Grupo Aeroportuario del Centro Norte, S.A.B. de C.V. (NASDAQ:OMAB) Q4 2023 Earnings Conference Call February 23, 2024 11:00 AM ET

Company Participants

Emmanuel Camacho - Investor Relations

Ricardo Duenas - Chief Executive Officer

Ruffo Perez Pliego - Chief Financial Officer

Conference Call Participants

Rodolfo Ramos - Bradesco BBI

Guilherme Mendes - JPMorgan

Filipe Nielsen - Citi

Andressa Varotto - UBS

Pablo Ricalde - Santander

Isabela Salazar - GBM

Gabriel Himelfarb - Scotiabank

Fernanda Recchia - BTG Pactual

Federico Galassi - TRG

Operator

Greetings, and welcome to Grupo Aeroportuario del Centro Norte OMA Fourth Quarter 2023 Earnings Conference Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded.

It is now my pleasure to introduce your host, Emmanuel Camacho, Investor Relations Officer. Thank you. You may begin.

Emmanuel Camacho

Thank you, Doug, and hello, everyone. Welcome to OMA's fourth quarter 2023 earnings conference call. We're delighted to have you join us today, as we discuss our company's performance and financial results for the past quarter.

Participating today are CEO, Ricardo Duenas; and CFO, Ruffo Perez Pliego.

Please be reminded that certain statements made during the course of our discussion today may constitute forward-looking statements, which are based on current management expectations and beliefs and are subject to a number of risks and uncertainties that could cause actual results to differ materially, including factors that may be beyond our control.

With that, I'll turn the call over to Ricardo Duenas for his opening remarks.

Ricardo Duenas

Thank you, Emmanuel. Good morning, everyone. We appreciate your presence on this call today.

This morning, Ruffo and I will review our annual operational and financial results, and then we will be pleased to answer your questions. I will start by discussing our full year 2023 highlights and then I will move on to our main fourth quarter results.

OMA achieved another exceptional financial and operational performance, setting new records for the full year 2023. We achieved record-breaking results in passenger traffic, revenues, adjusted EBITDA with an impressive adjusted EBITDA margin of 78.4%, and then consolidated net income. Our full year performance was propelled by a robust increase in both aeronautical and non-aeronautical revenues, underpinned by our successful cost control strategy.

During 2023, the airport that contributed most to the growth of passenger traffic was Monterrey, which grew by almost 22% during the year. The performance of passenger traffic from Monterrey to the metropolitan area of Mexico City, including Mexico City, AIFA and Toluca airports, is notable. During the year, traffic in the market represented 15% of our total passenger traffic and grew collectively by almost 600,000 passengers, an increase of 18% as compared to 2022.