CORPORATE PRESENTATION We are the largest developer in terms of - PowerPoint PPT Presentation

CORPORATE PRESENTATION

We are the largest developer in terms of units sold and we have a business model focused on cash flow generation and ROIC maximization Company overview Presence in 7 attractive markets across Mexico ◼ Headquarted in Monterrey, México Attended markets represent Nuevo León more than 53.7% of ◼ Largest homebuilder and leader supplier of Infonavit loans in INFONAVIT loans (1) Mexico in terms of units sold. ◼ Specializes in the construction and commercialization of Tamaulipas affordable entry- level (“AEL”), middle -income and residential housing. Aguascalientes ◼ Efficient and flexible business model aimed to constantly match product with shifting local market needs, preferences and expected demand. Jalisco Quintana Roo ◼ Focus on ROIC maximization and Free Cash Flow generation Querétaro through an efficient working capital cycle. State of Mexico Flexibility to adapt to market changes – Key performance driver Corporate structure with renowned institutional shareholders (Number of units sold Southern Glisco Arzentia 18,962 Cross Group Partners Capital 18,750 18,565 18,525 18,352 17,388 26.8% 7.1% 5.7% 1,339 1,427 2,035 875 2,168 684 Promotora de Proyectos del Administrative Free Float Proyectos Noreste (2) Trust 8,785 Inmobiliarios Turín 8,132 11,508 25.1% 1.3% 39.6% 34.1% 11,714 15,147 14,776 Servicios Corporativos Javer, S.A.B. de C.V. 8,865 8,572 (HoldCo) 5,630 4,470 2,476 1,939 99.9% 8 Subsidiaries 2013 2014 2015 2016 2017 2018 (Financial services, administrative services, real AEL MI RES estate holdings / sales & marketing, urbanization and construction services) 2 Source: Company public filings. According to Infonavit’s report “ Créditos por Oferente ” based on loans grated for new housing as of Dic 31, 2018. (1) Owned by Mr. Salomon Marcuschamer, Javer’s founder. (2)

Javer has a successful track record of operational and financial milestones 2015 2013 ◼ #1 Supplier of ◼ Reopening of Senior Notes for 2011 Infonavit (1) US$50 millions with due to ◼ Senior Notes Offer at 9.875% 2021 with expiration in 2021 ◼ In June, it becomes the #1 ◼ Reopening of Senior Notes for supplier of Infonavit loans US$30 millions with due to 2021 ◼ Started operations in Querétaro 2019 2009 ◼ Acquisition of 60% of the company by different investment funds ◼ Senior Notes Offer for US $180 2018 millon at 13% due to 2014 2016 ◼ #1 provider of ◼ IPO for Ps$1,800 millons homes for 2003 ◼ Repurchase of US$136 Infonavit loans ◼ Started operations in millions of Senior Notes in 2018 (1) Aguascalientes, Jalisco y ◼ Residencial Project in 2012 Tamaulipas Mexico City ◼ Started operations in ◼ #1 supplier of Infonavit State of Mexico loans (1) ◼ Started operations 2010 in Monterrey, ◼ Reopening of Senior Notes 2017 México for US $30 millions with due 2014 ◼ Record of units and active 2008 to 2014 ◼ Started operations in developments ◼ Syndicated loan for US $160 Quintana Roo ◼ Certification “ Best Place to million to improve the capital 1973 #1 supplier of Infonavit Work ” in Mexico ◼ 2000 structure and growth of the loans (1) #1 provider of Infonavit (1) ◼ Started the construction of company ◼ AEL projects in Monterrey loans Home Sales ◼ Collapse of the big three and ◼ Bankruptcy of ◼ Exponential growth due to unattended demand in ◼ Financial Crisis transformation of the industry Sofoles and Sofomes the last decades 18,750 18,962 18,525 18,565 18,352 17,533 17,388 16,026 16,063 16,339 13,910 9,193 6,417 5,003 3,551 2,497 1,497 1,159 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 3 (1) According to the Infonavit report: Credits formalized by offeror

Our business model allows us to have an efficient management of working capital On average 4 months (depending on the location it could last 1 year) Permits Acquisition Urbanization Advertising Geographic Post-Sale of land Planning and and Sales Selection services reserves Construction strategy Land identification in Land trust agreement year 3 of the actual Define prototypes, Price Customer service to with the owners of the Price according to the project development strategies and expected Urbanization: 6 months make the guarantee valid properties or direct amount of mortgage cycle absorption in case requested. acquisition of the land Occasionally, we offer Development structure: Analysis of current special agreements to main avenues, Know customer demand, location and Construction: 3 months customers, such as free commercial lots, satisfaction. segment appliances, furniture or residential sectors discounts Only the sections that we Post sale service: Evaluation of gross are going to develop are Workers make monthly margin, ROIC, IRR urbanized and we link the payments . beginning of housing Periods from 6 to 24 Legal opinion construction with sales months. Flexibility to build AEL or middle income housing on This strategy allows us to manage our Short construction periods is the key land plot between 90 – 98m 2 investment portfolio, by balancing outflows for having flexibility to build different derived from exhaustion of current prototypes developments and the entries of new projects. Managing working capital during the process is essential for ensuring the generation of positive FCF, gowth and maximize returns. 4

We currently have more than 60 developments operating 5

COMPETITIVE ADVANTAGES

Javer's strategy to create value for its shareholders Objectives Pre-Tax ROIC Units Sold (Number of units sold) Improve the capital structure to take 17,388 18,525 18,565 18,352 18,750 18,962 advantage of growth opportunities 23.9% 24.0% 23.9% 23.5% 23.1% 19.4% Maintain a healthy working capital cycle Maximize the generation of Free Cash Flow and performance for shareholders 2013 2014 2015 2016 2017 2018 2013 2014 2015 2016 2017 2018 Scenario 1: Increase in Demand and Sales Scenario 2: Stable Demand and Sales Formation of new homes dividend payments Dividend Deficit + growth payment reduction Deficit reduction Efficient Formation Increase in capital of new mortgages structure homes Greater availability of credits Javer will balance the mix between growth and dividends to maximize value for its shareholders 7

The Company's business model is focused in FCF generation and ROIC through efficient management of the working capital cycle Working capital cycle (Days) 394 370 336 321 316 317 311 312 308 310 307 288 292 277 283 283 273 268 259 266 249 243 234 222 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 Pre-Tax ROIC LTM 27% 27% 25% 25% 25% 24% 24% 24% 24% 24% 24% 23% 24% 23% 23% 22% 22% 21% 21% 20% 19% 17% 14% 14% 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 Free Cas Flow (thousands of pesos) 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 EBITDA $207 $224 $218 $271 $140 $218 $212 $386 $170 $336 $276 $279 (+)Land Included in COGS 174 172 153 266 150 91 139 197 162 185 155 191 (+/-)Changes in Working Capital (53) 114 (95) (219) 193 286 51 (54) (85) 91 (52) (305) (-)Cash Interest (79) (64) (63) (62) (59) (145) (102) (101) (101) (104) (117) (118) (-)Cash Taxes (1) (1) (4) (13) (36) (227) (40) (36) (46) (50) (46) (44) (-)Equipment CapEx 0 (3) (3) (4) 1 (10) (9) (2) (4) (7) 5 (3) CFO 249 441 206 238 388 212 250 390 97 452 219 (0) (-) Land CapEx (176) (193) (143) (95) (212) (202) (220) (135) (215) (252) (308) (256) FCF $73 $249 $63 $143 $177 $9 $30 $255 ($118) $200 ($89) ($256) 8

We have achieved organic growth in volume and in the main financial indicators being the developer with the shortest CT cycle in the industry Total Revenues and Units Sold EBITDA and EBITDA Margin (Ps. Millions and number of units sold) (Ps. Millions) $8,321 $1,062 $7,563 $956 $7,052 $938 $920 $904 $6,459 $6,057 $795 $5,421 18,962 18,750 18,352 18,565 14.9% 17,388 18,525 14.7% 14.5% 13.0% 12.8% 12.6% 2013 2014 2015 2016 2017 2018 2013 2014 2015 2016 2017 2018 EBITDA EBITDA Margin Shortest Working Capital Cycle in the industry (1) Free Cash Flow (Days) (Ps. Millions) 528 471 1,117 1,027 326 953 884 230 850 807 769 668 630 804 66 554 501 500 614 663 501 434 405 2013 2014 2015 2016 2017 2018 321 311 310 283 268 249 -263 2013 2014 2015 2016 2017 2018 Javer Cadu Vinte Ara Source: Public documents of the Company. 9 Working Capital Cycle calculated as account receivable days + inventory days (work in progress and land reserves) – account payable days – customer advances (1)