Company Estimates (Guidance 2009)
| Indicator | Estimate |
| Revenues Improvement | 8% to 10% Nominal. |
| EBITDA margin | 23.0% to 24% |
Company Estimates (Guidance 2010)
| Indicator | Estimate |
| Revenues Improvement | 12% to 14% Nominal. |
| EBITDA margin | 21.0% to 22.0% |
2009 Outlook
We foresee further market opportunities for Homex in a housing market that continues to show solid growth for the future years. The Company has an adequate product mix; diversified sources of financing for its clients and a geographic diversification nation-wide that will help Homex to keep gaining market share in 2008.The recent outlook provided by INFONAVIT, which estimates an approximately 33% increase in the total value for its 2008 mortgage program compared to 2007 and 3.2% increase from its previous 2008 base scenario, as well as the positive expectations on mortgage allocation from commercial banks, provides an excellent opportunity for Homex and further certainty to the housing market overall.
These favorable housing market conditions are supported by an economic outlook that continues to be positive in terms of inflation rate, lower foreign exchange fluctuations and stable interest rate.
Demand will be mainly driven by our potential clients increasing number and purchasing power. Formal employment in urban cities is expected to grow 5.3% in 2008, equivalent to 789 thousand new jobs. According to OECD and The Bank of Mexico, unemployment is expected to be approximately 3.7% and GDP is expected to grow 3.4% during the year.
A diversity of mortgage products and initiatives, like the subsidy program designed to attend workers earning less than 4 times the minimum wage salary, will further consolidate in 2008, providing a stronger demand for the segment where Homex has a leading position. The Federal Government and its mortgage agencies, INFONAVIT, FOVISSSTE and SHF as well as commercial banks relying on the launch of new and innovative products to target both affordable-entry and middle-income markets will also play an important role increasing housing opportunities and improvimg the quality of life of Mexican families.
Gerardo de Nicolas, Homex’s Chief Executive Officer.
Last Update on January 07, 2010
