PAC - Grupo Aeroportuario Del Pacifico Announces Results for the Third Quarter of 2019

October, 24 2019 12:53 PM Grupo Aeroportuario Del Pacifico S.A. B. de C.V. de C.V.

GUADALAJARA, Mexico, Oct. 24, 2019 (GLOBE NEWSWIRE) -- Grupo Aeroportuario del Pacífico, S.A.B. de C.V. (NYSE: PAC; BMV: GAP) (“the Company” or “GAP”) reported its consolidated results for the third quarter ended September 30, 2019. Figures are unaudited and have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”).

Summary of Results 3Q19 vs. 3Q18

The sum of aeronautical and non-aeronautical services revenues increased by Ps. 382.6 million, or 12.2%. Total revenues increased by Ps. 783.0 million, or 22.2%.
Cost of services increased by Ps. 46.3 million, or 7.4%.
Operating income increased by Ps. 222.8 million, or 12.5%.
EBITDA increased by Ps. 270.1 million, or 12.4%. EBITDA margin (excluding the effects of IFRIC 12) increased from 69.3% in 3Q18 to 69.5% in 3Q19.
Comprehensive income increased by Ps. 480.1 million, or 49.2%, mostly due to the currency translation effect.

Operating Results

During 3Q19, total terminal passengers at the Company’s 13 airports increased by 803.3 thousand passengers, or 7.3%, compared to 3Q18. Over the same period, domestic passenger traffic increased by 504.3 thousand passengers, while international passenger traffic increased by 299.0 thousand passengers.

In the traffic tables below, we have reflected the users of the Cross Border Xpress (CBX) under the international passenger numbers for the Tijuana airport.

During 3Q19, the following route opened:

International Routes:

Airline

Departure

Arrival

Opening date

Frequencies

Volaris

Guadalajara

San Salvador

August 28, 2019

4 weekly frequencies

Note: The frequency of flights on these routes is subject to change without prior notice.

Domestic Terminal Passengers (in thousands):

Airport
3Q18
3Q19
Change
9M18
9M19
Change
Guadalajara
2,680.4
2,671.4
(0.3%)
7,626.0
7,765.8
1.8%
Tijuana 1
1,431.9
1,556.2
8.7%
4,134.3
4,451.1
7.7%
Los Cabos
458.9
562.2
22.5%
1,256.8
1,447.7
15.2%
Puerto Vallarta
469.4
539.9
15.0%
1,216.5
1,371.2
12.7%
Montego Bay
2.6
2.7
1.2%
6.7
6.9
1.8%
Guanajuato
429.8
528.0
22.9%
1,187.3
1,522.3
28.2%
Hermosillo
413.5
455.7
10.2%
1,246.5
1,315.7
5.6%
Mexicali
287.2
301.7
5.0%
827.0
871.1
5.3%
La Paz
244.1
274.0
12.3%
678.1
740.4
9.2%
Morelia
81.2
116.9
43.9%
255.1
342.8
34.4%
Aguascalientes
173.1
160.4
(7.3%)
505.8
465.6
(7.9%)
Los Mochis
83.7
95.6
14.2%
249.7
282.8
13.2%
Manzanillo
26.0
21.3
(18.4%)
72.0
70.5
(2.2%)
Total
6,781.8
7,286.1
7.4%
19,261.7
20,653.8
7.2%
¹ CBX users are classified as international passengers














International Terminal Passengers (in thousands):








Airport
3Q18
3Q19
Change
9M18
9M19
Change
Guadalajara
1,044.3
1,157.8
10.9%
3,025.3
3,234.5
6.9%
Tijuana 1
577.4
741.9
28.5%
1,643.8
2,136.1
29.9%
Los Cabos
763.3
745.4
(2.3%)
2,708.4
2,764.7
2.1%
Puerto Vallarta
467.9
447.6
(4.4%)
2,385.1
2,418.2
1.4%
Montego Bay
1,081.8
1,098.8
1.6%
3,397.2
3,615.2
6.4%
Guanajuato
174.3
183.0
5.0%
518.7
528.2
1.8%
Hermosillo
15.8
17.2
8.7%
51.2
51.7
0.8%
Mexicali
1.4
1.7
23.2%
4.3
5.1
19.2%
La Paz
2.4
2.8
15.5%
8.2
9.4
14.2%
Morelia
90.4
105.8
17.0%
270.8
312.9
15.5%
Aguascalientes
52.0
65.0
25.1%
144.2
164.4
14.0%
Los Mochis
1.7
1.9
13.6%
4.8
5.4
12.5%
Manzanillo
5.6
8.4
51.0%
58.9
60.8
3.1%
Total
4,278.3
4,577.3
7.0%
14,220.9
15,306.4
7.6%
¹ CBX users are classified as international passengers?














Total Terminal Passengers (in thousands):

Airport
3Q18
3Q19
Change
9M18
9M19
Change
Guadalajara
3,724.7
3,829.2
2.8%
10,651.3
11,000.3
3.3%
Tijuana 1
2,009.3
2,298.1
14.4%
5,778.1
6,587.2
14.0%
Los Cabos
1,222.2
1,307.6
7.0%
3,965.1
4,212.4
6.2%
Puerto Vallarta
937.3
987.5
5.4%
3,601.5
3,789.4
5.2%
Montego Bay
1,084.5
1,101.6
1.6%
3,403.9
3,622.1
6.4%
Guanajuato
604.1
711.1
17.7%
1,706.0
2,050.5
20.2%
Hermosillo
429.3
472.9
10.2%
1,297.7
1,367.4
5.4%
Mexicali
288.7
303.5
5.1%
831.3
876.2
5.4%
La Paz
246.4
276.8
12.3%
686.3
749.8
9.2%
Morelia
171.7
222.7
29.7%
525.9
655.7
24.7%
Aguascalientes
225.1
225.4
0.2%
649.9
630.0
(3.1%)
Los Mochis
85.4
97.6
14.2%
254.5
288.2
13.2%
Manzanillo
31.6
29.7
(6.1%)
131.0
131.2
0.2%
Total
11,060.1
11,863.4
7.3%
33,482.6
35,960.2
7.4%
¹ CBX users are classified as international passengers














CBX Users (in thousands):

Airport
3Q18
3Q19
Change
9M18
9M19
Change
Tijuana
559.7
730.0
30.4
1,586.1
2,100.9
32.5%

Consolidated Results for the Third Quarter of 2019 (in thousands of pesos):


3Q18
3Q19
Change
Revenues



Aeronautical services
2,344,222
2,567,517
9.5%
Non-aeronautical services
791,006
950,353
20.1%
Improvements to concession assets (IFRIC 12)
397,206
797,548
100.8%
Total revenues
3,532,434
4,315,418
22.2%




Operating costs



Costs of services:
624,077
670,350
7.4%
Employee costs
189,846
205,622
8.3%
Maintenance
125,836
141,467
12.4%
Safety, security & insurance
103,147
105,657
2.4%
Utilities
103,952
104,375
0.4%
Other operating expenses
101,296
113,229
11.8%




Technical assistance fees
101,116
115,795
14.5%
Concession taxes
265,674
297,308
11.9%
Depreciation and amortization
392,382
439,691
12.1%
Cost of improvements to concession assets (IFRIC 12)
397,206
797,548
100.8%
Other expenses (income)
(27,601)
(7,605)
(72.4%)
Total operating costs
1,752,854
2,313,087
32.0%
Income from operations
1,779,580
2,002,331
12.5%




Financial Result
(126,259)
(168,861)
33.7%
Share of profit (loss) of associates
(88)
(5)
94.3%
Income before income taxes
1,653,233
1,833,465
10.9%
Income taxes
(328,367)
(470,746)
43.4%
Net income
1,324,867
1,362,719
2.9%
Currency translation effect
(348,549)
93,377
(126.8%)
Remeasurements of employee benefit – net income tax
(508)
(147)
(71.1%)
Comprehensive income
975,810
1,455,949
49.2%
Non-controlling interest
10,519
(33,307)
416.6%
Comprehensive income attributable to controlling interest
986,329
1,422,642
44.2%


3Q18
3Q19
Change
EBITDA
2,171,961
2,442,022
12.4%
Comprehensive income
975,810
1,455,949
49.2%
Comprehensive income per share (pesos)
1.7394
2.5953
49.2%
Comprehensive income per ADS (US dollars)
0.9055
1.3511
49.2%




Operating income margin
50.4%
46.4%
(7.9%)
Operating income margin (excluding IFRIC 12)
56.8%
56.9%
0.3%
EBITDA margin
61.5%
56.6%
(8.0%)
EBITDA margin (excluding IFRIC 12)
69.3%
69.5%
0.2%
Costs of services and improvements / total revenues
28.9%
34.0%
17.7%
Cost of services / total revenues (excluding IFRIC 12)
19.9%
19.1%
(4.3%)




- Net income and comprehensive income per share were calculated based on 561,000,000 outstanding shares. U.S. dollar figures presented were converted from pesos to U.S. dollars at a rate of Ps. 19.7420 per U.S. dollar (the noon buying rate on September 30, 2019, as published by the U.S. Federal Reserve Board).
- For purposes of the consolidation of the Montego Bay airport, the average monthly exchange rate of Ps. 19.4195 per U.S. dollar for the three months ended September 30, 2019 was used.

Revenues (3Q19 vs. 3Q18)

Aeronautical services revenues increased by Ps. 223.3 million, or 9.5%
Non-aeronautical services revenues increased by Ps. 159.3 million, or 20.1%
Revenues from improvements to concession assets increased by Ps. 400.3 million, or 100.8%
Total revenues increased by Ps. 783.0 million, or 22.2%

Aeronautical services revenues include:

Revenues from the Mexican airports increased by Ps. 205.5 million, or 10.3%, compared to 3Q18, generated mainly by an increase of Ps. 154.1 million in revenues from passenger charges, as result of the 7.9% growth in total passenger traffic, as well as an increase of revenues from aircraft landing and aircraft parking charges, which jointly increased by Ps. 44.4 million.
Revenues from the Montego Bay airport increased by Ps. 17.8 million, or 5.3%, compared to 3Q18. This was mainly due to a 1.6% increase in passenger traffic and an increase in passenger charges due to inflation, as well as the 2.3% depreciation of the Mexican peso against the U.S. dollar, from an average exchange rate of Ps. 18.9789 in 3Q18 to an average exchange rate of Ps. 19.4195 in 3Q19.

Non-aeronautical services revenues include:

The Mexican airports contributed an increase of Ps. 146.0 million, or 22.3%, compared to 3Q18, mainly driven by an increase of Ps. 81.8 million in revenues from businesses operated by third parties. This was mainly due to the opening of commercial spaces at the Aguascalientes, Guanajuato, Guadalajara, Hermosillo, Puerto Vallarta and Tijuana airports, as well as the increase in revenues from car rentals and timeshares, which jointly increased by Ps. 72.5 million.

Revenues from businesses operated directly by the Company increased by Ps. 58.5 million, or 28.6%, mainly due to an increase in car parking revenues, and an increase in revenues from VIP lounges and convenience stores. The latter two categories increased as a result of the openings that took place during 2019.
Revenues from the Montego Bay airport in 3Q19 increased by Ps. 13.3 million, or 9.7%, mainly driven by an increase in revenues from duty-free stores, retail stores, leasing of space, communications and financial services, as well as by the 2.3% depreciation of the Mexican peso against the U.S. dollar during the quarter.






3Q18
3Q19
Change
Businesses operated by third parties:



Duty-free operations
125,239
128,258
2.4%
Food and beverage operations
84,613
126,440
49.4%
Retail operations
90,080
95,637
6.2%
Car rentals
74,990
96,563
28.8%
Leasing of space
55,393
60,529
9.3%
Time shares operations
48,834
56,749
16.2%
Ground transportation
29,759
33,416
12.3%
Communications and financial services
19,317
23,129
19.7%
Other commercial revenues
10,450
13,362
27.9%
Total
538,675
634,084
17.7%




Businesses operated directly by us:



Car parking
82,952
102,602
23.7%
VIP lounges
54,513
67,014
22.9%
Advertising
40,121
50,171
25.1%
Convenience stores
27,013
43,317
60.4%
Total
204,598
263,104
28.6%
Recovery of costs
47,733
53,165
11.4%
Total Non-aeronautical Revenues
791,006
950,353
20.1%




Figures expressed in thousands of Mexican pesos.

Revenues from improvements to concession assets¹Revenues from improvements to concession assets (IFRIC 12) increased by Ps. 400.3 million, or 100.8%, compared to 3Q18, mainly due to an increase in committed investments under the Master Development Program for the Mexican airports for 2019, which resulted in an increase of Ps. 537.5 million, or 229.9%, which was offset by a decrease in revenues from improvements to concession assets at the Montego Bay airport of Ps. 137.2 million, or 83.9%.

Total operating costs increased by Ps. 560.2 million, or 32.0%, compared to 3Q18, mainly due to cost of services comprised of the following:

Operating costs at the Mexican airports increased by Ps. 642.3 million, or 50.3%, compared to 3Q18, mainly due to an increase in the cost of improvements to the concession assets (IFRIC 12) for Ps. 537.5 million, or 229.9%, an increase in the cost of services for Ps. 32.0 million, or 7.5%, higher technical assistance fees and cost of rights over the concession assets of Ps. 32.9 million, or 13.8%, and an increase in depreciation and amortization of Ps. 33.0 million, or 7.7%.

The increase in cost of services was mainly due to:

An increase in maintenance expenses of Ps. 12.0 million, or 11.2%, mainly aimed at the airside operational areas, terminal buildings, documented baggage and cleaning services, which jointly increased by Ps. 11.5 million, or 10.5%, due to the addition of square meters at the airports that recently completed their expansions, as well as for improvements in passenger service.
An increase in other operating expenses of Ps. 10.4 million, or 12.1%, compared to 3Q18, mainly due to the increase in the reserve for doubtful accounts, cost of sales in the VIP lounges and convenience stores, and professional service fees, which jointly increased by Ps. 9.8 million, or 11.8%.
An increase in employee costs of Ps. 12.1 million, or 7.5%, compared to 3Q18, due to salary raises, and an increase in personnel count.

Operating costs at the Montego Bay airport decreased by Ps. 82.1 million, or 17.3%, compared to 3Q18 mainly due to a decrease in improvements to concession assets (IFRIC 12) of Ps. 137.2 million, which was offset by an increase in cost of services of Ps. 7.6 million, or 6.8%, an increase in depreciation and amortization of Ps. 14.2 million or 16.4%, and higher cost of rights over the concession assets of Ps. 14.3 million.

Operating margin for 3Q19 decreased by 380 basis points, from 50.4% in 3Q18 to 46.4% in 3Q19. Excluding the effects of IFRIC 12, operating margin increased by 10 basis points, from 56.8% in 3Q18 to 56.9% in 3Q19. Operating income increased by Ps. 222.8 million, or 12.5%, compared to 3Q18.

EBITDA margin decreased by 490 basis points from 61.5% in 3Q18 to 56.6% in 3Q19. Excluding the effects of IFRIC 12, EBITDA margin increased by 20 basis points from 69.3% in 3Q18 to 69.5% in 3Q19. The nominal value of EBITDA increased by Ps. 270.1 million, or 12.4%, compared to 3Q18.

Financial result increased by Ps. 42.6 million, from a net expense of Ps. 126.3 million in 3Q18 to a net expense of Ps. 168.9 million in 3Q19. This increase was mainly the result of:

Foreign exchange rate gain of Ps. 70.3 million in 3Q19, compared to a gain of Ps. 15.6 million in 3Q18, mainly due to an 5.3% appreciation of the Mexican peso against the U.S. dollar in 3Q18, compared to a depreciation of 2.4% in 3Q19, thereby generating an increase in foreign exchange gain of Ps. 54.7 million. The currency translation effect represented a higher gain of Ps. 441.9 million, compared to 3Q18.
An increase in interest expenses of Ps. 130.7 million compared to 3Q18, mainly due to a higher debt derived from the issuance of long-term bond certificates (Certificados Bursátiles) and bank debt for Ps. 3,476.3 million, an increase in interest rates and a decline in the fair value of hedging instruments.
An increase in interest income of Ps. 33.4 million, or 26.2%, mainly due to the increase in the Company’s cash position.

Comprehensive income increased by Ps. 480.1 million, or 49.2%, compared to 3Q18.

This increase was mainly the result of a higher exchange rate gain resulting from the foreign exchange conversion effects of Ps. 441.9 million, or 126.8%.

Income before income taxes increased by Ps. 180.2 million, or 10.9% in 3Q19. During 3Q19, income taxes increased by Ps. 142.4 million, or 43.4% compared to 3Q18. This was a result of the higher incurred tax of Ps. 117.9 million and the decline in the benefit from deferred income tax of Ps. 24.4 million, due to lower accumulated inflation that went from 1.5% in 3Q18 to 0.6% in 3Q19.

Consolidated results for the First Nine Months of 2019 (in thousands of pesos):


9M18
9M19
Change
Revenues



Aeronautical services
7,036,147
7,776,615
10.5%
Non-aeronautical services
2,332,365
2,808,953
20.4%
Improvements to concession assets (IFRIC 12)
1,014,446
1,066,398
5.1%
Total revenues
10,382,958
11,651,966
12.2%




Operating costs



Costs of services:
1,748,088
1,971,293
12.8%
Employee costs
585,116
628,738
7.5%
Maintenance
342,162
402,269
17.6%
Safety, security & insurance
284,373
310,100
9.0%
Utilities
241,554
269,633
11.6%
Other operating expenses
294,883
360,553
22.3%




Technical assistance fees
303,704
345,013
13.6%
Concession taxes
802,076
915,461
14.1%
Depreciation and amortization
1,163,750
1,287,131
10.6%
Cost of improvements to concession assets (IFRIC 12)
1,014,446
1,066,398
5.1%
Other income
(32,445)
(16,538)
(49.0%)
Total operating costs
4,999,618
5,568,758
11.4%
Income from operations
5,383,339
6,083,208
13.0%




Financial Result
(107,883)
(487,208)
351.6%
Share of loss of associates
(847)
(12)
98.6%
Income before income taxes
5,274,608
5,595,987
6.1%
Income taxes
(1,331,243)
(1,572,146)
18.1%
Net income
3,943,366
4,023,841
2.0%
Currency translation effect
(319,739)
(46,362)
(85.5%)
Remeasurements of employee benefit – net income tax
142
(440)
(410.4%)
Comprehensive income
3,623,770
3,977,039
9.7%
Non-controlling interest
(49,451)
(78,235)
(58.2%)
Comprehensive income attributable to controlling interest
3,574,318
3,898,804
9.10%









9M18
9M19
Change
EBITDA
6,547,089
7,370,337
12.6%
Comprehensive income
3,623,771
3,977,039
9.7%
Comprehensive income per share (pesos)
6.4595
7.0892
9.7%
Comprehensive income per ADS (US dollars)
3.3628
3.6906
9.7%




Operating income margin
51.8%
52.2%
0.7%
Operating income margin (excluding IFRIC 12)
57.5%
57.6%
0.2%
EBITDA margin
63.1%
63.3%
0.3%
EBITDA margin (excluding IFRIC 12)
69.9%
69.6%
(0.4%)
Costs of services and improvements / total revenues
26.6%
26.1%
(2.0%)
Cost of services / total revenues (excluding IFRIC 12)
18.7%
18.6%
(0.2%)

- Net income and comprehensive income per share were calculated based on 561,000,000 outstanding shares. U.S. dollar figures presented were converted from pesos to U.S. dollars at a rate of Ps. 19.7420 per U.S. dollar (the noon buying rate on September 30, 2019, as published by the U.S. Federal Reserve Board).
- For purposes of the consolidation of the Montego Bay airport, the average monthly exchange rate of Ps. 19.2548 per U.S. dollar for the nine months ended September 30, 2019 was used.

Revenues (9M19 vs 9M18)

Aeronautical services revenues increased by Ps. 740.5 million, or 10.5%.
Non-aeronautical services revenues increased by Ps. 476.6 million, or 20.4%.
Revenues from improvements to concession assets increased by Ps. 52.0 million, or 5.1%.
Total revenues increased by Ps. 1,269.0 million, or 12.2%.

Aeronautical services revenues include:

Revenues from the Mexican airports in 9M19 increased by Ps. 645.9 million, or 10.8%, compared to 9M18, generated primarily by an increase of Ps. 535.1 million in revenues from passenger charges, as result of the 7.5% increase in total passenger traffic, as well as an increase of revenues from aircraft landing, aircraft parking charges and security costs, which jointly increased by Ps. 92.3 million.
Revenues from the Montego Bay airport increased by Ps. 94.6 million, or 8.7%, compared to 9M18. This was primarily due to a 6.4% increase in passenger traffic and the adjustment in passenger charges as a result of inflation and to a 1.1% depreciation of the Mexican peso against the U.S. dollar, from an average exchange rate of Ps. 19.0365 in 9M18 to an average exchange rate of Ps. 19.2548 in 9M19.

Non-aeronautical services revenues include:

The Mexican airports contributed an increase of Ps. 434.2 million, or 22.5%, compared to 9M18, driven mainly by a Ps. 253.6 million increase in revenues from third-party operated businesses. This was mainly due to the expansions of the terminal buildings and contract renegotiations at the Aguascalientes, Guanajuato, Guadalajara, Hermosillo, Puerto Vallarta and Tijuana airports. The main business lines that grew most were food and beverage, car rentals, duty-free stores, retail stores, timeshares and commercial spaces, which jointly increased by Ps. 229.5 million.

Revenues from businesses operated directly by the Company increased by Ps. 152.4 million or 25.9%, mainly due to an increase in car parking revenues, and an increase in revenues from VIP lounges and convenience stores. The latter two categories increased as a result of the openings that took place during 2019.
Montego Bay airport revenues increased by Ps. 42.5 million, or 10.5% in 9M19, compared to 9M18, mainly due to a 9.5% increase in revenues from duty-free stores, retail stores, leasing of space and food and beverages, as well as to the 1.1% depreciation of the peso versus the U.S. dollar during 9M19.






9M18
9M19
Change
Businesses operated by third parties:



Duty-free operations
343,685
388,398
13.0%
Food and beverage operations
249,550
361,009
44.7%
Retail operations
259,298
282,403
8.9%
Car rentals
221,193
280,811
27.0%
Leasing of space
167,942
184,703
10.0%
Time shares operations
145,659
164,595
13.0%
Ground transportation
95,302
106,163
11.4%
Communications and financial services
60,162
66,371
10.3%
Other commercial revenues
41,976
46,305
10.3%
Total
1,584,767
1,880,759
18.7%




Businesses operated directly by us:



Car parking
239,566
283,603
18.4%
VIP lounges
155,163
201,532
29.9%
Advertising
124,583
145,039
16.4%
Convenience stores
77,997
119,598
53.3%
Total
597,309
749,772
25.5%
Recovery of costs
150,290
178,422
18.7%
Total Non-aeronautical Revenues
2,332,365
2,808,953
20.4%

Revenues from improvements to concession assets²
Revenues from improvements to concession assets (IFRIC 12) increased by Ps. 52.0 million, or 5.1%, compared to 9M18, mainly due to an increase of Ps. 280.8 million or 40.0% in committed investments under the Master Development Program for the Mexican airports for 2019, compared to 9M18. This result was offset by a decline in revenues from improvements to concession assets at the Montego Bay airport of Ps. 228.9 million, or 73.1%, compared to 9M18.

Total operating costs during 9M19 increased by Ps. 569.1 million, or 11.4%, compared to 9M18, and comprised the following:

Operating Costs at the Mexican airports increased by Ps. 664.9 million, or 17.9%, mainly due to an increase in the cost of improvements to concession assets (IFRIC 12) of Ps. 280.8 million, or 40.0%, an increase in the cost of services of Ps. 203.0 million, or 14.2%, an increase in technical assistance fees and the cost of rights to concession assets of Ps. 94.8 million, or 13.6%, and depreciation and amortization of Ps. 89.4 million, or 9.9%.

The increase in cost of services was explained by:

Other operating expenses increased by Ps. 65.4 million or 26.0%, mainly due to an increase of Ps. 55.3 million, or 23.5%, in the reserve for doubtful accounts, cost of sales in VIP lounges and convenience stores and professional service fees.

Maintenance costs increased by Ps. 56.4 million, or 19.8%, mainly due to maintenance of operating areas, terminal buildings, cleaning services and documented baggage inspection equipment.

Utility costs increased by Ps. 31.4 million, or 18.9%, due to the additional square meters in terminal buildings as a result of the expansions and higher energy prices during 2019.

Operating costs at the Montego Bay airport decreased by Ps. 95.7 million, or 7.4% compared to 9M18, mainly due to a decrease in improvements to concession assets (IFRIC12) of Ps. 228.9 million, which was offset by an increase in the concession assets rights of Ps. 59.9 million, or 14.6%, and depreciation and amortization of Ps. 34.0 million or 12.9%, as well as, cost of services of Ps. 20.2 million, or 6.3%.

Operating margin increased by 40 basis points from 51.8% in 9M18 to 52.2% in 9M19. Operating margin, excluding the effects of IFRIC 12, increased by 10 basis points, from 57.5% to 57.6% in 9M19. Operating income increased by Ps. 699.9 million, or 13.0%, compared to 9M18.

EBITDA margin increased by 20 basis points from 63.1% in 9M18 to 63.3% in 9M19. EBITDA margin, excluding the effects of IFRIC 12, decreased by 30 basis points from 69.9% in 9M18 to 69.6% in 9M19. The nominal value of EBITDA increased by Ps. 823.2 million, or 12.6%, compared to 9M18.

Financial result increased by Ps. 379.3 million, from a net expense of Ps. 107.9 million in 9M18 to a net expense of Ps. 487.2 million in 9M19. This increase was mainly the result of:

The foreign exchange gain decreased from a gain of Ps. 210.3 million in 9M18 to a gain of Ps. 128.6 million in 9M19 due to a 4.7% appreciation of the Mexican peso against the U.S. dollar in 9M18 compared to an appreciation of 0.2% in 9M19, which generated a decrease in foreign exchange gain of Ps. 81.7 million. In addition, the effect in foreign currency translation effect resulted in a decrease in net loss of Ps. 273.4 million compared to 9M18.
Interest expenses increased by Ps. 362.6 million compared to 9M18, mainly due to an increase in debt derived from the issuance of long-term bond certificates (Certificados Bursátiles) of Ps. 3,476.3 million, as well as an increase in interest rates and a decline in the fair value of hedging instruments.
Interest income increased by Ps. 65.0 million due to the increase in the Company’s cash position during 2019 and higher average interest rates.

Comprehensive income increased by Ps. 353.3 million, or 9.7%, compared to 9M18.

This increase was mainly the result of income before income taxes which increased by Ps. 321.3 million, in addition to the lower exchange loss in 9M19, as a result of the effect in foreign currency translation of Ps. 273.4 million.

Income taxes increased by Ps. 240.9 million, or 18.1%, due to a decline in the benefit from deferred income tax of Ps. 138.2 million and a lower inflation rate, which went from an inflation rate of 2.6% in 9M18 to an inflation of 0.9% in 9M19, as well as the increase in taxes incurred of Ps. 102.7 million.

Statement of Financial Position

Total assets as of September 30, 2019 increased by Ps. 3,224.0 million compared to September 30, 2018, primarily due to the following items: (i) cash and cash equivalents of Ps. 1,977.0 million, (ii) improvements to concession assets of Ps. 907.0 million and (iii) machinery, equipment and improvements to leased buildings of Ps. 682.2 million. This result was offset by a decline in airport concessions of Ps. 192.8 million.

Total liabilities as of September 30, 2019 increased by Ps. 3,853.4 million compared to the same period of 2018. This increase was primarily due to the following items: (i) an increase in long-term bond certificates (Certificados Bursátiles) of Ps. 3.0 billion, (ii) increase in long-term bank loans of Ps. 476.3 million and (iii) dividends payable of Ps. 210.2 million, among others.

Recent Events

On October 10, 2019 the Company took control and initiated operations of the Norman Manley International Airport (“KIN”), located in the city of Kingston, Jamaica, pursuant to the Concession Contract (“the Contract”) that the Company signed with the Government of Jamaica on October 10, 2018.

In accordance with the terms of the Contract, the Company made a payment of US$ 7.1 million. During the first 36 months, for approximately US$ 60.0 million. Additionally, the Company will pay the Jamaican Government an annual concession fee of 62% of total aeronautical and commercial revenues. These concepts, as well as operating expenses, are included in the determination of airport charges.

Company Description

Grupo Aeroportuario del Pacífico, S.A.B. de C.V. (GAP) operates 12 airports throughout Mexico’s Pacific region, including the major cities of Guadalajara and Tijuana, the four tourist destinations of Puerto Vallarta, Los Cabos, La Paz and Manzanillo, and six other mid-sized cities: Hermosillo, Guanajuato, Morelia, Aguascalientes, Mexicali and Los Mochis. In February 2006, GAP’s shares were listed on the New York Stock Exchange under the ticker symbol “PAC” and on the Mexican Stock Exchange under the ticker symbol “GAP”. In April 2015, GAP acquired 100% of Desarrollo de Concesiones Aeroportuarias, S.L., which owns a majority stake in MBJ Airports Limited, a company operating Sangster International Airport in Montego Bay, Jamaica. In October 2018, GAP entered into a concession agreement for the operation of the Norman Manley International Airport in Kingston, Jamaica and took control of the operation in October 2019.

This press release contains references to EBITDA, a financial performance measure not recognized under IFRS and which does not purport to be an alternative to IFRS measures of operating performance or liquidity. We caution investors not to place undue reliance on non-GAAP financial measures such as EBITDA, as these have limitations as analytical tools and should be considered as a supplement to, not a substitute for, the corresponding measures calculated in accordance with IFRS.

This press release may contain forward-looking statements. These statements are statements that are not historical facts, and are based on management’s current view and estimates of future economic circumstances, industry conditions, company performance and financial results. The words “anticipates”, “believes”, “estimates”, “expects”, “plans” and similar expressions, as they relate to the company, are intended to identify forward-looking statements. Statements regarding the declaration or payment of dividends, the implementation of principal operating and financing strategies and capital expenditure plans, the direction of future operations and the factors or trends affecting financial condition, liquidity or results of operations are examples of forward-looking statements. Such statements reflect the current views of management and are subject to a number of risks and uncertainties. There is no guarantee that the expected events, trends or results will actually occur. The statements are based on many assumptions and factors, including general economic and market conditions, industry conditions, and operating factors. Any changes in such assumptions or factors could cause actual results to differ materially from current expectations.

In accordance with Section 806 of the Sarbanes-Oxley Act of 2002 and article 42 of the “Ley del Mercado de Valores”, GAP has implemented a “whistleblower” program, which allows complainants to anonymously and confidentially report suspected activities that may involve criminal conduct or violations. The telephone number in Mexico, facilitated by a third party that is in charge of collecting these complaints, is 01 800 563 00 47. The web site is www.lineadedenuncia.com/gap. GAP’s Audit Committee will be notified of all complaints for immediate investigation.

Exhibit A: Operating results by airport (in thousands of pesos):

Airport
3Q18
3Q19
Change
9M18
9M19
Change
Guadalajara






Aeronautical services
744,448
814,534
9.4%
2,074,473
2,203,676
6.2%
Non-aeronautical services
207,237
253,117
22.1%
574,222
716,234
24.7%
Improvements to concession assets (IFRIC 12)
43,372
676,273
1459.2%
130,116
697,061
435.7%
Total Revenues
995,056
1,743,923
75.3%
2,778,809
3,616,969
30.2%
Operating income
643,351
737,955
14.7%
1,799,138
1,926,173
7.1%
EBITDA
719,971
817,881
13.6%
2,029,843
2,180,140
7.4%







Tijuana






Aeronautical services
345,919
399,091
15.4%
981,288
1,157,327
17.9%
Non-aeronautical services
79,166
121,603
53.6%
232,677
330,557
42.1%
Improvements to concession assets (IFRIC 12)
49,172
5,586
(88.6%)
147,517
16,757
(88.6%)
Total Revenues
474,257
526,280
11.0%
1,361,482
1,504,642
10.5%
Operating income
260,839
328,779
26.0%
765,095
929,142
21.4%
EBITDA
305,872
381,598
24.8%
897,776
1,085,763
20.9%







Puerto Vallarta






Aeronautical services
215,566
227,336
5.5%
814,909
888,290
9.0%
Non-aeronautical services
89,169
101,517
13.8%
302,766
348,785
15.2%
Improvements to concession assets (IFRIC 12)
3,436
2,972
(13.5%)
10,309
8,917
(13.5%)
Total Revenues
308,172
331,825
7.7%
1,127,984
1,245,992
10.5%
Operating income
158,851
185,838
17.0%
715,421
793,177
10.9%
EBITDA
197,079
223,248
13.3%
830,108
909,676
9.6%







Los Cabos






Aeronautical services
295,987
314,164
6.1%
932,151
1,025,123
10.0%
Non-aeronautical services
170,792
191,627
12.2%
516,779
588,060
13.8%
Improvements to concession assets (IFRIC 12)
72,184
61,775
(14.4%)
216,552
185,325
(14.4%)
Total Revenues
538,962
567,566
5.3%
1,665,482
1,798,508
8.0%
Operating income
285,564
306,055
7.2%
952,906
1,045,603
9.7%
EBITDA
341,238
363,829
6.6%
1,115,161
1,219,989
9.4%







Montego Bay






Aeronautical services
339,978
357,739
5.2%
1,081,862
1,176,435
8.7%
Non-aeronautical services
136,476
149,650
9.7%
404,908
447,253
10.5%
Improvements to concession assets (IFRIC 12)
163,415
26,233
(83.9%)
313,072
84,210
(73.1%)
Total Revenues
639,868
533,622
(16.6%)
1,799,842
1,707,898
(5.1%)
Operating income
164,862
140,690
(14.7%)
514,708
518,497
0.7%
EBITDA
252,025
242,119
(3.9%)
778,103
815,893
4.9%














Exhibit A: Operating results by airport (in thousands of pesos): (continued)
Airport
3Q18
3Q19
Change
9M18
9M19
Change
Guanajuato






Aeronautical services
128,428
149,323
16.3%
350,679
435,105
24.1%
Non-aeronautical services
38,714
48,300
24.8%
107,425
131,762
22.7%
Improvements to concession assets (IFRIC 12)
13,684
817
(94.0%)
41,053
2,450
(94.0%)
Total Revenues
180,826
198,440
9.7%
499,157
569,317
14.1%
Operating income
109,608
131,831
20.3%
295,851
376,372
27.2%
EBITDA
124,799
148,192
18.7%
340,265
427,798
25.7%







Hermosillo






Aeronautical services
75,853
84,047
10.8%
225,948
245,746
8.8%
Non-aeronautical services
22,756
24,308
6.8%
58,806
70,065
19.1%
Improvements to concession assets (IFRIC 12)
780
832
6.7%
2,339
2,496
6.7%
Total Revenues
99,389
109,187
9.9%
287,094
318,308
10.9%
Operating income
38,923
42,761
9.9%
115,968
128,671
11.0%
EBITDA
57,559
60,542
5.2%
169,471
185,154
9.3%







Others (1)






Aeronautical services
198,043
221,283
11.7%
574,836
644,912
12.2%
Non-aeronautical services
46,696
60,229
29.0%
134,782
176,236
30.8%
Improvements to concession assets (IFRIC 12)
51,163
23,061
(54.9%)
153,488
69,182
(54.9%)
Total Revenues
295,903
304,573
2.9%
863,106
890,330
3.2%
Operating income
70,990
88,039
24.0%
227,362
252,751
11.2%
EBITDA
117,804
136,290
15.7%
367,840
400,198
8.8%







Total






Aeronautical services
2,344,222
2,567,517
9.5%
7,036,147
7,776,615
10.5%
Non-aeronautical services
791,006
950,353
20.1%
2,332,365
2,808,953
20.4%
Improvements to concession assets (IFRIC 12)
397,206
797,548
100.8%
1,014,446
1,066,398
5.1%
Total Revenues
3,532,433
4,315,417
22.2%
10,382,958
11,651,966
12.2%
Operating income
1,732,988
1,961,948
13.2%
5,386,448
5,970,385
10.8%
EBITDA
2,116,346
2,373,697
12.2%
6,528,566
7,224,611
10.7%
(1) Others include the operating results of the Aguascalientes, La Paz, Los Mochis, Manzanillo, Mexicali and Morelia airports.

Exhibit B: Consolidated statement of financial position as of September 30 (in thousands of pesos):


2018
2019
Change
%
Assets




Current assets




Cash and cash equivalents
7,141,575
9,118,556
1,976,981
27.7%
Trade accounts receivable - net
992,079
1,029,394
37,314
3.8%
Other current assets
349,225
367,929
18,704
5.4%
Total current assets
8,482,879
10,515,879
2,032,999
24.0%





Advanced payments to suppliers
229,299
138,115
(91,184)
(39.8%)
Machinery, equipment and improvements to leased buildings - net
1,778,306
2,460,484
682,178
38.4%
Improvements to concession assets - net
10,350,063
11,257,021
906,958
8.8%
Airport concessions - net
11,241,270
11,048,433
(192,837)
(1.7%)
Rights to use airport facilities - net
1,446,942
1,373,547
(73,395)
(5.1%)
Deferred income taxes
5,388,261
5,445,975
57,714
1.1%
Other non-current assets
260,368
161,900
(98,468)
(37.8%)
Total assets
39,177,388
42,401,354
3,223,966
8.2%





Liabilities




Current liabilities
3,622,701
6,153,004
2,530,303
69.8%
Long-term liabilities
15,193,667
16,516,766
1,323,099
8.7%
Total liabilities
18,816,368
22,669,770
3,853,403
20.5%





Stockholders' Equity




Common stock
7,777,576
6,185,082
(1,592,494)
(20.5%)
Legal reserve
1,345,710
1,592,551
246,841
18.3%
Net income
3,862,459
3,943,311
80,852
2.1%
Retained earnings
4,514,704
4,580,119
65,415
1.4%
Reserve for share repurchase
2,983,374
3,283,374
300,000
10.1%
Repurchased shares
(1,733,374)
(1,733,374)
-
0.0%
Foreign currency translation reserve
588,018
731,552
143,534
24.4%
Remeasurements of employee benefit – Net
8,312
7,569
(743)
(8.9%)
Total controlling interest
19,346,779
18,590,184
(756,595)
(3.9%)
Non-controlling interest
1,014,242
1,141,400
127,158
12.5%
Total stockholder´s equity
20,361,021
19,731,584
(629,437)
(3.1%)





Total liabilities and stockholders' equity
39,177,388
42,401,354
3,223,966
8.2%
The non-controlling interest corresponds to the 25.5% stake held in the Montego Bay airport by Vantage Airport Group Limited (“Vantage”).

Exhibit C: Consolidated statement of cash flows (in thousands of pesos):


3Q18
3Q19
Change
9M18
9M19
Change
Cash flows from operating activities:






Consolidated net income
1,324,866
1,362,719
2.9%
3,943,366
4,023,841
2.0%







Postemployment benefit costs
9,744
2,282
(76.6%)
14,483
9,211
(36.4%)
Bad debt expense
2,672
(920)
(134.4%)
(3,487)
24,167
(793.0%)
Depreciation and amortization
392,382
439,691
12.1%
1,163,750
1,287,131
10.6%
Lost sale of fixed assets
-
(879)
100.0%
-
1,183
100.0%
Interest expense
217,514
301,661
38.7%
631,821
849,182
34.4%
Loss share of profit of associates
88
5
(94.3%)
847
12
(98.6%)
Long-term provisions
2,160
1,770
(18.1%)
4,860
5,160
6.2%
Income tax expense
328,367
470,746
43.4%
1,331,243
1,572,150
18.1%
Bank loan exchange rate fluctuation
(165,539)
108,000
(165.2%)
(121,726)
37,536
(130.8%)
Net loss on derivative financial instruments
9,381
83,052
785.3%
(26,032)
181,911
(798.8%)

2,121,634
2,768,127
30.5%
6,939,122
7,991,484
15.2%







Changes in working capital:






(Increase) decrease in






Trade accounts receivable
70,067
71,449
2.0%
7,796
340,773
4271.2%
Recoverable tax on assets and other assets
30,651
(9,860)
(132.2%)
33,487
(112,028)
(434.5%)
Increase (decrease) in






Concession taxes payable
21,886
14,364
(34.4%)
(88,282)
(135,755)
53.8%
Accounts payable
147,284
105,274
(28.5%)
161,291
(44,023)
(127.3%)
Cash generated by operating activities
2,391,522
2,949,354
23.3%
7,053,413
8,040,451
14.0%
Income taxes paid
(514,939)
(560,749)
8.9%
(1,672,183)
(1,627,565)
(2.7%)
Net cash flows provided by operating activities
1,876,583
2,388,605
27.3%
5,381,232
6,412,887
19.2%







Cash flows from investing activities:






Machinery, equipment and improvements to concession assets
(532,213)
(932,010)
75.1%
(1,693,650)
(1,776,637)
4.9%
Cash flows from sales of machinery and equipment
23
1,051
4469.6%
448
1,759
292.2%
Other deferred assets
(9,832)
27,369
(378.4%)
(8,435)
1,795
(121.3%)
Other investing activities
-
(9,586)
100.0%
-
-
0.0%
Net cash used by investment activities
(542,022)
(913,176)
68.5%
(1,701,637)
(1,773,083)
4.2%







Cash flows from financing activities:






Dividends declared and paid
(2,002,443)
(2,212,673)
10.5%
(2,002,443)
(2,212,673)
10.5%
Dividends declared and paid non-controlling interest
(145,438)
-
(100.0%)
(271,841)
-
(100.0%)
Capital distribution
-
-
0.0%
(1,250,870)
(1,592,494)
27.3%
Debt securities
-
-
0.0%
-
3,000,000
100.0%
Proceeds from bank loans
281,596
-
(100.0%)
338,792
96,274
(71.6%)
Payments on bank loans
(173,551)
-
(100.0%)
(249,484)
-
(100.0%)
Interest paid
(315,966)
(377,153)
19.4%
(725,454)
(923,448)
27.3%
Interest paid on lease
-
(898)
100.0%
-
(2,885)
100.0%
Payments of obligations for leasing
-
(3,649)
100.0%
-
(12,042)
100.0%
Net cash flows used in financing activities
(2,355,802)
(2,594,373)
10.1%
(4,161,299)
(1,647,268)
(60.4%)







Effects of exchange rate changes on cash held
(117,255)
13,099
(111.2%)
(106,862)
(25,436)
(76.2%)
Net increase in cash and cash equivalents
(1,138,496)
(1,105,845)
(2.9%)
(588,567)
2,967,100
(604.1%)
Cash and cash equivalents at beginning of year
8,280,070
10,224,400
23.5%
7,730,142
6,151,457
(20.4%)
Cash and cash equivalents at the end of year
7,141,575
9,118,556
27.7%
7,141,575
9,118,556
27.7%

Exhibit D: Consolidated statements of profit or loss and other comprehensive income (in thousands of pesos):


3Q18
3Q19
Change
9M18
9M19
Change
Revenues






Aeronautical services
2,344,222
2,567,517
9.5%
7,036,147
7,776,615
10.5%
Non-aeronautical services
791,006
950,353
20.1%
2,332,365
2,808,953
20.4%
Improvements to concession assets (IFRIC 12)
397,206
797,548
100.8%
1,014,446
1,066,398
5.1%
Total revenues
3,532,434
4,315,418
22.2%
10,382,958
11,651,966
12.2%







Operating costs






Costs of services:
624,077
670,350
7.4%
1,748,088
1,971,293
12.8%
Employee costs
189,846
205,622
8.3%
585,116
628,738
7.5%
Maintenance
125,836
141,467
12.4%
342,162
402,269
17.6%
Safety, security & insurance
103,147
105,657
2.4%
284,373
310,100
9.0%
Utilities
103,952
104,375
0.4%
241,554
269,633
11.6%
Other operating expenses
101,296
113,229
11.8%
294,883
360,553
22.3%







Technical assistance fees
101,116
115,795
14.5%
303,704
345,013
13.6%
Concession taxes
265,674
297,308
11.9%
802,076
915,461
14.1%
Depreciation and amortization
392,382
439,691
12.1%
1,163,750
1,287,131
10.6%
Cost of improvements to concession assets (IFRIC 12)
397,206
797,548
100.8%
1,014,446
1,066,398
5.1%
Other income
(27,601)
(7,605)
(72.4%)
(32,445)
(16,538)
(49.0%)
Total operating costs
1,752,854
2,313,087
32.0%
4,999,618
5,568,758
11.4%
Income from operations
1,779,580
2,002,331
12.5%
5,383,339
6,083,208
13.0%







Financial Result
(126,259)
(168,861)
33.7%
(107,883)
(487,208)
351.6%
Share of loss of associates
(88)
(5)
94.3%
(847)
(12)
98.6%
Income before income taxes
1,653,233
1,833,465
10.9%
5,274,608
5,595,987
6.1%
Income taxes
(328,367)
(470,746)
43.4%
(1,331,243)
(1,572,146)
18.1%
Net income
1,324,867
1,362,719
2.9%
3,943,366
4,023,841
2.0%
Currency translation effect
(348,549)
93,377
(126.8%)
(319,739)
(46,362)
(85.5%)
Remeasurements of employee benefit – net income tax
(508)
(147)
(71.1%)
142
(440)
(410.4%)
Comprehensive income
975,810
1,455,949
49.2%
3,623,770
3,977,039
9.7%
Non-controlling interest
10,519
(33,307)
416.6%
(49,451)
(78,235)
(58.2%)
Comprehensive income attributable to controlling interest
986,329
1,422,642
44.2%
3,574,318
3,898,804
9.1%
The non-controlling interest corresponds to the 25.5% stake held in the Montego Bay airport by Vantage Airport Group Limited (“Vantage”).

Exhibit E: Consolidated stockholders’ equity (in thousands of pesos):


Common Stock
Legal Reseve
Reserve for Share Repurchase
Repurchased Shares
Retained Earnings
Other comprehensive income
Total controlling interest
Non-controlling interest
Total Stockholders' Equity
Balance as of January 1, 2018
9,028,446
1,119,029
2,728,374
(1,733,374)
9,001,269
884,471
21,028,215
1,048,554
22,076,769
Transfer of earnings
-
226,681
-
-
(226,681)
-
-
-
-
Dividends declared
-
-
-
-
(4,004,886)
-
(4,004,886)
-
(4,004,886)
Reserve for repurchase of share
-
-
255,000
-
(255,000)
-
-
-
-
Capital distribution
(1,250,870)
-
-
-
-
-
(1,250,870)
-
(1,250,870)
Dividends paid non-controlling interest
-
-
-
-
-
-
-
(83,764)
(83,764)
Comprehensive income:









Net income
-
-
-
-
3,862,459
-
3,862,459
80,909
3,943,368
Foreign currency translation reserve
-
-
-
-
-
(288,281)
(288,281)
(31,458)
(319,739)
Remeasurements of employee benefit – Net
-
-
-
-
-
143
143
-
143
Balance as of September 30, 2018
7,777,576
1,345,710
2,983,374
(1,733,374)
8,377,163
596,331
19,346,779
1,014,242
20,361,021










Balance as of January 1, 2019
7,777,576
1,345,710
2,983,374
(1,733,374)
9,552,071
783,629
20,708,985
1,063,165
21,772,150
Transfer of earnings
-
246,840
-
-
(246,840)
-
-
-
-
Dividends declared
-
-
-
-
(4,425,111)
-
(4,425,111)
-
(4,425,111)
Reserve for repurchase of share
-
-
300,000
-
(300,000)
-
-
-
-
Capital distribution
(1,592,494)
-
-
-
-
-
(1,592,494)
-
(1,592,494)
Comprehensive income:









Net income
-
-
-
-
3,943,311
-
3,943,311
80,530
4,023,841
Foreign currency translation reserve
-
-
-
-
-
(44,067)
(44,067)
(2,295)
(46,362)
Remeasurements of employee benefit – Net
-
-
-
-
-
(440)
(440)
-
(440)
Balance as of September 30, 2019
6,185,082
1,592,550
3,283,374
(1,733,374)
8,523,431
739,122
18,590,185
1,141,400
19,731,584

For presentation purposes, the 25.5% stake in Desarrollo de Concesiones Aeroportuarias, S.L. (“DCA”) held by Vantage appears in the Stockholders’ Equity of the Company as a non-controlling interest.

As a part of the adoption of IFRS, the effects of inflation on common stock recognized pursuant to Mexican Financial Reporting Standards (MFRS) through December 31, 2007 were reclassified as retained earnings because accumulated inflation recognized under MFRS is not considered hyperinflationary according to IFRS. For Mexican legal and tax purposes, Grupo Aeroportuario del Pacífico, S.A.B. de C.V., as an individual entity, will continue preparing separate financial information under MFRS. Therefore, for any transaction between the Company and its shareholders related to stockholders’ equity, the Company must take into consideration the accounting balances prepared under MFRS as an individual entity and determine the tax impact under tax laws applicable in Mexico, which requires the use of MFRS. For purposes of reporting to stock exchanges, the consolidated financial statements will continue being prepared in accordance with IFRS, as issued by the IASB.

Exhibit F: Other operating data:


3Q18
3Q19
Change
9M18
9M19
Change
Total passengers
11,060.1
11,863.4
7.3%
33,482.6
35,960.2
7.4%
Total cargo volume (in WLUs)
520.2
532.2
2.3%
1,600.0
1,612.0
0.8%
Total WLUs
11,580.3
12,395.6
7.0%
35,082.6
37,572.2
7.1%







Aeronautical & non aeronautical services per passenger (pesos)
283.5
296.5
4.6%
279.8
294.4
5.2%
Aeronautical services per WLU (pesos)
202.4
207.1
2.3%
200.6
207.0
3.2%
Non aeronautical services per passenger (pesos)
71.5
80.1
12.0%
69.7
78.1
12.1%
Cost of services per WLU (pesos)
53.9
54.1
0.4%
49.8
52.5
5.3%
WLU = Workload units represent passenger traffic plus cargo units (1 cargo unit = 100 kilograms of cargo).

IR Contacts:

Saúl Villarreal, Chief Financial and Administrative Officer

svillarreal@aeropuertosgap.com.mx

Alejandra Soto, IR and Financial Planning Manager

asoto@aeropuertosgap.com.mx

Gisela Murillo, Investor Relations

gmurillo@aeropuertosgap.com.mx / +523338801100 ext.20294

Maria Barona, i-advize Corporate Communications

mbarona@i-advize.com

_____________________________

[1] Revenues from improvements to concession assets are recognized in accordance with International Financial Reporting Interpretation Committee 12 “Service Concession Arrangements” (IFRIC 12), but this recognition does not have a cash impact or an impact on the Company’s operating results. Amounts included as a result of the recognition of IFRIC 12 are related to construction of infrastructure in each quarter to which the Company has committed in accordance with the Company’s Master Development Programs in Mexico and Capital Development Program in Jamaica. All margins and ratios calculated using “Total Revenues” include revenues from improvements to concession assets (IFRIC 12), and, consequently, such margins and ratios may not be comparable to other ratios and margins, such as EBITDA margin, operating margin or other similar ratios that are calculated based on those results of the Company that do have a cash impact.

Company Name:	Grupo Aeroportuario Del Pacifico S.A. B. de C.V. de C.V.
Stock Symbol:	PAC
Market:	NYSE
Website:	aeropuertosgap.com.mx

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