MESSAGE FROM THE
CHIEF EXECUTIVE OFFICER
2-22
Dear stakeholders:
We are pleased to present our fifth annual report and the second under the Integrated Reporting (IR) framework. Reflecting not only our financial results, but also our commitment to long-term value creation for all our stakeholders, integrating economic, social and environmental aspects.
During fiscal 2024, we continue to make steady progress on our strategy to deliver unique experiences to our visitors. The transformation of our tenant mix, with a greater focus on entertainment and recreation, has been fundamental to strengthening the attractiveness of our Plaza Sendero shopping centers. This effort has translated into a 2% increase in the annual visitor traffic, who have enjoyed an extensive variety of dining, shopping, and entertainment options. In addition, special events such as Children’s Day, Mother’s Day and Father’s Day celebrations have strengthened our connection with our communities and have contributed to a longer stay in our commercial spaces.
One of the highlights of the year was the opening of Plaza Sendero Ensenada in April 2024. This project, located in Ensenada, Baja California, was received with great enthusiasm by the community and our visitors. Which began operations with a high percentage of
occupancy, thanks to the confidence of our commercial partners in the project, and with less than 8 months of operation reached 98% occupancy, so this square was positioned as an important catalyst for the performance obtained in 2024, thanks to the effort and dedication of our team and commercial partners. This achievement not only reflects our ability to execution, but also the confidence that our tenants and visitors have in us.
This contributed to total 2024 revenues of MXN 1,646 million, representing a growth of +15% YoY, also driven by a higher occupancy rate and a higher average rent. This growth is even more relevant if we consider the security challenges that arose, during the second half of the year, in most of the regions where our portfolio is located.
NOI and EBITDA also showed double-digit increases, reaching MXN 1,432 million (+13% YoY) and MXN 1,177 million (+15% YoY), respectively, with an expansion in margins that reflects our operating efficiency and the profitability of our investments. Net income reached MXN 1,709 million, up 86% compared to 2023.
In terms of ESG, 2024 was a year of significant progress, as we promoted environmental awareness initiatives aimed at the operating and administrative personnel of our Plaza Sendero shopping centers, covering topics such as water conservation, energy efficiency and waste management. These trainings were given both in person and virtually in the 18 shopping centers of the portfolio, reaching security, cleaning, parking, maintenance and administration personnel, as well as tenants, promoting better environmental practices throughout our operation.
With regard to the social aspect, we continue to support our communities with initiatives such as the delivery of economic support to our employees for the purchase of school supplies for their children. We also contribute to the personal and professional growth of our employees through initiatives such as “Learning Paths”, an online training program that strengthens our employees’ skills. In the area of gender equity, we launched the “WIN” (Working Women In Action) program, designed to empower female talent within our organization.
On the governance side, we concluded our participation in the Global Compact’s Human Rights accelerator program, which has allowed us to identify and mitigate potential risks in this area. We also reinforced our efforts to promote a culture of safety within our organization. For this reason, we held our first “Cybersecurity Week”, where through workshops, training and practical simulations, we made our employees aware of their fundamental role as the first line of defense against possible cyberattacks.
We firmly believe that safety begins with each of us and that a protected company is a sustainable company. Another relevant fact was that during 2024 we distributed two dividends, for MXN 250 million each, which, in addition to comparing favorably with the MXN 125 million we distributed in 2023, is a clear reflection of our commitment to generate shared value.
The year 2025 looks favorable, with expectations of lower interest rates and more controlled inflation. These conditions will not only reduce our financial costs, but will also stimulate consumption and thus contribute to economic dynamism. In this context, we will continue to strengthen our offer of unique experiences and optimize our operations to maximize the capitalization of these trends.
However, aware of the challenges that may arise from the current geopolitical environment, we will continue to monitor developments closely.
I am deeply grateful to our employees, who are a fundamental pillar within our organizational culture and for the continuous strengthening of our Company. I have no doubt that their discipline, effort and commitment were key to successfully overcome the challenges we faced throughout 2024, including those related to the offers received by the Company, given that from a financial and liquidity standpoint they do not reasonably converge with the value that the Company generates and has the potential to generate.
To conclude, we are convinced that by maintaining the operating and financial discipline that has characterized us, we will be able to generate greater operating efficiencies and continue to improve our financial position, mainly by reducing our debt. This, together with our constant analysis of alternatives to strengthen our portfolio, will undoubtedly allow us to further boost the Company’s profitability, thus honoring the trust that our investors, employees and other stakeholders have placed in us.
Jesús A. Acosta Castellanos
Chief Executive Officer
MESSAGE FROM THE CHIEF
OPERATING AND LEGAL OFFICER
2-22
Dear Stakeholders:
It is an honor to present our Integrated Annual Report 2024, a document that reflects Acosta Verde’s ongoing commitment to creating value for our visitors, tenants, investors and the community at large. This year we have made progress in consolidating our leadership in the shopping mall sector, reinforcing our presence in the north of the country and strengthening our entertainment and leisure offerings for Mexican families.
We are convinced that in order to achieve this we must be sustainable and resilient in nature, which is why in recent years we have made significant efforts to implement the best international and global practices, reinforcing our management strategy for the six capitals: financial, industrial, intellectual, human, social and relational, and natural; ensuring that our operations are not only profitable, but also environmentally and socially responsible.
We are firmly committed to advancing in the fulfillment of the objectives we have set out in our sustainability strategy or ESG Strategy.
During 2024, our environmental priorities focused on the efficient use of water resources in our assets, for which we made economic investments for the implementation of new technologies to reduce water consumption in the common areas of the Plaza Sendero shopping centers.
In the social area, this year we continued to generate synergies with different organizations in the communities where we operate, to benefit our visitors through initiatives with various objectives,
including those related to health and employment promotion. We also create programs that promote gender equity and the personal and professional development of women within our company.
In terms of governance, information security, respect for the human rights of all our stakeholders, best practices and corporate governance bodies, and, above all, ethics in our operations, continue to receive our constant attention and efforts.
Looking ahead, our efforts in 2025 will continue to be focused on consolidating the value offering that sets us apart.
I would like to acknowledge the efforts and dedication of our team, whose talent and commitment have been fundamental to achieving these results. I also thank our tenants, investors and strategic partners for their trust and collaboration. I am convinced that, with the same passion and determination that have characterized our more than 50 years of history, Acosta Verde will continue to grow and generate value for all of our stakeholders. I invite you to read this report and to join us in our vision of positioning the Plaza Sendero brand as a benchmark of satisfaction and quality.
Sincerely,