Grupo Aeroportuario Del Pacifico, S.A. B. de C.V.

Good morning and welcome to GAP's second quarter 2026 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 a question. It is now my pleasure to turn the call over to GAP's investor relations team. Please go ahead.

Thank you and welcome to GAP's second quarter 2026 conference call. Prior to introducing GAP's management team, I'd like to take a few moments to mention the forward-looking statements as described in the financial report. Please be advised that any comments made today may not account for future economic circumstances, industry conditions, the company's future performance, or financial results. As such, any information discussed is based on several assumptions and factors that could change, causing actual results to materially differ from current expectations. For the complete note on forward-looking statements, please refer to the quarterly report issued previously. Thank you for your attention. It is my pleasure to introduce our speakers from GAP today, who will be discussing with you the operational and financial highlights for the second quarter of 2026. These are Mr. Raul Revuelta, Chief Executive Officer, and Mr. Saul Villarreal, Chief Financial Officer. Mr. Revuelta, please proceed with your opening remarks.

Thank you, Maria. Good morning, everyone, and thank you for joining us today. The second quarter of 2026 has the resilience of GAAP's business model. Passenger traffic declined by 5.6% compared with the second quarter of 2035. Nevertheless, revenue, including construction services, increased by 4.9%, area grew by 8.4%, and area margin expanded by 230 basis points to 69.3%. These results reflect the combined strength of our diversified airport portfolio, the continued growth of business operating directly by GAP, initial contribution from the Crossword Express, the global implementation of approved types and internalization of technical systems services. While we are not satisfied with the current traffic performance, this query demonstrates that GAP is increasingly capable of protecting earnings and generating growth through multiple complementary revenue streams. Let me begin with passengers' traffic. During the second quarter, total passengers' traffic across GAS network of 14 airports declined by 5.6% versus the second quarter of 2021, reflecting a combination of factors affecting both our Mexican and Jamaican operations. In Jamaica, we continue to experience the impact of Hurricane Melissa, while the recovery of hotel capacity along the main tourist corridor gradually continues. It has not yet returned to the pre-storm levels. However, we can hope there will be opening points to extend recovery throughout the second half of this year. If this continues with spectacular traffic, we'll continue to strain in the coming months. The operating environment in Mexico remains challenging throughout the quarry. While airlines practically manage capacity in response to the current economic environment, rising jet fuel costs continue to pressure airfare prices. In addition, international issues Demand for some of our big destinations are affected by security concerns, including the security incident in Puerto Vallarta during the previous quarter, as well as various travel and battery issues by the U.S. government as a result. International traffic broke the quarter decline highlighted by the 27% reduction in international passengers at Puerto Vallarta. We are actively partnering with airlines and regional tourist stakeholders to rebuild world connectivity and boost travel confidence in this area. In the month of June, the city of Guadalajara hosted four or five FIFA World Cup matches. We are proud to highlight that this demonstrates the operational strength of the Guadalajara airport. Throughout the tournament, the airport successfully handled additional charter flights as well as the arrival of national teams, official delegations, and flags. Despite heightened security protocols, operations remained normal, preserving excellent standard service levels for both daily passengers and airline partners. As a result, traffic at Guadalajara Airport rose by 6%. This was partially offset by a temporary shutdown in business and leisure travel at early-gap airports during the World Cup. We expect this demand to normalize in July following the completion of the tournament. We believe that a significant portion of the headwinds affecting traffic is temporary. Although the pace of normalization will vary by market, our revised guidance does not assume an immediate or complete recovery. Instead, it represents a gradual improvement by 19 new routes launched during the quarter, the contribution of new frequencies that began operation in June, the gradual restoration of hotel capacity in Jamaica, A more favorable year-over-year comparison with the second half. During their financial results, aeronautical revenue decreased by 3.2% primarily due to the lower passenger traffic both in Mexico and Jamaica, as well as a 10.9% appreciation on Mexican pesos, which negatively affects the transition of revenue generation in U.S. dollars, as well as international passenger charges. It is important to highlight that those effects were partially offset by the gradual implementation of maximum tariffs approved for the 2045-2029 creditory period in Mexico. Neurological revenues increased by 23.9%, supported by continued growth across the business line operated directly by CAAT, as well as the consolidation of the cross-border spread beginning on the 1st of May of this year. Without considering the consolidation of the CDX, Revenue from the business lines operated directly by GAP once again delivered strong growth, increasing by 17%, despite lower passing restrictions. The carbon-bounded warehouse operations grew by 22%, advertising by 58%, hotel operations by 27%, convenience stores by 11%, and parking by 9%. Let's just take a pause here because This demonstrates that JAP's commercial strategy is not solely dependent on passengers' volume. The commercial strategy we have in place increasingly reflects our ability to include monetization, expand directly operated platforms, and capture a greater share of passengers' and logistics-related spending. Thus, these measures are becoming a more significant source of recurring earnings and central to our strategy of building a more diversified infrastructure platform. At the same time, Businesses that are more directly exposed to international-issued traffic and freight exchange, including duty-free and VIP lunch, remain under pressure. We expect these categories to improve as international traffic gradually recovers. In terms of CDX, this operation generates revenue of 168 million pesos during the months of May and June. Juan Luis Perez, over 6,226 passengers, thousand passengers using the facility going in both directions. This generates an average revenue of $42.8 per passenger, which is aligned with the GAAP expectations. Although CVS traffic stream will remain below those of the prior year, this finance initial financial contribution demonstrates the strength and resilience of pricing and commercial models. We continue to see opportunities in dynamic pricing, ancillary services, passenger experience, and improved connectivity between Tijuana and Southern California. Moving on to total operating costs, deals remain relatively stable compared to the same period of the last year. Deal results include the positive effect of the reversal of the technical assistance fee provision due to the internalization. It also includes two months of CDX operation expenses and the one-off merger-related expenses. During this effect, operating expenses increased by 3% compared to the second quarter of 2025. Cost of service probably increased due to the higher personnel expenses, maintenance costs, and security expenses across our represents. As I recall, EBITDA increased by 8.4%, reaching 6 billion pesos during the quarter, an EBITDA margin of 69.3%. In terms of our financial position, we continue to maintain a solid liquidity profile. The business combination contributes by 5.4 billion pesos in cash and cash equivalents, and focuses on the scale and diversification of our asset base. Moving on to the CAPEX, we continue to execute our investment forum on the 2025-2029 Master Development Plan in Mexico and our capital development programs in Jamaica. Our investment remains focused on expanding airport capacity, improving operational infrastructure, and enhancing passenger experience throughout, all while supporting the long-term growth of our airport network. Let me now turn on the revised 2026 growth guidance. Considering the concentrations of CVX, internalization of technical assistance services, current passenger traffic trends, and the progress of the company investment projects, we have updated our annual expectations. Currently, we expect passenger traffic to land at a range of between minus three and flat growth. I just want to mention that this hour reflects a rather long problem during the second half, but must not assume that all airports return to the world at the same time, Puerto Vallarta and Montego Bay achieve a complete recovery during 2026. Aeronautical revenues are expected to increase between 1% and 4%, supported by the implementation of tariffs approved by the authorities for our airports in Mexico. No aeronautical revenues are expected to grow between 21% and 24%, driven by the performance and cap of the air business as well as the consolidation of CVX. Evida is expected to grow between 10% to 12%. This would yield an Evida margin of approximately 67% plus or minus 1%. This reflects, among other factors, the internalization of technical assistance and technology transfer service. Finally, CAPES is expected to be around $4 billion. This includes $9 billion for community investment at airports in Mexico under the Master Development Program. Two billion for investment at airports in Jamaica and one billion for commercial investments. A follow-up will continue to undergo to the approval of projects with the relevant authorities to incorporate Fibra Gap with the objective of subscribing a minority equity interest in the 12 Mexican airport concession areas. We expect this to go throughout during the third quarter of this year and we will keep you informed of any update on this project. Before concluding, I would like to emphasize three points. First, despite the 5.6 overall decline in passenger traffic, the strong of the Lion Air for Business Protect, the company earnings capacity. Note that the report data increased by 8.4% and the FDR margin expanded to 69.3%. Second, our diversification strategy is already producing measurable results. Excluding CVS, business operated directly by GAAP grew by 17%, while CVS contributed 216 million pesos in EBITDA during the first two months of the consolidation. Third, our long-term strategy remains unchanged. We continue investing in airport capacity, commercial platform, logistics, and across-order mobility, while maintaining disciplined capital allocation. This quarter demonstrates that GAAP is no longer dependent on a single road driver. Traffic remains fundamental to our business, but a proprietary, directly operating commercial business, logistics, CVS, and internalization of technical assistance services provide a complementary source of earnings and receivables. Thank you again for your time. Operator, please open the line for questions.

If you'd like to ask a question over the phone, please press star 1 on your keypad. And you'll be placed into the queue in order received. You may remove yourself from the queue at any time by pressing pound 1. And as a reminder, participants joining via webcast may submit questions at any time using the Q&A function. Again, for a question on the phone, press star 1 and we'll pause briefly. Our first question comes from Rodolfo Ramos of Bradesco BDI.

Good morning. Thank you, Raul, Saul, Alejandra, for the call. I've got two questions, if I may. The first one is about your traffic guidance. I mean, we were never too optimistic on the World Cup effect, but we were surprised by how weak performance was during the month of June, not just for you, but for the system. Now, looking at your guidance, it implies better performance in the second half, as you mentioned some of these factors, but can you elaborate? How do you see them playing out in that recovery and perhaps some thoughts on your expectations for 2027? And second, if I may, can you update us on the FEBRA listing? And if you can, just to share a little bit of visibility and clarity on the rationale, can you put a ballpark figure? I know it might be difficult, but how should we look at your Thank you.

Thank you, Raul. This is Raul. In terms of our traffic guidance, what we saw during the workup or during the month of June, we saw a really important change on the airfares that in some way deaccelerated the demand for traffic. mainly domestic travelers, this year a businessman that in a normal month will come to some of the different airports. So what we saw is, I would say, a temporary effect of some passengers that didn't fly during the World Cup because of the airfares, for sure. And we just see some kind, I would say, a substitution Let me put it this way. The passenger, the business traffic that usually comes to Guadalajara or even Tijuana was in some way changed. The seat was changed or taken by fans or by people coming for all for the matches. So what we are seeing for the coming months is we are seeing a July that will bring some of this lack of domestic passengers, passengers that will come or will make leisure domestic passengers in Mexico. and in some way that they avoided to fly during June for the worker, but we are seeing that we'll fly on July. For the rest of the month, what we are seeing is some additional seats coming for some of our mail-in leisure destinations. We are seeing also different openings happening on domestic market mailing lines So, in general terms, we are seeing that the end of the year is going to be, I would say, a flat result for the 12 months of this 2026.

Hi. This is related to Zebra. As you know, you see, this is a different vehicle from that. This is our first time on this. We are in the process of the incorporation of the trust. We are really, really, really advanced. We are in the final process for meetings with the different investors. As you may know, as a new instrument for financing the MDP, there are several concerns on this. And obviously, we are trying to move forward and we believe that the following weeks will be ready to launch the FIRA. On the other hand, related to the expected tax rate, this vehicle will be transferring for tax purposes, but it will be only at the Mexican airports. At the end, we will be transferring dividends directly to GAAP without paying taxes at the airport's level, but at the GAAP's level, we will be Paying taxes as a regular company. So there won't be any expected benefit on tax. So what did we expect is the same tax rate basically. We will have a period of transition probably in 26, 27 in which we could obtain a little decrease in terms of tax because the tax shield of the interest, but it will be only a temporary effect that won't be permanent. So, in general terms, I would say that won't be any change in the effective tax rate for GAF.

Thank you. Next, we have Julia Orsi of J.P. Morgan.

Yes, hello, everyone. Good morning. Thanks for taking my questions. So we have two topics on our side. The first one, can you comment a bit on the maximum tariff compliance level that you reached on second quarter, and what do you expect to reach by your end? And the second one is a follow-up on traffic trends. So can you comment on 2027 trends? I know that it's still early, but it would be good to have your color on this. Thank you.

Thank you, Juliana and Raul. I mean, on the first six months of the year, we have 90% of fulfillment of the maximum tariff. We are expecting that for the end of the year, it will be something around 95%. We just changed on the 1st of July again tariff in Cabos and Puerto Vallarta. mainly the passenger fee for domestic passengers will increase an additional 7% from beginning of July 1st. So what we are seeing is that we will be really close to this number of 95% to the end of the year. For sure, taking into account what will happen with the fixed rate with the dollar as an investment with exchange rate. But in general, there are things I would use on that. For the 2027, I would say that it's pretty early to have this kind of, to have some kind of view on the number. I would say that we have like two big effects to have in mind. The first one is with the price on oil and the war in Iran, how would this continue to impact in some way The cost of the airline and in that way the possible unavailable offer in the different destinations. And the second one is related with the domestic market. We need to have some kind of additional visibility of what could happen with the merger transaction of Viva and Volaris that could affect in some way the growth for the coming year. But I will say that in general terms, for sure we are expecting some growth in the coming years. We will not have the effect of the in the coming years, but at least what we are seeing on the front of the recovery of hotels capacity in Jamaica is that for the end of this year, everything's going to be normalized. In general terms, we think that the coming year will be positive, but today it's difficult to see which is like the range of growth that we will see.

Thank you.

Next, we have Pablo Ricalde of Itaú Unibanco.

Hi, good morning Raul, good morning team. I have two questions. The first one is an update on Jamaica. How are you seeing traffic trends in Jamaica for the second half of the year? I know you will face easier comes November and December, but maybe you can provide some color on how you are seeing like hotels and the airports and logistics in the island. And the second one is on your guidance. Which effects assumption you are using for the construction of the new guidance? I'll put it on my side.

I'm interested, Raul. In case of Jamaica, what we are seeing is the number of seats for the case of, for instance, of MJ. Just in November of last year, when the GFN shift was a decrease of almost 80%, month by month on August 26th, we see a really robust recovery. For July, we are seeing, we are still having a minus 20% In terms of seeds versus 2025, July 2025. But what is interesting is when we see the plots and all the capacity that is today planted for the winter, we are seeing at least in terms of seeds, a full recovery for November and December and all the winter season for Jamaica. So, for sure, it will be interesting to see how the demand reacts, but at least in terms of the offer, we are seeing a recovery or almost a full recovery for data security in terms of capacity.

Hi, Pablo. This is Saul. Related to guidance. Well, first of all, dealing with the passenger traffic. As I mentioned, we are expecting a second half much better than the first half. In fact, we have a huge challenge moving from a minus 5.6% to our guidance that would be minus 3 to flat growth. It is very relevant to see that at the end, we are expecting a better half. In terms of the agronautical revenues, you know that we have been gradually updated our agronautical tariffs in Mexico. So we continue with that in January, and we made another adjustment, a little adjustment in July. So in the second quarter, we will have that little effect that will be only for Puerto Vallarta and Cabos. And secondly, non-ender non-secure revenues, you know, the integration of CDX is very, very relevant for this business plan. And the consolidation for May will support the outcomes for the second half of the year. So, again, those are the major assumptions that are considered or were considered to build the guidance. We are providing now we have more visibility about the CAPEX and obviously is the number that we are providing and that we are expecting. So that's basically the solution for the guidance.

But maybe sort of a follow-up on that, which effects assumption for the Mexican peso is embedded on these 10 to 12% EBITDA growth for 2026?

We are not seeing any change on that. We have seen very steady change rate in the last months. We are expecting second half on average 17.5 pesos per dollar. So it's not relevant on that. So we are...

In comparison, basically, it's important.

Yeah, but we'll be basically the same in the changing just to consider in the guidance, right? Mm-hmm, mm-hmm, mm-hmm.

Okay, perfect. Thanks, Saul.

As a reminder, participants joining via webcast may submit questions by using the Q&A function on your screen. And we'll proceed with our next phone question from Enrique Cantu, the GBM.

Hello, everyone. Thank you for your time. I just have one question. Could you provide more detail on the transaction related expenses of the CVX acquisition that impacted profitability this quarter? Should we expect this cost to be fully behind us starting in the third quarter? Or are there any additional integration related expenses we should keep in mind over the coming quarters?

Hi, Enrique. This is Raul. In terms of the CVS acquisitions, I mean, the expenses related with the merger, it's already reflect on the results, but talking about what will come on coming months for the CVS, for sure we are working on integration. That means for sure bringing some We are looking at the end of the day, CDX used to be a business run like a standalone, so it's like some different opportunities for really bringing some efficiencies due to the merger. So what we are expecting is that in the last quarter of this year, we're going to see an increase on the margin of CDX. Related with the, with savings are related with this new kind of operation directly from, from what we're subsequently in Guadalajara. That, that is the, in general terms. Okay, thank you.

From Scotiabank, we have Gabriel Limelfar.

Hi, good morning and thanks for the call. Quick question. Traffic figures have been a bit soft and they're expected to continue a bit softer during the end of this year. Could this be somehow compensated with some higher tariffs beyond what is expected on the NDP or perhaps a faster pace on reaching the 100% maximum tariffs? Or should we wait until the next NDP for seeing a compensation for this? Thank you.

Hi, Gabriel. I mean, in terms of our concession titles, I mean, all the risk of traffic is for the concessionary, is for that. So, directly will not be some kind of compensation if for the five years we've not get the original forecasting of passengers. But what is important to taking account for that is if The results could be a more, I would say, a neutral or even an increase in types related with the number of passengers. But again, we are going like a lot of time on the future. Just going into the next year, I'm talking about the maximum times. The idea will be to have for sure an increase in our passengers in January of the coming year. We are beginning the process with the Ministry of Communications and Transportation. So, for sure, what we are expecting for the coming year will be close to 100% of fulfillment. So, it will be some kind of, I mean, of offset on the result of coming year. We are expecting some kind of increase on passengers. We don't have all the BCUs to understand how we could do that on 2037. But, for sure, we will have a positive effect on the increase of tariff on coming year.

Okay, thank you. And if I may, what are your expectations for the rest of the year in terms of dividends and distribution?

Well, we are continuing to distribute at the same level as the other years. As you know, CAP is one of the higher paid We are now trying to conclude the consolidation of the new businesses to make the next dividend payment. So what do we expect to make? Thank you very much. That was our final question from the phone. We will now move to questions submitted through the webcast. And I'll turn the call over to Alejandra Soto,

Investor Relations Officer to read the questions.

Thank you. We only have one follow-up question on passenger growth from Francisco Suarez from Scotiabank, and he's asking, thanks for the call on how a relief from higher airfares after the World Cup ends could improve traffic and your outlook on ship's capacity. Very appreciated. And there are another additional factors playing the weak demand within the domestic passengers, namely affordable issues from customers or all the macro data that point to weight consumption in Mexico.

Sure. For sure, I mean, we are in the middle, like, of different effects happening right now. We have the cost of the oil, for sure, impacting the airfares and increasing the airfares for Directly impact the demand on passengers. For sure, some decrease in offer related also with the cost of the fuel. We have the impact on the Alicia Hurricane in Jamaica, and we have this impact of the degree of concern happening in Puerto Vallarta. That for us is one of the big concerns right now in our passenger stress. For sure, we also know that the consumption in Mexico is decreasing and the macroeconomics is negative or flatter in terms of the growth of the GDP. What is interesting to understand is that the GDP is growing on different places in different parts of Mexico. We think that Jalisco, Guadalajara mainly, will continue with an increase of stand on the consumption and the economy. We are seeing this kind of similar factors in Baja California Sur, for instance. In the other hand, we are seeing some negative impacts on the macroeconomics of Baja California and all the manufacturing in Tijuana that is having some kind of future possible negative effects on our traffic. I would say in general terms, yes, I feel that we are in a, today in a flatter economy that for sure will have some kind of impact on our tax revenues growth on the coming months. but it will be interesting to have like a more deep understand on the growth of the GDP and the local GDP on the different states of Mexico to understand how could be the growth of passengers on the coming months or even years.

Thank you, Raul. This is the last one from the so I will turn up the call to the normal.

Raul, we have one more question on the phone line from Anson Morton-Cotter of Hebe Eme.

Hi, guys. Thank you. Thank you for the call. It's just a quick one.

I'm considering all of these external effects, like the pressures on all parts. Will you consider or will you ever consider granting concessions to airlines in order to leave? The possible pressure on the traffic demand, meaning maybe lowering values or granting some discounts to boost overall traffic, kind of like to serve the effect of all of those external pressures. Thank you.

Thank you, Anton. For the moment, we are not seeing that kind of concessions or discounts to the airline for this environment of the economy. But for sure, as we already made in some specific groups that are suffering from the low factors, for instance, we will make some specific supports. I would say this is not for this year. All the history and gap, we have specific supports with some, we have some kind of risk of losing connectivity in our airport, so we will review Case by case, but for the moment, we are not seeing any of these discounts in general for all of our airlines.

Super. Thank you.

We have no further questions on the phone lines. Raul, back over to you for any additional or closing comments.

Thank you once again for joining us today. Please contact our investor relations team with any additional questions you may have. Have a great day and thank you for your attention.

That concludes today's GAP's conference call. Thank you for your participation. You may now disconnect.