Scotiabank has adjusted its outlook on Asur (ASR, Financial), shifting its rating from Outperform to Sector Perform. The financial institution has set a price target for the stock at MXN 703. This move reflects Scotiabank's latest evaluation of Asur's market performance and potential future growth.
ASR Key Business Developments
Release Date: April 23, 2025
- Total Revenue: MXN8.2 billion, up 14% year on year.
- Passenger Traffic: 18.6 million passengers, largely flat compared to the same period last year.
- Aeronautical Revenue: Up 9%.
- Non-Aeronautical Revenue: Up 10%.
- Commercial Revenue: Grew in the high single digits.
- Commercial Revenue per Passenger: Nearly MXN147, reflecting strong year-on-year growth in the high teens.
- Total Expenses: Up 18% year on year.
- EBITDA: MXN5.7 billion, up 12% year on year.
- Adjusted EBITDA Margin: 70%, compared to 71.4% a year ago.
- Cash and Cash Equivalents: Nearly MXN23 billion, up 35% year on year.
- Net Debt to EBITDA Ratio: Negative 0.5 times.
- Capital Expenditures: MXN645 million invested during the quarter.
- Net Majority Income: Increased 14% to MXN3.5 billion.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Grupo Aeroportuario del Sureste SAB de CV (ASR, Financial) reported a 14% year-on-year increase in total revenues, reaching MXN8.2 billion, driven by solid growth across all operations.
- Puerto Rico and Colombia showed strong performance, with Puerto Rico maintaining a positive trend of nearly 11% in passenger traffic and Colombia experiencing a 6% rise.
- Commercial revenues grew in the high single digits, with Puerto Rico posting a 23% increase and Colombia delivering a 38% year-over-year growth.
- The company opened 40 new commercial spaces over the last 12 months, enhancing its commercial offerings and revenue potential.
- ASR's balance sheet remains strong with nearly MXN23 billion in cash and cash equivalents, up 35% year on year, and a net debt to EBITDA ratio of negative 0.5 times.
Negative Points
- Passenger traffic in Mexico declined nearly 5% during the quarter, impacted by the Easter shift and competition from the new Tulum airport.
- Cancun, ASR's largest airport, continued to experience year-on-year declines in traffic from almost all regions, including a 10.5% decrease from the US.
- Total expenses increased by 18% year on year, driven by higher concession fees, administrative costs, and a 12% increase in minimum wages in Mexico.
- The adjusted EBITDA margin decreased slightly to 70% from 71.4% a year ago, attributed to higher operating costs.
- The company anticipates increased costs as new infrastructure projects, such as the expansion of Terminal 1 in Cancun, become operational.
