General Shareholders’ Meeting
Board of Directors
Operadora de Sites Mexicanos, S.A.B. de C.V.

In accordance with article 44 section XI of the Mexican Securities Market Act, in correlation with article 172 of the General Business Corporations Law, and in our capacity as members of the Executive Committee of Operadora de Sites Mexicanos, S.A.B. de C.V. (the “Company” or “Opsimex”), we are pleased to present this report on the Company’s operations during the fiscal year ended December 31, 2023.

Economic Overview 2023

In 2023, the global economy experienced a GDP growth of 3.1%. The United States maintained a stable economy despite high-interest rates, achieving full employment and sustained consumption. Furthermore, China showed a strong recovery, growing from 3.0% in 2022 to 5.2% in 2023, aided by government fiscal stimuli. Specifically, the United States recorded a 2.5% growth during the same period, driven by a 4.2% increase in durable goods consumption and a 2.3% increase in services, offsetting a 10.6% decline in residential investment due to rising interest rates.

The Mexican economy expanded by 3.2% in 2023, with the construction sector leading this growth with a 15.5% increase, thanks to infrastructure projects and investments from nearshoring. Private consumption maintained an upward trend, evidenced by a 4.0% growth in commerce, driven by a 6.3% increase in the average real wage of workers insured by the Mexican Social Security Institute (IMSS) and a record high in remittances, which reached $63.28 billion dollars.

The Mexican peso closed the year at $16.97 per dollar, appreciating by 13.0%, fluctuating between a high of $19.54 at the beginning of the year and a low of $16.62 in July 2023. This appreciation is mainly attributed to the real interest rate differential between Mexico and the United States, as well as positive net flows in the payments’ balance, driven by remittances and foreign direct investment.

The Bank of Mexico raised the benchmark interest rate twice in 2023, from 10.50% to 11.25%, while the U.S. Federal Reserve increased it from 4.50% to 5.50%.

Globally, the year was marked by a normalization of inflation after the significant impact of the Russia-Ukraine conflict in 2022, which had increased food and energy prices. Mexico closed with an inflation rate of 4.7%, decreasing from 7.8% in 2022, with core inflation at 5.1% and non-core inflation at 3.4%. The United States ended with an inflation rate of 3.4%, down from 6.5% the previous year, with inflationary pressures mainly in the services sector at 5.3%.

For the first time, according to the U.S. Census Bureau, Mexico became the main exporter to the United States, with exports valued at $475.6 billion dollars in 2023, surpassing China and Canada.

Nevertheless, Mexico recorded a trade deficit of $5.46 billion dollars, with an oil deficit of $18.54 billion dollars not fully offset by a non-oil surplus of $13.07 billion dollars; automotive exports stood out with a 14.3% increase during the year.

The country's public finances remained stable, with public debt as a percentage of GDP closing the year at 46.8%, a primary deficit of 0.1%, and public sector financial requirements of -4.3%. For 2024, the Ministry of Finance and Public Credit anticipates a primary deficit of 1.2% and a fiscal deficit of 5.4%.

Mexico faces a historic opportunity to attract unprecedented investment and advance towards development, driven by its strategic geographical position, international trade dynamics, and the quality and capacity of its workforce. These elements position it as an attractive center for manufacturing and services for companies seeking to optimize their logistics chains and reduce costs without compromising quality.

Investment as a percentage of GDP reached 24.4% in 2023, marking one of the highest levels in the country. If we can achieve an investment of 28 to 30% of GDP in the coming years, the country's economy could grow by 5 to 6% per year.

Report on Opsimex’s Operational and Financial Results

Below, we present some comments on the outstanding figures shown in the Company’s financial statements at the close of the 2023 fiscal year, which are attached to this report, including the opinion issued by the External Auditor.

Opsimex began 2023 with a portfolio of 21,702 sites generating revenue. During the year, 1,395 sites were added to revenues, of which 1,123 were built during the year, 82 were acquired by Opsimex, and 190 by the Opsimex Trust 4594 ("FSites"), closing the year with a consolidated portfolio of 23,097 towers, of which 8,391 are directly in Opsimex, 14,396 are owned by FSites, and 310 are owned by Telesites Costa Rica.

During this year, 241 new co-location contracts were added to revenues, resulting in a consolidated tenancy ratio of 1.266 operators per tower at the end of 2023.

The Company recorded total revenues of 11.8 billion pesos, implying an annual growth of 11.5% compared to the previous year, mainly due to the increase in sites and new co-locations registered during the year. EBITDA closed at 11.3 billion pesos and increased by 11.8% compared to 2022, with an EBITDA margin of 95.8% at the end of 2023.

Capital investments made by Opsimex during 2023 amounted to 2.7 billion pesos, including 0.9 billion corresponding to the acquisition of 272 towers by Fsites and Opsimex.

On April 28, 2023, Opsimex Shareholders’ Meeting approved the distribution of a dividend of 1.6 billion pesos, which was paid on May 30, 2023.

Opsimex continues to focus on generating stable growth, based on the constant expansion of its clients’ networks and the construction of telecommunications towers that this entails. The FSites portfolio grew from 13,122 towers generating revenue at the end of 2022 to 14,396 at the end of 2023.

In 2023, the Company, along with its subsidiaries, once again demonstrated its characteristic resilience, taking advantage of growth opportunities both organically and inorganically. It has operated efficiently and stably, with healthy finances and robust planning. Our future perspective of continuing to exploit the growth potential and optimizing the use of the company’s resources remains strong.

We reiterate our commitment to our employees, customers, and suppliers to continue operating in adherence to the highest standards of quality and service.

To the company’s shareholders: Thank you for staying with us and for your trust. On behalf of the Operadora de Sites Mexicanos, S.A.B. de C.V. team, we reaffirm our commitment to perfecting the execution of the Company's activities.