Aeroports De Paris Sa

Good morning, everyone. Thank you for joining us for our 2026 9-month Revenue Presentation.

I'm here with Christelle de Robillard, our CFO, who will go through some prepared remarks before the Q&A session. Before we start, and as usual, I remind you that certain information to be discussed on today's call is forward-looking and is subject to risks and uncertainties that could cause actual performance to differ materially. For these, please refer to the disclaimer statement included in our press release and on slide 26 of our presentation. I will now leave the floor to our CFO Christelle de Robillard.

Thank you Cécile and good morning ladies and gentlemen. Thank you for joining us this morning. Let me first start with the key highlights on slide 3. The first nine months of 2026 demonstrated the resilience of our business model. Despite the challenging operating environment with geopolitical tensions, software demand and operational disruption, Group traffic remained broadly stable at 287 million passengers. In this context, consolidated revenue increased by 1.4% to 5.1 billion euros. This growth was mainly driven by the strong performance of TAV airports and it shows the benefits of our international portfolio which more than offset a softer traffic environment in Paris. Retail performance showed signs of improvement. Ex-time sales per passenger reached 31.1 euros, despite a less favorable traffic mix and a weak luxury environment, but with momentum improving during the year. We also achieved an important milestone in the ERA process. Airline consultation in September resulted in a majority positive vote. Following this important step, The draft agreement was submitted to the regulator, whose binding opinion is now expected by November 18th. Moving on to slide 4 on traffic. We saw varied trends across our platform since the start of the year. Starting with the bottom part of the slide, you can see that TAV airport traffic increased by 2.6% year on year. This growth is notably supported by a rebound during the summer, in spite of persistent inflationary pressures in Turkey. Conversely, in our other platforms, traffic is down. In Paris, the 0.4% decrease reflects operational disruption and softer demand environment observed since spring. Also, the impact on infrastructure works at Paris early, leading to capacity reductions. These works are expected to end in December. In Amman, traffic declined by 9.6%, but trends have recently improved compared with earlier in the year. Finally, traffic at GMR airport was down 0.4% year-on-year, reflecting airline capacity reductions due to local operational constraints and broader global pressures. Overall, TABE Airport's traffic growth helped mitigate the impact of the challenging operating environment. Turning now to slide 5. Ex-time sales per passenger reached €31.1 over the first 9 months. This remains slightly below last year's level, but performance improved progressively throughout the year despite several headwinds. As commented in previous quarters, we faced a weaker luxury environment, works at terminal 2EK for an exchange effect and a less favorable traffic mix. Importantly, we saw a gradual improvement in SPP during the year, with the third quarter returning to growth compared with last year. This reflects both the resilience of our exchange model and the gradual normalization of some of the headwinds that affected performance earlier in the year. In all, This gives us confidence in our ability to achieve our full year SPP objective of around 32 euros. Turning now to revenue on slide 6. Looking first at aviation in Paris, revenue increased by 26 million euros. As mentioned previously, this reflects traffic trends commented earlier on, mainly offset by revenue from higher fees in the first quarter and in PRM fees all along the year. Retail and services revenue was broadly stable, up 3 million euros. Headwinds in the hospitality subsidiaries and retail were largely offset by continued growth of regulated services. International revenue increased by 44 million euros. TAVE Airport's growth is supported by its traffic, fee increases in Almaty and Ankara, and services companies. AIG revenue remains impacted by the weaker traffic in Amman. Overall, our balanced business model enables the group to keep delivering revenue growth despite a challenging global operating environment. Now, let's go through the outlook on Site 8. As you know, given the persistent traffic headwinds and based on traffic recorded over the first 9 months, Group ADP revised last week its 2026 traffic assumption for Paris and now expects a slight decrease compared with 2025. As a result, the Group expects recurring EBITDA for 2026 to come in at the lower end of the 2.3 to 2.35 billion euro range announced in July. This incorporates the benefits of the cost saving and efficiency plan which are expected in the range of 40 to 60 million euros. All other 2026 assumptions and guidance remain unchanged and are therefore confirmed. The outlook we are providing today does not reflect any potential impact from the French finance bill currently under debate as its final provision has yet to be determined. Beyond 2026, let me turn to slide 9 and the economic regulation agreement project. Following the positive outcome of consultation with airlines in September, the proposed ERA was submitted by the French state to the regulator on September 18th. The regulator is expected to issue its binding opinion by November 18th. Subject to a favorable opinion and board approval, The agreement would be signed thereafter and entering into force on January 1st, 2027. As you know, the first tariff increase under the new framework would take effect on April 1st, 2027. The ERA is a key milestone for GDP. It will provide the visibility needed to deliver the investment program and to support the competitiveness of the Parisian platform. When the regulatory framework is finalized, we intend to present in early 2027 our new strategic plan and final roadmap setting out how we plan to create sustainable value for our shareholders and stakeholders over the coming years. That's all for our prepared remarks. Let's now open the light for your questions. Thank you.