Business Context and Reporting Period
Company: Central North Airport Group (OMA)
Filing Type: Form 6-K (Report of Foreign Private Issuer)
Reporting Period: Fourth Quarter 2024 (ended December 31, 2024) and Full Year 2024
Date of Filing: February 24, 2025
OMA operates 13 international airports in central and northern Mexico, including major hubs in Monterrey, Acapulco, and Mazatlán. The company also manages hotel and industrial park services.
Key Financial Metrics
Fourth Quarter 2024 (4Q24)
- Passenger Traffic: 7.1 million (up 4.6% vs. 4Q23).
- Total Revenues: Aeronautical revenues increased 11.1%; Non-aeronautical revenues increased 21.7%.
- Adjusted EBITDA: Ps.2,433 million (73.8% margin).
- Operating Income: Ps.2,193 million (53.3% margin).
- Net Income: Ps.1,181 million (down 5.9% vs. 4Q23).
- Earnings Per Share (EPS): Ps.3.07; Earnings Per ADS: US$1.18.
- Cash Flow: Operating cash flow generated Ps.1,870 million; Net cash reduction for the quarter was Ps.761 million.
- Capital Investments: Ps.951 million (including MDP and strategic investments).
Full Year 2024
- Passenger Traffic: 26.5 million (down 1.2% vs. 2023).
- Adjusted EBITDA: Ps.9,069 million (flat vs. 2023).
- Capital Investments: Ps.3,458 million.
- Dividends: Ps.10.89 per share distributed.
- Leverage: Net Debt/Adjusted EBITDA ratio of 1.1x as of December 31, 2024.
- Cash Balance: Ps.1,656 million as of December 31, 2024.
Material Changes vs. Prior Period
- Traffic Growth Drivers: International traffic surged 26.4% in 4Q24, while domestic traffic grew 1.5%. Acapulco saw a 44.8% increase, largely due to a low base in 4Q23 following Hurricane Otis.
- Revenue Mix: Non-aeronautical revenue growth (21.7%) outpaced aeronautical growth (11.1%), driven by a 29.4% increase in retail and restaurant revenues and a 58.7% jump in VIP lounge revenues.
- Cost Pressures: The airport concession tax increased 97% to Ps.265.2 million due to a statutory rate hike from 5% to 9%. This included Ps.101.7 million in excess tax on aeronautical revenues.
- Financing Expenses: Increased 48.1% primarily due to accounting adjustments on the present value of major maintenance provisions (discount rate changes), which did not impact cash flow.
Outlook, Risks, and Unusual Items
Management Commentary and Outlook
Management highlighted a solid capital structure and strong liquidity. The company expects to recover the excess airport concession taxes paid starting in January 2026 through maximum tariff revisions.
Risks and Contingencies
- Taxation: The immediate impact of the concession tax rate increase reduced Adjusted EBITDA by Ps.101.7 million in 4Q24. Without this, Adjusted EBITDA would have been Ps.2,532 million (76.7% margin).
- Forward-Looking Statements: Results are subject to risks including economic conditions, regulatory changes, and operational disruptions, as detailed in the company's Form 20-F.
Unusual Items
- Short-Term Financing: In November 2024, OMA secured Ps.600 million in short-term loans (maturing May 2025) to support working capital. Ps.150 million was repaid in February 2025.
- Sustainability: All 13 airports achieved Level 3 "Optimization" accreditation under the Airport Carbon Accreditation (ACA) Program.
Investor Verification Checklist
- Verify the impact of the 9% concession tax rate on future cash flows and the timeline for tariff recovery starting January 2026.
- Confirm the sustainability of international traffic growth (26.4% in 4Q24) versus the full-year decline in total passenger traffic (-1.2%).
- Review the composition of the Ps.600 million short-term debt and its effect on the Net Debt/Adjusted EBITDA leverage ratio.
- Assess the contribution of non-aeronautical revenue streams (retail, lounges, hotels) to offsetting aeronautical cost pressures.
- Monitor the execution of the Ps.3,458 million capital investment plan for 2024 and its alignment with Master Development Plans (MDPs).