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

ASUR Q3 2025 Earnings Call Summary

1. Key Financial Results and Metrics

• Passenger Traffic: Total served over 17 million passengers, with traffic nearly flat year-on-year.
  • Colombia: +3% to ~5 million passengers (international traffic up 11%).
  • Puerto Rico: +1% to over 3 million passengers (international up nearly 12%).
  • Mexico: -1% to nearly 10 million passengers (domestic down nearly 2%).
• Total Revenues: Increased mid-single digits to over MXN 7 billion, driven by growth in Puerto Rico and Colombia.
  • Mexico: Slight low single-digit decline, with aeronautical revenues flat and non-aeronautical down mid-single digits.
• EBITDA: Declined just over 1% year-on-year to MXN 4.6 billion.
• Net Debt-to-EBITDA Ratio: Maintained at a healthy 0.2x.
• Cash Position: MXN 16 billion, down 19% from the previous year due to dividend payments.

2. Strategic Updates and Business Highlights

• Acquisition Announcement: ASUR entered a definitive agreement to acquire URW Airports for $295 million, enhancing its presence in the U.S. market and targeting high-traffic airports (LAX, O'Hare, JFK).
• Commercial Development: Added 45 new commercial spaces across airports, contributing to a low single-digit increase in commercial revenues.
• Infrastructure Investments: Invested MXN 1.9 billion in various projects, including expansions at Cancun and Puerto Rico airports.

3. Forward Guidance and Outlook

• Traffic Expectations: Anticipate gradual stabilization in Mexico over the next year as aircraft availability improves, while expecting continued positive momentum in Puerto Rico and Colombia.
• Operational Focus: Commitment to advancing commercial strategies, infrastructure investments, and maintaining a strong financial profile.

4. Bad News, Challenges, or Points of Concern

• Traffic Declines in Mexico: Continued headwinds with a 1% decline in passenger traffic, attributed to weaker domestic demand and a slight contraction in international traffic.
• Cost Increases: Total expenses rose nearly 17% year-on-year, with significant increases in Colombia due to a change in amortization method.
• Foreign Exchange Loss: Approximately MXN 1 billion loss due to the depreciation of the Mexican peso against the U.S. dollar.
• Profitability Pressure: Adjusted EBITDA margin declined by 157 basis points to 66.7%, reflecting lower contributions from Mexican and Puerto Rican operations.

5. Notable Q&A Insights

• URW Acquisition: Specific financial metrics regarding the acquisition were not disclosed, but the strategic rationale focuses on establishing a foothold in the U.S. market.
• Colombia Amortization Adjustment: The change in amortization method is expected to be a new standard moving forward, aligning with revenue generation estimates.
• Traffic Trends: Current domestic traffic is weak, with expectations for recovery linked to improvements in aircraft availability.
• Tariff Compliance: Maximum tax compliance is expected to remain similar to the previous year, with no acceleration in tariff increases anticipated due to declining traffic.

This summary encapsulates ASUR's performance and strategic direction for Q3 2025, highlighting both achievements and challenges faced in the current operating environment.