The stocks of Mexico’s three major airport groups plummeted
On Thursday, October 5th, tension gripped the Mexican market as the stocks of the country’s three major airport groups took a nosedive.
In this regard, the stocks of Mexico’s top three airport groups fell after it was reported the previous day that the civil aviation authority had decided to modify tariff regulation guidelines.
The mere announcement led to a drop in stock prices on the exchange, and trading was briefly suspended.
Asur, which operates the Cancun airport, saw its shares decline by 24.7%; GAP, which operates Los Cabos airport, saw a 29.9% decrease, and OMA, with its main airport terminal in the industrial city of Monterrey, saw its shares drop by 32.8%.
“This is clearly negative news for the sector, from our point of view,” noted Marco Antonio Montañez, Director of Analysis and Strategy at Vector Casa de Bolsa.
Mexico’s three major airport groups handle a significant portion of the sector. A potential reduction in airport usage fees (TUA) as well as non-aeronautical revenue could have a negative impact on the profitability and generation of free cash flow for the airport groups,” he added.
Three major airport groups in Mexico
The three major airport groups in Mexico have not provided details about the adjustments in their respective statements sent to the market on Wednesday, but they stated that they were evaluating the potential impact on their businesses.
The sector’s decline was dragging down the stock exchange, with the main index, the S&P/BMV IPC, falling by 3.5%.
Grupo Aeroportuario del Sureste, S.A.B. de C.V. (ASUR), was established in April 1998 as a federal public administration entity to manage, operate, exploit, and, if necessary, construct nine airports in the Southeast region of Mexico.
On the other hand, GAP (Grupo Aeroportuario del Pacífico) operates Mexican airports in Guadalajara, Tijuana, Los Cabos, Puerto Vallarta, Guanajuato, Hermosillo, La Paz, Mexicali, Morelia, Aguascalientes, Los Mochis, and Manzanillo.
Meanwhile, OMA, another of Mexico’s top three airport groups, operates 13 international airports in the central-northern region of Mexico, including Monterrey, Acapulco, Mazatlán, Zihuatanejo, Chihuahua, Culiacán, Durango, San Luis Potosí, Tampico, among others.
Also read: Gasoline Production in Mexico on the Rise, but Imports Also Increasing.
