Grupo Aeroportuario del Sureste, S. A. B. de C. V. (ASR) Q4 2024 Earnings Call Transcript

For the period ending December 31, 2024

February 25, 2025 9:00 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Good day, ladies and gentlemen, and welcome to ASUR's Fourth Quarter 2024 Results Conference Call. My name is Melissa, and I'll be your operator. [Operator Instructions] As a reminder, today's call is being recorded.

And now I'd like to turn the call over to Mr. Adolfo Castro, Chief Executive Officer. Please go ahead, sir.

Adolfo Castro

Thank you, Melissa, and good morning, everyone. Before I begin discussing our results, let me remind you that certain statements made during the call today may constitute forward-looking statements, which are based on current management's expectations and beliefs and are subject to several risks and uncertainties that could cause actual results to differ materially, including factors that may be beyond our company's control.

Additional details about our quarterly and full 2024 year, results can be found in our press release, which was issued yesterday after market close and is available on our website in the Investor Relations section. Following my presentation, I will be available for Q&A. As usual, all comparisons discussed on this call will be year-on-year and figures are expressed in Mexican pesos, unless specified otherwise.

Let me start with a review of ASUR's operational performance for the quarter. Passenger traffic was basically flat year-over-year, down 0.3% at 17.7 million passengers. This brought our full year to close at 71 million passengers traveling through our airports in 2024. Sustained growth in Colombia and Puerto Rico largely offset weaker passenger traffic in Mexico.

Now taking a deeper look at our geography. Colombia remained our strongest performance market with passenger traffic increasing in the mid-teens year-on-year, supported by the favorable comps following the suspension of 2 local carriers in early 2023. Travel demand remained solid with international traffic up 29% and domestic traffic rising 7% as Avianca and LATAM Airlines continued to be selling routes lost last year. Looking ahead, we expect traffic trends to be normalized in the first quarter on the year towards the more sustainable levels of 2023.

Puerto Rico was the next best market and similar to past quarters, maintained its positive trend with total traffic up nearly 10%, supported by a strong growth in international traffic, up 29%, while domestic traffic was up 7%. We expect traffic in this market also normalize after benefiting from increasing operations by Frontier Airlines a year ago. Lastly, performance in Mexico remained soft as anticipated, declining 8% year-on-year with both international and domestic traffic down in the high single digits.