Grupo Aeroportuario Del Centro Norte Sab De Cv Class B · BMV:OMA/B
Grupo Aeroportuario Del Centro Norte Sab De Cv Class B — Central North Airport Group — Q1 2010 Earnings Presentation
31 slides from Grupo Aeroportuario Del Centro Norte Sab De Cv Class B's earnings presentation, Apr 26, 2010
Slide 1: First Quarter 2010 Earnings Report
First Quarter 2010 Earnings Report April 23, 2010 Mexican airport operator Grupo Aeroportuario del Centro Norte, S.A.B. de C.V., known as OMA (NASDAQ: OMAB; BMV: OMA), reported its unaudited, preliminary results for the first quarter of 2010 today. 1 Highlights Total revenues increased 4.9%, with gr
Slide 2: First quarter 2010 highlights
• Passenger traffic decreased 8.2% to 2.8 million. Domestic traffic decreased 9.3% and international traffic decreased 4.2%. • Five new commercial spaces and one new passenger service opened in our airports. The NH T2 hotel occupancy rate reached 42.2% for the quarter and 52.3% in March. • DHL began
Slide 3: Operating income, EBITDA and net income
• Operating income decreased 7.8% to Ps. 165 million as a result of the increase in costs and GA expenses, and higher depreciation and amortization; the operating margin was 32.3%. • Adjusted EBITDA decreased 1.1% to Ps. 274 million, similar to the Ps. 277 million in 1Q09. The Adjusted EBITDA margin
Slide 4: Total passenger traffic decreased 8.2%
Total passenger traffic decreased 8.2% (-250,735 terminal passengers) as compared to 1Q09. While the year-over-year change continues to be negative, the reduction was less than in the prior five quarters. The Culiacán, Zacatecas, Durango, and Chihuahua airports recorded traffic increases (See Annex
Slide 5: Domestic traffic volumes decreased 9.3% in 1Q10
Domestic traffic volumes decreased 9.3% in 1Q10. Five airports had increases in domestic traffic. In Culiacán, growth came principally from increases in traffic on the Mexico City, Guadalajara, and Monterrey routes; in Mazatlán, the Guadalajara and La Paz route produced growth; and in the Zacatecas,
Slide 6: International traffic decreased 4.2% in 1Q10
International traffic decreased 4.2% in 1Q10. Six airports had increases in international traffic. The most significant increases were in Zacatecas, Durango and Tampico. Zacatecas benefited from growth on the routes to Los Angeles and Chicago; Durango and Tampico had growth on the routes to Houston.
Slide 7: OMA
OMA
Slide 8: NH Terminal Hotel Operations
NH Terminal 2 Hotel Operations The occupancy rate of the NH T2 hotel in Mexico City continues to increase, as a result of advertising and marketing initiatives. The hotel had an average occupancy rate in 1Q10 of 42.2%, and reached 52.3% in March. The average room rate was Ps. 1,128.4 per night. The
Slide 9: OMA
OMA
Slide 10: Non-aeronautical revenues increased 21.6%
Non-aeronautical revenues increased 21.6%, led by revenues from the NH T2 hotel, OMA Carga, advertising, and parking. Most notably, OMA Carga revenues increased 87.4%, as a result of the start of operations by DHL at the Monterrey airport on January 18, 2010. NH T2 hotel revenues were Ps. 15.7 milli
Slide 11: Non-aeronautical revenues table
(thousands) 19091910 K Var Parking 26,067 26,686 2.4 Leases (retailers and other leases)* 18,368 17,577 Advertising 10,463 12,398 Car rentals 8141 8,153 Restaurants 7,608 6,034 (OMA Carga (air cargo logistics service) 2613 4,897 Time Shares 458 3,970 Hotelservices (NH Mexico City Airport Terminal 2)
Slide 12: OMA
OMA
Slide 13: Cost of services and G&A expenses increased 16.2%
Cost of services and general and administrative expenses increased a combined 16.2%, principally as a result of the addition of costs of hotel operations of Ps. 13.7 million, a Ps. 2.2 million increase in materials and supplies, an increase in the allowance for doubtful accounts of Ps. 5.0 million,
Slide 14: Concession tax, technical assistance fee and depreciation
Airport concession tax was unchanged; this tax is 5% of gross revenues. The technical assistance fee decreased 3.5%. This fee is charged as the higher of US$3.0 million per year or 5% of Adjusted EBITDA before technical assistance. The operating results of the NH T2 hotel are not included in calcula
Slide 15: Operating income and Adjusted EBITDA
Operating income and Adjusted EBITDA
Slide 16: Operating income and Adjusted EBITDA results
Operating income was Ps. 164.5 million in 1Q10, a decrease of 7.8% as compared to the prior year period. The reduction reflected the additional costs from operating the NH T2 hotel, other costs and expenses, and higher depreciation and amortization. The operating margin in 1Q10 was 32.3%, 4.4 percen
Slide 17: Financing expense and income tax
Comprehensive financing expense increased to Ps. 18.0 million, as a result of higher level of interest expense from a higher level of debt. Income tax provision increased to Ps. 48.6 million in 1Q10 from Ps. 20.3 million during the prior year period. Tax provision includes the effect of the increase
Slide 18: Net Income and capital expenditures
Net Income Consolidated net income in 1Q10 was Ps. 103.4 million, as compared to Ps. 148.6 million in 1Q09. The decrease was principally because of higher operating expenses, increased taxes, and an increase in comprehensive financial expense. Net income of majority interest was Ps. 104.6 million, a
Slide 19: Total debt, cash and dividends
As of December 31, 2010, OMA’s total debt was Ps. 844.8 million in short- and long-term bank debt, of which Ps. 171.1 million contributed to cash flow from financing in the quarter. These resources were used principally to finance capital expenditures. Operation of the share repurchase program gener
Slide 20: Annex Table
Annex Table 1
Slide 21: Passenger Traffic
‘Grupo Aeroportuario del Centro Norte, S.A.B. de°C.V. Passenger Traffic (Terminal passengers-excludes transit passengers) Total Passengers 1008 1010 __ Var “eapuco Tse 2,28 (1a) (judad hares 161,15, 193.119 (113) Culiacén 27475 261565 BT CChtuabua 179219 100508 07. Durango AT 352 aT 44 Mazattin 225
Slide 22: Annex Table
Annex Table 2
Slide 23: Unaudited Consolidated Balance Sheet
Grupo Aeroportuario del Centro Norte, $.A.B. de C.V. Unaudited Consolidated Balance Sheet Current assets Cash and cash equivalents Trade Accounts receivable-net ‘Trade Accounts receivable fromrelated parties Recoverable taxes Other current assets Totalcurrent assets Land, buildings, machinery and eq
Slide 24: Annex Table
Annex Table 3
Slide 25: Unaudited Consolidated Statement of Income
Grupo Aeroportuario del Centro Norte, S.A.B. deC.V. Unaudited Consolidated Statement of Income (Thousands of pesos) 1908 1910 var Revenues ‘Aeronauticalservices 394512 398,571 10 on-aeronauticalservices 91215 110,957 24.6 Total revenues 485,727 509,528 4.9 Operating costs Cost of services 94,742 109
Slide 26: Annex Table
Annex Table 4
Slide 27: Unaudited Consolidated Cash Flow Statement
Grupo Aeroportuario del Centro Norte, S.A.B. de C.V. Unaudited Consolidated Cash Flow Statement (Thousands of pesos) Through March 31, 2008 2010 Var. Income before taxes 168,888 151,986 (10.0) Items related to investing activities Depreciation and amortization 96436 109,118 10.9 Interest income (459
Slide 28: Annex Table
Annex Table 5
Slide 29: Unaudited Operating Results by Subsidiary
Monterrey “Total passengers Revenues Aeronautical Non-aeronautical Income fromaperations ‘Adjusted EBITDA Culiacin “Total passengers Revenues Aeronautical on-aeronautical Income fromaperations ‘Adjusted EBITDA chihuahua “Total passengers Revenues Aeronautical on-aeronautical Income fromaperations ‘A
Slide 30: Notes and disclaimers
Notes and disclaimers Adjusted EBITDA : OMA defines Adjusted EBITDA as net income minus net comprehensive financing income plus taxes and depreciation and amortization, and excludes other income (expense). Adjusted EBITDA is equivalent to the concept UAFIDA in Mexico. Adjusted EBITDA should not be c
Slide 31: Notes and definitions
Passenger charges (TUA , Tarifa de Uso de Aeropuerto ) are paid by departing passengers (excluding connecting passengers, diplomats, and infants). Rates are established for each airport, and are different for domestic and international travel. Prior period comparisons : unless stated otherwise, all
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