TRAXION Announces Fourth Quarter and Full Year 2020 Results

The figures presented in this report have been prepared in accordance with International Financial Reporting Standards (IFRS) and are expressed in nominal million Mexican Pesos (MXN), unless otherwise stated.

• Consolidated revenue totaled Ps. 4,061 million in the quarter, and Ps. 14,298 million in the year, an increase of 30.3% and 17.6%, respectively, compared to the same periods of 2019.
• Consolidated EBITDA totaled Ps. 784 million in the quarter and Ps. 3,018 million in the year, an increase of 21.8% and 18.0%, respectively.
• The EBITDA margin was 19.3% and 21.1% in the quarter and the year, respectively. 
• The total cost to revenue ratio was 71.6% in the quarter and 71.1% in the year.
• General expenses grew 17.6% in the quarter, and 7.8% in the year, mainly due the non-essential expense savings program as a result of the pandemic.
• Net cash flow from operating activities totaled Ps. 726 million and Ps. 2,363 million in the quarter and year, respectively.
• Net income reached Ps. 189 million in the quarter and Ps. 661 million in the year, an increase of 22.0% and 47.3%, respectively, compared to 2019.
• CapEx in 2020 was Ps. 891 million in the year, and Ps. 536 million in the quarter.
• Net debt reached Ps. 4,777 million at the end of 2020, a Ps. 410 million decrease compared to 2019, while the net-debt-to-EBITDA ratio was 1.60x, compared to 2.05x at the end of 2019.
• The average fleet in 2020 was 8,357 units^1. 
• In October 2020, TRAXIÓN joined the United Nations Global Compact.
• The company exceeded its 2020 guidance.

¹ [1] Includes last-mile fleet units consisting of 62 trucks, 440 light trucks, 43 cars and 148 motorcycles.

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Investor Relations Contact Details

Antonio Tejedo
Tel: +52 55 5046 7900 ext.3208
E-mail: a.tejedo@traxion.global  

Elba Salcedo
Tel: +52 55 5046 7900 ext. 3215
E-mail: e.salcedo@traxion.global

About the Company

TRAXION is the leading transportation and logistics company in Mexico. It offers a one-stop solution through the broadest and most diverse service portfolio in the country. TRAXION’s platform operates two main business segments: cargo & logistics, and personnel and student transportation. The Company has 8 highly recognized brands for their leadership in different niches of the sector. TRAXION was founded in 2011 and ended 4Q20 with an average fleet of 8,357 power units, 535,855 square meters (5.8 million sq. ft.) of warehousing space, national footprint, more than 1,000 clients, and more than 16,000 employees. TRAXION’s most important competitive advantages are having an experienced and committed management team, being the only consolidator in a highly fragmented industry, being the only institutional company in a sector dominated by family-owned companies, having a diversified, premium service portfolio, having strong and long-lasting relationships with clients and suppliers, and having first-mover advantage.

Cargo and Logistics

This segment provides solutions in cargo and logistics throughout the supply chain. Amongst the services rendered are dedicated freight, truckload, less-than-truckload, intermodal, refrigerated freight, petrochemicals and specialized transportation, border transfers, warehouse management, last-mile logistics solutions, moving and relocation services, packaging and courier services. TRAXION operates 7 leading and recognized brands: Transportadora EGOBA, Muebles y Mudanzas MYM, Grupo SID, Auto Express Frontera Norte, Autotransportes El Bisonte, TRAXION Logistics, and Redpack. The Company operates one of the youngest, most modern, and flexible fleets in the industry with an average age of 4.8 years and an average of 2,191 power units, including 693 last-mile fleet units, at the end of 2020.

Personnel and Student Transportation

This segment provides personnel transportation services to corporates, industrial parks, and hotels as well as student transportation to schools and colleges, and complementary tourism services for private groups. Through its subsidiary LIPU, TRAXION operates a centralized platform under dedicated and spot contracts and the largest and most modern fleet of buses in Mexico with an average of 5,473 power units at the end of 2020.

Disclaimer

The information disclosed in this press release may contain statements with estimates regarding the future of Grupo Traxión, S.A.B. of C.V. and its subsidiaries (collectively “Traxión” or the “Company”), which are not historical facts and represent the current opinion of the Traxión administration based on the information available to the Company. Such statements are subject to certain risks and factors made based on assumptions. The words “anticipated”, “believe”, “estimate”, “expect”, “plan”, and other similar expressions, related or not with the Company, seek to give estimates or forecasts. Different factors may cause the results implicit in the statements to be materially different with respect to any future result or event of, or related to, Traxión that may be included expressly or implicitly within said statements. Also, if the assumptions used in the statements turn out to be incorrect, the actual results may vary materially from those described herein as anticipated, believed, estimated or expected. Traxión assumes no obligation to update the statements or information presented within this release.