Earnings Call: Q1 2026

May 15, 2026

Summary

Consolidated revenue fell 7% and EBITDA 12%, largely due to energy-market pressure; EBITDA excluding energy was stable. Priorities include deleveraging, U.S. aggregates expansion, and portfolio-value initiatives.

Good morning everyone. We would like to thank you for joining us today. We will dedicate this conference call to presenting Grupo Argos' financial results for the first quarter of 2026. My name is Carolina Arango. I am Director of Investor Relations at Grupo Argos. Joining us today are Juan Esteban Calle, the company's President, Felipe Aristizábal, Vice President of Strategy and Finance, Rafael Olivella, Vice President of Legal Affairs, Juan Esteban Mejía, Manager of Corporate Affairs, and the management teams from Odinsa, Digrusid Business, and Pactia. I would like to remind you that we have made all the quarterly information available on our website, along with the presentation that we will be using during the conference call. To download it, please go to the investor relations menu and then to the reports section. I invite you to turn to slide 3 of the presentation to begin this meeting. I now turn the floor over to Juan Esteban Calle. Thank you, Carolina, and good morning everyone. I would like to extend a special thank you to all of you for joining us today. Before beginning the presentation of the quarter of the results, I would like to express my gratitude for the trust that the shareholders and the board of directors have placed in me and our new management team, and to reaffirm our commitment to this organization and a continuation of a business legacy spanning more than 90 years, which has been built on a noble purpose that has had a significant impact on the development and wellbeing of society, and on foundational values that we will be honoring in everything we do. Hard work, integrity, frugality, stewardship of shareholders' resources, and a commitment to build a better country. In this new phase, these values are the starting point for continuing to move forward with discipline and a sense of fiduciary responsibility to generate greater value. On April 1st, I assumed the presidency of Grupo Argos, and I would like to express my deep appreciation, respect, and admiration for the legacy I have received from my predecessors. Grupo Argos is a solid company, fully focused on construction materials and infrastructure. Sectors with highly attractive long-term fundamentals that are essential for the advancement of humanity and for closing development gaps in the regions where we operate. The company is financially sustainable and aspires to remain relevant for many decades to come. Aware of the responsibility assumed by this team, we continue to actively advance in the strengthening of our role as a holding company, seeking to maximize value creation and adopt a leaner, more specialized management model aimed at driving continuous improvement in the profitability of our operating businesses, strengthening our capabilities to generate investment opportunities in infrastructure and construction materials, and ensuring sustainable access to and efficient allocation of the capital required to bring to fruition the robust project pipeline of our businesses, which today amounts to more than $5 billion. As part of Grupo Argos' agenda for value creation and transfer, in March, the shareholders meeting approved a new share repurchase program up to COP 500 billion for the next 3 years. This mechanism, which will begin operating next week, is based on the conviction that there is a significant gap between the stock's market price and the company's fundamental value and constitutes the first in a series of initiatives that Grupo Argos is structuring to help close that gap. This comprehensive plan will soon be shared in detail with the market and will seek to increase the liquidity of the shares, strengthen return mechanisms for shareholders, and make the value of its portfolio more visible, incorporating the lessons learned from Cementos Argos SPRINT program. At the business level at Cementos Argos, we are making rapid progress in designing and implementing the structure to separate operations in the U.S. and Latin America. We have set this goal for the next 24 months, seeking to maximize the growth potential and the value creation of each operation. To this end, we are considering both the differences in the company's valuations between these two regions and the specific characteristics of the businesses. On one hand, the aggregates business being built by Argos Materials, and on the other hand, the cement and concrete business operated by Argos Latam. Likewise, the company will continue to execute its SPRINT 4.0 program with an emphasis on profitability and share liquidity, contributing to its inclusion in international indexes such as the MSCI EM Standard, while working on the execution of the plan to reenter Venezuela in partnership with a U.S. partner and a local partner. At Celsia, we maintain the goal of ending 2026 with a reduction in net debt of approximately COP 1 trillion. In addition to deepening our efforts to simplify the structure, optimize operations, and improve operational efficiency, all aimed at strengthening profitability and returns to shareholders. For the energy services business, the company is moving forward with an optimization effort aimed at increasing the EBITDA margin in 1,000 basis points over the next few years, and by 2026, the goal is to reduce operating expenses by more than COP 74 billion and achieve a cumulative reduction of over COP 150 billion compared to the 2024 baseline. Meanwhile, in the asset management business, during the first half of the year, we expect to complete the capital raising process for the Renewable Energy Investment fund in Peru with institutional investors. At Odinsa, we will remain focused on optimizing and improving the efficiency of the concession portfolio, as well as moving towards the award stage for the IPs that are part of the pipeline portfolio. To this end, adjustments have been made to the company's expense structure, and we estimate a reduction of over 30% in the ASUNA for the second half of 2026. Furthermore, we will continue to move forward with the closing of TICSA acquisition signed in 2025. In the real estate business, our priority is to drive and develop projects in Barranquilla and Barú that allow us to maintain cash flow generation, in addition to capturing efficiencies in the portfolio management. Finally, at Pactia, the focus is in continuing to optimize profitability and reduce leverage in the real estate rental portfolio. This roadmap is built on a base of assets that is difficult to replicate. Today, Grupo Argos manages a portfolio with an arbitrage value of COP 15.8 trillion, concentrated in sectors essential to the region's economic and social development: construction materials, energy, road and airport concessions, urban development, and real estate rentals. We are convinced that there is a significant gap between the fundamental value of our portfolio and the value the market currently assigns to Grupo Argos stock. At the same time, we believe this composition provides us with the scale, diversification, and flexibility to move forward with discipline on the priorities we just shared. Capturing the efficiencies, strengthening our capital structure, accelerating portfolio growth opportunities, and delivering greater value to our shareholders. Now, to delve deeper into the performance of our business during the quarter, I'd like to hand it over to Felipe. Thank you, Juan. Please turn to slide six to begin with our business results. At Cementos Argos, as Juan Esteban mentioned, the priority will be to advance in the evolution towards two focused platforms with greater autonomy and capacity to capture the opportunities specific to each market. Argos Materials focus on the growth and aggregates in the U.S., and Argos Latam, focus in consolidating the company's leadership in Latin America and deepening the profitability of all its operations. This separation represents the natural evolution of a path that Cementos Argos has been building with discipline through the spin-off of Argos USA, the merger with Summit Materials, and the subsequent sale to Quikrete. The team is working to define roadmaps, organizational structures, and governance mechanisms that will maximize the value of each platform while maintaining the discipline in capital allocation and strategic flexibility to evaluate opportunities for profitable growth. In parallel, Cementos Argos will continue to execute Sprint 4.0 program, a new phase of the shareholder value creation program focused on consolidating a significant presence in the U.S., increasing share liquidity and continuing to close the gap between market price and its fundamental value. As part of this strategy, the company is moving forward with initiatives such as the implementation of dual liquidity provider structure, the execution of the share buyback program approved by the year shareholders meeting for up to COP 450 billion over the next two years, and the fulfillment of the necessary conditions to facilitate eventual inclusion in international indexes such as the MSCI EM Standard. Finally, in Latin America, we see significant growth opportunities, including Venezuela, a market with substantial needs for construction materials to rebuild its industry, infrastructure, and communities. Cementos Argos is approaching this opportunity in a gradual and disciplined manner with active commercial relationships, a capital light growth path, and an export target of 5,000 monthly tons by 2026, supported by logistics capabilities and distribution partnerships. Cementos Argos reported revenue of COP 1.2 trillion remained stable compared to the previous year, while EBITDA reached COP 270 billion, growing 5% year-over-year. We highlight the recovering volume shipment this quarter in the cement business, volumes reached 2.1 million tons, growing 4% compared to the first quarter of 2025. While concrete volumes reached 570,000 cubic meters, growing 9% year-over-year. The recovery in cement and concrete volumes compared with the operational discipline enabled sustainable positive growth in EBITDA. This performance reflects Cementos Argos' capabilities to capture efficiencies even in demand environments that continues to present challenges in some markets. In Colombia, there was a significant recovery in shipments, driven mainly by the retail and self-build segment, which continued to show positive momentum. Volumes reached 932,000 tons and an 8.1% increase compared to the first quarter of 2025, which allowed the company to capture additional market share. Revenue reached COP 717 billion, growing 9.7%, while EBITDA closed in COP 175 billion with an increase of 2.6% and margin of 24.4%. Meanwhile, the concrete business maintained a favorable momentum, with volumes growing 8.5%, supported by major projects such as the Metro de la 80, Túnel de Oriente, and various urban renewal initiatives. Although the quarter's margin was impacted by the maintenance schedule on the Cartagena and Rioclaro plants, the operation maintains a favorable outlook for a recovery in the profitability over the coming quarters. In Central America, the company delivered a solid performance with sales growth, margin expansions, and operational progresses in its main markets. Cement volumes reached 471,000 tons, representing a 12.6% increase compared to the first quarter 2025. Revenue reached $65 million, growing 5.3%, and the EBITDA closed at $20 million with a margin of 30.3%, which represents a year-over-year expansion of 961 basis points. Panama shows signs of recovery with a market that grew 6% in the quarter and nearly 14% in March alone, supported by infrastructure and housing projects. Honduras maintained a smooth operation in the government transition and the import pressure, while Guatemala doubled its volumes compared to the same period last year and continued to establish itself as an attractive market for strengthening the local presence. These results reflect the region's operations ability to capture efficiencies and sustain disciplined commercial execution. In the Caribbean, results were affected by an extended operational shutdown in Dominican Republic, which temporarily impacted the region volume, revenue, and a margin. Cement volumes reached 328,000 tons, a 12.2% decrease compared to the first quarter 2025. While revenue totaled $61 million, an 8% decline. EBITDA stood at $8 million with a margin of 13.4%, primarily impacted by the operational situation in the Dominican Republic. However, operations have now normalized and demand conditions remain stable, allowing for the anticipation of a gradual recovery over the coming quarters. In Puerto Rico, construction activity continues to be supported by federal reconstruction funds and positive tourism trends, while the rest of the Caribbean operations maintained a stable performance. Finally, Argos Materials continued to make progress in consolidating its aggregates platform in the U.S., one of Cementos Argos' main growth avenues. During the quarter, the company made progress on the engineering work to expand the quarry's production capacity in the Dominican Republic, advanced the development of the dedicated port infrastructure, and completed a new test shipment to Houston, a market with an annual demand of nearly 44 million tons and a structural aggregate deficit. In addition, the company continues to strengthen its capacities to evaluate inorganic growth opportunities in line with its strategy to build a scalable, competitive platform focused on capturing the potential of the U.S. market. This roadmap is complemented by the approved capitalization of Argos North America Investments LLC for $396 million, a vehicle that will serve as an investment structure for operations in the U.S., with a goal of generating more than $200 million in EBITDA in the medium term. I invite you now to turn to the energy business' results on slide number eight. During the first quarter, the energy business operated in an environment characterized by increased water availability and river flows above historical averages. The situation was reflected in a significant drop in the exchange price, which averaged COP 187 per kilowatt hour, a decrease of nearly 52% compared to the same period 2025. While February saw the lowest prices in the quarter, a gradual correction in spot prices began to emerge in March. In this context, Celsia maintained active management of its portfolio and made progress on efficiency and financial discipline initiatives. In April, the company completed the sale of six small hydroelectric plants in Valle del Cauca, totaling 12.6 megawatts. The proceeds from this transaction were used to reduce debt and allow the company to focus its capabilities on assets where it holds greater competitive advantages, particularly in the management of larger scale hydroelectric plants. Looking ahead to the second quarter, the company is closely monitoring weather patterns following the end of La Niña during the first quarter. The country is entering a transition period with warnings of a highly probable El Niño event in the second half of the year. Although its duration and magnitude remain uncertain, Celsia is preparing for this scenario. With this context in mind, let's now turn to the financial results of the energy business. On the financial front, Celsia reported revenues for COP 1.3 trillion during the first quarter of 2026, a 12% decrease compared to the same period last year, driven by the energy prices dynamics. Meanwhile, EBITDA reached COP 363 billion, down 21% year-over-year. This change is primarily attributed to lower energy sale prices despite the increased demand during the period. We note that although January and February were impacted by conditions associated to La Niña phenomenon, an improvement in results was observed in March, reflecting a gradual normalization in hydrological conditions. In operational terms, power generation reached 1,586 gigawatts hour, growing 16% compared to the first quarter of 2025. While marketed energy remained stable at around 985 gigawatts hour. Now, before delivering the details of our unlisted businesses, I would like to mention that we are currently reviewing how to adjust our reporting framework in the short term in order to provide the market with more analytical tools regarding the platforms. The goal is to offer greater visibility into the performance, evolution, and value of these investments, which we believe are not currently being fully recognized by the market. Let's move on to the Odinsa results. During the quarter, the company continued to make progress in the strengthening of the operations of its road and urban concession platforms. In this regard, Odinsa made adjustments to its management structure to integrate financial, operational, business development, and capital raising capabilities, which will accelerate the implementation of its growth plan. Road traffic grew 5% year-over-year, and the airport traffic increased 9%. In particular, Opain increased its passenger volume by 10% and its net income by 38%, while Quiport reported growth of 11% and 9% in revenue and EBITDA. Regarding financial results, Odinsa reported consolidated revenues for COP 117 billion during the first quarter, a 10% year-over-year decrease. Consolidated EBITDA stood at COP 94 billion, with a 14% decline, and a consolidated net income reached COP 84 billion, 50% lower than the same period of 2025. The changes compared to the first quarter of 2025 are mainly explained by a lower contribution from the equity method of the private equity fund, given the extraordinary valuation recorded in 2025 due to the incorporation of the second stage of the Túnel de Oriente. Odinsa's consolidated financial debt closed the quarter at COP 226 billion, a 23% year-over-year decrease. Turning to the company operational results, the road network closed the quarter with an average daily traffic volume near 116,000 vehicles. Notable traffic growth was recorded at Túnel de Oriente 7%, Autopista del Café 6%, and the Malla Vial del Meta at 2%. In the airport platform, whose figures are shown on slide 12, total passenger traffic during the quarter was 13.3 million. El Dorado Airport handled 12 million passengers, a 10% increase compared to the first quarter of 2025. Quiport handled 1.3 million passengers with a 7% year-over-year growth. In the real estate business, cash flow revenue grew by 49% compared to the same period in 2025, as a result of the activation and contractual clauses and the collection of fees associated with deals signed the previous year. However, net cash flow shows a decrease, which is explained by the fact that in 2026, all property taxes payments were concentrated in the first quarter, whereas in 2025, those payments were made primarily in the second quarter, affecting comparability between periods. In the income statement, revenue primarily reflects the activation of contractual clauses and accounting effects from the recognitions of deferred revenues associated with the fulfillment of urban planning obligations corresponding to sales from prior periods. Looking ahead to the rest of the year, business expectations are focused on the outcome of ongoing discussions with various clients, which we expect to result in effective closeness over the coming months, thereby enabling us to meet the revenue and cash flow targets set for 2026. In the real estate business, gross cash revenue was COP 119 billion, growing at 5% year-over-year, and the EBITDA for the quarter was COP 17 billion with a 16% year-over-year increase. On a like-to-like basis for the first three months of the year, gross cash revenue and EBITDA grew by 8% and 20%, respectively, compared to 2025. During the period, lease agreements for 25,000 sq m were renewed, and new leases for 2,000 sq m were signed. Compared to the first quarter 2025, the logistics sector recorded the highest growth in gross effective revenue with a 16% increase, driven by an acceleration in occupancy. Our second place was the retail sector with a 12% increase attributed to growth in sales per square meters. Finally, the fund made significant progress in optimizing its capital structure, reducing its debt stock by 7% during the quarter and ending the period with a loan-to-value ratio of 26.7%, a decrease of 481 basis points compared with 2025. Now I want to invite you to slide 16 to review Grupo Argos financial results. To discuss the company's consolidated and separate results, it's important to make a clarification. For this first quarter 2026, non-recurring transactions were recorded that need to be excluded from the figures, unlike what occurred in December of 2025, when there were extraordinary income results from Cementos Argos' disinvestment on some of the materials and the spin-off by absorption project with Grupo Sura. Thus, the stages and the figures we will be analyzing below exclude those discontinued effects for the first quarter of 2025. In the separate results, the comparison with the first quarter of 2025 must account for the equity method income exceeding COP 1 trillion associated with Cementos Argos' disinvestment of cement materials. Excluding those effects during the first quarter of 2026, the company recorded separate revenues of COP 221 billion, representing a 19% decrease compared to the same period of the previous year, primarily due to a lower contribution from the equity method. Separate EBITDA stood at COP 144 billion, a 25% year-over-year decrease due to both the lower contribution from the equity method and the increase in property tax. This expense rose by COP 9 billion compared to the previous quarter, primarily due to the property tax in Barú, in Barranquilla. This higher expense is due to the fact that in 2026, these taxes were paid in full during the first quarter, taking advantage of the early payment discounts. In contrast, in 2025, a correction was requested regarding these property taxes, so part of the payment was made after March. Separately, net income reached COP 91 billion, down 37% compared to the same period in the previous year. Even so, Grupo Argos continues to generate positive results on a standalone basis with favorable margins. The gross margin was 96.5%, the EBITDA margin 65.2%, and the net margin 41.3%. On a consolidated basis, the first quarter of the year began with positive performance of the cement and real estate businesses, which year-over-year represented an increase of COP 18 billion in EBITDA for Grupo Argos. It was negatively impacted by a COP 95 billion contraction to the energy business due to the high national hydrological conditions that affected market price in the first two months of the year. During that substantial market recovery occurred in March, but has continued throughout April and May. This trend translates into consolidated revenues of COP 2.7 trillion, 7% less than the same period of 2025, and EBITDA of COP 713 billion, down 12%, net income of COP 194 billion, down 21%, and a controlling net income of COP 87 billion, down 23%. At the operational level, excluding the impact of the energy segment, consolidated EBITDA would have remained stable year-over-year with a 0.1% change year-over-year. Moving on slide 20, you will find Grupo Argos' consolidated and separate financial structure. At the end of the first quarter 2026, the consolidated gross debts stood at COP 9.9 trillion, a 13% decrease compared to March 2025. Additionally, consolidated net debt, excluding restricted cash and equivalents, closed with a positive net cash position of minus COP 137 billion. This indicates the strength of the organization capital structure and the financial flexibility it possesses to continue executing its strategy. A strength that was further supported by the recent confirmation of a AAA rating announced by S&P. Grupo Argos' standalone debt closed the quarter in COP 1.2 trillion, while standalone gross debt stood in COP 1.7 trillion with a gross debt to dividend ratio of 1.9 times and a gross debt to portfolio ratio of 11%. The cost of debt was 8.3% and the average maturity reached 3 years. This debt structure remains a healthy level and provides Grupo Argos with the financial flexibility to continue executing its capital allocation strategy and actively managing the portfolio. Thank you, Felipe. Before closing, I want to reiterate that Grupo Argos begins 2026 with a simpler and more specialized structure, a high quality asset base, and a financial position that allows it to move forward with the discipline in executing its strategy. The businesses in which the company participates have structural competitive advantages and operate in sectors essential to the region's economic and social development: construction materials, energy, road and airport concessions, urban developments, and real estate rentals. Thank you very much, Juan. Now we want to open for the Q&A session. Mind you all that you could access the Q&A widget, and we will be open the microphone from whomever will be asking those questions. Daniel Guardiola will be asking the first question. Daniel, microphone is open for you. Good morning. Do you follow? Yes, Daniel, we do follow. Perfect. Good morning, Juan Esteban, Felipe, Ricardo. Congratulations, Juan Esteban and Felipe, for your new role. I want to wish you the best of successes. I have 3 types of questions. Let me start by the first one is basically, Juan Esteban, what's your strategic vision about Grupo Argos? More specifically speaking, how would you define the success at the end of your first 24 months as the CEO? As investors, should we think that Grupo Argos is going to be focusing on the expansion for, on return on investment, deleveraging, growth acceleration, all of the above? It would be great to hear from your strategic vision. I know that you haven't been in the position for long, but you have been part of the company for many years now. I would like to ask you, as becoming CEO, what did positively surprise you and what negatively surprised you? That would be speaking about strategic vision. Let me stop there and maybe I could ask the other 2 questions. Perfect, Daniel, and thanks for that question. First of all, speaking about strategic vision, I can say that we are fully convinced that Grupo Argos is in absolutely extraordinary position towards the future after a very important decade, where we were able to concentrate and specialize in sectors that are absolutely important for the development of the economy of those countries where we participate. We believe in the potential on the infrastructure and material construction and construction materials. We believe this is a growing demand because all the fundamentals are on our side. First of all, I want to reiterate the focus that Grupo Argos has in construction materials and infrastructure. The emphasis will be mainly on several topics. First, we believe that there's still opportunities in making the business profitable. We have the aspiration that each one of the operational companies will be a leader and an example in each one of its sectors. Cementos Argos, you are seeing that we are following this very interesting value generation route in terms of improvement of operational excellencies and operational returns. Ricardo has also emphasized the opportunities that Celsia has in terms of not just deleveraging, but also in expanding margins. It has committed with 1,000 basis points in terms of gap closure in EBITDA margin, which would turn the company into one of the leaders in terms of profitability. The same thing we believe for Odinsa. We believe we have a beautiful asset portfolio that we have to turn into a reality in terms of contracts and to keep on advancing in terms of efficiency, in terms of operational results of the company. That is going to be one of the emphasizes, improving the operational efficiency of each one of the business of the company. We will keep focusing on the sectors where we are participating, and we will be complementing the role that Grupo Argos has been complying, where we believe that the holding, besides what is currently doing, has an important role to comply in terms of access of sustainable capital in time as an important levers of the value generation strategy that we have to complement the investment opportunities, the very generous investment opportunities that each one of the businesses has. The success of the management will be based on that. First, share price. We believe that it is an important gap in terms of the fundamental value of the portfolio, and similar as we did with Felipe in Cementos Argos with the SPRINT program, we hope to announce to the market, in short, a similar program that will have several important pillars that will lead us to commit with that value recovery and closing the value gap. Results for this month have been pretty good in terms of distributions and share appraisal, but we are convinced that there is still a gap that we will work on closing in terms of the fundamental values. That is what you can expect from our side in the upcoming 24 months in terms of the Grupo Argos strategy. But at the end of the day, we will be measured by what might happen or what will happen, with the shares and the value of the stocks. Daniel, you want to ask the second question? Yes, of course. Thank you, Juan Esteban. Thank you, Juan Esteban. What positively surprised you and what negatively surprised you? Well, positively, everything. I always saw this from close when I was in Cementos, and I always been in agreement with everything that Jorge did during that decade that he was CEO. I was glad to be part of that crew, and I believe the team made a significant advancement. I would not speak about anything negative. I would speak about opportunities. We are close to be a century old. We have the responsibility of caring for the company. This is a company that is a reference for Colombia, and we want for this company to be many centuries old. The only way to achieve this through time is answering to those changes that the world might come with and constantly improving. But nothing negative, I would say. There is always opportunities, and there will always be opportunities in every single company. Thank you, Juan. Last question. Role of the holding, how do you see it? You said that you will see a gap between the holding and its parts. I would like to know, bearing in mind that around the world and in Latin America, holding companies have been a certain way out of favor, and many investors have been looking for simpler investment structures. What is the differential that Grupo Argos contributes for its subsidiaries and its shareholders? In terms of the discount, if in the upcoming years. Well, not in the upcoming years. Let us be more concrete. What concrete actions are you planning to take in order to close that value gap between the intrinsic value and the market value? The holding's role, we see as generating value in the capital allocation, but also guaranteeing businesses sustainable access to capital in the long term. That is where I say that we expect to emphasize towards the future. We believe this is an important component that we need to work on, that we are still missing. So we believe that if we are able to achieve the access to sustainable capital in order to finance that investment opportunities that we have in each one of the businesses, we will be generating value in a very important manner with a simple structure, lean structure, and autonomous inherent of the businesses. That is basically the model that we are implementing right now. Any concrete measure to close that gap? Concrete measures? We want to launch a similar program to the SPRINT program that will be announced to the market the upcoming month. We are working on it right now, but we need to fine-tune it in order to deliver that information to the market. You can expect a cross-cutting program, with components very similar to the very successful SPRINT program for Cementos Argos. Well, thank you, Juan. Thank you very much. The best of luck and successes for this earnings presentation now. Now, let us give the word to Gabriel Perez from Credicorp. He has a question for us. Hello, everyone. Do you follow? Yes, Gabriel, do you follow? Good morning. Good morning. Juan Esteban Calle. First of all, I want to wish you the best of success in this new phase. Two questions I have. First is in respect with the Odinsa segment. In the investor day, we heard about four projects, that you were thinking on in terms of infrastructure. I just wanted to know if you have any advancement in any of these projects, especially for airports. I would also like to ask about property tax effect over Grupo Argos for this quarter and for the whole year. Well, thank you, Gabriel. We have four private initiatives for projects within our portfolio that will be essential for the next government, without it mattering who the president will be. Colombia has a great opportunity for advancing four projects in terms of infrastructure, that do not require resources from the central government. Given the difficult fiscal situation of the country, won't affect us. This will also be turning into profits for the nation. So we are optimistic with these four projects. Maybe Pablo Jarek can give us a bit more insights about these four IPs in Odinsa. Pablo, the floor is yours. Perfect. Juan Esteban, you follow? Yes, we perfectly follow. Well, just a bit of a background. The way these projects are handled according to the APP's norm is at first, we present a pre-feasibility study. Afterwards, ANI allows it to move on to a feasibility stage. After that feasibility stage, we deliver a feasibility study, and there we go into an evaluation phase where a third party is hired in order for them to evaluate the feasibility study. After the end of that period, we have a compliance process. So that third party informs ANI if this feasibility study that was presented complies or does not comply with the requirements that the norm requests. After this compliance process, we have agreement on terms, and both parties agree on all the variables of the project, and that's the project that's factored in. Then we have an abbreviated selection process. At the end of that, we grant the project to whomever wins. Under that context, let's speak about four projects that Odinsa has. Four of the projects are right now in the evaluation phase. For the four projects, the grantor, ANI for three of them and ICCU for one of them, already hired that third-party entity that is working on the feasibility study that was presented. Let me speak about more of this. For two road IPs, the respective evaluators for these projects have spoken saying that feasibility studies that were presented comply with the norm. Because of this, the two road projects, what we would be missing now is the terms of agreement, with ANI in Centro and ICCU for Perimetral de la Sabana, and then we could go into this abbreviated selection process. Speaking about the airports that your question was focused on, they're still on the evaluation phase. This means that Odinsa, as the originator of this project, is interacting constantly with the evaluators of both projects. It's not the same evaluator. One is the evaluator for the airport in Bogotá, and the other one's the evaluator for the Cartagena Airport. These are simultaneous processes that we're working on the evaluation phase. The expectation is that the evaluation, and that's why we are expecting an announcement from those two evaluators saying that those two feasibility studies comply. We're expecting this happening this year, mainly at the end of the year. As a conclusion, for the end of 2026, Odinsa's expectation is the four private initiatives will be viable, and the only thing that we will be missing is the terms of agreement and with the grantor, and then we could launch the project so someone could get the assignation of those projects. Okay. Thank you, Pablo Jarek. Let's give the word to Felipe Aristizábal, so he can speak about the impact on property tax. Thank you, Gabriel Perez, for your question. Let me tell you that at a separate level, Grupo Argos recognized a payment of COP 1 billion due to property tax. All those bills were well paid. The agreement, and based on the guidelines that were approved, was recognized in ORI, without recognizing the profitability of the period or the revenue of the period. Likewise, for the payment, we used balances that we had in our favor based on concepts and guidelines that were given by the taxation authority. The impact was COP 8 billion, and total for the group was COP 78.6 billion, where Celsia with respect to- If we concentrated the largest parts of this amount, Celsia recognized a payment of approximately COP 40 billion, and Cementos Argos for COP 24 billion, with the same treatment in another comprehensive result, and likewise compensation of variable balances wherever it corresponded. Thank you. Now we have Simon Ordoñez from Valores BanColombia. Hello, everyone. You follow? Yes, Simon, the floor is yours. Thank you. Thank you for the presentation, and congratulations to the new team. I have a question related also with this portfolio, and it is more focused towards the water vertical. We have seen important advancements in terms of the development of the Mexico platform. What else can you tell us about new markets or advancements that have happened in new countries for the initial strategies that was originally presented? It could be what was mentioned in Peru or in Chile. Thank you. Well, thank you, Simon. The water vertical is of our highest interest, not just for Odinsa, but also for Grupo Argos. It is a vertical that we find very interesting from different points of view. Between those, geographic diversification as one of the important emphasis that we will be focused on in the upcoming months with the U.S. business in terms of raw materials, but also with the geographical footprint that opens the water opportunity with the purchase of TICSA from Odinsa. The business has not yet been closed. We are expecting to close the business at the end of this quarter and beginning of the upcoming quarter. Before continuing with this expansion in the water business, what we are expecting, first of all, is that Odinsa close in order to build over that first platform. Countries of interest, we have Mexico, Chile, and Peru. As we say, we are first expecting to crystallize that close that is close to be done. Well, thank you. Perfect. Thank you very much. Katherine Ortiz from Corredores Asociados. Good morning. Testing one, two, three. You follow? Yes, Katherine, we do follow. First of all, as others have said, I want to congratulate the new team, and let me extend a warm welcoming and best wishes for these upcoming years for Grupo Argos, and I hope that you can achieve all those goals that you will be probably sharing with us during the path. I have two questions. First, for now that the shareholder assemblies have come to an end, both for Celsia and Cementos Argos, if you could give us a guide of how can the cash flow behave, so separate cash flow for Grupo Argos would behave during this year, and if you have any expectations that during the year, maybe dividends might be given out or additional repurchases as the ones we have seen in Grupo Argos and in Celsia. That is the first question I have. The second question is focused, I know that you've said that strategy for Cementos Argos will be shared in the upcoming days a bit more in detail, but I would like to know if maybe you could speak a bit more about this. Furthermore, understanding which are the milestones that you're expecting in order for this operation to become a reality, separate the Latin American business from the United States business. Furthermore, understanding a bit more the expectation in terms of cash management that Cementos Argos has, if this cash will be dedicated or will be less in the U.S. operation side. I know that there's an investment process, both organic and inorganic investments, but if you could maybe give us a bit more information about this, a bit more about the transaction, maybe. Well, thank you, Katherine, about your questions. In terms of cash flow, Felipe will get that question. Katherine, good morning. Let me give you the vision of the cash flow situation of the company. Let me start about speaking about the initial cash flow situation. Right now, we have a cash flow stock of COP 500 billion. In terms of the dividends that have been established by the portfolio companies, we expect receiving through the year COP 700 billion via dividends from our companies. In addition, due to the extraordinary purchase that Celsia carried out a couple of weeks ago, we received close to COP 82 billion based on the participation of this specific distribution. Likewise, our dividends or the ones that we stated for this year, so the ones that will be paying Grupo Argos are close to COP 140 billion, which gives us a positive balance of COP 140 billion. In addition, we expect receiving important resources due to the business operation, more specifically in the business development business. From a net cash flow point of view, we expect generating for Grupo Argos between COP 75 billion and COP 90 billion this year. From a service point of view, in terms of the debt, we are expecting that the net financial expenses for the year will be close to COP 140 billion. Let's say that in terms of the aggregate values, we see a situation where the company accounts with the cash stock, with enough cash generation in order to cover its operations. Anyway, as Juan Esteban mentioned previously, we're working on specific measures that will allow to reach a higher efficiency in terms of cash management, a higher efficiency in terms of business operations. The idea is to keep on strengthening the cash position of the company and the cash generation for the businesses. In terms of additional dividends, we are not forecasting Grupo Argos carrying out extraordinary dividend. As we said yesterday, as part of the repurchase, it was actually approved in our previous shareholder assembly, we approved a repurchase program for COP 500 billion that will be executed in the upcoming years. We do expect through that repurchase channel, proceed with distributions to our shareholders every time that we have the complete conviction that the fundamental value of the company exceeds extensively the market value that we have today, that's under COP 15,000. We see that the fundamental value is significantly higher to that number. In that measure, we do use and we are convinced that the capital repurchase is one of the capital allocation exercises that can be of the most efficient results. In terms of your second question, the strategy in terms of the separation of companies within Grupo Argos, let me speak about initially of the Grupo strategy. There is a conviction and a consensus that the most interesting opportunity that we have right now within our portfolio is reentering the U.S. market through construction materials. The majority of the available cash for Cementos Argos right now will be dedicated to take advantage of this extraordinary opportunity that not just Cementos has, but Grupo has, reconstructing an important position in the American market. Under that train of thought is that Grupo Argos announced USD 400 million for Argos Materials. That is basically what we require for the first organic growth phase with the addition of aggregates into the United States. What milestones are we expecting to comply this year that were actually shared during the Cementos call? First is reaching a supply chain from Dominican Republic from second semester this year. Even though we have done two testing shipments to Tampa and Houston, what we want from the company is to have a periodic delivery of aggregates towards the United States market. There is another important milestone that has to do with the operational improvement of the quarry that we purchased. It was a sand quarry, and it has been turned into a rock and aggregate quarry. Second, has to do with land purchase from those very important discussions that we have for limestones and also professional experts from us, but to the American market. Besides this, what we are expecting also is to have activities in terms of bolt-ons and acquisitions in the market in order to increase the traction of Argos Materials within its portfolio, where we have a complete conviction that that separation will allow us to carry out all the movements required in terms of value generation, both for Argos Materials as well as Argos Latam. We are very glad with the advancements that we have achieved to the moment. This is what we could share right now, and thank you for your question. Thank you. Question from Santiago Villanueva from Corredores. Santiago, do you follow? Hello. Do you follow? Yes, Santiago, we hear loud and clear. Hello, Juan Esteban, Felipe, Carolina. Thank you for taking my question. Before asking the question, completely agree with Felipe’s comments, sharing more information about platforms in order to enrich the asset analysis that we carry out. All that information is more than welcome. My question is a bit aligned with what Katherine was mentioning. I do not know if you could maybe share with us some type of guidance or a kind of results of process or revenues that you are seeing as consolidated for this year. Thank you, Santiago. Let me give the word to Felipe. Yes, Santiago, effectively, we are working in building reports, a bit more comprehensive reports about the performance of the businesses due to the way we are recognizing the revenues and profits in terms of our balances. Sometimes it is not completely clear what adjacent performance are. We will keep on working on deepening and improving in the way that we share this information to the market further to be a better understanding of terms of the performance of our assets. We do expect in the upcoming months to keep sharing and optimizing this level of information that we share. In relation with the guidance, we are also working on a framework, a material guidance framework, not just at a business level, but also at a consolidated level we can share with the market and express what are we expecting in terms of operational and financial results. We expect that possibly in the next quarterly call, we can share in a clear and transparent manner a cross-cutting guidance framework in terms of results, capital and leveraging. Perfect. Thank you. We do not have any additional questions, Juan Esteban Calle. This would be the close of our Q&A session. If there are no more questions, we want to thank you once again for being part of this quarterly call. We want to thank you for the trust you have in the company, and we expect you all in the second quarter call. Good day for you all.