Grupo Aeroportuario Del Centro ((OMAB)) has held its Q4 earnings call. Read on for the main highlights of the call.
OMA’s latest earnings call paints a picture of robust international growth and commercial success, tempered by domestic challenges and increased expenses. The sentiment during the call was cautiously optimistic, with a focus on infrastructure expansion and sustainability achievements, despite macroeconomic uncertainties.
Record International Passenger Traffic Growth
International passenger traffic for OMA surged by 26.4% in the fourth quarter and 15% for the full year 2024 compared to 2023. This growth was driven by new routes and increased capacity to the U.S., marking a significant achievement for the company.
Strong Commercial Revenue Performance
OMA reported a record high in commercial revenues per passenger, reaching 60 pesos, a 17% increase from 2023. Notably, restaurant revenues grew by 22%, VIP lounge revenues soared by 51%, and parking revenues increased by 33 million pesos, showcasing the company’s strong commercial performance.
Expansion and Development at Monterrey Airport
The company has made significant infrastructure expansions at Monterrey Airport, increasing passenger capacity to nearly 14 million annually. Plans are in place to further expand this capacity to 16 million by early 2026, reflecting OMA’s commitment to growth.
Diversification Success
OMA’s diversification strategy is paying off, with OMA Cargo growing by 22% and industrial service revenue increasing by 61% for the full year. Additionally, hotel services experienced a 20% revenue growth, highlighting successful diversification efforts.
Level 3 Optimization Certification for Sustainability
All 13 OMA airports have achieved Level 3 Optimization Certification on the Airport Carbon Accreditation Program, underscoring the company’s commitment to reducing carbon emissions and enhancing sustainability.
Domestic Passenger Traffic Decline
Despite international successes, domestic passenger traffic declined by 3.5% for the full year 2024, indicating challenges in the domestic market that OMA will need to address.
Concession Tax Increase Impact
OMA faced a significant increase in concession tax expenses, which rose by 97% due to a rate increase from 5% to 9%, impacting the company’s financials.
Net Income Decrease
The company’s consolidated net income decreased by 5.9% in the fourth quarter compared to the same period in 2023, highlighting financial pressures despite other areas of growth.
Challenging Macro Environment
OMA acknowledged the volatility in the macro environment, which poses potential risks to future projections and operations, necessitating a cautious approach moving forward.
Forward-Looking Guidance
During the earnings call, OMA provided guidance indicating a 4.6% year-over-year increase in total passenger traffic across its 13 airports, driven by a 1.5% rise in domestic traffic and a substantial 26.4% growth in international traffic. Financially, total revenues grew by 13.6%, reaching Ps.3.3 billion for the quarter. The company is investing heavily in Monterrey Airport, with plans to expand capacity to 16 million passengers by 2026, signaling confidence in sustained growth.
In summary, OMA’s earnings call reflects a company experiencing strong international growth and commercial success, albeit with challenges in the domestic market and increased expenses. The forward-looking guidance suggests continued expansion and investment, particularly in Monterrey Airport, as OMA navigates macroeconomic uncertainties.