Business Context and Reporting Period
This Form 6-K filing by Pacific Airport Group (GAP) is dated December 12, 2019. The company operates 12 airports in Mexico's Pacific region and two airports in Jamaica (Montego Bay and Kingston). The filing announces the regulatory approval of Master Development Programs and passenger tariffs for the 2020-2024 period by the Ministry of Communications and Transportation in Mexico and the Jamaica Civil Aviation Authority (JCAA).
Key Financial Metrics and Tariff Structures
The filing details approved maximum tariffs and committed capital investments rather than historical financial performance metrics such as revenue or profit.
Approved Tariffs (2020-2024)
- Mexico: Maximum tariffs per work load unit are set in Mexican pesos (indexed to December 31, 2017) and adjusted annually by a 0.7% efficiency factor. For example, Guadalajara's tariff starts at 196.00 pesos in 2020 and declines to 190.58 pesos in 2024.
- Jamaica: Maximum tariffs per passenger are set in U.S. dollars. Montego Bay tariffs range from $15.71 in 2020 to $16.47 in 2024. Kingston tariffs range from $22.47 in 2020 to $29.41 in 2024.
Committed Capital Investments (2020-2024)
- Mexico: Total committed investments are approximately 24.12 billion Mexican pesos (updated as of November 30, 2019). The largest allocation is for Guadalajara (approx. 10.96 billion pesos), followed by Puerto Vallarta (approx. 3.75 billion pesos).
- Jamaica: Total committed investments are $213.1 million USD. Montego Bay accounts for $111.7 million, and Kingston accounts for $101.4 million.
The filing does not provide current revenue, profit, cash flow, margins, debt levels, or liquidity ratios.
Material Changes and Regulatory Approvals
The primary material event is the formal approval of the 2020-2024 regulatory framework. This establishes the pricing power and capital expenditure obligations for the next five years. The tariffs in Mexico are subject to updates based on the National Producer Price Index (NPPI), excluding petroleum. Investments in Mexico are updated per the NPPI construction sector index upon execution.
Guidance, Outlook, and Risks
The filing contains forward-looking statements regarding future economic circumstances, industry conditions, and company performance. Management notes that actual results may differ materially from expectations due to risks including general economic conditions and operating factors. The company operates under concession agreements that dictate tariff parameters and investment commitments.
Investor Verification Checklist
- Verify the impact of the 0.7% annual efficiency factor on net revenue per passenger in Mexico.
- Confirm the exchange rate sensitivity for Jamaica operations, as tariffs are in USD while some costs may be local.
- Monitor the execution of the 24.12 billion peso capital plan in Mexico against the NPPI construction index updates.
- Review the integration progress of the Kingston airport, which GAP took control of in October 2019.
- Check subsequent filings for actual traffic volumes to validate the projections used to set these tariffs.