growing over time. So the answer in both cases is yes.
Thank you very much, Miguel. The following question comes from Luis Prieto from Kepler Cheuvreux. Please go ahead, Luis. Good afternoon. This is Luis Prieto. Thank you very much for allowing me to raise these questions. I have three questions.
Concerning the capital increase, I believe that the market will be keeping tabs on any developments in this regard. Could you please give us some color about some relevant projects that you consider to be particularly interesting at this point in time in order to address the requirements of investors at present? Next, and after learning the potential interest in Voreantis and the interest shown by some potential buyers, why do you think that this vehicle is appealing, or is there anything that in potential investors don't like about Voreantis? And the last question is concerned with this article that was published in the press about the appointment of a new CEO. I believe that there's no update on your side in this regard because this has stirred up a great deal of interest in the market.
Okay, thank you very much, Luis, for your question. We will get back with an answer in just a minute. Luis, first off, we are very active in spotting new market possibilities. In the market in Chile, we have just presented access for participation concession. We are also participating in other projects in Chile, and we hope that we will be awarded these projects shortly. In Portugal, we continue examining different high-speed sections, another project to build a hospital in Canada. Also other projects in Tennessee and Georgia, a desalination plant and water treatment plant in Australia as well. So there are many projects in the pipeline. As for Voreantis, I should say that this vehicle has been positively welcomed, I would say.
And if I were to point out a strong feature about Voreantis, I would mention the fact that this is a platform that would enable us to win new projects. And every year, and as we mentioned in prior presentations, we are normally awarded three or four major projects every year. And as for the CEO, this is just a fake piece of news, like many others. And as I mentioned, oftentimes, we are committed, that is to say, the board of directors is committed to dividing the executive function of the chairman and the CEO by 2025, and that commitment remains unaltered. Thank you very much. Thank you very much, Luis. The next question comes from João Safara from Santander. Please, João, go ahead. Thank you very much, Alberto. I have two questions. The first question is concerned with working capital once again.
I would like to know how this ties into the construction division activity. So the first question is basically the following: What do you expect going forward for the construction line of business? Over the past quarter, we have observed some revenue stabilization. Your backlog has also grown. Therefore, at some point in time, I believe that this line of business should resume its growing path. So how would this impact working capital? Should we expect a positive impact on working capital, or do you think that this is a structural change? And that regarding prepayments or the positive contribution that this business normally contribute to working capital.
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Could you provide any figures in percentage terms as to prepayments on account of working capital? Has this changed at all over the past five years? Could you give us some color in this regard?
Okay, João, we will answer shortly. João? The working capital of the construction division is tied to two factors to be underscored. We are going to reduce third-party construction projects, and we are going to increase construction projects for concession purposes. We underscore this again and again. In the past, we used to provide work to concessions by 40%-45%. Right now, we stand at 60%, 63%, and we want to reach 70% or 75%. That is, our goal is to move towards proprietary construction projects, reducing third-party construction projects in order to reduce actual risk, both in terms of capital or equity and results. Regarding working capital, we should bear in mind that even when talking about concessions, current circumstances or price review contracts, among other factors, are very difficult...
It's very difficult to match them all over time, and that leads to also taking into account the reduction in activity. So maybe we should analyze all this more sporadically. Our goal is to not to use working capital or to stabilize working capital, which doesn't mean that perhaps in one particular year we will have to use more working capital. As for the second question, and in terms of prepayments, it has been quite similar over the past five years. Now it's going down, but only slightly, because there has there has been a reduction in the amount of contracts, but we are still receiving prepayments on the contracts that we are now carrying out. Thank you very much. There are no further questions over the phone. We now move on to the questions coming in through the webcast.
The first question is by Filipe Leite. Filipe, you are asking about working capital. I believe that we have answered this question already. The second question is the following: Why is it that in Q1, the top line of the holding adjustments totaled 0, and right now we are at EUR -50? And the second question is: What do we expect in terms of EBITDA margin from the water division before year end? We will answer shortly. Okay, in answering Filipe's question, that adjustment is just for consolidation purposes between the construction and concession activities. In a group like ours, for accounting purposes, the construction division is to account for revenue coming from concessions, and then the holding. According to the standards, you have to record that under concessions, and then we have to net out the amount coming from concessions.
Therefore, that shows that there has been an increase in, of activity in the first case compared to the second case, but this is an accounting adjustment for consolidation purposes only. As for EBITDA margin, it's going to be between 20%-21%, as it has been the case over the previous periods. The following question comes from Álvaro Navarro. Álvaro is asking about the operating cash flow guidance for the group, whether it, we could reach EUR 1.2 billion if we continue growing at the current pace. And the second question is about what dividends do we estimate we will contribute, we will receive from the different concessions in 2024? And which, what about the equity for 2020, for 2025? We will answer in just a minute.
Well, as for operating cash flow forecast from funds from operations, we are going to exceed EUR 1.1 billion, which is a significant increase compared to EUR 150 million last year, according to the guidance we have provided in terms of the evolution of cash flow compared to EBITDA. As for concessions, the chairman already explained the areas where we're working in, and as for contributions to equity and distribution, the guidance is the same that we announced one month ago when we reported on our strategic plan. We believe that we are going to receive about EUR 225 million this year, investing about EUR 170 million or EUR 180 million subsequently. There are no further questions. Now, let me give the floor back to the chairman.
Well, if there are no further questions, we thank you for your interest in attending this financial results presentation. We wish you a happy summer break, and we bid you farewell until our next presentation, in the first weeks of November. Thank you very much, and have a very nice afternoon.