Aéroports de Paris SA: Consolidated revenue over the first 9 months of 2020 impacted by the crisis linked to the CoVid-19 epidemic

FINANCIAL RELEASE AS OF 30 SEPTEMBER 2020¹23 October 2020                                                                                   Aéroports de Paris SA
Consolidated revenue over the first 9 months of 2020
impacted by the crisis linked to the CoVid-19 epidemicConsolidated revenue of Groupe ADPGroupe ADP’s traffic²: group’s traffic over the first 9 months of 2020 is down by 61.8% at 72.3 million passengers compared to the same period in 2019 (excluding traffic at Istanbul Atatürk and GMR Airports’ traffic in 2019)
Paris Aéroport traffic: (Paris-Charles de Gaulle and Paris-Orly): -66.3% at 27.8 million passengers over the first 9 months of 2020 compared to the same period in 2019
Consolidated revenue down by 52.7%³ at €1,669 million over the first 9 months of 2020 compared to same period in 2019 due to the impact of crisis linked to the CoVid-19 pandemic on trafficGroupe ADP revenue by segment for the 9 first months of 2020 compared to the 9 first months of 2019   (1)     These figures take into account the full consolidation of Société de Distribution Aéroportuaire and of Relay@ADP results since April 2019Augustin de Romanet, Chairman and CEO of Aéroports de Paris SA – Groupe ADP, stated:Update on the situation related to the CoVid-19 epidemicAir transport was abruptly interrupted from April to June as a result of the containment measures and borders closures decided by most countries in the world to limit the spread of the CoVid-19 epidemic. The resumption of traffic has since been very gradual and depends on the lifting of the mobility restriction measures applicable in each country. Over the first 9 months of 2020, Groupe ADP passengers traffic was thus down by 61.8%⁴ compared to the same period in 2019.Traffic at Paris Aéroport is down by 66.3% over the first 9 months of 2020 compared to the first 9 months of 2019, with 27.8 million passenger welcomed, compared with 82.7 million passengers. Aircraft movements at Paris Aéroport are down by 56.8% compared to the first 9 months of 2019. Between the 1 and 20 October 2020, the estimated decline of passenger traffic and aircraft movements at the Parisian platforms reaches -75.9% and -60.1% compared with the period between the 1 and 20 October 2019⁵.u  Situation abroadIn the context of the CoVid-19 crisis, exceptional impairments on certain fully consolidated or equity-accounted international assets were recorded with an overall impact of €177 million in net result attributable to the Group as of 30 June 2020. New depreciations could be recorded as of 31 December 2020 in line with the economic situation currently encountered by the sector.Regarding international assets, the decrease in traffic due to the CoVid-19 pandemic as well as its unfavorable economic consequences may require discussions with the concerned counterparties in order to guarantee the financial and operational sustainability of the asset in cause.In particular, Groupe ADP, as a shareholder of AIG, concessionary company of Amman airport in Jordan, could have to support the concessionary company in the form of a shareholder loan for an amount of around €20 million before a restructuring which is the subject of discussion between the stakeholders. Regarding TAV Tunisia, a consensual solution is being developed.u  Solid financial structure and strengthened liquidityGroupe ADP had a cash position of €3.6 billion as of 30 September 2020, of which €730 million was held by TAV Airports.Given its available cash, the group does not anticipate any short-term cash flow difficulties. Furthermore, given its long-term credit rating (A negative outlook by the Standard and Poor’s agency since 25 March 2020) and the confidence in the strength and the adaptability of its financial model, Groupe ADP does not anticipate any particular medium or long-term financing difficulties.u  Trends for the groupTo date, the traffic assumption at Paris Aéroport has been revised downwards by approximately – 63% to a range of between – 65% and – 70% for the year 2020 compared to 2019. Moreover, the group confirms that traffic for Paris Aéroport could return to the level reached in 2019 at the end of the period between 2024 and 2027.Under these conditions, the impact on the group’s consolidated revenue in 2020 would be around – 2.3 to – 2.6 billion euros.Groupe ADP also reiterates that it has initiated an important operational and financial optimization plan with an objective of reducing the group’s operating expenses for the year 2020 by approximately €550³ million in total: this objective has been revised upwards to a range of between €650 million and €700 million in total.Regarding the financial debt, Groupe ADP confirms the objective⁶ of a net debt/EBITDA ratio between 6x and 7x by the end of 2022.
 First 9 months of 2020 consolidated revenue – Analysis by segmentAviation activities – Parisian platforms