Mexican airport operator Grupo Aeroportuario del Pacífico, S.A.B. de C.V. (PAC) reported results for the fourth quarter and full year 2009.
 
During the quarter, total revenue was MXN$832.3 million, an increase of 0.7% year over year. Aeronautical revenue per passenger increased 1.9%, while non-aeronautical revenue per passenger decreased 3.5%. During full year 2009, total revenue was MXN$3,266.2 million, down from MXN$3,490.8 million in 2008.
 
Consolidated net income was MXN$331.3 million in the quarter, a decrease of 18.3%, compared to the prior-year period. The decrease was principally due to a decline in the integral cost of financing, which was affected by the devaluation of 26% in the Mexican peso versus the U.S. dollar during the fourth quarter of 2008, versus an appreciation of 4.2% in the fourth quarter of 2009.
 
Earnings per share was MXN$0.72, or 55 cents per American Depositary Share (ADS) versus MXN$0.59 or 45 cents respectively in the fourth quarter of 2008. EPADS also beat the Zacks Consensus Estimate of 33 cents.
 
During full year 2009, consolidated net income was MXN$1,540.8 million, compared to MXN$1,199.4 million in the previous year. EPS and EPADS were MXN$2.75 and US$2.10, up from MXN$2.14 and US$1.64 in the year-ago quarter. Reported EPADS was also above the Zacks Consensus Estimate of US$1.41.
 
During the quarter, passenger traffic decreased 2.3% to 4.9 million. Domestic traffic decreased 1.3% and international traffic decreased 4.4%. During full year 2009, total passenger traffic decreased 13.3% year over year, with domestic traffic decreasing 13.3% and international traffic decreasing 13.4%.
 
For the most part, this decrease in passenger traffic was due to the ongoing global economic crisis as well as the health alert resulting from the A/H1N1 virus epidemic that took place in April and May 2009. This caused the temporary cancellation and severe reduction of flights from Canada, the United States and some domestic flights.
 
Additionally, the decrease in domestic passenger traffic during the fourth quarter of 2009 was partially due to fewer seats available as a result of the suspension of operations by Aviacsa in July 2009, as well as an increase in ticket prices during 2009.
 
In view of the environment, PAC enforced a policy of strict controls on costs, which helped increase EBITDA during the fourth quarter of 2009. EBITDA increased 7% year over year and the EBITDA margin increased by 380 bps. However, during full year 2009, EBITDA decreased 5.5%, while EBITDA margin increased by 70 bps. In the midst of economic difficulties, we believe that the cost control policy will drive growth in future.
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