Grupo Aeroportuario del Sureste registered weaker operating profitability in the fourth quarter, with earnings before interest, taxes, depreciation and amortization (EBITDA) declining roughly 5% year-over-year to MXN4.9 billion. This contraction occurred even as passenger traffic increased by 0.9% over the same period.
The companys quarterly performance lagged market expectations, coming in about 3% below analyst consensus estimates reported by FactSet. Management attributed the shortfall principally to rising operating expenses and softer aeronautical revenues, both of which narrowed the firms margin by 333 basis points from the prior year to 66.4%.
Total revenues excluding construction activity amounted to MXN7.3 billion in the quarter, effectively flat on a year-over-year basis despite the uptick in passenger volumes. Within that topline, aeronautical revenues slipped by 0.3% year-over-year, a move the company linked in part to the appreciation of the Mexican peso. Commercial revenues rose 0.6% year-over-year, a gain the company said was driven by operations in Colombia. However, commercial revenues per passenger in the Mexican operation declined by 1.3% year-over-year.
On the cost side, operating expenses excluding construction climbed by approximately 25% year-over-year. The company identified higher personnel and security costs and fees tied to the Motiva and Asur US acquisitions as the primary contributors to the increase in operating costs.
Despite the earnings decline and acquisition-related costs, Grupo Aeroportuario del Sureste reported a resilient balance sheet following the Motiva and US acquisitions. The company ended the quarter with gearing of 0.8 times net debt to EBITDA.
Financial snapshot
- EBITDA: MXN4.9 billion - down ~5% year-over-year
- Passenger traffic: +0.9% year-over-year
- Total revenues excluding construction: MXN7.3 billion - flat year-over-year
- Operating margin: 66.4% - compressed by 333 basis points year-over-year
- Operating costs excluding construction: +~25% year-over-year
- Gearing: 0.8x net debt to EBITDA
The results underscore a quarter in which revenue stability masked underlying pressure on profitability from elevated costs and currency effects on aeronautical income. The company highlighted the role of recent acquisitions in increasing certain cost lines, while commercial activity in Colombia provided a modest boost to non-aeronautical revenue.