Grupo Aeroportuario Del Pacifico Sab De Cv Class B · BMV:GAP/B
Grupo Aeroportuario Del Pacifico Sab De Cv Class B — Santander Conference January 2023
61 slides from Grupo Aeroportuario Del Pacifico Sab De Cv Class B's conference presentation, January 2023
Slide 1: Corporate Presentation January 2023
CORPORATE PRESENTATION JANUARY 2023 The future IS BUILT HERE
Slide 2: Table of Contents
Table of Contents 1 Company Overview 3 2 Operational Information 9 3 Revenue Development 15 4 Financial Highlights 23 5 Master Development Program 2020-2024 33 6 Guadalajara Airport 36 7 Tijuana Airport 44 8 Puerto Vallarta Airport 47 9 Los Cabos Airport 49 10 Environmental, Social & Corporate Gover
Slide 3: Company Overview
> COMPANY OVERVIEW
Slide 4: Shareholders’ Structure
Shareholders’ Structure Controladora Mexicana de Aeropuertos (CMA) AENA 66.7% 33.3% Aeropuertos Mexicanos del Pacífico Public Float (AMP) 15% 85% 12 Mexican airports & PAC Kingston MBJ Airports Limited Airport Limited 74.5% 100.0% Capital Stock GAP’s board members Series BB (AMP): 76,845,236 7 indep
Slide 5: Our Network 2022
Our Network 2022 Passengers (thousands) 1,299 929 Mexicali Aguascalientes 12,325 Tijuana 2,603 Guanajuato 1,945 Hermosillo 1,173 424 Morelia Los Mochis 4,356 1,080 Montego Bay La Paz 1,562 7,019 Kingston Los Cabos 6,209 Puerto Vallarta 56.7 million pax 15,607 Guadalajara +16.4% vs 2019 166 Manzanill
Slide 6: GAP’s Competitive advantages
GAP’s Competitive advantages 6
Slide 7: The Future is built here
The Future is built here ➢ Expecting robust passenger growth for the coming years: ▪ 38% potential increase in Mexican airlines fleet in 2027 compared to 2022 ▪ Increase ~13k in room capacity in leisure destinations ▪ Remittances growth ➢ Increase airport capacity by developing the second runway in
Slide 8: Outstanding financial performance 9M22
Outstanding financial performance 9M22 MXP 16,443 million 11,875 million MXP Revenues1 EBITDA, Margin1 72.2% 49.5% vs 9M21 55.2% vs 9M21 55.3% vs 9M19 61.1% vs 9M19 7,355 million 5,492 million MXP MXP Net Income CAPEX 73.4% vs 9M21 82.8% vs 9M19 7,351 million MXP MXP 2,000 million Divide
Slide 9: Operational Information
: = OPERATIONAL INFORMATION
Slide 10: Airport group with biggest market share in Mexico
Airport group with biggest market share in Mexico DURING 2022 GAP OPERATED 5 OF THE TOP-TEN BUSIEST AIRPORTS IN MEXICO 10 Source: Passenger traffic reports as of December 31, 2022: GAP, OMA, ASUR. AICM and ASA figures are forecasted based on actual results as of November 2022
Slide 11: GAP’s key to success: Diversification
GAP’s key to success: Diversification Change Airport 2022 vs 2021 vs 2019 21 vs 20 20 vs 19 19 vs 18 18 vs 17 17 vs 16 Guadalajara 15,606.6 27.5% 5.1% 50.7% -45.3% 3.4% 12.1% 12.4% Tijuana 12,324.6 27.3% 38.1% 53.2% -29.2% 13.9% 10.3% 12.2% 80.3% Los Cabos 7,019.3 26.5% 25.1% 81.1% -45.4% 6.9% 6.9%
Slide 12: Passenger traffic evolution by Airport
Passenger traffic evolution by Airport Airport 2022 2021 2020 2019 2018 2017 2016 Guadalajara 15,606.6 12,243.0 8,125.6 14,846.3 14,351.6 12,808.0 11,395.8 Tijuana 12,324.6 9,677.9 6,316.6 8,925.9 7,835.1 7,103.2 6,332.5 Los Cabos 7,019.3 5,549.6 3,064.2 5,609.1 5,249.0 4,909.7 4,248.0 Puerto Vallar
Slide 13: Main airlines by passengers transported in 2022
Main airlines by passengers transported in 2022 13
Slide 14: Mexican airlines potential Growth
Mexican airlines potential Growth ➢ Airlines are increasing their capacity in the Mexican market ➢ Potential capacity growth of 38% by 2027 compared to 2022 Fleet by 2027e Fleet by 2025e Fleet by 2026e 14 Source: Volaris, Viva and Aeromexico reports
Slide 15: Revenue Development
= REVENUE DEVELOPMENT
Slide 16: Aeronautical Revenues Performance
Aeronautical Revenues Performance ➢ Represents ~77% of total revenues ➢ In the first 9M22 we reached ~96% of the maximum tariffs approved 16 Figures in MXP millions
Slide 17: Non-aeronautical revenues Trend
Non-aeronautical revenues Trend Figures in MXP millions 17
Slide 18: Non-aeronautical per passenger 9M22
Non-aeronautical per passenger 9M22 MXP 92.4 per pax consolidated Figures in Mexican pesos * The Company took control of the Kingston airport in October 2019; therefore, we are not including its commercial revenue for 2019 18
Slide 19: Non-aeronautical revenues growth
Non-aeronautical revenues growth Change Change 9M19 9M21 9M22 22 vs 19 22 vs 21 Businesses operated by third parties: Duty-free 388,398 375,606 535,938 38.0% 42.7% Food and beverage 361,009 367,414 577,652 60.0% 57.2% Retail 282,403 285,563 451,440 59.9% 58.1% COMMERCIAL Car rentals 280,811 288,053
Slide 20: Commercial Strategy
Commercial Strategy 1) Spaces and layouts - More square meters and layouts redesigned in Los Cabos, Guadalajara, Puerto Vallarta, and Montego Bay airports - Redefinition of commercial offer, well-known brands, new bidding processes improving current contract conditions 2) Strengthen GAP-operated bus
Slide 21: Total commercial areas Expansion
Total commercial areas Expansion 2019 2020 2021 2022 Commercial square meters Aguascalientes 487 544 677 677 Guanajuato 1,031 1,545 1,642 1,705 16% Guadalajara 10,119 10,213 10,084 10,674 Hermosillo 1,162 1,162 1,228 1,228 La Paz 497 497 586 586 Los Mochis 190 190 266 266 Morelia 150 150 352 352 Mex
Slide 22: Expanding direct Operation 2023
Expanding direct Operation 2023 FBO Los Cabos + 87 Aircraft parking positions Ampliación de Plataforma en 5,019m2 6,078m2 7,403m2 + 2 Aircraft parking positions for helicopters ejecución + 99,400 sqm Branding strategies for “Primesky” (GAP brand) Additional Parking Spaces Guadalajara –In 2022 we beg
Slide 23: Financial Highlights
: = FINANCIAL HIGHLIGHTS
Slide 24: Historical Sustained Growth
Historical Sustained Growth 11,875 EBITDA 10,908 TOTAL REVENUES1 MXP MILLIONS MXP MILLIONS EBITDA1 MARGIN NET INCOME MXP MILLIONS 24 1 Excluding IFRIC 12
Slide 25: Trend per passenger
Trend per passenger +9.7% AERO REVENUE PER PAX NON-AERO REVENUE PER PAX MXP MXP +7.9% +13.4% EBITDA PER PAX COST OF SERVICES PER PAX -8.6% MXP MXP 25
Slide 26: Historical sustained growth – Operating Cash Flow
Historical sustained growth – Operating Cash Flow ➢ Noteworthy liquidity recovery ➢ Very resilient business model +21.3% 26 Figures expressed in MXP millions
Slide 27: Key financial Drivers & Financial Targets
Key financial Drivers & Financial Targets Financial Drivers Financial Targets ➢ Maintain healthy financial levels ➢ Net debt to EBITDA: below 3.0x ➢ Preserve liquidity ➢ Capital structure: 70/30 ➢ Optimize operational leverage ➢ WACC: below 9.0% ➢ Comply with debt covenants ➢ Maintain investment gra
Slide 28: EBITDA in USD 9M22
EBITDA in USD 9M22 USD (millions): Mexico Jamaica 9M22 % over the total MXN (millions) Total Revenue (1) 43 130 173 21% 3,508 Total Expenses 17 61 78 35% 1,594 EBITDA 26 68 94 16% 1,914 1 Excluding IFRIC 12 28
Slide 29: Current Debt profile as of January 2023
Current Debt profile as of January 2023 (million) Aaa.mx – National Scale mxAAA– National Scale Outlook: Stable Outlook: Stable Issued on August 19, 2022 Issued on August 19, 2022 29
Slide 30: Debt Maturity 2023-2033
Debt Maturity 2023-2033 USD191 * (Figures in MXP millions) 30 Exchange rate as of December 31, 2022, of $19.3615
Slide 31: Debt Covenants
Debt Covenants NET DEBT EBITDA RATIO INTEREST DEBT SERVICE 1.7 x 56.1 x 1.3 x 1.2 x 0.9 x 33.3 x 0.9 x 0.7 x 0.7 x 21.7 x 0.6 x 12.9 x 10.3 x 9.0 x 6.6 x 7.4 x 4.2 x 0.0 x 2014 2015 2016 2017 2018 2019 2020 2021 9M22 2014 2015 2016 2017 2018 2019 2020 2021 9M22 31
Slide 32: Shareholders’ Distributions
Shareholders’ Distributions ➢ Pay all excess of cash above a minimum cash balance (two months of OPEX + the debt service) ➢ Dividend payment and capital reimbursement, considering the most efficient tax practice Repurchase Program 2,000 3,000 Payout Ratio 83.5% 72.8% 100.0% 66.7% 69.7% 112.9% 53.9%
Slide 33: Master Development Program 2020-2024
MASTER DEVELOPMENT PROGRAM 2020-2024
Slide 34: Extraordinary Review in Mexico Post-COVID 19
Extraordinary Review in Mexico Post-COVID 19 s r MXP 6,029 million in CAPEX 7.35% Tariff = Operating cash flow Maximum Tariff Master Development 7.35% Program 14.88% 219.49 208.77 21,832 -27.6% 179.56 15,802 MXP MXP MILLIONS MDP** 2020-2024 MDP 2020-2024 MT* 2019 MT 2020 MT 2020 Extraordinary Review
Slide 35: MDP Mexico 2020-2024
MDP Mexico 2020-2024 4,124 3,518 2,937 2,696 2,528 MXP MILLIONS 2020 2021 2022 2023 2024 Total committed investments of MXP15,802 million *Figures expressed in pesos as of December 31, 2017 The Capital Development program for our Jamaican airports is under review 35
Slide 36: Guadalajara Airport
=> GUADALAJARA AIRPORT
Slide 37: Guadalajara Second Runway and Second Terminal
Guadalajara Second Runway and Second Terminal ➢ Infrastructure development to meet future demand and ensure a seamless connection process includes: ▪ Second runway ▪ New aprons ▪ New terminal building (will start in this quinquennium and will be concluded in the next one) ➢ Opportunity to transform
Slide 38: Airfield Reconfiguration - 2024
Airfield Reconfiguration - 2024 Second Runway New General Aviation Facilities Runway length → 3,538 m New apron → 126,090 sqm (+147%) Increase of capacity for +20 million passenger 85 aircraft positions (+121%) Execution term: 2022-2024 4 positions for helicopters (+33%) New General Av
Slide 39: New Terminal Building - 2026
New Terminal Building - 2026 125,700 sqm (+140%) 3 levels 15 contact departure gates (+125%) Total future 5 remote departure gates (+16%) airport capacity up to 38 million 78 documentation counters (+68%) Passengers 14 Security inspection lines (+93%) Terminal Building Oriented to NetZ
Slide 40: New Terminal Building - 2026
New Terminal Building - 2026 40
Slide 41: Guadalajara Mixed use building
Guadalajara Mixed use building Offices building ➢ Hilton Garden Hotel with 180 rooms (10 levels) → 12,108 sqm ➢ Offices building (9 levels) → 11,058 sqm ➢ Commercial spaces → 8,416 sqm ➢ Triangular offices building (4 levels) → 1,848 sqm ➢ Refurbishment of current terminal building → 1,840 sqm ➢ Par
Slide 42: Parking lot Expansion 2022-2026
Parking lot Expansion 2022-2026 Total future 87,400 sqm Current Parking lot capacity 2,569 spaces 10,065 spaces (Growth of 292%) Phase 1 – Terminal 1 47,068 sqm (+54%) 1,367 spaces (+53%) Execution term: 2022-2023 Phase 2 – Terminal 2 200,055 sqm (+149%) 6,669 spaces (+169%) Execution term:
Slide 43: Parking lot Expansion
Parking lot Expansion Current Parking lot Expansion Phase 2 (2024-2026) Expansion Phase 1 (2022-2023) 43
Slide 44: Tijuana Airport
=> TIJUANA AIRPORT
Slide 45: Tijuana Terminal Processor Building
Tijuana Terminal Processor Building ➢ Building that will enable international passengers in transit to go through Tijuana Airport in a fast way without being processed by Mexican Authorities (+39,500 sqm) ➢ Possibility to develop international routes from/to Asia, U.S. and Latin America ➢ Total inve
Slide 46: Passenger traffic growth Drivers
Passenger traffic growth Drivers Drivers de crecimiento de A. Traffic from the South of California aiming to go to Mexican beaches and VFR Market tráfico B. Potential International destinations to be explored ASIA LatAm USA Beijing Panama Oakland Shanghai Guatemala Las Vegas Seoul El Salvado
Slide 47: Puerto Vallarta Airport
=> PUERTO VALLARTA AIRPORT
Slide 48: Puerto Vallarta New Terminal Building
Puerto Vallarta New Terminal Building ➢ Construction oriented towards the concept of “Net-Zero” energy ➢ 8 additional aprons ➢ 15 additional boarding gates ➢ Opportunity to develop more commercial offer ➢ Total investment of ~MXP 3,026 millions* ➢ +42,000 sqm ➢ Construction started in 2022 and will
Slide 49: Los Cabos Airport
i= LOS CABOS AIRPORT
Slide 50: Los Cabos Terminal expansion
Los Cabos Terminal expansion ➢ Expansion of International Terminal Building (+20,000 sqm) ➢ 28 additional aprons ➢ Two additional boarding gates ➢ Opportunity to develop more commercial offer ➢ Total investment of MXP ~ 1,579 millions* ➢ Construction will be concluded in the 2Q23 50 *Figures express
Slide 51: Environmental, Social & Corporate Governance
ENVIRONMENTAL, SOCIAL & CORPORATE GOVERNANCE
Slide 52: Sustainability Achievements
Sustainability Achievements National Registry of Emissions. UN Global Compact Environmental Management Reporting annually in this registry and GAP is adhered to the Global Compact, System ISO 14001-2015. verify every 3 years, the consolidated supporting its ten principles, since 2020. 12 airports ce
Slide 53: Sustainability Achievements
Sustainability Achievements Expansión Socially Responsible Bloomberg Gender-Equality Index Super Empresas - Expansión ISO 9001:2015 Quality Company For the second time, in 2023, we We participate in this ranking, Management System We participated for the 14th have been included in this index, due po
Slide 54: Social Commitments
Social Commitments ➢ GAP Foundation has the purpose of improving the social well-being of the communities close to GAP airports through educational initiatives: GAP Schools and Community Training Centers ➢ GAP Schools are schools at the primary and secondary level that provide excellent education an
Slide 55: GAP Blue
GAP Blue Free service with the support of “Fundación Teletón” that assists passengers with disabilities due to a temporary or permanent, visible or invisible condition, as they pass through our airport facilities: ➢ Guided visits through the airport before the passenger flight ➢ Adapted and equipped
Slide 56: Corporate Governance
Corporate Governance ➢ GAP complies with the best national and international Corporate Governance practices to maximize value creation, optimize decision-making and promote a culture of compliance and accountability. ➢ The Board of Directors is responsible for the administration of the Company. The
Slide 57: M&A
M&A
Slide 58: M&A – Drivers for Potential Investments
M&A – Drivers for Potential Investments Country Risk – Analysis of country risk premium, its reference rate, the FX risk Regulatory Framework – General conditions of the Concession Agreement, laws applicable to the concession and revenue system Passenger traffic – Analysis of passenger profiles (VFR
Slide 59: Guidance
=> GUIDANCE
Slide 60: Guidance 2023
Guidance 2023 2023 vs 2022 Traffic 6% - 8% Aeronautical Revenue 12% - 14% Non-aeronautical Revenue 13% - 15% Total Revenue 12% - 14% EBITDA 10% - 12% EBITDA Margin 70% +- 1% CAPEX MXP 10.2 billion 60
Slide 61: Investor Information
Investor Information Saúl Villarreal Corporate Headquarters Chief Financial Officer Av. Mariano Otero No. 1249-B 6th floor svillarreal@aeropuertosgap.com.mx Torre Pacífico, Rinconada del Bosque Guadalajara, Jalisco, México. Zip Code 44530 Alejandra Soto +(52) 33 3880 1100 IRO & Corporate Finance Dir
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