Skip to content
    CAAP
    Earnings call· Dec 2025(Q4 FY25)

    CORPORACION AMERICA AIRPORTS S.A. Q4 FY25 earnings call CAAP

    Mar 17, 2026 Source

    Executive summary

    Corporación América Airports S.A. Q4 FY25 — Record Traffic and Strong Profitability

    Corporación América Airports concluded FY25 with record passenger traffic and robust financial performance, driven by broad-based growth across key markets and effective commercial execution. Profitability significantly expanded, and the balance sheet strengthened, providing flexibility for strategic growth initiatives, including recent concession extensions and new bidding processes. The company continues to monitor geopolitical headwinds impacting some operations, particularly in Armenia and the Middle East.

    Highlights

    5

    • Total passenger traffic reached a record 22.3 million in Q4 FY25, growing over 9% year-over-year.

    • Revenue excluding IFRIC 12 increased 17% year-over-year, outpacing passenger traffic growth.

    • Adjusted EBITDA excluding IFRIC 12 was up nearly 40% to $211 million in Q4 FY25.

    • Net leverage ratio improved significantly to 0.7x at year-end FY25.

    • Secured a 35-year concession extension in Armenia and a 6-year extension in Galapagos, enhancing long-term visibility.

    Concerns

    3

    • Armenia's passenger traffic growth flattened since the war, with approximately 10% to 15% of traffic affected.

    • Ecuador's adjusted EBITDA declined 12% in Q4 FY25, primarily due to higher maintenance expenses.

    • Italy's domestic traffic declined modestly in Q4 FY25, mainly reflecting operational disruptions at certain airlines.

    Guidance & targets

    2
    CategoryTargetConfidence
    Passenger traffic momentum
    Continued positive momentum
    medium materiality
    Medium
    Commercial optimization and revenue per passenger growth
    Continue to prioritize
    low materiality
    High

    Segment performance

    6
    SegmentRevenueYoYQoQMargin
    Argentina
    Strong operating leverage, continued cost discipline, and favorable currency fluctuations contributed to performance. Strong momentum continued into January and February with traffic up 7.9% and 5.8% respectively.
    Passenger traffic: up nearly 9%Domestic traffic: up 6%International traffic: up 15%Aeronautical revenues: up 21%
    		Up 18%——Adjusted EBITDA up 42% (7.5 percentage points margin expansion)
    Armenia
    Margin contraction primarily reflected higher operating expenses and a greater contribution from the fueling business. Strong performance continued into January and February with traffic up 10% and 11.6% respectively.
    Passenger traffic: up nearly 14%
    		Double-digit growth——Adjusted EBITDA up 15%
    Brazil
    Improvement reflects a better environment among main airlines and stronger activity during summer season. Trend extended into January and February with traffic up 16% and 8.2% respectively.
    Passenger traffic: up 12%
    		Double-digit growth——Adjusted EBITDA up 44% (ex-COVID item, 6.4 percentage points margin expansion)
    Italy
    Growth mainly driven by international segment. Domestic decline reflected operational disruptions at certain airlines. Positive trend continued into January and February with traffic up 4% and 7.4% respectively.
    Passenger traffic: up 8%International traffic: up 11%Domestic traffic: declined modestly
    		Double-digit growth——Adjusted EBITDA down 11% (up 4% ex-construction services)
    Uruguay
    Performance reflects recovery from temporary disruption in Q3 and stronger seasonal operations. Impacted by higher salaries, maintenance expenses, and Uruguayan peso appreciation. Traffic in January and February up 1% and 2.4% respectively.
    Passenger traffic: up 5%
    		Double-digit growth——Adjusted EBITDA slightly down 2%
    Ecuador
    Decline mainly due to higher maintenance expenses concentrated in Q4 FY25. Traffic in January and February up 5% and 8.6% respectively.
    Passenger traffic: up 1%
    		———Adjusted EBITDA declined 12%

    Operational metrics

    32
    Total passenger traffic
    22.3 millionUp over 9% YoY
    Q4 FY25

    Reached a record for both the quarter and the full year.

    International traffic growth
    12%YoY
    Q4 FY25

    Every country in portfolio posted year-over-year growth.

    Domestic traffic growth
    Nearly 7%YoY
    Q4 FY25

    Mainly driven by Argentina and Brazil, with Ecuador also contributing positively.

    Cargo revenues
    Up 22%YoY
    Q4 FY25

    Supported by solid contributions from Argentina, Uruguay and Brazil.

    Revenue per passenger
    $20.8Up nearly 8% YoY
    Q4 FY25

    Compared to $19.4 in the same quarter last year.

    Aeronautical revenues growth
    17%YoY
    Q4 FY25

    Mainly driven by strong results in Argentina and further supported by broad-based growth across the portfolio.

    Commercial revenues growth
    16%YoY
    Q4 FY25

    Well above the 9% increase in traffic, supported by higher contributions from cargo and fuel revenues and solid growth across VIP lounges, parking facilities and duty-free.

    Total cost and expenses ex IFRIC 12
    Nearly 11%YoY
    Q4 FY25

    Broadly in line with higher operating activity and well below revenue growth of 17%.

    Cost of service growth
    11%YoY
    Q4 FY25

    Largely due to higher concession fees, higher fuel costs in Armenia, and higher D&A expenses.

    SG&A expenses growth
    6%YoY
    Q4 FY25

    Mainly reflecting higher maintenance and payroll expenses, particularly in Argentina.

    Adjusted EBITDA ex IFRIC 12
    $211 millionUp nearly 40% YoY
    Q4 FY25

    Reflecting strong performance in Argentina and Armenia as well as a $32.5 million positive impact from an arbitration award payment.

    Arbitration award payment
    $32.5 million
    Q4 FY25

    Positive impact on EBITDA related to payment received from the government of Peru.

    COVID-related economic breakeven (Brazil)
    BRL 110 million
    Q4 FY24

    Received in Q4 2024, impacting year-on-year comparisons for Brazil's Adjusted EBITDA.

    Adjusted EBITDA ex IFRIC 12 (ex-items)
    $178 millionUp 33.3% YoY
    Q4 FY25

    Excluding BRL 110 million COVID-related economic breakeven in Q4 2024 and $32.5 million arbitration award in Q4 2025.

    Adjusted EBITDA margin ex IFRIC 12 (ex-items)
    38.3%Up 4.6 percentage points
    Q4 FY25

    Excluding BRL 110 million COVID-related economic breakeven in Q4 2024 and $32.5 million arbitration award in Q4 2025.

    Total liquidity
    $750 million36% increase YoY
    Q4 FY25

    Representing a 36% increase versus $526 million reported at year-end 2024.

    Total debt
    $1.1 billion
    Q4 FY25

    At year-end.

    Net debt
    $502 millionDecreased from $718 million
    Q4 FY25

    Decreased further down from $718 million in December 2024.

    Net leverage ratio
    0.7xImproved
    Q4 FY25

    Continued to improve as a result of lower net debt and continued strong financial performance.

    Argentina passenger traffic growth
    7.9%YoY
    January 2026

    Continued strong performance.

    Argentina passenger traffic growth
    5.8%YoY
    February 2026

    Continued strong performance.

    Italy passenger traffic growth
    4%YoY
    January 2026

    Positive trend continued.

    Italy passenger traffic growth
    7.4%YoY
    February 2026

    Positive trend continued.

    Brazil passenger traffic growth
    16%YoY
    January 2026

    Trend extended.

    Brazil passenger traffic growth
    8.2%YoY
    February 2026

    Trend extended.

    Uruguay passenger traffic growth
    1%YoY
    January 2026

    Traffic performed well.

    Uruguay passenger traffic growth
    2.4%YoY
    February 2026

    Traffic performed well.

    Armenia passenger traffic growth
    10%YoY
    January 2026

    Strong performance continued.

    Armenia passenger traffic growth
    11.6%YoY
    February 2026

    Strong performance continued.

    Ecuador passenger traffic growth
    5%YoY
    January 2026

    Traffic performed well.

    Ecuador passenger traffic growth
    8.6%YoY
    February 2026

    Traffic performed well.

    Armenia traffic affected by war
    10% to 15%
    Since war started

    Approximately 10% to 15% of the traffic in Armenia has been affected by the war, resulting in flat growth.

    Industry KPIs

    1
    MetricValueDetails
    Revenue17%%

    Deals & partnerships

    4
    Government of ArmeniaConcession extension for Zvartnots International Airport35 years

    Secured a 35-year extension of the concession through 2067, which includes a $425 million investment program and significant expansion of infrastructure.

    Government of EcuadorConcession extension for Galapagos Airport6 years

    Achieved a 6-year extension of the Galapagos concession.

    Government of IraqConcession award for Baghdad Airport

    Received concession awards and been selected as preferred leaders for Baghdad in Iraq, subject to the execution of definitive concession agreements. Process expected to be delayed due to geopolitical situation.

    Government of AngolaPreferred bidder for Luanda Airport concession

    Selected as preferred bidder for Luanda in Angola, subject to the execution of definitive concession agreements. Company is in frequent discussions with the government to finalize this process.

    Capital programs

    1
    Armenia concession investment programunderway$425 million

    Benefit: Significant infrastructure expansion

    Part of the 35-year concession extension through 2067.

    Risks & headwinds

    4
    Geopolitical situation in Middle EastOngoing

    Armenia traffic flat since war, 10-15% of traffic affected; Iraq concession process expected to be delayed.

    Mitigation: Closely monitoring and remaining attentive to potential implications for international travel; pursuing opportunities and in frequent discussions with government in Angola.

    Operational disruptions at certain airlinesQ4 FY25

    Italy domestic traffic declined modestly in Q4 FY25.

    Political and bureaucracy dynamics in ArgentinaOngoing

    Difficult to provide public timing for concession rebalance.

    Mitigation: In frequent discussions with the government.

    Higher maintenance expensesQ4 FY25

    Ecuador adjusted EBITDA declined 12% in Q4 FY25.

    What to watch in Q1 FY26

    5

    Argentina concession rebalance

    Next quarter
    CurrentOn the right track
    TargetConcrete news or timing for outcome

    Why it matters

    Resolution impacts future financial terms and stability in a key market.

    On Argentina, we are in the right track. However, it's very difficult for us to provide, publicly, a timing for the outcome of the rebalance given the political and bureaucracy dynamics associated with a process like this one. But again, we are in the right track. We are in very frequent discussions with the government, and we will keep the market updated as we receive concrete news from the government.

    Q&A highlights

    4

    Will the strong profitability seen in Q4 FY25 be the new base for CAAP, and what is the impact of the war on Armenia operations?

    EBITDA margins are stable for now, with the business expected to continue growing above passenger traffic. In Armenia, traffic has been flat since the war started, affecting 10-15% of traffic, though the first two months of the year showed positive growth.

    “In terms of your second question, approximately 10% to 15% of the traffic in Armenia has been affected by the war. The first few months of the year were very positive, around 11% growth for the first two months. And what we have observed since the war is it's flat. It's no growth, no decline.”

    asked by Alessandro Demichelis · answered by Jorge Arruda

    2 min read7 chapters

    Detailed Narrative

    01

    Record Performance in FY25

    Corporación América Airports achieved a record year in 2025, marked by record passenger traffic of 22.3 million in Q4, a 17% year-over-year revenue growth (ex-IFRIC 12), and a significant 40% increase in adjusted EBITDA (ex-IFRIC 12) to $211 million. The company also strengthened its balance sheet, reducing its net leverage ratio to 0.7x by year-end, reflecting the resilience of its portfolio and disciplined execution.

    02

    Broad-Based Passenger Traffic Growth

    Passenger traffic showed robust growth across the portfolio. Argentina saw a nearly 9% increase, driven by 15% international growth. Italy's traffic grew 8%, with international up 11%. Brazil posted a strong 12% increase, and Uruguay returned to growth with a 5% increase. Armenia experienced a nearly 14% pickup, while Ecuador saw a 1% increase. These positive trends continued into January and February 2026 across most markets.

    03

    Revenue and Profitability Drivers

    Revenue growth significantly outpaced traffic, supported by double-digit increases in both aeronautical and commercial revenues. Revenue per passenger rose nearly 8% to $20.8, up from $19.4 in the prior year. Adjusted EBITDA ex-IFRIC 12 increased 33.3% year-over-year to $178 million (excluding specific one-time📎 items), with a margin expansion of 4.6 percentage points to 38.3%, driven by operating leverage and commercial execution.

    04

    Strategic Concession Extensions

    The company secured key long-term extensions for its concessions, including a 35-year extension in Armenia through 2067, which involves a $425 million investment program for infrastructure expansion. Additionally, a 6-year extension was obtained for the Galapagos concession in Ecuador. These extensions enhance the long-term visibility and stability of the company's asset base.

    05

    Inorganic Growth Pipeline and Capital Allocation

    CAAP is actively pursuing inorganic growth opportunities, having received concession awards for Baghdad (Iraq) and being declared a preferred bidder for Luanda (Angola). The company is also evaluating additional bidding processes and M&A opportunities across the Middle East, Central Asia, Africa, and the Americas. Funding for these opportunities is expected to come primarily from cash at hand, leveraging the company's strong liquidity of $750 million.

    06

    Geopolitical Impact and Operational Challenges

    The ongoing geopolitical situation in the Middle East has impacted operations in Armenia, where traffic growth has flattened since the war began, affecting 10% to 15% of total traffic. The company is closely monitoring the situation. Additionally, Italy's domestic traffic faced modest declines due to operational disruptions at certain airlines, and Ecuador's EBITDA was impacted by higher maintenance expenses.

    07

    Argentina Concession Rebalance and Italy Investment

    Discussions regarding the Argentina concession rebalance are ongoing and on track, though a public timeline is difficult to provide due to political and bureaucratic dynamics. In Italy, progress is being made on the investment opportunity, with environmental approval secured, but further steps are needed before construction can commence.

    AI-generated summary of the company’s earnings call. Not investment advice.