Q4 2020 Grupo Aeroportuario del Pacifico SAB de CV Earnings Call
Good morning, and welcome to GAAP, the fourth quarter, 'twenty and 'twenty conference call. All lines have been placed on mute to prevent any background noise. After the presentation. We will open the floor for questions and at that time instructions will be given if you would like to ask the question. It is now my pleasure to turn the call over to Marty of I don't know of advice corporate Communications. Please go ahead.
Thank you and welcome to that could be part of outside of the other the Pacific class fourth quarter of 2020 conference call today from the company and we have we welcome and it does that will go away from GAAP, Chief Executive Officer and.
Mr thought would be around the chief financial officer. Please be advised the forward looking statements may be made during this conference call. These do not account for future economic circumstances and interest you can discern the company's future performance or financial result, and.
Such statements made are based on several assumptions and factors that could change, causing actual results to me.
Do you really differ from the current expectations for a complete note on forward looking statements. Please refer to the quarterly report issued on Wednesday. Please note that unless stated otherwise all comparisons and the call will be versus GAAP results for the comparable period of 2019 at this point I'd like to turn the call over to Mr.
And for his opening remarks, please begin sir.
Thank you Mario and good morning, everyone and welcome to today's call.
And you really are safe and healthy.
Plenty corn and meal shortly being one of the toughest you're not the only for job well toward the Golar b insuring them properly.
The study on both of them and challenge and you look for something where the bus.
The mantra.
And the focus of mitigating the capex.
All of these pools of our people have been de stocked work force and how quickly take the mixture of your action to ensure and which I will if I'm not sure we shut and controls for the year and to say was the 50 yard held of employees and passengers.
So called the safety.
And their speak of top of your deferrals and a rapid response.
Burns held recognitions, including the thanks to all of them certification by the word globular Jewish Ghansham.
Got the households from the first global their book Hoop to them good day.
The shelter. The addition from therapy culture of international is young.
And from a couple of became the click on the book in the world to obtain the certification.
One of the tropical remains impacted by the public.
Very happy and sequential improvements excuse me.
At the very beginning of the Lockdown got the fitbit and to be able to airlines and the condo per se of these colds for landing parking and other non.
They're just trying to use for the months of L. B.
And May and June do you should we grew out of payment deferrals to summer months for the outstanding balance of four of March.
Beginning of July launch of polar and ramping according to the reopening of boots and now the show of frequencies.
B stock jumps.
Well keep volumes throughout our network.
And Doug will support the liquidity of the airlines and the older to discuss current operations.
December chicken traffic the crews by fully Grupo Nunn Bush and mainly carried out by the life and the parts of your share of 46% you heard of wood, we had 14% although the mix you called me the tempo of shame on them and from one of those we keep pushing it.
In 2020.
Got it became the largest upwards of 30.
And the country chapter of the around towards the two per cent of the Mexico market share for Goodyear and you.
It's important to note that it's one of the book outperformed the.
Most of the ceiling and the airports are among the top of Mexican airports mood of increase of all of the 29 per se versus 2019.
And World Class B climbed by 43, 9% and were not to go where the need agreed by all of the 31 five per cent compared to 2019 of the result of the traffic and can you got lots of blade for the June of two the touch.
One of our multiyear and the other people and I was here a job well the thing.
And support the parents, who represent the significant portion of the gobs of future growth towards the use with probably from incentive plan for two months, which of Gucci skull and silver to many of our rental tools ease of course, the passenger traffic because of each airport.
Given the continued throughout 'twenty 'twenty, one depending of course of of your profit per pub.
There are many benefits to the ski of scrubbing flow.
The one we're able to hold onto a roster of solid thing that's of building stronger.
And she did.
Second we were able to provide the incentive to do you get and so that the cool adopter offering the new trends and consumer and be here of course I'm.
And finally, the Super high social workers and consumer and the stronger overall collections for GAAP.
Do you can you just go out and do some programs and commercial revenue the crude but all of the 35 per cent. Despite the 42, 9% traffic the crews we put in place.
Yeah.
Well one of a couple of large keeps the cost base will go and we moved to control. These cause most of as possible due to the year.
Oh, the watch we temporarily closed non.
The tier, yes, helping us to lower energy consumption of the will of my opinions of jewelry to including cost.
And we expect to continue but and if you need from these cost control actions in the coming quarters well.
But we also expect and look forward to.
And the fact, the soaking costs will increase of the passing of the flow increase of one second.
I'll start and we sold the cost of service from the Mexican airports decreased by 10%.
The 10% the Montego Bay and an increase in Houston.
Due to the consolidation of for a bunch in 'twenty and 'twenty versions of three months of getting the nineties.
Considering the bolt and passengers traffic degrees and the good year.
I shouldn't think of in terms of figuring out the kind of commercial readiness and as well a failure of the teachers and the cost operations God was able to remain with fusion and the cheapest stable and the soles for did you despite the circumstance.
Do you think of it and maybe the.
Of five points.
Feeling of pesos and EBITDA margin of 62 per cent.
In terms of the full quarter of operational results.
Passenger traffic reached $8 2 million of it.
And of 36 per cent compared to 2019.
Two I think the four months E book.
The second and third quarter.
And without the revenue decreased by 27% driven by the lower passing your traffic was offset by the higher.
The maximum price uplift coupled with the 30 points.
On the commercial side revenue decreased 32 per cent.
The largest impact from the timeshare and GTT operations.
The operating cost decreased 21 per cent compared to the forward to price that are suddenly we.
We've got each line of 16% and.
And mainly by the Mexican airports.
And when do you called the airport declared by <unk> 34 per cent of the Kingstone there per her a reduction of six per cent.
As a result did the reach out one 8 billion. There first of all the acquired we got the EBITDA.
The 56, 2%.
Moving onto the balance sheet.
It remains strong.
As you recall the year were raised 7.2 billion pesos for the capital expenditure of committed for 'twenty and 'twenty, a buyer of 2021.
And the payment of one maturity of 422 billion of business.
Combined with the floods and we received true.
To quote and lines each four 1 billion pesos from the Scotia Bank and B B B E.
And I'm not worried of cash preservation initiatives.
GAAP class Gosh, Pacifico was $14 4 billion pesos of December 'twenty and 'twenty.
Of the debt from the NR.
Of the deal we reached a total depth of 24 billion of basis.
Mark you just get back in June and the first quarter of 2021.
And we're one quarter and not me.
Millions of dollars.
We're recognized for an additional 36 months there.
These actions give us the upper.
It tends to preserve cash during one of the telling for US you know we're in the spring.
Many of the company's deep.
And we opted to suspend share holders distribution and 22 of them due to the uncertainty of swap fee revenue from the funding of available of the Mexican market the sign of the Master development programs.
We are happy to point out that is capable of she said of and I work with sold permit us to meet all the covenants of the end of 'twenty and 'twenty.
As of December of 'twenty, and 'twenty, the net debt EBITDA ratio was one seven times.
In terms of debit B, Australia and review.
We're able to sort of the concession of women with Keystone and rebalancing and the B of dairies determination with the Mexican Adobe's through August 12, and not really.
New branches. This was possible due to the imports and profit decrease I mentioned of grille of more than five per cent decrease and Mexican GDP. The last 12 months.
These negotiations concluded in November with a decrease of 27% of the Capex Committee of the the regional and BP.
First of all the some projects to the Mexican demand.
From the Bronx committed and the reading of the MVP and we will continue the construction of the turn off.
So if you believe the quantum of the second one of the only one of the near term liabilities.
And the terminal expansion and the scholarship, but we will delay the satcom terminal and Guadalajara is gone.
Plenty of 22 to conclude 2036 instead of two years early.
The Jasmine and to the MVP peds and ethical terms going forward.
All lines of the current economic environment.
They're all of the process for all of them Jamaican her posts of what's already filed the four acquired and the scoring on the review by the authorities.
Finally in terms of Capex for 'twenty and 'twenty. The company deployed 32 billion pesos. The Moon works the best up during the you were quite out of Chicago and while the higher.
Our largest airports and these include the Batman with floor of me of that expansion of the airfields. We also began the construction of a new term the professor building at the Quad.
The expansion of international terminal B and the new scaffold.
President of Security group can do the you can go and she technology and all of the Mexican airports.
We began the generation of wind energy true solar panels and solid over the course of the level.
Of all of Mexican airports as well if you need more single day the airport.
The fees didn't began generating cost savings during the first quarter of 2021.
In terms of commercial investments the main.
The project work the renovation of already signed of five VIP lounges and back to you the luxe and the renovation and expansion.
Looking out to 'twenty to 'twenty one.
We remain optimistic about new term international passenger traffic as we monitor all breaks and Europe of the neutral arbiter of what keeps it and he talks about did you is the starting with Xiaomi and 36 one of the.
Well all of the profit bonds from Canada, and United Kingdom. So.
So far you must pizza affect international passengers traffic throughout all of our good work.
We are hopeful that the combination of vaccines you Max of mandates I know the all changes he of gene measures and will eventually lead us to more secure to other conditions.
Due in 'twenty and 'twenty, one who will remain the cost control according to trophy level changes.
And you should know we expect a challenge the Capex program in 2021 due to the NDP commitments as well of the commercial and business offerings.
The new B, all told and Guadalajara Airport and now the parking lots of expansion.
The company was never should start to eat will be to continue or color you can call the per cent of the capex needs and are recognizing the maturity and 2021.
And you also don't want to end the call without mentioning the start of the company's buyback program the.
And our own shows from time to time.
We will keep the marketing firm about the progress of before.
I would like to conclude by mentioning that he didn't tell of the long term is difficult to predict the either the circumstance we of jobs remain confident that the underlying fundamentals of our business remain strong.
And are also positive of all the lifting of governor of travelers with T shirts.
And of vaccines and the book.
And our forward all of the economics of conditions, which will benefit our traffic levels. Thank you.
No no real barrier to please open the floor of two questions. Thank.
Thank you and at this time, if you would like to ask a question. Please press the star and one on your Touchtone phone and May remove yourself from the queue at any time by pressing the pankey once again that star and wanted to ask the question and the first question comes from Mauricio Martinez with G. P. M. Your line is now open.
Hi, Good morning. Thank you for taking my question and congratulations on them and the results and.
And your recovery and I have two questions. If I may and the first one is if you can.
And give us any color on on the shape of your day and I'm, sorry in the commercial and business and.
Hum.
And what are your expectations on and on the terms of the.
And of rent reliefs and for the year.
And if you have any changed and the coupons raised your airports that would be my first question and I must say good question needs and regard.
And the capacity from Airlines, and the trust and the cross border and Marquette.
Are you seeing any change since the new requirements from the government in terms of the regarding.
The U E. The COVID-19.
And and if you are seeing and any change she if any.
Yeah.
Going forward in terms of capacity. After these three of these effects.
Certain of these change that would be my two questions. Thank you.
Okay. Thank you Mauricio this is old and.
Picking up all of our commercial tenants one of the few it seems that the we are seeing.
First.
I will say that the processing gear the cable shop, the big completely change.
None of these pandemic of who said that the kind of person and he was like we used to have.
And welcome back, but we got out of the kind of the consumption behavior. So we are changing with the view from pay downs sort of the layout. We are trying to understand these new and I would say behaviors for the consumption of our passengers. So for these 22.
The one what we are expecting to continue to have these really flexible and.
And the policy in terms of both of rents of minimum rent to our growth.
And the tenants, but mainly dot dot dot dot dot dot will B E.
What we are what we are expecting.
The second part related with the covet fashion and the possible impact on the garage.
Congressional tropics <unk>.
No and in the last week of January we did you were of the U S government.
B guns would give a picture of the off for them to apply to our Covid test before arriving to the drugs.
I will share that in the first moment.
And we see a really important drop on the on the on pause.
And yours.
We have picked up the few other line.
We will begin to be like kind of the other brushy of you that all of the passengers will adopt E E and the airports, we have and all of our airports and GE.
And laboratories to help us for sort of deploy all of these tests. So I will see that in the midterm diesel not b a.
I would say is something that will affect more of the profit the other parts of the UC Berkeley is.
And how soon and so the vaccine programs.
Going forward and the U S.
And we'll begin and we really hope to B C on and important recovery in terms of the of the international passengers to our net.
And we've seen that the summer will be a good time to cause she did the size of the of the improvement and how the impact on the about few program could affect or cooler sales to the to the recovery of the introduction of both centers.
Perfect very helpful and I would thank you.
Sure.
And the next question comes from Alexandra and the corner with Credit Suisse. Your line is now open.
Thank you and hi, everyone and thank you protocol.
Two questions from malware type of the first one of the airport average.
Just wanted to confirm that you have already implemented the inquiries and all the airports and me the extraordinary MVP negotiation.
And my second question and some of the D and E.
And do you expect to reinstate the dividend for the use for this year. Thank you.
Thank you Alex.
The different parts of the related with the B, we do we do all the all of the airport values from the I mean and what we.
And the review of and the maximum value that we have from from the <unk>.
During the review of the MVP.
We are already in place so we expect that day.
And the coming months, we will see our and.
Portal recover and in terms of of Paris on the.
The on the of the coming months.
For sure if you broke down to two two to review the.
Nonetheless, the value we could transfer the hundred per cent of the.
On the of the tariff to the airlines at this moment of at least for the first word b.
Because we are also in the middle of a policy of these columns for the new roads routes and recovered so in general the I'm, sorry, we said that.
From the circle of acquire and B Young we will see.
Our food throughout from each of the increase from the top of youth through the revenue itself of GAAP and.
In terms of the of the D. B D. D V. There and some of the distributions to shareholders of without the the barstool to sound too you've got songs from somebody show of color.
Thank you hi on the kind of it well in terms of dividends and we already analyzed and submit a proposal to our board of directors.
And we already have the the destruction and the approval from from the balls. The actors we will release, the DS and agreements and are in the and the agenda for the shareholders meeting that will be held in April saw in the first a thoughtful of March we will.
The release the the the.
The approval from the board of directors and in terms of dividends, our distinguishes two of our shareholders.
Okay. Thank you and thank you very much.
One of them.
And the next question kind of from Louisiana, and say with Compass of your line is now open.
Yeah.
Hi, guys can you hear me.
Yes.
Oh great.
Thanks for taking my calls on some of my question I'm sorry, two questions from my side first day on the <unk>.
And the Tyre side I know you already mentioned you know what youre doing of Mexico, but in terms of seven years of negotiations with the Jamaican authority you see if you could give us some sense of what are you expecting in terms of potential capex.
The reduction and how would that translate into.
And he sort of adjustment and tyrant and and the timing of it and when do you expect that to apply so so so that'll be my first question and then the second one is it's related to cost of margins I mean, it was pretty impressive what we saw and turns of EBITDA margins this quarter.
Despite the big drop and traffic so when you put into account of that.
Some of the cost of I'm guessing and already going to start coming out of his traffic.
And recovers, but maybe some of them will see permanent savings.
Savings from the restructuring of the employees et cetera, et cetera, how should we translate that into and also youre going to get the benefit once the U.
Fully transferred the the authorized price increases and Mexico. So when I put all of that together, how the how should we think about EBITDA margins.
For the full year, you know we have lots of comparison 2019 at 60 per sand, but I know you were talking about perhaps going to the mid sixties pre COVID-19. Obviously, so just wondering if it should be somewhere in between those two or how should we think about that and when do you expect to be back and pre COVID-19 levels both on track.
And that's why all of them are yes. Thank you.
Yeah.
Thank you Louis and well in terms of the the tariff process that we share with the Jamaica and government.
It is undergoing and if we do not expect and how soon Alistair and from from the government. They they put in place a special team to review the proposals for the Kingstone and materially airports and so we will wait probably at the end.
Of the third quarter of this year and see what is the result, obviously, we are asking for the Capex reduction and.
And I maintain the same tariff and Kroll, we need to adjust some of the main cost of operations and in general terms because and.
The that the shortfall in terms of passenger traffic is deeper and Jamaica and Mexico. So we I didn't meet all of that of that process and it could take several months.
And the other point in terms of cost.
And and and costs of margins and we will continue with that where our cost control and 2021, obviously E. B at the same level that says the twenties, where we had several months with almost 90% decrease in coffee and now we will have.
From and some adjustments, obviously, but the margins will improve because the we are expecting a better traffic and this and this year and obviously, we continue with the with the same for all of them and call of.
The cost control.
And so the markets Youre right the mean, probably.
Okay.
And we'll be in that and got the.
Okay.
And in terms of the traffic and in 2019, when we are seeing that the the level of 2019 will come back.
It is public and you see due to the the new regulations and and the international traffic, which is very very important for us and so that way you can make and airports and also for aware and Mexican airports talking about sort of I got to back out of out of the heart of and and it is important to see that the.
And so I think we'll we'll it will take and.
So I.
I don't know if you want to complement.
Yes. Thank you so I would say like the each each air force, who have a deeper on.
The pace of recovery.
And Oh, sorry.
We recently.
B at the same level of profit of 2019, something right around the.
'twenty 'twenty four or the final part of 'twenty and 'twenty three.
I mean in general terms, it's the the keeps our terms of studies that the share repurchase would recover and different days.
And who said God and tariffs of the G of ratio of market could.
Could be.
Travel of C or non people day learned that the parts of the or we are seeing is for instance falls and the pace of the vaccine program of the jurors.
Channel that will bring the.
Ooh Ooh recover the passengers profit in a much better or how you pay for it and stuff and we also see the B why not and we will continue b.
Hardware and about half of them and we hope that the recovery also of the quanta will be cross sells of the rest of the of course due to the fact that the passengers that our juice of the quarter of FERC and some new first class of yours as you say.
And you know of our Mexico American market VFR market, but also very sure of going to the Mexican beaches and for sure Mexico's going to visit South California.
Today, they're saw with scripts shown on the crossing of mail.
And you mean they are.
Not sure of passengers who the.
The ground.
And.
To the cross border Express for the mall the moment all of the Jewish.
And we see defense.
Or or or people that have it.
And the Green cards book.
Who else who the C D and.
So for you from a keep park that will evolve from Vishal growth kind of who the rapid growth.
And on T V S b.
The Ah soon of the.
And of the crossing the restrictions the two day half the U S government.
The disappear and that moment. We also we have a really huge recovery, but again, a general point to understand how deep is the garages and how.
We are expecting a recovery that will go more for Dan and 33 to 24.
And is related with the number of seats and the nationally and the Mexican sleep.
For the moment.
The two.
The decrease.
And on sleep.
And idled, Mexico and for sure with Egypt.
Good day the metric of.
Felipe has a reduction of more than 32 per cent.
Number of available seats.
So the recovery bring.
The show upgrades to the market and for future flow for the airlines.
Thank you and all of the financial moment.
Did you look difficult that we will have a really quick recovery in terms of the number of seats and the country at least from the domestic market.
And that is why we.
We are optimistic that we will see some markets are really enforced on the fast recovery book.
And the other half of them talking about the domestic airlines and.
We are assuming of completing a huge reconfiguration of the market that includes a decrease of more than 32 per cent of the totality of some of the more of them. So that is why we are feeling the full recovery more.
Most of the 2044.
Great. Thanks, a lot and I will answer it.
And so that he can answer yes to clarify solar and wind in terms of Martin and as you said you expect mid sixties suits. The needs of EBITDA are you sort of mid fifties just didn't hear it correctly.
The mid 16.
Yeah.
Okay, great great. Thanks, a lot guys.
Okay.
And the next question comes from the shut Amendment, that's with J P. Morgan. Your line is now open.
Yeah.
And thank you hey, so and the ROE Good morning, and thank you for taking my question actually is more of a follow up Oh, just sundry of interest to apply and some kind of discounts to the airlines.
As you are doing for and the commercial tenants and interest.
And some of your receivables if you see any kind of short term risks, even though it sounds to be to the ratio of tenants. That's it. Thank you.
In terms of the children and parents of the discounts to the airline we have a program for any of airlines in terms of recovery of routes and frequencies. So the big difference between day this year versus 'twenty and 'twenty is that type of incentive policy.
And he can 'twenty and 'twenty, but you buy 100% of discount and I don't know.
The call services on all the airlines for his years of our policies and incentive program that is directly related with the new openings on the or the recovery of capacity and some routes. So.
And the size of the incentive program will be.
But the.
He really is the physics of for some routes that we we expect that with the recovery in terms of off of a possible capacity.
And if there so.
The receivables I mean, I don't see any day.
The seafood, which for the most of them got that would lead you sound that give us all of them somebody should I call you.
Thank you Ralph Yes, and takes off of feels good day.
Good day.
The job and we did tenants and the airlines together in order to help them to a b.
And keep a liquidity and and continue with the payments and this was west west of Goodyear, even through all of the.
The circumstances, and we don't see any any extraordinary situation for 'twenty 'twenty, one and we hope to continue with the with the support to the islands with the support of today.
With the tenants and did not affect significantly the the accounts receivables.
That is pretty clear. Thank you guys have you all great day.
Okay.
And the next question comes from Pavel and months of ice with Barclays. Your line is now open.
Yeah.
Hi, Good morning, Sutherland, I will and team for taking my question just kind of a follow up question on the on the airlines and the commercial tenants is there any deadline and your mind to just see the again on a and b.
And when you were and contracts would be back to normalcy.
For for your partners on specifically for you of commercial partners are you.
Thinking that some of the change the AR and the way that the contracts are structural and will remain for the near future. Thank you.
Okay.
And some of them.
I would say that in terms of of the I would say.
The normality of the of.
The of the rents on the floor for our tenants, we think the 2021 and.
<unk> also some discounts of and we've said this a flexible program. So as soon as we begin to see some recovery of passengers ultimately b the discounts reduce so one of the things that we are of theme for each of these countries. The airports, our son and specific business unit class.
For instance, the suite and bear with US from day, one on the corner the yacht that that day are ready and the same level of sales that used to have and 2019. So for these kind of contracts for instance, we will not apply and from some somebody should all of it's going so the my.
And my apologies for 'twenty and 'twenty, one we will see continue some some particularly the discounts, but it will be the odds are really suffering and what we expect EBITDA for the next year, we will not apply in and stuff.
Kind of of of discounts for poor for our commercial payments of I said, one of the key parts and past the part of the past year and this year is to recoup the grade.
And there you are broader and products, we are introducing our op for asking for food for the record to the to the to the cause of the date of the plan these kind of things.
Really change the behavior of consumption number of passengers or there are things that we are doing for instance on the summer of 'twenty one.
And are developing a new and.
To put the.
Deborah of cereal, while the card of airports that would be outside and so.
Somewhere and we the he was the idea of give another.
Another experience to our passengers the sponsored worked up today and somebody are afraid to consume or take out the basketball and take some food and so we are for instance, Hua Lei Guadalajara, we are developing the area that will be completely outside to give the passenger and the the chances for consume.
Without them being in a more of a safety environmental the outside so these are the kinds of things that we are doing today and we are with peanuts and so what is the the policy and the strategy of GAAP.
Rowing together with the day announced because as soon as the tenor of have a better result, there are some of the Av.
All of this true throughout the fourth one.
The contract with the more and more results so in terms of the.
And in general the 10th of a subset I think the per day next year, we will not have additional discounts and get out of the structure of our all of our contracts.
The continued to be the the same with a big part of the fix the.
Rent and.
The additional park for a bite of Oakland.
And so I'm very clear thank you very much.
And for sure and think about it.
And the next question comes from and got the road of with UBS. Your line is now open.
Hi, Thank you for taking my question and if I can I kind of I think some of that and <unk>.
What sort of follow up on the commercial revenue.
And on the passenger behavior I am and.
And the commercial.
Commercial revenue per passenger of ACO and.
And why do you like.
And I was going for like like and I'm wondering all items.
And we think that can be any behavioral change and that cause the K R. I went back to back how much of that.
Thank you.
The other side I mean, some of the beef beef plants from the behavior of the passengers related for some of them the.
Food and beverage.
The coupon day the EBITDA.
Because I really have 32222 to take of the mask and.
And also we are seeing that change and go for it.
The E Commerce, and let me explain on that kind of the deal.
B they loved download the pandemic made up of lots of people and some way far more digital all of a day from the first time, the Idaho ask the food for the supermarket or.
The ask something on the on that and I'm not something from me and stuff, so and somewhere more digital so the retail.
And some way struggling also because of the.
There's I would say some kind of change of.
Or the covers so of our five airport, the and all of our and.
Partners are.
There is a huge effort to try to.
And Paul some of them.
And e-commerce of throughout the year the airport, that's why and to help us too.
To fully understand.
Share of the retail the retail market to recover the again all.
All of the change that we're seeing the familiarity with the parking lots.
We are seeing a really interesting increase in penetration of of backing up and that's why we are going to develop with part of the the way the towards the 20th will continue there from 'twenty 'twenty, one well, but.
But one of the things that we are seeing that the path of yours are preferring to a rod.
The wrong car routers that use of tax you are over or any of these kind of of transportation. So we are seeing and also.
The change related with the would be with the transportation and that will bring us a really positive impact all of them on the.
Of the parking lots for the for the coming years.
And also one of the mayor of trends that we are of feed of the commercial revenue usually later and on the cargo services we are seeing.
Really important growth the largest peaks, we have theater and both the growth of cargo movements. So we are right now working with the team on GAAP right into few of how we could participate of that adopt the specific merits of book is really important and do too.
True praised of understand for the wall of the hair portfolio for example.
The day that we are operating in a well.
We are talking about a huge decrease the number of passengers.
The case of the out of the cargo and he's got the actually it growth.
So we are figuring out of golf and how to do too and so on.
Participate in this growing market of the law.
Logistic and cargo.
And we expect that for the half of this year, we will have Oh, no I'm aware of around how we could develop that that the specific and.
Business unit of <unk>.
GAAP.
Okay. Thank you very much.
The good rhythm.
And as a reminder of the starring wanted to ask the question. The next question comes from Rob at the rest of money with Citibank. Your line is now open.
Oh, sorry.
Right.
Hum and declining and thank you for asking the question.
Okay.
So and you already answered this I had some connectivity and she is here.
And frankly, I'm really glad you.
And the cause of it I.
S GAAP.
And that actually vote and setting the COVID-19 testing of the airports or if there's something handled by the airlines and the hope out there.
And then secondly, thinking about until the investments, but I'm more.
Longer term I'd like to know sort of any thoughts about the patient and potential acquisitions opportunities like maybe in my mind and what we're doing to learn more and after you know of course the team and thank you.
Take care of overtime I mean in terms of the both of the airport the lease for all sorts of food and coffee and the bleeding of the bathrooms and these kind of things I mean.
We have from the airport, we are helping the pull the fishing operations of the planes per tower. The fact, EBITDA more mainly on the site of the of the of the airline and the if you pick the logistic of the of the of.
And about the order of investments on the long term you know the concession of the revival or too little of other airports I mean as always GAAP with review of all the possible.
And the opportunities.
We will carefully review it for sure you are all of them for this kind of thing for the moment for instance, about the Basel the the governmental of our bottle just see the lay all of this process and will jump it from the next year or so.
Certainly we'll be really close to all of these possible developments book.
At least for the moment, we are seeing and.
Something in the in the near future that that could happen.
Okay, great and.
Thanks, very clear and at the beginning of the presentation and it's just not I don't know, let's just quick one you mentioned the the macro trends of a lot of the device sorry, I missed that was that a bear market once they share on your revenue for domestic passengers the kids get disclosure that thank you.
Yeah.
Okay.
Yes.
And then.
And market share with our network of your and 23.
Whereas a 46 per cent from the life.
All of them.
And from Veeva and.
And from Aeromexico, and American Airlines with the 6% that's the.
The main airlines interest in 'twenty.
And that's domestic only or in total.
The total.
Okay.
Thank you.
And we do have one last question and from the webcast.
Yes. The question is from Mark them up and yes. Thank you Marco and when do you think gap's airports SKU range pre pandemic traffic levels well off of.
And I will mention we are expecting to reach the 2019 levels at the end of 2023 or at the end of 'twenty and 'twenty four it is complicated to see a fast recovery due to the.
The current situation and we will wait and with the new.
And the requirements and from the governments the bands from from the U S Europe and.
And do you have in Canada, and countries and and and that's our view. So far. So we will continue analyzing and look the that the new seats of availability and the market and in that regard the will be adjusted but for now and that's how would you.
Thank you and the.
Before the Portland, and I just wanted to clarify.
The a one one and.
The number and the Capex deploying in 'twenty and 'twenty was three point to the alien.
Thank you Rob.
Central and schools.
Yeah.
Thank you and there are no further questions at this time I will turn the call over to the company for any closing remarks.
Yeah.
Thank you everyone and again.
And for joining us today, and our fourth quarter results conference. We want to remind you that we are all of them something and available translate all of your questions on behalf of GAAP and wish you all the way day Goodbye.
Yeah.
And this concludes today's call. Thank you for your participation you may now disconnect.
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Yeah.
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And.
Yeah.
Okay.