Ferrovial's Strategic Asset Rotation Drives Record Financials and Shareholder Value

Ferrovial, the Spanish infrastructure giant, concluded its 2025 Shareholders’ Meeting with a resounding display of financial strength, strategic discipline, and shareholder focus. The event followed a landmark 2024, during which the company executed a bold asset rotation strategy, delivered record financial results, and reaffirmed its position as a leader in sustainable infrastructure development. For investors, the meeting underscored Ferrovial’s ability to balance growth, profitability, and environmental stewardship—a recipe for long-term value creation.

Financial Triumphs: Growth Through Strategic Divestments and Investments

Ferrovial’s 2024 performance was nothing short of exceptional. The company reported an adjusted EBITDA of €1.3 billion, a 38.9% year-over-year increase in like-for-like terms, driven by strong operational execution and asset sales. Revenue rose to €9.1 billion (+6.7%), while net profit soared to €3.2 billion, fueled by proceeds from strategic divestments.

The cornerstone of this success was Ferrovial’s asset rotation strategy: selling mature assets to reinvest in high-growth projects. Key transactions included:
- Selling a 19.75% stake in Heathrow Airport for €2 billion, unlocking value from one of its most mature investments.
- Disposing of a 5% stake in IRB Infrastructure Developers for €211 million.
- Securing agreements to sell a 50% stake in AGS Airports, further diversifying its portfolio.

These proceeds were reinvested into transformative projects. Ferrovial allocated €710 million to acquire a 24% stake in IRB Infrastructure Trust (India’s highways division) and €469 million to advance the New Terminal One (NTO) at JFK Airport, a project nearing 60% completion by year-end.

Shareholder Returns: A Balancing Act of Dividends and Growth

Ferrovial’s shareholders were rewarded handsomely. In 2024, the company distributed €831 million through dividends and buybacks, including €271 million from a 2023 buyback program. Looking ahead, Ferrovial plans to distribute €570 million in 2025, with an additional €500 million buyback authorization providing flexibility for future capital management.

Investors also benefited from strong stock performance. Ferrovial’s shares closed 2024 at €40.60, a 23% annual gain, outpacing the IBEX 35 index (14.8% rise) and the Nasdaq (28.6% rise). The total shareholder return for the period reached 25.7%, a testament to market confidence in Ferrovial’s strategy.

Strategic Priorities: North America as the Growth Engine

Ferrovial’s future hinges on its North American operations, which delivered standout results in 2024:
- Highways division: Managed lanes in the U.S. reported revenue growth that outpaced inflation, with all North American assets distributing dividends.
- Construction division: Achieved a record order book and an adjusted EBIT margin of 3.9%, exceeding annual targets.
- Airports division: The JFK NTO project secured 16 airline agreements, including 10 confirmed contracts, positioning the terminal as a linchpin for New York’s aviation future.

CEO Ignacio Madridejos emphasized that North America remains the “key driver” of Ferrovial’s growth, with the company transitioning from its Horizon 24 strategy to a new framework prioritizing sustainable, high-margin investments.

Sustainability Leadership: A 23-Year Commitment to ESG Excellence

Ferrovial’s sustainability credentials are unmatched in its sector. The company was named Europe’s most sustainable company and ranked second globally in construction & engineering by the Dow Jones Best in Class Indices for the 23rd consecutive year.

In 2024, Ferrovial strengthened its climate targets, aligning with the 1.5°C pathway under the Science Based Target initiative (SBTi). Goals include cutting direct emissions by 42% and indirect emissions by 25% by 2030. These commitments align with global ESG trends, making Ferrovial an attractive option for investors prioritizing environmental accountability.

Governance: Strong Leadership and Stakeholder Alignment

The Shareholders’ Meeting reaffirmed Ferrovial’s governance strength. Key outcomes included:
- Board reappointments: Longtime leaders like Rafael del Pino (Chairman) and Óscar Fanjul (Vice-Chairman) were re-elected, maintaining institutional continuity.
- Climate Strategy Report: Approved with 96.28% support, reflecting shareholder alignment with Ferrovial’s sustainability goals.
- Remuneration policies: A new Directors’ Remuneration Policy passed with 95.21% approval, signaling confidence in executive compensation structures.

Conclusion: A Compelling Investment Case

Ferrovial’s 2024 performance and strategic vision paint a compelling picture for investors. With a €28.63 billion market cap, €1.3 billion adjusted EBITDA, and a 25.7% total shareholder return, the company has demonstrated its ability to generate value through disciplined asset management and geographic focus.

The JFK NTO project—60% complete and backed by airline commitments—offers near-term visibility, while Ferrovial’s investments in India’s highways and U.S. infrastructure promise long-term growth. Meanwhile, its 23-year streak of sustainability leadership and aggressive climate targets align with global investor priorities, reducing ESG-related risks.

Ferrovial’s €570 million dividend and buyback plan for 2025 further underscores its shareholder-friendly approach. While macroeconomic headwinds could test margins, the company’s diversified portfolio, strong balance sheet, and track record of executing complex projects position it to navigate challenges.

For investors seeking exposure to infrastructure with a blend of growth, sustainability, and reliable returns, Ferrovial’s combination of financial strength and strategic clarity makes it a standout opportunity in 2025 and beyond.