ASUR Reports 4Q21 Financial Results

Rhea-AI Summary

Grupo Aeroportuario del Sureste (NYSE: ASR) reported significant growth in its 4Q21 results, with total passenger traffic up 93.5% YoY, surpassing pre-pandemic levels by 6.6%. Revenues reached Ps.6,789.6 million, a 59.6% increase YoY, while adjusted EBITDA soared 146.8% to Ps.3,285.4 million, resulting in a margin of 69.0%. Cash equivalents stood at Ps.8,770.1 million, and net debt-to-EBITDA improved to 0.5x. The company also paid a cash dividend of Ps.8.21 per common share, indicating financial stability and confidence in its operational recovery.

Positive

• Total passenger traffic increased 93.5% YoY, exceeding 4Q19 levels by 6.6%.
• Revenues increased 59.6% YoY to Ps.6,789.6 million.
• Adjusted EBITDA rose 146.8% YoY to Ps.3,285.4 million.
• Adjusted EBITDA Margin improved to 69.0% from 54.6% in 4Q20.
• Net Debt-to-LTM EBITDA improved to 0.5x.

Negative

• None.

MEXICO CITY, Feb. 24, 2022 /PRNewswire/ -- Grupo Aeroportuario del Sureste, S.A.B. de C.V. (NYSE: ASR; BMV: ASUR) (ASUR), a leading international airport group with operations in Mexico, the U.S., and Colombia, today announced results for the three- and twelve-month periods ended December 31, 2021.

4Q21 Highlights¹

• Total passenger traffic increased 93.5% year over year (YoY), reflecting the impact of the Covid-19 pandemic, which had affected travel demand since mid-March 2020, and exceeding 4Q19 pre-pandemic levels by 6.6%. By country of operations, 4Q21 passenger traffic showed the following recoveries compared to 4Q19 levels:
• Mexico: surpassed 4Q19 traffic by 5.1%, with domestic and international traffic levels increasing by 1.5% and 8.9%, respectively, compared to 4Q19 levels.
• Puerto Rico (Aerostar): exceeded 4Q19 traffic by 5.6%, with domestic traffic increasing by 8.7%, and international traffic reaching 77.3% of its comparable 4Q19 level.
• Colombia (Airplan): surpassed 4Q19 traffic by 11.3%, with domestic and international passengers exceeding their comparable levels by 10.8% and 14.1%, respectively.
• Revenues increased 59.6% YoY to Ps.6,789.6 million and by 49.4% when compared to 4Q19. Excluding construction revenues, revenues increased 95.3% YoY and 24.5% against 4Q19.
• Consolidated commercial revenues per passenger were Ps.115.8 in 4Q21.
• Consolidated EBITDA increased 146.8% YoY to Ps.3,285.4 million and 34.8% compared to 4Q19.
• Adjusted EBITDA Margin (excluding the effect of IFRIC 12) increased to 69.0%, from 54.6% in 4Q20 and 63.7% in 4Q19.
• Cash & cash equivalents of Ps.8,770.1 million at year-end and Net Debt-to-LTM EBITDA at 0.5x.
• Principal debt payments of Ps.164.9 million, or approximately 1.2% of Total Debt, mature in 1Q22, while Ps.450.5 million, or 3.4% of Total Debt, matures in 2022.
• On October 1, 2021, the Company paid an ordinary net cash dividend of Ps.8.21 per common share.

Table 1: Financial & Operational Highlights 1
	Fourth Quarter		% Chg
	2020	2021
Financial Highlights
Total Revenue	4,253,658	6,789,564	59.6
Mexico	3,361,933	5,259,753	56.5
San Juan	674,484	976,903	44.8
Colombia	217,241	552,908	154.5
Commercial Revenues per PAX	105.8	115.8	9.5
Mexico	117.1	140.7	20.2
San Juan	122.8	142.0	15.7
Colombia	50.8	38.6	(24.0)
EBITDA	1,330,938	3,285,382	146.8
Net Income	580,071	2,072,183	257.2
Majority Net Income	503,077	2,013,123	300.2
Earnings per Share (in pesos)	1.6769	6.7104	300.2
Earnings per ADS (in US$)	0.8193	3.2786	300.2
Capex	1,526,747	2,258,235	47.9
Cash & Cash Equivalents	5,192,628	8,770,062	68.9
Net Debt	8,707,718	5,009,485	(42.5)
Net Debt/ LTM EBITDA	1.8	0.5	(72.8)
Operational Highlights
Passenger Traffic
Mexico	4,979,932	8,805,278	76.8
San Juan	1,339,560	2,508,835	87.3
Colombia	1,393,707	3,609,731	159.0

¹ Unless otherwise stated, all financial figures discussed in this announcement are unaudited, prepared in accordance with International Financial Reporting Standards (IFRS), and represent comparisons between the three- and twelve-month periods ended December 31, 2021, and the equivalent three- and twelve-month periods ended December 31, 2020. All figures in this report are expressed in Mexican pesos, unless otherwise noted. Tables state figures in thousands of Mexican pesos, unless otherwise noted. Passenger figures for Mexico and Colombia exclude transit and general aviation passengers, unless otherwise noted. Commercial revenues include revenues from non-permanent ground transportation and parking lots. All U.S. dollar figures are calculated at the exchange rate of US$1.00 = Mexican Ps.20.4672 (source: Diario Oficial de la Federación de México), while Colombian peso figures are calculated at the exchange rate of COP198.2800 = Mexican Ps.1.00 (source: Investing). Definitions for EBITDA, Adjusted EBITDA Margin, Majority Net Income can be found on page 19 of this report.

4Q21 Earnings Call

Date & Time: Friday, February 25, 2022 at 10:00 AM US ET; 9:00 AM CT

Dial-in: 1-888-204-4368 (Toll-Free US & Canada) and 1-323-994-2093 (International & Mexico) Access Code: 1346109.

Replay: Friday, February 25, 2022 at 1:00 PM US ET, ending at 11:59 PM US ET on Friday, March 4, 2022.
Dial-in number: 1-844-512-2921 (Toll-Free US & Canada); 1-412-317-6671 (International & Mexico). Access Code: 1346109

For a full version of ASUR's Fourth Quarter 2021 Earnings Release, please visit: http://www.asur.com.mx/en/investor-relations/financial-information.html

Definitions

Concession Services Agreements (IFRIC 12 interpretation). In Mexico and Puerto Rico, ASUR is required by IFRIC 12 to include in its income statement an income line, "Construction Revenues," reflecting the revenue from construction or improvements to concessioned assets made during the relevant period. The same amount is recognized under the expense line "Construction Costs" because ASUR hires third parties to provide construction services. Because equal amounts of Construction Revenues and Construction Costs have been included in ASUR's income statement as a result of the application of IFRIC 12, the amount of Construction Revenues does not have an impact on EBITDA, but it does have an impact on EBITDA Margin. In Colombia, "Construction Revenues" include the recognition of the revenue to which the concessionaire is entitled for carrying out the infrastructure works in the development of the concession, while "Construction Costs" represents the actual costs incurred in the execution of such additions or improvements to the concessioned assets. 

Majority Net Income reflects ASUR's equity interests in each of its subsidiaries and therefore excludes the 40% interest in Aerostar that is owned by other shareholders. Other than Aerostar, ASUR owns (directly or indirectly) 100% of its subsidiaries.

EBITDA means net income before provision for taxes, deferred taxes, profit sharing, non-ordinary items, participation in the results of associates, comprehensive financing cost, and depreciation and amortization. EBITDA should not be considered as an alternative to net income, as an indicator of our operating performance or as an alternative to cash flow as an indicator of liquidity. Our management believes that EBITDA provides a useful measure that is widely used by investors and analysts to evaluate our performance and compare it with other companies. EBITDA is not defined under U.S. GAAP or IFRS and may be calculated differently by different companies.

Adjusted EBITDA Margin is calculated by dividing EBITDA by total revenues excluding construction services revenues for Mexico, Puerto Rico, and Colombia and excludes the effect of IFRIC 12 with respect to the construction or improvements to concessioned assets. ASUR is required by IFRIC 12 to include in its income statement an income line reflecting the revenue from construction or improvements to concessioned assets made during the relevant period. The same amount is recognized under the expense line "Construction Costs" because ASUR hires third parties to provide construction services. In Mexico and Puerto Rico, because equal amounts of Construction Revenues and Construction Costs have been included in ASUR's income statement as a result of the application of IFRIC 12, the amount of Construction Revenues does not have an impact on EBITDA, but it does have an impact on EBITDA Margin, as the increase in revenues that relates to Construction Revenues does not result in a corresponding increase in EBITDA. In Colombia, construction revenues do have an impact on EBITDA, as construction revenues include a reasonable margin over the actual cost of construction. Like EBITDA Margin, Adjusted EBITDA Margin should not be considered as an indicator of our operating performance or as an alternative to cash flow as an indicator of liquidity and is not defined under U.S. GAAP or IFRS and may be calculated differently by different companies.

About ASUR
Grupo Aeroportuario del Sureste, S.A.B. de C.V. (ASUR) is a leading international airport operator with a portfolio of concessions to operate, maintain, and develop 16 airports in the Americas. These comprise nine airports in southeast Mexico, including Cancun Airport, the most important tourist destination in Mexico, the Caribbean, and Latin America, and six airports in northern Colombia, including José María Córdova International Airport (Rionegro), the second busiest airport in Colombia. ASUR is also a 60% JV partner in Aerostar Airport Holdings, LLC, operator of the Luis Muñoz Marín International Airport serving the capital of Puerto Rico, San Juan. San Juan's Airport is the island's primary gateway for international and mainland-US destinations and was the first and currently the only major airport in the US to have successfully completed a public–private partnership under the FAA Pilot Program. Headquartered in Mexico, ASUR is listed both on the Mexican Bolsa, where it trades under the symbol ASUR, and on the NYSE in the U.S., where it trades under the symbol ASR. One ADS represents ten (10) series B shares. For more information, visit www.asur.com.mx

Analyst Coverage
In accordance with Mexican Stock Exchange Internal Rules Article 4.033.01, ASUR reports that the stock is covered by the following broker-dealers: Actinver Casa de Bolsa, Banorte, Barclays, BBVA Bancomer, BofA Merrill Lynch, Bradesco, BTG Pactual, Citi Global Markets, Credit Suisse, GBM Grupo Bursatil, Goldman Sachs, HSBC Securities, Insight Investment Research, Itau BBA Securities, JP Morgan, Morgan Stanley, Nau Securities, Punto Research Santander, Scotiabank, UBS Casa de Bolsa and Vector.

Please note that any opinions, estimates or forecasts regarding the performance of ASUR issued by these analysts reflect their own views, and therefore do not represent the opinions, estimates or forecasts of ASUR or its management. Although ASUR may refer to or distribute such statements, this does not imply that ASUR agrees with or endorses any information, conclusions or recommendations included therein.

Forward Looking Statements

Some of the statements contained in this press release discuss future expectations or state other forward-looking information. Those statements are subject to risks identified in this press release and in ASUR's filings with the SEC. Actual developments could differ significantly from those contemplated in these forward-looking statements. In particular, the impact of the COVID-19 pandemic on global economic conditions and the travel industry, as well as on the business and results of operations of the Company in particular, is expected to be material, and, as conditions are changing rapidly, is difficult to predict. The forward-looking information is based on various factors and was derived using numerous assumptions. Our forward-looking statements speak only as of the date they are made and, except as may be required by applicable law, we do not have an obligation to update or revise them, whether as a result of new information, future or otherwise.

Contacts:

ASUR Adolfo Castro +1-52-55-5284-0408 acastro@asur.com.mx

InspIR Group Susan Borinelli +1-646-330-5907 susan@inspirgroup.com

View original content:https://www.prnewswire.com/news-releases/asur-reports-4q21-financial-results-301490118.html

SOURCE Grupo Aeroportuario del Sureste, S.A.B. de C.V.

FAQ

What were the 4Q21 earnings for ASUR?

In 4Q21, ASUR reported revenues of Ps.6,789.6 million, a 59.6% increase YoY, with an adjusted EBITDA of Ps.3,285.4 million, reflecting a 146.8% YoY growth.

How did ASUR's passenger traffic perform in 4Q21?

ASUR experienced a 93.5% increase in total passenger traffic in 4Q21 compared to the previous year, surpassing 4Q19 levels by 6.6%.

What is ASUR's current net debt position?

As of year-end 2021, ASUR's net debt stood at Ps.5,009.5 million, with a net debt-to-LTM EBITDA ratio of 0.5x.

Did ASUR declare any dividends in 2021?

Yes, ASUR paid a cash dividend of Ps.8.21 per common share on October 1, 2021.