Renta 4: 4Q23 results have met our revenue forecasts and have outperformed in the rest of the main P&L items, although they were in line with consensus forecasts. Revenues €10,338 million (+9% vs 4Q22), gross margin 53.8% (+1 pp vs 4Q22), operating expenses €3,120 million (+8.4% vs 4Q22) growing in line with revenues, EBITDA €2,421 million (+14% vs 4Q22), EBIT €1,617 million (+20% vs 4Q22) and net profit €1,279 million (+24% vs 4Q22) with tax rate 21.5%.
Net cash declined to €11,406 million (-€75 million vs. Q3’23) after paying the second tranche of the dividend, although it increased by €1,336 million vs. Q4’22 and represents 9.3% of its market capitalisation.
Shop and online sales at constant exchange rates between 1 February and 11 March were +11% higher than in the same period of 2023. In terms of outlook, they expect shop space (gross) growth of +5% between 2024/26e and a capex 2024e of €1.8 billion, including €900 million to expand logistics capacity. In 2025 they will also invest a further €900m in the same concept.
We welcome the announcement regarding the 2024e dividend, which will be €1.54/share (DPS 3.84%), at the high end of consensus forecasts and in line with our forecast of €1.52. The dividend includes an extraordinary component of €0.50/share, in line with our forecast. The dividend includes an extraordinary component of €0.50/share, in line with our forecast.
