Auna (AUNA) 20 Nov 242024 Q3 Earnings call transcript

Good morning, and welcome to Auna's Third Quarter 2024 Earnings Conference Call. My name is Rob, and I will be the operator for today's call. [Operator Instructions] And please note that this call is being recorded. [Operator Instructions] Now I'd like to turn the call over to Anna Maria Mora, Head of Investor Relations. Ma'am, please go ahead.

operator. you, Thank welcome third and conference to call Hello, results. to our quarter review everyone, Auna's Please is that during note there this the to call. discussion accompany a webcast presentation

to of If a team. contact the our Relations Investor presentation, Auna's you Investor Relations copy please need or website go

on local Colombia that note currency regards Mexico and so terms we discuss basis note and will be variances, with Please year-over-year we in unless otherwise. we doing when a FX-neutral or to

to Slide X. move Let's

to remind will like participants Before that today we would begin, comments all include our we statements. forward-looking

these unaudited addition press to certain superior results In of operating understand as mutual are the financial should International with not provided ensure measures that earnings Financial financial measures and of should or financial Standards, our isolation reporting to only. metrics, supplemental discuss or and in financial information to will metrics release substitute Investors operating in they measures yesterday foreign for IFRS be metrics exchange read calculations. Non-IFRS accordance included them. we including and Reporting and in carefully measures non-IFRS considered definitions

discussion not we include, the the are constitute are Before are remarks, differ, that to note today's may factors performance but of including to, be assumptions also certain forward-looking made could a materially number company's acquired. and businesses beliefs to to that the control. results and uncertainties our These subject during actual current of course cause statements please statements expectations which integration beyond we related limited expectations management's based the which on that and begin may and risks of and

our refer the Commission Securities U.S. and Form filing a F-X and of release. our For to press these please Exchange description risks, earnings with

Lorenzo and X, initiatives. financial Gisele and segment our please. the the Capital Executive President for Aruna's will will and consolidated on Remy, quarter Financial President; Chairman will and Zamora, we Executive updates They Vice and that, On and provide Officer President; your our of Suso Strategy third Massart, growth Executive for open Equity and operating Slide Chief Markets. have discuss our After strategic Vice we call, results various questions. today's call our

ahead. go please Suso,

all for results you, Auna Ana, for joining following our you call and thank and today. Thank

health consistent In strength percentage Auna's integrated our to potential adjusted strong on growing earnings past platform power strategy. The Peru, The quarter business and business earnings our EBITDA our in our as and robustness adjusted evident course, of of highs. points. growth EBITDA record horizontally we this continue and Mexico and again an regional and In Peru, advantages of vertically expanding fully well, rose performance of FX-neutral planned scale with X.X and there XX% our investments. margin the increasing at basis was third operating again maturity of and when harvest integrated care demonstrates model and the to

We are replicating market. in care far health more private underpenetrated a larger success and the Mexico,

that recent [indiscernible] witnessed in yet changed keenly is mode. operating collections. There, teams a been and, a more on in we more in stronger have regulator profitable, Our services. is physicians Colombia, and our progress of growing implementing improve results. continues along show Productivity a high encouraging as focused the growing particular, intervention on the AunaWay collaboration the stable have have still relationship there to interventions now mix with among complexity In

this of quarter. impacted is our clear outstanding a This our all to excellence our in long market health Colombia on our the and scale is to in report timely this reflect Further, and emphasize integral we care payments cash risk in the payers pay flow provisions We Colombia over increased with assessment, advantages continue bullish we Notwithstanding course positive. increased of growth there to willingness strong profitability. and cycle to practices, receivables. medium cash medical to remain to term. ensure remains

our EBITDA Mexico. Lastly, the since growing slide, below drove consecutive the Xx since time XXXX. first this for our we our acquisition It leverage in in quarter is leverage that acquisition debt lowered on the eighth

a to an platform FX-neutral efficiency On increase respectively. Let's top to Peru, Slide X.X PEN our to XX% and operating our review growth, XX% consolidated the of to combined the an XX% OCA. led benefit and increased profit line X with with by revenues billion increasing holdback when acquisition of move a related quarter, million to for grew results. of regional which operating Mexico year-over-year drove onetime and XXX PEN reversal That excluding our synergies, basis, XX%,

percentage the average care health XX%. During across points occupancy quarter, X.X our services to increased

increased we capacity radiology, more in than high a X% about cardiology saw Peru, and health is such complexity our arise care care also memberships as regard to our nearly [indiscernible] At little to fully services to XXX,XXX oncology policyholders. utilization plans business, our urology. plans integrated Importantly, grew memberships million, X% which over in with while just health X.X

Lastly, decreased from point quarter, X healthy the remaining our MLR oncology level. last a to at percentage XX.X%

Revenue quarter, local Slide currency, the implementation validating at Mexico XX% services accelerated of the increasing XX%. Mexico in also health in Adjusted increasing in X, please. care to accelerated, AunaWay. Turning in EBITDA the third

the in despite increased achieved on you just we under continue margin this that As making investments health at implement in adjusted percentage the see side Monterrey. can to facilities Mexico's X.X the care to in our of right EBITDA slide, points AunaWay We XX%. chart the

surely quarterly complexity the year. adjusted by in high total on continues increases still Top which a line of growth since driven EBITDA mix and a of slowly operating basis beginning capacity, and improving related services the and were increasing but

have existing was to which our recruiting. as continues well we physicians been rise contributor among as productivity, those Another

progress in the these standards, skills, importantly, implementing operating most reflect patient results which protocols, of and, our significant improved engagement All physician improvements in AunaWay, related medical care.

this is scales seen investment mature reminder, and Peru. nicely as we've more with a that in predictably As an our business

Peru. experience oncological delivering of in XX leveraging our years integrated to OncoMexico, in services regard With we are

will our health into integrated As a network. be care insurance, reminder, fully first services this oncology will be which Mexico's

it multiple of market leading the in in has up times We in a in the disruptive OncoMexico phase and era size remains expect initially initial be to in country and its to XXXX, product, an a Monterrey, subsequently the in XXXX segment BXB segment. launch a early the insurance addressable new representing monoline pilot which Peru. BXC in

OncoMexico's testing underwriting continue capabilities product. for commercial, and a addition function out risk building We clinical robust and the to marketing sales in

and increases platform, Peru, In higher growth The as margin revenue with ticket, in well of mature our planned complexity care as towards reallocating memberships specialties among please. across expanded strong our EBITDA in achieving XX% efficiencies market implementing health X.X continued resulting networks' average to X, effectively the health higher and also result across transition this and Slide by the EBITDA as from was driven Adjusted nearly grew network. facilities, XX%, of XX.X%. optimizing regional increased and a most maturing operations. profitability care adjusted higher while their hospitals percentage pricing points increased the component along and and efficiencies in occupancy service by the strategically care synergies flows strategy network

a to This XX%. current moderated with mix in hospitalization with services business healthy cautious X.X with cash Slide accompanied taken percentage flow, growth to the local increase Let's beds however, underlying was with there increased approach in XX% Colombia remains The by toward Consistent have our offer of X. terms. emergency emphasis revenue points availability efficiencies with circumstances operating the maintaining in while the payers. currency surge an surgery strong, we to accommodate and an driven due the implemented improving on move mainly revenue to our occupancy to in care moderate facilities given chemotherapy,

payments adjusted see for losses. XX.X%. points this the [indiscernible] margin which EBITDA have decreased that you to XX% less Because X.X at right the This of increased in been impairment in while percentage predictable, resulted the decrease from slide, have impacting we again, provision

would more have EBITDA them XX%. Excluding have generating management the intervention, But margin changes productive uncertainty. we team of had and a part would dialogue [indiscernible] XX% the been provision, regulators the regularly. increased have in some as with adjusted

monitor overall are vigilant closely. While with we continue remain situation to the the them conversations and encouraging,

mind therefore, is resolution segment. reached. situation the payers a become of strategic be still It Auna. believe model, financial for requisite our To market transitory We key has to a with in private is and Keep this ours. and by outlook is will we The is health regulator Colombia to that the keen companies like compliant, again ratios. business expect mindful see changed remains and long-term this, in bulk be the for care medium- provided of clear, to Colombia our not

I'll Please, a review Gisele. will quarter who Gisele, the our now call to more financials. third detailed turn of over provide

you, Thank Good Suso. everyone. morning,

the for our overview Slide our with Let's XX. on continue financials an consolidated of with quarter, revenue beginning consolidated

in AunaWay fully line with grew revenue by consolidated basis, replicate XX% this drove Mexico Peru. the and top where also model. in gained mature traction FX-neutral during this market, an business our our the as led success to quarter we growth endeavor On key XX% year-to-date, integrated growth

still As Suso digits. in we low have it in grew noted calibrated although his Colombia, double growth remarks,

build margin you investments growth, EBITDA grew particularly with FX-neutral in XX% while at capabilities our improved operational we regional to turn on been just quarter's quarter an efficiencies both the increase and XX%. is Mexico. percentage top Auna's XX% it making revenue growth from mix. drove Mexico's have an coupled EBITDA over XXXX as our benefited platform, levels to adjusted increased adjusted The third Let's of consolidated Slide basis, EBITDA versus XX. the line across to points when Adjusted local X.X a impressive consider in year-over-year

quarter this and increasing and XXXX, as primarily memberships. X.X near services bridge, the increased the on this operational planned mix, from of shown right of slide. EBITDA the top consolidated quarter margin the to third well XX.X%, growing adjusted center percentage was This as a bridge as reflects profitable in EBITDA efficiencies Moving points Peru's synergies more of the

while back in in have quarter, operating protect to explained, remained dialing in strong we performance growth flow. begun As the cash order Colombia third

XX PEN additional an provisions for million recorded in also the We losses impairment quarter. of

EBITDA an PEN Excluding growth consolidated would a XX% million, FX-neutral XX.X% XX with this margin. been have adjusted impairment,

Let's now move on please. to Slide XX,

was adjusted was third It positive. third consecutive quarter. in the our For million quarter, income the XX PEN net

reversal excluding million, of shown related the versus acquisition benefited the this comparable the up to a slide, our profit of obligation When operating from left holdback OCA the year. XX as income still our was on of period PEN As million the PEN Mexico. XX of operating near reversal result this last profit in extraordinary of an bridge

and foreign million. PEN The to Income reduced a relative the peso, items taxes bridge. versus million adjustments from of million positive tax to Mexican exchange Mexico benefited profits negatively. year last the of XX benefit of our adjustment our PEN Peru, the higher and PEN which in also gain due which of finance middle costs by increased lower the near impacts credits due to net were the third extraordinary sol quarter XX and XX the related PEN shown gain Peruvian to XX primarily holdback appreciation quarter mostly noncash adjustments was and the in The the million

a XX based quarter PEN diluted the for PEN million was on the basic number a Finally, adjusted X.XX per shares. of share and basis net average of income on weighted

now Slide to Let's turn XX, please.

cash position have PEN we basis, solid the XXX the million quarter. end XXX at Our third million of pretax flow. PEN year-to-date generated operating was cash a in a On

resulting and million, bridge the last As operating same to first lower million the months Income up PEN year. is net the XXX XXX credits, PEN of due the during of increase profits rose X-month a period versus on of shown near paid versus XXXX. activities tax this the cash XX% taxes from the period X% to left slide, in increased in X

XX our clinics million CapEx the for of XXX PEN PEN to related CapEx X of the of we as as investing in well XXXX, regional The the XXX that in invested up and infrastructure, red equipment was months for SAP medical the our mainly quarter year-over-year. in to million purchases million of our ] earn-out XX% of you across activities, bridge implementation see investment maintenance During hospitals third an Onco of related platform. have reported and [ flows were OCA Medica the related to obligation Monterrey. Other uses the holdback in cash in to in the additional acquisition payments PEN cash corresponding occurred the that million acquisition EMA in XX obligation PEN the previously

XXX and cash As the of the we cash obligations, free impact XXX part of year this the excluding during of free holdback cash bridge, when months million of the and of million. organic upper first indicated flow the PEN PEN earnout flow amortization the of X generated flow in total the

to Please Slide move XX. on

Xx that towards debt his trajectory. our our of than less This consecutive reaching to and adjusted net falling well are our indicates on below given the quarter, Suso a net eighth adjusted quarter Xx target very milestone, with Auna's EBITDA way we improving to ratio Getting of also important below EBITDA achieving debt as solid medium-term mentioned was growth X.Xx. crossed in remarks, leverage. threshold we EBITDA This that

couple are alternatives to our growth executing and To to in credit subject adequately million and our and includes respect which notes XXXX $XXX debt close end refinancing had Regarding of pursuing credit stub in strategy. remaining With of increase to we facilities, of conditions $XX different summarize the remain to a at slide, healthy, these the is million our Auna's to from approximately the credit the a quarter, quarter. bonds, we facilities, this expect third maturity refinance in continue term. leverage the previous Auna funded profile revolving market near still lines the

our financial few before the closing I'll call now review hand who questions. the back That has concludes we a remarks for call results. Suso, my of your open to

and summarize maintained Thank our maturity scale. power you, Gisele. operating To it's business and our outperformance, demonstrating Peru the its at of when further outlook, performance model earnings

Mexico's EBITDA a record high. to also increased

driving continue market. massive in and to this growth underpenetrated expect highly We

implement services Monterrey, expect we AunaWay high fastest-growing improve we at which additional performance health the the to our complexity of Mexico, current country's As attract has in productivity to our we accelerate increase there to of in mix continue care doctor the physician one facility economies. and as talent,

regional medical to achieve patient Auna Colombia with scale practices. strategically excellent excellent important remains with through to outcomes and regard operating

payers future, are foreseeable we cycle maintaining focused to situation on working a with capital until positive the returns the normal. For

of Peru. the the in very have We're OncoMexico, we replicate with growth excited potential about to success intending OncoSalud long-term had

capabilities launch. building its a looking pilot in and we're successful OncoMexico We phase, forward continue current testing and to

and is and about model. And and Latin health continue integrated progress care fragmented we in our demand we inefficient regional that and scaling are horizontally with value-based make just business the only will our and Spanish-speaking region, investing Looking also which care substantial. started we vertically remain the ahead, excited platform is significant to America, to penetrating health private with to access patient Accordingly, which expand innovate, health in getting care integrated to minds. Auna to proven we care centricity always largely for in modernize and continue in foremost

please Operator, call for concludes questions. open That our the remarks.

Mauricio The of first [Operator Instructions] Cepeda from question comes Morgan Stanley.

questions. We have two

see flow, a in ] it's all, that about is payable. of Colombia, but accounts of First specifically of capital, accounts impact there in see also I terms I this cash working financing coming receivables. imagine from lot to [ I only

So about presumably, you're talking suppliers. I would think

So first compensate limit question. suppliers of up is impacts expansion from continue? it do more be end you payables? they capital the the kind my reached Or than financing impacted, may has this in be, increasing cash long the to it working think how would for This so flow receivables, much from the because question may Colombia,

the had you now this of that should Or a understand ] saw it's I and Colombia. number and kind you, the practice a run about we of good [ them? future? provisioning you're one, accounts. accounts that rate? we in that that recalculating think the But Or we from about should quarter, are now doubtful in for catch-up previously, second this probabilities -- just the receiving And of a consider course, how

two questions. relevant Very Mauricio. you, Thank

Let I'll and me frame to then the response ask on Gisele Colombia, complement.

of suppliers like about market managing a talk market and of significant in the some ourselves sense the or balancing capital. Colombia, changes also is to with financing receivables been the I in payables. before services Peruvian It all, account in working that and of players First goods accounts Colombian have way there and general, no we're characteristic

something has not changed will and in months. dramatically last would I it's say that, the that So Gisele complement.

Colombia But lot guys And know. we openly these, the of But I a to because from Really visit. already It week, whole spent respond just of I course, wanted more a promising are a week I you anyway, back in player productive, very Colombia. and there. very came takeaways, large this a interesting. was

we more complexity I'd very of are provider not In payers are are to as to city and Colombia. service cancer undeniably Colombia. traditional attractive in we products but operate, services player say are relevant provider the like most high operate, of the very and We very we needed, a in more only where we where of risk-sharing intimate of -- in in a a we course, are cities services, provider product. with in that

see consideration Colombia. of I of lot players X with And the X a biggest in

we the And we're This them payers, represent group needed. of Now represent and like also of need players system, X and care are with health in course, these XX% of them. of intimate these [ me times. intervene relationships certain team operate and a these them ], dependency. of the gives again normality. These a stressful we mutual this have And and level level of comfort --

] from Nueva and compared to month to volatile years. payments month when [ been Now seen past have more

stance, do indicative not loss. are But receivables of accounts a to conservative these these I receivables. provision think So

be I scenario to much see think more there. Columbia more and December a in -- back expect promising I'll in

to of the that is has with make any share risk. repeat capital attractive the want monitor that transitory. that more moderating and a to to a by we're And to this we and, that sure see provision or any public working And I our our a they also insurance continue update. our companies, level with course, will signs, But be us. payers, the conservative we cycle markets not to they think accounts we, taking higher intervene strip course, And to increasing be growth is or receivables, Colombia comes respect Colombia public, absolutely all private by we receivables I paid approach or attractive a to reflect I growth a from will encouraging accounts intervene. be situation of are from

I to Gisele, you say on don't know, if complement do want you this?

Yes. Thank Suso. you,

On simply covered accounts very with most of we end, what liquidity, add, payable the I points. we're seeing case see I first think effect netting Colombia the would as in market. and what consistent you my in of the accounts the receivable point of mentioned, is Suso in of on that the

relationship market them, have an entire the kind dialogue is And and this and suppliers also add open would very way with of the a with mentioned, strategic I moving. We we reflected is confirming credit for that we in utilize obviously, are which also products, factoring access also to accounts have abundant and these days. as those and we and facilities payable our

loss Colombia. percentage us to are we entities, which provisioning expected I And Obviously, from receivable was clear. that in a bit of little reflection as which now we the perspective, conservative This based our is a basically of will Colombia. accounts just And the very far leading a in intervened the methodology, think an reflecting receivable. case And that of expectation it's be accounts the on we're of Suso case the very paid. constructive provision our not get in not case on specifically is model, is mere as is more of higher

Your comes from next Moscardini question the line Santander. Caio from of

First will to to are Or quarters? in the confident pure the Monterrey? are you leverage, take estate optionalities sell is are level few the related cash you What deleverage second [indiscernible] What question regarding be the you able achieve some order with do in that to guidance. EBITDA over confident could you And growth deleverage that you you to order the right? want real the will next guidance? in that you is like have Can How faster? adjusted assets generation question faster? that

hear and good you. Thank you, Caio, to

anything to to help the and or start I So complement, me -- course. framing with of with respect forget that response I'll Gisele, again,

we to our our numbers, and be not EBITDA FX-neutral. with our expect respect are we current So changing growth to in XX% guidance guidance,

not indicated they're -- current should happens [ Our expected. with view But and numbers. business reaching our our course, And that and it is prevent business sales performing as of Colombia don't previously, are view control Nueva what our us healthy I as ]. from we in

overperforming year. Colombia contribution. EBITDA Peru of this remains been the smallest has portion our

element As as growth guided, nicely trended our we key of is growing our Mexico and again, have guidance, the well.

to Gisele, would guidance. I can you as going have say well? you So with how any to we're do answer comment delever also continue on

Caio, Great. the for Thanks, Yes. question.

us guys quarter, Xx As the deleveraging as this growth. come track EBITDA results, very of in so to very end solid reaching this on target dropping term, the saw, year, a medium that well And the we far of as below has XXXX. X.Xx. function reach XXXX goes, This we have we right, you Xx, as think beginning obviously, deleveraging towards of know, positions as

in half second payments. of see will the free organic this we flow year However, cash covers that interest

we EBITDA through trend surplus, reduce this through into And will next year, sets going us but to see only a where begin cash debt will very to growth a permit amortization. debt, positive which not also

of, very confident deleveraging. that both cycle -- any dispose analyze obviously time. our cash on due And to continue be well may to we us on conversion operating as So we're also growth that side, will EBITDA cash there and able of assets in as will that permit conscious we very

comes next BTG of line Samuel Pactual. from question from Alves Your the

hear me? you Can

Yes.

Ian Pactual here. have here on It's our BTG two side. questions I from

a do the more short you in color you expect wanted The could just us if short give bit stem from bit on of in short Mexico, X it If is health from care term? first dynamics. these more what to or Mexico plans you growth to midterm focused [indiscernible] mix understand, the on of what about a up? expect ramp-up results mix to term. in pricing more ramp rates, better procedures, the of come occupancy a do and the should So I

units. or the improve results as unit QX's the levels. expect understand profitability is I if question levels this space should that regarding second if you recurring, also improved at Peru. running we [indiscernible] to OpEx profitability higher in and to We current And in wanted MLRs And see in are business

two these ask to want just So questions.

you. Thank

in you I can think it's [ I Samuel the because hear beginning. ], right,

with So Mexico. respect to

-- our excellence practice at I've of Colombia of What been horizontal vertical horizontal countries' is integration, I the with I formula is want has are proof very medical and vertical and to the scale. done don't Colombia strategies? quickly, of as integration the first Peru the concept. scale all, that Who repeat mean, me, future, the in towards moving winning and private integration. in past. well. insurance of is in Let something growth

question, field Mexico that a And to is large planted Mexico, needs be harvested. the and

are We currently it. planting

have We physician groups. the

We have the hospitals.

We have the gradually we have of in insurance rolling capabilities. the is a built out businesses deliberately. we and yet way. commercial arm have how our We're formidable all deliberate This this gradual care and of patient

Mexico, in Now in particular.

Let two Mexico. themes me in go the major on

respect with of Mexico, strategy So physicians physician our recruiting. results the our recruitment to reflect of success in in

like We coming That with complexity to us. procedures. led with work high is already call which practice. almost. quarter-to-quarter. we it's model see That's average harvesting us in, performance increase in example, complexity trend. And respect almost XXXX. in productivity recruiting procedures, starting loyalty we incentivize us, boosted was drivers, their the I'll we physician in a continue is with two also surgeries, program join high management, X% Simultaneously, very doctors efforts. to market. third in and, I That's some the quarter The we by something you in in can primarily discussions bit. driven surgery is explain Growth X,XXX physicians here what strategies, the to our course, sales have resonate that as to also programs has strategy. That's for numbers revenue, in -- hey, the oncology addition saw, and to private going then give X,XXX That's very and launched to the quickly. surgical we're reached physician where I'll of wanting to our something how this growing interesting to in physicians you We'd of May your management

produced had and previous physicians month think we In in results. around resulted I this in they the first quarter has MXN program. production. the results. I significant that XX it something like in second the in very enrolled of -- And promising This program XX loyalty quarterly in discussed million XXXX,

generated Now doubled in we MXN than have XX the MXN they million. revenue. third additional million of XXX Physicians physicians almost We've quarter, almost more generate those double, in that.

harvesting seeding what have Monterrey. we in Currently, clear, very physicians rural and done again, and XXX we've So the in past.

it [ new bundles development, number. So the different and La previous to the like I significant to source we that those third services now. see a is XX end grown this And quarter you a from and new products, shares. a call volume can this additional selling last MXN also There -- third it that's sales to ], new that -- doctors something previous we of have what quarter. This from from in a the That's XX% And impacts million quarter XX in groups. part this quarter. of how million increase MXN MXN and has on can That's described parties million just then since bundles the of the went [indiscernible]. shifts related products It offering the deliver doctors doctor-like is of second away reliance the has big enrollment. private the which Liberte the And enrollment. in XX quarter

Of that also reaching acquisitions digital factors resulting already and from our pricing in in increased from contributing oncology. Physicians Well, we've are related higher that, and oncology are integration to for all cost there? these tools the of I consultations packages. bundled launched some conversion mean, surgeries course, surgery, improved rates. what new We've we've increased to very We're and volume. the us. position -- interesting to very giving horizontal interesting the in of out focused very that's services pathology. to on patients,

where in we'll general Mexico. see that's in Mexico what and we increases So volume see that's -- in in

MLR? you could was Gisele, Peru. second one, on question And the take that on

of Yes, course.

it well levels. profitability as think as was improvement I around MLR

network last As care we've in Peru EBITDA are which portion of in we XX%. this well we've the business. surpassed XX% above comfortable integrated quarters, margin are the these the -- we seen when as levels, health the And few quarter over with as consolidate the profitability

past quarter over one And business also of be is function some a which know, obviously between movements, seen, impact, we we've levels. we and margin to model. As remain another, intercompany our few and at attributable as have organic real though the been Peru MLR than there to our expect these in why that impacts may quarters right? MLR even EBITDA is to more continue

continue the well about both and see a impact utilization Peru to also mix as continue is for And as very base these We we in testament this the levels. member year that's very, complexity growing and opportunities optimistic hospitals. our scale. are at how and of why the potential our maturity high to the margin And at at next to obviously, works integrated growth model well

And no the are from lines. SPX phone no are more there questions There

So now turn Ana from call for Maria over proceed -- will questions platform. Mora the who I will webcast with to the

Thanks, operator.

regarding Azur are full proposed personnel question current price are The have questions from is Colombia. Colombian percentage ] expecting the regarding Clinica few cap your What need to when expectations rate have complexity I doctors from requirement, would for What time? and the of and the you a contracts? on nurses high occupancy finish in are What's ramp-up? to [indiscernible] for we first you [indiscernible]. Colombia? hire your these procedures temporary its With [

very And questions. is series relevant Great. this a of

a contract us, or shy independent last little a practices. be over our the contract payroll there they in have So have I today, of in Colombia, have with in been group or that's an relationship doctors some number contractual XX% the in the saw, they

XX% focus again with high in that we established so our than the doctors on. of relationship we have have already especially complexity practice us, more So an much

companies. and with doing been high now. the to that very have we for risk products are particularly services that, attractive insurance to on a oncology, decades done actually And addition we've it complexity, In sharing

products [ has be the always in us to Our most ] cancer. efficient scale provider these in allowed

to of reluctant don't is on a private [ what's small, are state system, some those making wanting in very I hospitals Colombia some than -- expensive clear in high see big is I world. going it's and of the lowest on of Colombians More price answer some I'm control variation to very to of to that and immediately Colombia. So the price has impact than the I Spanish caps I be was drug focus the that with cuts. the going large affecting a hear a Colombia, that anything, more the of happening give Remember, sure how country hospitals. unlike. the as replicate ] gaps. around lot price hospital. see And in drugs itself which that -- private. XX% is procuring the a price, see in the

we holding health current of or capacity the What hospitals. and company a we So ] Clizur]; a expectation. [ of ago. that nicely. -- [ It's to hospital, would acquisitions With is our our respect on of years couple up to city second [indiscernible] respect and countries, XX%. of holding Clizur it been Auna at ramping And in inaugurated But a running I health our build hospital is company do of Auna the not in not at care. remember, ecosystems with we're [indiscernible], is is then care, say to a we urban

of So [ health within Clizur [indiscernible] ] ecosystem operate care. the

more So that leave we and with which best. other focus is [indiscernible] in the medical procedures NPS to certain procedures efficient, other the and and [indiscernible] and resolution hospital, push is we

to out That's a we will of in if proposition what's in interesting proposition. from rolled interestingly, X approached complementary -- have the that higher which insurance policies double my for the payer, growing payers policies ] the week most maybe Colombia, very very co-branding size It's policies private with trend facility call very that being probably a large of X and prepaid to what Colombia. in [ policies see Colombia, private something special is the do at on Clizur high complexity higher volume, Now we a us could visit last attractive complexity. are

new from have policies require growth companies sure that that a those high deliver So can insurance rate cost containment. make the with services they to

lucky containment, counterparties we're very quite think have high I find And competent in especially in us complexity. that always cost to

anything we Clizur. opportunity So Gisele, complement? see else as growing Is forget you did there Colombia want that to in anything? a respect with I to

think I No, was that complete. very

HSBC. your Zamacona comes line phone And question Instructions] from [Operator Alejandro of from next the

questions our from Two side.

second one rollout or you have on for then the final but our plans early, And early in The it's of kind XXXX? Mexico. is first oncology question do expectations is any thoughts

that against expectations? it And is coming are your on how [indiscernible]? initial the any what's thoughts for far So performing

you Thank much, very Great. Alejandro.

call also to our risks process. in think to of So I'm of next a besides to the very have need budget I currently I we're sure quarterly at give going on the very for that, have. and guidance that middle think of the the what we delivering clear to idea make in don't guidance beginning committed it's we'll Colombia opportunities reluctant in be XXXX. XXXX we're year in But We different the because terms from and the growth. recognize we

think a I On couple things in a early that conference it so really pilot is I call are Mexico, interesting. at XXXX XXXX. being deployed, again in level in OncoMexico to and said I highlight, of the want

the segment. So in the testing segment allow that and the are to the variables price, [ subsequently other product we product, in ] BXB the and us initially the solution launch BXC levers and

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work Peru, This BXC what offering. Mexico. it to the want done in and we're confirming We're in I So is to in understand our have very we've build followers some what today it make but with of past component especially that all the that. time, we sure takes our excited well

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what is in, the main Mexico of traditional So in fits today. it really product insurance in

today's evaluation class people than that can middle Our Mexico the at indicates more significant of product, at in not least interest afford we XX% has it demographics. believe XX today's type population that million this of but the prices at the in

employers, a In potential, the in product expense the coverage of medical workers among collective to XX% the BXB active of sales to insurance. month terms We due traction it major have is large XX% BXB. gap see for example, Again, program. gaining the a

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We strategy. active brokers the corporates BXB with with and the with have on discussions side to retailers, today BXB respect

is a insight, again, pilot scale. this On BXC the

any only BXC their I that -- and segmentation today, could also own Mexico patients we on insurance. our expense have and from market ] BXB. has Because without of have social increase whose from it XX% lines themselves [ might will employees what What the the provide for coverage a on through But we offering today, medical of poor sold Slowly, policies characterized as of I that and very described big from by social BXC. increased engagement cover First, interest individuals in before, and policy payable. secretaries, women. We of we be major a insurance has of But there's seen insurance, channels the we Mexico's is dialogue medical reception a And the the this their said children. employees opportunity. before, lot no conclude, who and we working population on in security security. appointments there. a not see nice in with the has do high A waiting jobs surgeries. list nurses, lot that are covering insure

lot hospitals. as segment selling population. from lot the those a that So in workers, nice this A well our also of Remember, we're dialogue in interest with our are independent that growing doctors, of nutritionists. dentists, of reception

does certain find project those they it coverage. where are have to interesting. independent, also And they to so professionals. individual a And secure that's -- And they they need our insurance bias since

it's grow as these are I'd take gradual where populations. We're we product very well. think and that how we we landing into deliberate businesses, sort I of see gives of insight the we care conclude, some to landing. as like these but

further no At questions. this showing time, I'm

who So has back I'd to a the turn remarks. closing call Suso, to like few over

might very quarter, good Well, have thank you much, been you a as everybody. It's asked.

the the continue company. with out update as arrange the to we on and to or to to reach remain you with initiatives on keen do call. progress well you if our and this will in particular, various that. next We to Gisele, growth a to group Investor all like call Happy With Annie that in and Relations myself. shareholders please our meeting mind, investors our Lorenzo continue as In earnings meantime, meeting

enjoy the Thank the day, rest Have of and week. great everybody, a you.

call. This concludes conference today's

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