Equity Analysis /
Mexico

ASUR: Flash: Continues with the greatest advance in the sector

  • In April, Asur’s total passengers rose to 61.4%, above estimates and standing out as the largest growth in the sector

  • The strong demand was driven by the Holy Week period, highlighting Puerto Rico and Colombia operations

  • Positive perspectives remain due to favorable demand outlook coupled with attractive valuation

Jose Itzamna Espitia Hernandez
Jose Itzamna Espitia Hernandez

Senior Equity Research Analyst, Infrastructure, Materials and Transportation

Marissa Garza Ostos
Marissa Garza Ostos

Head of Equity Research

Banorte
10 May 2022
Published by

In April, Asur's total passengers registered a 61.4% y/y growth, —including the 9 airports it operates in Mexico, the International Luis Muñoz Marin Airport of San Juan, in Puerto Rico (LMM) and the 6 airports in Colombia (Airplan)—, surpassing levels prior to the health contingency, recording a 20.5% advance vs. the same month of 2019, furthered by the strong demand given during the Holy Week period. Likewise, domestic passengers presented a year-over-year growth of 45.0% and international passengers of 97.1%. In turn, the traffic of the 9 airports operating in Mexico grew 56.8% y/y, representing 112.7% of April 2019 passengers, in line with our 112.0% estimate. Finally, passengers at LMM Airport accounted for 117.9% during 2019 and those from Colombia for 148.9% vs the same month in 2019.

Positive implication: Asur's passengers recorded a solid performance, this occasion highlighting Puerto Rico and Colombia operations, which led once again to the company stand out with the largest increase in the sector. This confirms the favorable demand outlook that will underpin the group's progress in the year, which coupled with an attractive valuation (current FV/EBITDA of 11.3x vs the 5Y average pre-pandemic level of 15.0x), reaffirms our positive vision for the company.