Grupo Aeroportuario Del Pacifico Sab De Cv Class B · BMV:GAP/B
Grupo Aeroportuario Del Pacifico Sab De Cv Class B — Investor Presentation (September 2024)
84 slides from Grupo Aeroportuario Del Pacifico Sab De Cv Class B's investor presentation, September 2024
Slide 1: Corporate Presentation September 2024
September 2024 CORPORATE PRESENTATION 1
Slide 2: Content
CONTENT Company Overview 3 Regulatory changes in Mexico 9 MDP Mexican airports 2025-2029 15 Operational Information 31 Traffic drivers backing future growth 39 Overview of main airports 45 Financial perspective 54 Sustainability 76 Consolidated figures for 2015 include information for Montego Bay Ai
Slide 3: Company Overview
COMPANY OVERVIEW
Slide 4: Record traffic: 63.5 million passengers in 2023
Record traffic: 63.5 million passengers in 2023 +11.9% vs 2022 4
Slide 5: Key Value Drivers
KEY VALUE DRIVERS Transparent Highly diversified Resilient business regulatory asset portfolio model framework Visibility in tariffs New commercial and Capital Commitment to projects with Investments until Sustainability 2029 attractive returns Positive cash flow Consistent and healthy distributions
Slide 6: Shareholders' Structure
SHAREHOLDERS’ STRUCTURE CMA1 AENA 66.7% 33.3% Capital Stock Series BB (AMP): 75,791,619 Series B (Public Float): 429,485,845 Total Shares: 505,277,464 AMP2 PUBLIC FLOAT (Strategic Partner) 85% 15% GAP’s board members 6 independent 1 non-independent 4 appointed by AMP (1) Controladora Mexicana de Aer
Slide 7: 24 International and 57 domestic
81 24 International and 57 domestic 7
Slide 8: GAP Competitive Advantages 6M24
GAP COMPETITIVE ADVANTAGES 6M24 Total revenues Revenues by airport Passenger profile Passenger distribution Passenger profile 8
Slide 9: Regulatory Changes in Mexico
REGULATORY CHANGES IN MEXICO
Slide 10: Rules for Tariff Regulation in Mexico
RULES FOR TARIFF REGULATION IN MEXICO • New Formula for Maximum Tariff: 5 (𝑀𝑇 • 𝑊𝐿𝑈𝑡 ) − (𝐼𝑡 + 𝐶𝑡) 𝑁𝑃𝑉𝑛 = + 𝑇𝑉 1+𝑟 𝑡 𝑡=1 NPV (Net Present Value) Refers to Reference Value I & C (Capex and Opex) (RV) of year n •Investment = Master Development Program (5y Mandatory) •C = Cost of…
Slide 11: Rules for Tariff Regulation in Mexico
RULES FOR TARIFF REGULATION IN MEXICO Discount rate - changed from Ke to WACC: this modification reflects the actual balance sheet position of the Company, as well as the leverage strategy followed in recent years. Inputs for WACC Definition Risk Free Rate ➢ 5-year average of UMS Bonds with maturity
Slide 12: Rules for Tariff Regulation in Mexico
RULES FOR TARIFF REGULATION IN MEXICO • Claw back of the 3% excess passengers: the trigger will occur when the actual aggregated workload units for the quinquennium surpass the 3% over the workload units projected in the MDP on a consolidated basis. In that case, the excess revenues generated airpor
Slide 13: Rules for Tariff Regulation in Mexico
RULES FOR TARIFF REGULATION IN MEXICO • Terminal Value: The main change is that the terminal value will now begin in year 6 until the end of the concession, instead of year 16 • Redistribution of the Reference Values of the airports: During the process of determining the Maximum Tariff for the follo
Slide 14: Federal Duties Law in Mexico
FEDERAL DUTIES LAW IN MEXICO • Concession fee changed from 5% to 9% over total revenues (aeronautical + non-aeronautical), as of January 1, 2024. • The payments disbursed in 2024 to the Government over those included in the most recent ordinary review, will be added to the reference value for the 20
Slide 15: Master Development Program Mexican Airports 2025-2029
MASTER DEVELOPMENT PROGRAM MEXICAN AIRPORTS 2025 -2029
Slide 16: MDP Mexico 2025-2029
MDP MEXICO 2025-2029 Total committed investments of MXP. 43, 185 million Figures are expressed in million pesos as of December 31, 2022, and should be updated per the National Producer Price Index (NPPI), construction sector, upon execution. *CAPEX already paid in 2023-2024 16
Slide 17: Guadalajara
GUADALAJARA Figures are expressed in million pesos as of December 31, 2022. 17
Slide 18: Guadalajara
GUADALAJARA ➢ Current Terminal Building - New "self-service" baggage check-in - Simplified customs inspection system for international arrivals - Self-service kiosks ➢ New Terminal Building → +79% additional sqm - 18 boarding gates - Apron with 19 new positions - New taxiways ➢ Construction of a sec
Slide 19: Guadalajara
GUADALAJARA New connecting roads New Terminal, aprons and taxiways (+15 positions) Land for future 3rd runway and vehicular access Expansion cargo apron (+4 positions) MRO reserve New access road FBO reserve 19
Slide 20: Tijuana
TIJUANA 20 Figures are expressed in million pesos as of December 31, 2022.
Slide 21: Tijuana
TIJUANA ➢ Current Terminal Building → +47% additional sqm - Renovation of the existing building - New baggage claim bands - New passenger inspection point - 7 new remote departure gates ➢ New processing facility for domestic departing passengers - Construction of Deck “C” - New “self-service” baggag
Slide 22: Los Cabos
LOS CABOS 22 Figures are expressed in million pesos as of December 31, 2022.
Slide 23: Los Cabos
LOS CABOS ➢ Terminal 2 expansion → +32% additional sqm - Addition of three new contact departure gates - New "self-service" baggage documentation - Simplified customs system for international arrivals - Self-service kiosks ➢ Apron expansion - Addition of seven new positions (30% increase) - Expansio
Slide 24: Puerto Vallarta
PUERTO VALLARTA 24 Figures are expressed in million pesos as of December 31, 2022.
Slide 25: Puerto Vallarta
PUERTO VALLARTA ➢ Current Terminal Building - Self-service kiosks - Vehicle access and entrance to New Terminal Building ➢ Final Phase New Terminal Building → +134% additional sqm - Seven additional positions - Construction began in 2022 and will conclude in 2026 to start operations in 2027 25
Slide 26: Guanajuato
GUANAJUATO ➢ Current Terminal Building → +26% additional sqm - Renovation of the current building - Expansion of baggage claim belts and passenger inspection area - Two new boarding gates - Construction of new facilities for outbound checked baggage inspection - Implementation of a simplified custom
Slide 27: Mexicali
MEXICALI ➢ Current Terminal Building → +47% additional sqm - Renovation of the current building - Expansion of baggage claim belts and passenger inspection area - Expansion of the final waiting area for departing passengers - Construction of a new check-in area for departing passengers and new facil
Slide 28: La Paz & Morelia
LA PAZ & MORELIA LA PAZ ➢ Current Terminal Building → +18% additional sqm - Renovation of the current building - Expansion of the passenger inspection area - Expansion of the arrivals area with 3 baggage claim belts ➢ Major runway rehabilitation MXP 863.3 million MORELIA ➢ Current Terminal Building
Slide 29: Hermosillo & Aguascalientes
HERMOSILLO & AGUASCALIENTES HERMOSILLO ➢ Current Terminal Building → +38% additional sqm - Renovation of the current building - Expansion of the final waiting area for departing passengers ➢ Apron - Expansion with two new positions and handling area MXP 851.6 million AGUASCALIENTES ➢ Current Termina
Slide 30: Los Mochis & Manzanillo
LOS MOCHIS & MANZANILLO LOS MOCHIS ➢ Current Terminal Building → +9% additional sqm - Renovation of the current building - Expansion of the passenger inspection area and enlargement of the final waiting area for departing passengers ➢ Major runway rehabilitation MXP 487.0 million MANZANILLO ➢ Termin
Slide 31: Operational Information
OPERATIONAL INFORMATION
Slide 32: Drivers for Sustainable Growth
DRIVERS FOR SUSTAINABLE GROWTH Expected seat capacity Passenger traffic Increase of hotel growth +60% by 2027 expansion from capacity and real estate (Mexican airlines) connecting markets in tourist destinations Nearshoring effect Larger VFR market and benefitting Tijuana, New Terminal Building comm
Slide 33: EBITDA Historical Performance
HISTORICAL PERFORMANCE EBITDA Margin 65.7% 66.5% 67.2% 68.0% 70.1% 71.5% 69.8% 69.9% 69.5% 68.4% 60.2% 69.7% 71.6% 69.5% 33 All figures are in millions of pesos. Passenger traffic in millions. Revenues and EBITDA Margin exclude IFRIC 12.
Slide 34: Largest Airport Operator in Mexico
LARGEST AIRPORT OPERATOR IN MEXICO DURING 7M24 GAP OPERATED 5 OF THE TOP-TEN BUSIEST AIRPORTS IN MEXICO 34 Source: Passenger traffic reports as of July 31 2024.
Slide 35: GAP's Key to Success: Diversification
GAP’S KEY TO SUCESS: DIVERSIFICATION Change Airport 7M24 vs 7M23 23 vs 22 22 vs 19 21 vs 20 21 vs 19 20 vs 19 19 vs 18 18 vs 17 17 vs 16 Guadalajara 10,172.1 (1.1%) 13.5% 5.1% 50.7% (17.5%) (45.3%) 3.4% 12.1% 12.4% Tijuana 7,209.2 (7.1%) 7.1% 38.1% 53.2% 8.4% (29.2%) 13.9% 10.3% 12.2% 80.8% Los Cabo
Slide 36: Passenger Traffic Evolution by Airport
PASSENGER TRAFFIC EVOLUTION BY AIRPORT Airport 7M24 2023 2022 2021 2020 2019 2018 2017 2016 Guadalajara 10,172.1 17,710.2 15,606.6 12,243.0 8,125.6 14,846.3 14,351.6 12,808.0 11,395.8 Tijuana 7,209.2 13,194.9 12,324.6 9,677.9 6,316.6 8,925.9 7,835.1 7,103.2 6,332.5 Los Cabos 4,622.8 7,715.6 7,019.3
Slide 37: Main Airlines by Passengers Transported in 7M24
MAIN AIRLINES BY PASSENGERS TRANSPORTED IN 7M24 37
Slide 38: Traffic Drivers Backing Future Growth
TRAFFIC DRIVERS BACKING FUTURE GROWTH
Slide 39: Fleet Orders - Mexican Airlines
FLEET ORDERS - MEXICAN AIRLINES 154 134 130 109 100 87 80 36 23 2019 2024 New 2019 2024 New 2019 2024 New Orders Orders Orders 39
Slide 40: GDP Growth
GDP GROWTH Historically, GDP and Aviation growth have been highly correlated 57.5% GDP Mex – GAP Pax traffic 0.90 Correlation 2009-2023 In GAP, pax demand is growing 28.5% 3.8x faster than GDP (2009-2023) 8.9% 6.7% 11.8% 18.2% 11.7% 10.9% 11.3% 7.7% IMF GDP Mex 1.9% 2024 – 2028 annual growth forecas
Slide 41: Nearshoring
NEARSHORING Nearshoring represents a unique opportunity for Mexico, comparable to the implementation of the North American Free Trade Agreement in 1994 The Mexican economy could turn to grow at an annual rate of 3.7% compared with 2.6% in the last two decades (Forbes) 5 of the top 10 most benefitted
Slide 42: Nearshoring: Imports into the U.S. by Country
NEARSHORING IMPORTS INTO THE U.S. BY COUNTRY 538.51 536.75 505.17 504.94 483.20 475.60 468.47 462.42 449.11 454.93 440.43 432.68 427.20 384.65 China 356.09 343.68 323.52 Mexico 312.67 295.73 296.43 293.50 280.56 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Source: New York Times, February
Slide 43: Growth Drivers – Leisure Markets
GROWTH DRIVERS – LEISURE MARKETS LOS CABOS PUERTO VALLARTA MONTEGO BAY ❑ + 900 New Hotel Rooms 2024 – 2025 ❑ + 2,500 New Hotel Rooms 2024 – 2025 ❑ Largest expansion of tourist development in the history of Jamaica ❑ 3 new Golf Courses ❑ VIDANTA WORLD Theme Park 2024 ❑ + 12,300 New Hotel Rooms 2024 –
Slide 44: Growth Drivers – Leisure Markets
GROWTH DRIVERS – LEISURE MARKETS Mexico and Jamaica are the top two countries Los Cabos, Montego Bay, and Puerto Vallarta U.S. tourists wish to visit in 2024 were among the Top 10 tourist destinations for U.S. tourists (2023) Source: Allianz Travel Source: Marriot survey 44
Slide 45: Overview of Main Airports
OVERVIEW OF MAIN AIRPORTS
Slide 46: Guadalajara
GUADALAJARA Guadalajara is well connected to markets of North, Central, and South America and Europe By monetary value, in 2023 Guadalajara moved more international cargo than both Mexico City airports combined 960,828 AIFA 88,340 AICM 819,673 32 24 Madrid Bogota Panama City Vancouver destinations d
Slide 47: Guadalajara – Cargo Imports by Segment 2023
GUADALAJARA – CARGO IMPORTS BY SEGMENT 2023 CARGO VOLUME CARGO VALUE 47 Source: GAP
Slide 48: Guadalajara – Cargo Exports by Segment 2023
GUADALAJARA – CARGO EXPORTS BY SEGMENT 2023 CARGO VOLUME CARGO VALUE 48 Source: GAP
Slide 49: Tijuana
TIJUANA Tijuana Passenger Traffic Evolution, 2013-2023 13.2 12.3 + 7.1% 2023 vs 2022 +27.3% 2022 vs 2021 9.7 8.9 7.8 7.1 6.3 6.3 4.9 4.3 4.4 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 41 Mexican cities New route to Phoenix (PHX) by American Airlines Phoenix Beijing 35 destinations New ro
Slide 50: Tijuana Passenger Traffic Growth Drivers
TIJUANA PASSENGER TRAFFIC GROWTH DRIVERS A. Traffic from the South of California aiming to go to Mexican beaches and VFR Market B. Potential International destinations to be explored ASIA LatAm USA Beijing New! Panama Phoenix New! Shanghai Guatemala Oakland Drivers de crecimiento Seoul de trá
Slide 51: Los Cabos
LOS CABOS Los Cabos Passenger Traffic Evolution, 2013- 2023 Million 9.9% 2023 vs 2022 7.7 26.5% 2022 vs 2021 7.0 5.2 5.6 5.5 4.9 4.2 3.4 3.3 3.7 3.1 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Los Cabos is the 6th busiest airport in 12 destinations 30 destinations terms of annual passenge
Slide 52: Puerto Vallarta
PUERTO VALLARTA Puerto Vallarta traffic reached historic levels with almost 7 million passengers during 2023. The airport will offer an average of 533 weekly 13 23 15 departures to 53 routes for the current year. destinations destinations destinations 52
Slide 53: MBJ
MBJ 24 destinations 10 destinations 11 destinations CARIBBEAN 5 destinations 53
Slide 54: Financial Perspective
FINANCIAL PERSPECTIVE
Slide 55: Key Financial Drivers
KEY Financial Drivers Preserve a healthy financial position Strategic Leverage Debt covenants compliance WACC improvement Distributions consistent with financial results
Slide 56: Aeronautical Revenues
AERONAUTICAL REVENUES ▪ During 6M24 GAP reached 95.0% of the Maximum Tariffs approved for the year ▪ Aeronautical revenues represented 73.6% of aeronautical + non-aero revenues in 6M24 CAGR 2010-2023: 15.5% 56
Slide 57: Non-Aeronautical Revenues
NON-AERONAUTICAL REVENUES ▪ Non-aeronautical revenues represented 26.4% of aeronautical + non-aero revenues in 6M24 Non-Aeronautical Revenues per passenger 38 41 47 51 54 59 65 68 71 77 90 85 92 97 96 111 MXP 57 All figures are in millions of pesos. CAGR 2010-2023: 17.5%
Slide 58: Commercial Strategy
COMMERCIAL STRATEGY GAP operated Strategic layouts business lines Development of New business new business acquisitions lines Improve passenger experience 58
Slide 59: Guadalajara Mixed-Use Building
GUADALAJARA MIXED-USE BUILDING Hilton Garden Hotel with 180 rooms (10 levels) → 12,580 sqm Two offices building → 12,330 sqm Offices building Commercial spaces → 5,732 sqm Refurbishment of current terminal building → 1,188 sqm Expansion of the current terminal building → 11,704 sqm Commercial a
Slide 60: Guadalajara - Parking Lot Expansion
GUADALAJARA - PARKING LOT EXPANSION 60
Slide 61: Guadalajara - Parking Lot Expansion
GUADALAJARA - PARKING LOT EXPANSION Current Parking lot Expansion Phase 2 (2025-2027) Expansion Phase 1 (2022-2024) 61
Slide 62: Guadalajara - Parking Lot Expansion 2022-2027
GUADALAJARA - PARKING LOT EXPANSION 2022-2027 70,000 sqm Current Parking lot 2,204 spaces Total future Phase 1 –Terminal 1 133,736 sqm CurrentParkinglot+Phase1 capacity 3,860 spaces 10,110 spaces Execution term: 2022-2024 Phase 2 –Terminal 2 313,296 sqm CurrentParkinglot+Phase1+Phase2 10,110
Slide 63: Guadalajara World Trade Center (GWTC)
GUADALAJARA WORLD TRADE CENTER (GWTC) ➢ In June, it was concluded the acquisition of 51.5% of GWTC for Ps. 875.5 million ➢ GWTC is a group made up of seven companies, specialized in handling, storage and custody services for international trade merchandise in facilities classified as free trade zone
Slide 64: Non-Aeronautical Revenues by Business Line
NON-AERONAUTICAL REVENUES BY BUSINESS LINE 6M23 6M24 Change Businesses operated by third parties: Food and beverage 498,691 588,081 17.9% Car rentals 282,864 403,176 42.5% Duty-free 390,019 368,037 (5.6%) Retail 355,770 341,779 (3.9%) Leasing of space 173,334 207,277 19.6% Other commercial revenues
Slide 65: Non-Aeronautical per Passenger 6M24
NON-AERONAUTICAL PER PASSENGER 6M24 Non-aeronautical revenues consolidated per pax 6M23 - MXP 96.1 6M24 - MXP 110.7 65 All figures are in pesos.
Slide 66: Total Revenues
TOTAL REVENUES CAGR 2010-2023: 15.9% 66 All figures are in millions of pesos.
Slide 67: EBITDA Evolution
EBITDA EVOLUTION EBITDA Margin 65.7% 66.5% 67.2% 68.0% 70.1% 71.5% 69.8% 69.9% 69.5% 68.4% 60.2% 69.7% 71.6% 69.5% 71.4% 68.4% 67 All figures are in millions of pesos.
Slide 68: Net Income
NET INCOME 68 All figures are in millions of pesos.
Slide 69: EBITDA Generated in USD 6M24
EBITDA GENERATED IN USD 6M24 USD (millions): Mexico Jamaica 6M24 % over the total MXN (millions) Aeronautical revenue - 82 82 15% 1,404 Non-aeronautical revenue 38 32 70 35% 1,200 Total Revenues (1) 38 114 152 20% 2,603 Total Expenses 13 70 83 34% 1,413 EBITDA 26 44 70 13% 1,190 1Excluding IFRC-12 6
Slide 70: Debt Composition as of June 2024
DEBT COMPOSITION AS OF JUNE 2024 Total debt MXP 41,836 million Credit rating agencies: mxAAA: National Scale Outlook: Stable August 7, 2024 AAA.mx: National Scale Outlook: Stable August 7, 2024 70
Slide 71: Debt Maturity 2024 – 2033
DEBT Maturity 2024 – 2033 (as of June 30, 2024) (millions of pesos) Exchange rate as of June 30, 2024, of MXP 18.3773
Slide 72: Leverage Ratios
LEVERAGE RatioS sts aK INTEREST DEBT SERVICE 33.3 x 21.7 ai 9.0x 42x 86x 68x 5.7x 49x | a Eaelws NET DEBT / EBITDA 2015 2016 2017 2018 2019 2020 2021 2022 2023 6M24 ail 2015 2016 2017 2018 2019 2021 021 2022 2023 6M24
Slide 73: Shareholder Distribution
SHAREHOLDER Distribution Repurchase program (millions of pesos) executed 3,000 2,000 Payout 140.6% 135.4% 141.8% 111.1% 117.1% 0.0% 313.5% 120.8% 81.6% 72.3% Ratio Dividend yield = payment per share divided by the share price at the end of the prior year The payout ratio does not include the repurch
Slide 74: Revised Guidance 2024
REVISED GUIDANCE 2024 GUIDANCE 2024 vs 2023 Passenger traffic (5%) - (3%) Aeronautical revenues (4%) - (2%) Non-aeronautical revenues 20% - 22% Total Revenue 2% - 4% EBITDA (1%) - 1% Margin EBITDA 67% +- 1% CAPEX Ps. 9.0 billion ➢ Passenger traffic estimates are based on the consolidation of the rou
Slide 75: Sustainability
SUSTAINABILITY
Slide 76: ESG Strategic Axes
ESG Strategic Axes In 2022, we developed the GAP 2030 Sustainability Strategy to align all our efforts with the ESG issues most relevant to the business and our stakeholders. Our Sustainability Strategy is aligned with the United Nations 2030 Agenda and addresses 12 of its 17 Sustainable Development
Slide 77: Sustainability 2023 Ranking Results
Sustainability 2023 Ranking Results Socially Responsible National Emission Great place to work S&P Global CSA Company Registry (RENE) In 2023, we participated in this For the third time, we actively We have participated in this We report annually under this initiative, positioning our company partic
Slide 78: Sustainability 2023 Ranking Results
Sustainability 2023 Ranking Results IC-500 Corporate Equality Gender Index Moody’s ESG Solutions Carbon Disclosure Project Integrity Bloomberg For the 4th consecutive year, we In 2022 and 2023 we participated in this For the third consecutive year, we For the second year in a row, we participated in
Slide 79: GAP Foundation
GAP Foundation GAP believes education is crucial to society’s development. In 2013, we established the GAP Foundation, a non-profit organization that promotes quality education through two initiatives: GAP Schools and Community Training Centers OVER THE LAST 7 YEARS, WE HAVE DONATED AROUND MXP $500
Slide 80: GAP Schools
GAP Schools GAP Schools, at the elementary, middle, and high school levels, provide excellent education for vulnerable local communities. Currently, there are six campuses in the areas near the Guadalajara and Los Cabos airports, with 909 students in Guadalajara and 480 students in Los Cabos. In add
Slide 81: GAP Community Training Centers
GAP Community Training Centers The Community Training Centers are located at GAP’s 12 Mexican airports, with programs to combat educational lag (elementary, middle, and high school) and various courses and workshops. This endeavor raises the quality of life and promotes social mobility through educa
Slide 82: 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 83: Investor Information
INVESTOR Information Alejandra Soto Corporate Headquarters IR & Social Responsibility Officer Av. Mariano Otero No. 1249-B 6th floor asoto@aeropuertosgap.com.mx Torre Pacífico, Rinconada del Bosque Guadalajara, Jalisco, México. Zip Code 44530 Gisela Murillo +(52) 33 3880 1100 Investors Relations Aer
Slide 84: Grupo Aeroportuario del Pacífico
Grupo DN Aeroportuario del Pacifico
Grupo Aeroportuario del Pacífico — Investor Presentation (September 2024) on 6ix