Medellin’s ‘Plaza Mayor’ Convention Center 1H 2019 Revenues, Profits Jump Year-on-Year
Medellin’s city-owned “Plaza Mayor” convention center reported August 21 that its first-half (1H) 2019 revenues soared 43% year-on-year, to COP$13 billion (US$3.8 million).
Earnings before interest, taxes, depreciation and amortization (EBITDA) rose to COP$3.7 billion (US$1.09 million), compared to an EBITDA net loss of COP$3 billion (US$884,000) in 2015, according to Plaza Mayor.
Expenses likewise were cut by 28% below budget this year, to COP$4.45 billion (US$1.3 million), “responding to a plan of austerity and prioritization raised to guarantee the sustainability” of Plaza Mayor, according to the organization.
As a result, net income came-in at a positive COP$1.2 billion (US$354,000) for 1H 2019, compared to a 1H 2018 net loss of COP$1.5 billion (US$442,000), according to the organization.
“Thanks to articulated work with allies, customers and suppliers, Plaza Mayor continues to consolidate itself as a responsible, solid and sustainable company,” according to the organization.
On a related front, BRC Investor Services S.A. securities qualification company recently issued a “BBB +” rating with a positive outlook for Plaza Mayor, due to “the best financial performance and the highest profitability in recent years, as well as strengthening of our market position, which reflects the increase in occupancy rates in our facilities,” according to Plaza Mayor.
Earlier this year, the Comptroller General of Medellín issued a favorable fiscal and financial evaluation report on Plaza Mayor for full-year 2018.
The Comptroller’s evaluation “highlighted aspects such as management control with 99.9% compliance, including timely and quality delivery [of financial reports], regulatory compliance in accounting, budgetary matters, tax regulations and effective compliance with the actions of the improvement plan for previous audits,” according to Plaza Mayor.
So far this year, Plaza Mayor has hosted several major events including the 49th General Assembly of the Organization of American States, the WCS World Cities Summit, Colombiatex and the Latin America Label Summit.
More recently, Plaza Mayor hosted Colombiamoda and the 75th ANDI Assembly (Colombia’s biggest business-industrial trade association), and is now preparing to receive more events including the Hass World Avocado Congress, the Fourth International Conference of UNESCO Learning Cities and the Summit Orange Economy conference, according to the organization.