Climate Change Data

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• The company's ability to generate sufficient income to ensure its viability depends on mortgage financing from the public and private sectors.
• Company operations depend on its ability to obtain financing.
• Future downturns in the Mexican or global economy could negatively affect demand for the Company's products and operating results.
• The Company's business requires capital investments, and extreme changes in capital requirements could affect its financial position.
• The Company's profitability could be negatively affected as a result of inaccurate cost estimation.
• Part of the Company's business is conducted in the north of the country, which exposes the Company to the risks related to that region.
• Due to the financing cycles of some mortgage lenders, the Company experiences variations in its quarterly results.
• The Company may not find suitable land reserves at reasonable prices for its future housing development projects.
• Competition from other housing developers could adversely affect the Company's market position in the housing industry.
• Regulations on construction and land use, and environmental legislation could adversely affect the business, financial position, or operating results of the Company.
• The Company's ability to accumulate and deduct accumulated tax losses could be limited in the future.
• An increase in the number of claims made under the construction warranties granted by the Company could negatively affect it.
• Increased costs and scarcity of construction materials or labor could adversely affect the Company's results.
• The loss of key Company officials could disrupt the Company's operations.
• Malfunction of the Company's information technology platform systems could have an adverse effect on the Company's operations.
• A substantial part of the Company's business is subcontracted, which exposes it to risks related to the subcontractors' business.
• The Company's debt level could affect its financial position.
• The Company may require significant amounts of cash. The Company's ability to generate cash depends on many factors, and in recent periods the Company has generated negative cash flow.
• Urbi is a holding company and depends on cash flows from its subsidiaries to finance its operations, meet its debt service obligations, and, if applicable, pay dividends.

Mitigation Strategies

• The company has managed its liquidity through a series of initiatives that have allowed it to reduce its operating costs and expenses, as well as financing transactions and asset sales.
• The company developed a viable business plan aligned with the new conditions of the industry, which was the basis for its financial restructuring plan.
• The company obtained approval of the bankruptcy agreements of Urbi and 15 of its subsidiaries, ending the bankruptcy proceedings and establishing the ways, terms, and conditions under which the recognized credits will be paid.
• The company received a capital contribution of $886.8 million to make its business plan viable, concluding its restructuring.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: NIC 34