Gmr Airports Ltd · NSE:GMRAIRPORT
Gmr Airports — Jefferies 3rd India Forum (September 2024)
33 slides from Gmr Airports's conference presentation, September 2024
Slide 1: GMR Airports Limited
GMR Airports Limited (formerly GMR Airports Infrastructure Limited) Jefferies 3rd India Forum September 2024 1
Slide 2: Two decades experience of constructing and operating airports globally
Two decades experience of constructing and operating airports globally Existing Concessions Past Concessions 2022 Capabilities Asset Light Contracts 2019 Medan Airport ✓ EPC (Concession Won) 2016–17 ✓ Airport Operations Nagpur* and Bhogapuram Airports ✓ Non-Aero Expertise (Concession Won) 2014 ✓ Rea
Slide 3: Leading global airports platform with end-to-end capabilities across the airport value chain
Leading global airports platform with end-to-end capabilities across the airport value chain One of the largest airports platform #96 “Best Airport” in CY23 2nd Largest1 globally No. of airport assets In Asia Pacific catering 27%5 Largest in India under operations or to 40mn+ pax (DIAL) share of pas
Slide 4: Created Shareholder Value
Created Shareholder Value Creating a Pure Airport Play Market Rewarding GMR Airport’s Efforts ▪ Completed demerger of all non-airport businesses into a separate listed 260 entity in FY22 GMR Airports 240 Outperformance ▪ Completed Merger of the Airport Holding Company with the Listed Entity in Jul’2
Slide 5: Portfolio of World Class Assets
Portfolio of World Class Assets Faster ramp-up expected given old airports with existing traffic to be closed post COD of new airports DIAL GHIAL MOPA Medan Mactan Cebu Bidar Nagpur Bhogapuram Crete Airport / % GMR stake (64%8) (74%) (100%)6 (49%) (33.3%)5 (n/a%)1 (100%)2 (100%)6 (21.6%) Base city D
Slide 6: Corporate Structure Further Streamlined
Corporate Structure Further Streamlined Merger Completed % of paid-up share capital Pre-Merger Post-Merger GMR Promoters Public Groupe ADP GMR Promoters Public 33.8% 58.9% 41.1% 32.3% 33.9% GMR Airports Infrastructure Ltd (GIL) GMR Airports Ltd (formerly GMR Airports Infrastructure Ltd) Groupe ADP 5
Slide 7: Poised for Breakout Growth
Poised for Breakout Growth Present across most lucrative Asian markets – Organic growth visibility given expansion at 1 Long term airport concessions to capitalize on the 5 Delhi, Hyderabad and Goa completed – EBITDA to growth in aviation market improve Mature and predictable tariff regime for Aero
Slide 8: Macro Factors Favourable to GMR Airports
Macro Factors Favourable to GMR Airports In a Sweet Spot to Capture Value from the Indian Travel Boom India's population profile is expected to move towards consuming/spending groups by 2030 vs studying groups in 2020 Source: UN Economic and Social Commission for Asia and the Pacific Humility | Entr
Slide 9: Macro Factors (Cont'd)
Macro Factors (Cont’d) India's GDP per capita growth is outpacing other economies India's GDP per capita rank to see steady improvement 220 130 60 208 62 GDP Per Capita (Indexed to 2020=100) 200 135 64 64 137 66 180 140 68 168 160 160 70 151 145 72 72 147 140 74 150 150 76 120 78 155 80 100 2020 202
Slide 10: India, GMR Airport's core market, is at an inflection point
India, GMR Airport’s core market, is at an inflection point Offering massive potential for future growth China’s GDP per Capita crossed the US$2,500 mark in 2007 2000-2010 2010-2018 • China’s Domestic traffic grew rapidly between 2001-2010 China's domestic traffic CAGR ~15% ~10% • This was followed
Slide 11: Industry Demand Forecasts are Robust
Industry Demand Forecasts are Robust Trips by Indians India Travel Expenditure Travel Spending 2030 E US$150bn 2019 India to move 2019 5 bn from 6th Largest 2030 E 2.3 bn 9.6% CAGR US$410bn to 4th Largest 2019 2030 E Outbound 25% Outbound 35% US$150bn US$410bn Domestic Domestic 65% 75% Source: Eurom
Slide 12: GMR along with other stakeholders prepared to cater to this demand
GMR along with other stakeholders prepared to cater to this demand Airports in India to Triple in 2025 vs 2014 Aircraft Orders Set to Double Indian Fleet Size 700 ~1,400 Aircrafts Aircrafts 2025E 2022 220 2014 147 2023 2030E 74 GIL is also Ready to Serve the Expected Travel Boom TO TO FROM 100mn Exp
Slide 13: Our Assets
OUR ASSETS 13
Slide 14: Indira Gandhi International Airport (IGIA) – New Delhi
Indira Gandhi International Airport (IGIA) – New Delhi Gateway to India #1 Airport in India 1 DIAL – the largest and busiest airport in India – is emerging as a leading aviation hub in South Asia and acting as base for India’s two major Carriers – Indigo and Air India Concession period 30 + 30 Years
Slide 15: 10th Busiest Airport Globally in 2023
10th Busiest Airport Globally in 2023 Ranked #24 Most Connected Airports Globally 120 Top 10 Busiest Airports 100 80 • Moved up 7 ranks from 17th in 2019 Pax in mn to 10th in 2023 60 • Ranked #24 in 40 most connected airports globally – 20 The only Indian Airport in Top 25 0 ATL DXB DFE LHR HND DEN
Slide 16: Significant Improvement in all KPIs
Significant Improvement in all KPIs 2006 Key Parameters 2024 414 Average ATMs / Day ~1,209 44,500 Average Pax / Day ~201,500 (peak of 230,000) 16.2 Annual Pax Footfall [Mn] 73.7 96 Number of Destinations 150 ~4% Transfer Pax [as % of Total Pax] ~25% 54 Number of Airlines 67 38 Highest ATM in an Hour
Slide 17: Delhi Airport – Recent Expansion
Delhi Airport – Recent Expansion Impact in Numbers Post expansion the capacity increased from 66mn to 100mn Earlier Key Parameters - Terminal 1 Post Expansion Earlier Key Parameters Post Expansion Terminal 3 17 Capacity (MPPA) 40 34 Throughput (MPPA) 45 4 Check-In Islands 5 12 Baggage Reclaim Carous
Slide 18: Rajiv Gandhi International Airport - Hyderabad
Rajiv Gandhi International Airport - Hyderabad Hub Airport for South India High urban population coupled with strong economic growth Existing passenger capacity of 12 mn Concession period 60 Years Being increased to 34 mn 25.0 mn passenger traffic in FY2024 Remaining life 44 years Maximum capacity 8
Slide 19: Significant Improvement in all KPIs
Significant Improvement in all KPIs 2010 Key Parameters 2024 221 Average ATMs / Day 484 17,794 Average Pax / Day 67,887 6.5 Annual Pax Footfall [Mn] 25.0 46 Number of Destinations 87 N/A Transfer Pax [as % of Total Pax] ~27% 18 Number of Airlines 30 17 Highest ATM in an Hour 38 66,482 Cargo Tonnage
Slide 20: Manohar International Airport - Goa
Manohar International Airport - Goa Tourist Capital of India Existing passenger capacity of 4.4 mn Concession period 40 + 20 Years Being increased to 7.7 mn 4.4 mn passenger traffic in FY2024 Remaining life 54 years Maximum capacity 33 mn 20 destinations connected: 232 acres for commercial property
Slide 21: Kualanamu International Airport (Medan) - Indonesia
Kualanamu International Airport (Medan) - Indonesia Attractive Hub Opportunity for LCCs Concession period 25 Years 22 destinations connected: Domestic: 16 7.3 mn passenger traffic in FY24 Remaining life 23 years International: 61 ▪ Joint venture between GMR Airports Ltd (49%) and Indonesia's state-o
Slide 22: Airports Under Development
Airports Under Development Bhogapuram Airport – Visakhapatnam, Andhra Pradesh ▪ Greenfield airport with brownfield properties • Commercial operations from existing airport to be closed once Bhogapuram Airport goes live ▪ Initial capacity of 6mn pax ▪ Bhumi Pujan ritual (i.e. Ground Breaking Ceremony
Slide 23: Strategy and Opportunities
STRATEGY AND OPPORTUNITIES 23
Slide 24: Transitioned into a full service airports operator with well-defined strategies in place
Transitioned into a full service airports operator with well-defined strategies in place GMR has mastered both organic + inorganic growth strategy ▪ Substantial headroom for growth ▪ Bidding for new airport in all airports post expansion with a concessions in key emerging potential to serve as regio
Slide 25: GMR Airports is creating an asset light adjacency business platform
To expand presence across value chain, GMR Airports is creating an asset light adjacency business platform GMR platform growth strategy – significant progress made across all 3 phases Phase 3: External opportunities Phase 2: Own / network airports Expand presence to external and open market Phase 1:
Slide 26: Proven track record and ADP partnership position GMR Airports favourably to win new airport bids
Proven track record and ADP partnership position GMR Airports favourably to win new airport bids across India and other emerging markets Immediately available growth opportunities International opportunities with focus on fast growing in India emerging markets 3.09 3.00 22.3% 7.6% 39 15.4 6 4.60 Amr
Slide 27: ESG
GAR AERO
Slide 28: ESG Snapshot
ESG Snapshot 1st Airport in Asia Pacific to ACI’s Airport Carbon Accreditation for Level 4+ and amongst 1st to achieve Level 5 accreditation ~ INR 200mn investments in social welfare 1st Indian Airport to be certified Single Use through GMR Varalakshmi Foundation Plastic Free Positively impacted ove
Slide 29: ESG Ratings - Performance
ESG Ratings - Performance 50 45 40 31 30 27 25 23 40.9 23 20 Severe Risk Medium Risk 10 2019 2020 2021 2022 2023 *Unlike other rating agencies, Sustainalytics carries out risk rating given which lower score depicts lower risk Continuous Improvement across ESG Ratings, given the constant focus on fro
Slide 30: Accelerating our ESG Journey
Accelerating our ESG Journey Environment 100% Clean Electricity at DIAL and ‘Climate Resilience’ Policy adopted GHIAL ACI Accreditation Significant Reduction in Carbon Emissions and Noise • DIAL: 1st Asian airports to achieve Level 5 accreditation Innovative Initiatives such as Taxi-Bots • GHIAL: Le
Slide 31: Accelerating our ESG Journey
Accelerating our ESG Journey Social Training on multiple aspects Human Rights Issues included in imparted to employees, workers Code of Business Conduct & Ethics and security staff CSR Activities • >1.4 lakh people positively impacted • FY24 Investments worth INR 19.86 Crs • >90% of beneficiaries fr
Slide 32: Accelerating our ESG Journey
Accelerating our ESG Journey Supplier Code of Conduct & Board Diversity Policy now in force Business Ethics revamped Anti-Bribery Anti-Corruption policy Strengthened efforts on cyber implemented security and data privacy Governance Released 1st externally assured Gift & Hospitality policy adopted Bu
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