ISA 3Q 2020 Net Income Jumps 19% Year-on-Year

Medellin-based multinational electric-power transmission, highway concessionaire and telecom infrastructure giant ISA announced November 5 that third quarter (3Q) net income rose 19% year-on-year, to COP$483 billion (US$128 million).

Operating revenues for the latest quarter jumped 21% year-on-year, to COP$2.4 trillion (US$638 million).

Earnings before interest, taxes, depreciation and amortization (EBITDA) rose 18.8%, to COP$1.5 trillion (US$399 million), while EBITDA margin hit 61.9%, according to the company.

“ISA’s extraordinary results, obtained amidst the pandemic, were possible not only due to the resiliency of its business but also due to a financial strategy based on the efficient management of [corporate overhead] expenses, as well as the profitability of its operations,” according to the company.

During the latest quarter, new investments in construction projects totaled COP$3.5 trillion (US$930 million).

Corporate debt/EBITDA and net debt/EBITDA indicators closed at 3.8-x and 3.1-x, respectively, “which are adequate levels to maintain the current credit rating,” according to ISA.

For the nine months of January through September 2020, net income rose 17.9%, to COP$1.4 trillion (US$372 million), while net margin reached 19.8%.

Operating revenues for nine months 2020 totaled COP$7.1 trillion (US$1.89 billion), up 21.3% year-on-year. Nine-months 2020 EBITDA rose 19.4%, to COP$4.7 trillion (US$1.25 billion), while EBITDA margin came-in at 65.1%, according to the company.

In the latest quarter, operating revenues rose mainly thanks to start-up of energy transmission and substation projects in Brazil, Colombia and Peru, as well as an increase in construction revenues from road concessions mainly in Peru, Brazil, and Chile, the company added.