Business Context and Reporting Period
This Form 6-K filing by Pacific Airport Group (GAP) covers the month of November 2018, reporting preliminary terminal passenger traffic figures for October 2018 and the year-to-date period ending October 2018. GAP operates 13 airports across Mexico's Pacific region and one in Montego Bay, Jamaica.
Key Financial and Operational Metrics
The filing focuses on operational traffic metrics rather than financial statements. Key data points include:
- Total Terminal Passengers (October 2018): 3,453,500 (in thousands: 3,453.5), representing a 10.3% increase year-over-year.
- Domestic Traffic (October 2018): 2,378,900, up 12.8% year-over-year.
- International Traffic (October 2018): 1,239,300, up 6.5% year-over-year.
- Year-to-Date (Jan-Oct 2018) Total Traffic: 36,936,200, up 10.9% compared to the prior year.
- Seats Available: Increased by 11.1% in October 2018.
- Load Factor: Decreased by 0.5 percentage points to 81.0% in October 2018.
Note: The filing text does not provide clear values for revenue, profit, cash flow, margins, debt, or liquidity.
Material Changes Versus Prior Period
Passenger traffic growth was broad-based across the portfolio, with significant variances at specific airports:
- Strongest Growth (Oct 2018): Mexicali (+34.4%), Morelia (+29.4%), and Guanajuato (+15.3%) led total passenger increases.
- Declines: Manzanillo (-14.7%) and Los Mochis (+0.8%) saw minimal growth or declines in total traffic.
- Year-to-Date Performance: Mexicali showed the highest YTD growth at 46.9%, followed by Guanajuato at 19.9%.
- CBX Usage: Cross-border Xpress (CBX) users in Tijuana increased by 15.8% in October and 14.2% year-to-date.
Outlook, Risks, and Unusual Items
Unusual Items and Risks:
- Hurricane Willa: The hurricane impacted coastal regions in late October, causing 28 flight cancellations at Puerto Vallarta Airport on October 22-24. This resulted in a 1.2% traffic decrease for that specific airport during the event.
Management Commentary and Outlook:
- New Routes: Several new routes were launched in October, including Guanajuato to Chicago O'Hare and Montego Bay to Dusseldorf and Moscow.
- Future Expansion: 23 new routes are scheduled to begin operations in November and December (12 domestic, 11 international).
- Forward-Looking Statements: The company notes that future results depend on economic conditions, industry trends, and operating factors, with no guarantee that expected trends will occur.
Investor Verification Checklist
- Verify the impact of Hurricane Willa on Q4 revenue and operational costs at Puerto Vallarta.
- Confirm the financial contribution of the 23 new routes scheduled for November and December.
- Monitor the sustainability of the 11.1% increase in seat capacity versus the slight decline in load factors.
- Review the full Q3 2018 financial report (Form 20-F or subsequent 6-K) for revenue and profit figures not included in this traffic update.