Prosegur Compania De Seguridad SA (STU:PRHA) Q4 2025 Earnings Call Highlights: Strong Net ...

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• Net Income:Increased by 54% year-on-year.

• Sales Growth:Total sales increased by 0.5%, reaching EUR4.9 billion.

• Organic Growth:Achieved 10% organic growth, offset by FX effects.

• EBITDA:Reached EUR357 million, an 8.9% increase year-on-year.

• Security Business EBITDA:EUR19 million, a 10.7% increase compared to 2024.

• Cash Business EBITDA Margin:Remained at 12%.

• Operating Cash Flow:EUR87 million generated by the security business.

• Net Debt:Stands at 2.4 times EBITDA.

• Dividend Proposal:EUR190 million for 2026.

• Cash Business Organic Growth:5% year-on-year.

• Security Business Sales:EUR2.6 billion with over 12% organic growth.

• Alarm Business Client Base Growth:10.7% year-on-year increase.

• Recurring Cash Flow from Alarm Business:EUR81 million, a 14% increase year-on-year.

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Release Date: February 27, 2026

For the complete transcript of the earnings call, please refer to the full earnings call transcript .

Positive Points

• Prosegur Compania De Seguridad SA ( STU:PRHA ) achieved a 54% increase in consolidated net income, showcasing strong business performance and efficient management.

• The security business emerged as the main growth engine, with significant penetration in the USA and solid performance across Europe.

• EBITDA increased by 8.9% year-on-year, driven by healthy growth in the security business and effective cost management.

• The alarm business showed enhanced operational performance, with double-digit client base growth and improved financial indicators.

• A proposed EUR190 million dividend for 2026 reinforces the company's commitment to delivering shareholder value.

Negative Points

• The macroeconomic situation in Argentina negatively impacted the gas business, with currency depreciation and restrictive monetary policy affecting performance.

• The cash business experienced a 5% decrease in EBITDA, influenced by extraordinary expenses and macroeconomic challenges in Latin America.

• Operating cash flow saw a EUR26 million reduction, partly due to EUR15 million in extraordinary severance payments.

• Net debt remains above initial projections, impacted by currency depreciation in Latin America and a decline in the value of Telefonica shares.

• The alarm business faced challenges in Argentina, with economic pressures affecting churn behavior and acquisition costs rising due to strategic investments.

Q & A Highlights

Q: Can you explain the positive contribution of EUR20 million in EBITDA overheads and how it was allocated across divisions? Also, how is the macroeconomic situation in Argentina affecting margins, and what is the outlook for the alarm business's EBITDA? A: The positive contribution in EBITDA overheads is mainly due to higher royalties from trademarks, resulting in an EUR8.5 million increase. However, this is offset by additional provisions and costs, such as bonuses, totaling around EUR3 million. Regarding Argentina, the macroeconomic situation, including currency depreciation and inflation, has impacted efficiencies by EUR15 million. The improvement in Argentina is expected to be gradual. For the alarm business, the difference in EBITDA is due to the hyperinflation effect in Argentina, impacting asset valuation.