September 2019 - ir.tav.aero · Management Presentation September 2019. Investment Highlights 2...
Transcript of September 2019 - ir.tav.aero · Management Presentation September 2019. Investment Highlights 2...
Management PresentationSeptember 2019
Investment Highlights
2
Turkey is the fastest growing aviation market in Europe
Diversified, balanced portfolio with leading market positions
Strong momentum with EBITDARposting 13% CAGR between 2006 and 2018
Well-positioned to benefit from further organic and inorganic growth
Attractive market with strong growth prospects
Leading airport operator with diversified portfolio
& integrated structure
Strong financial performance and cash
flow generation“Platform play”
Passenger growth of 13% p.a. during 2003-2018
Projected tourist arrivals growth of 12% p.a. between 2018-2023(1)
Aggressive capacity expansion plans of major airlines in Turkey(2)
Access to fast growing MENA region
#1 airport terminal operator in Turkey
14 airports operated in Turkey, Georgia, Tunisia, North Macedonia, Saudi Arabia, Croatia and Latvia
90 airports around the world have a TAV Airports subsidiary functioning in them
Strong vertically integrated value chain
As of December 2018
High earnings visibility given clear / agreed regulatory framework
Proven track record of growth and profitability with attractive organic growth prospects
High financial returns and cash flow generation given fixed cost base (operational leverage) and minimal ongoing capex
Hard currency based cash flow & visible earnings
50% dividend payout policy
TAV will receive compensation for all loss of profit due to new Istanbul airport opening before 2021
Central and Eastern Europe, Africa,Middle East, South East Asia and Cuba
Inorganic growth of service companies
(1) Source: Turkey’s Ministry of Tourism(2) THY and Pegasus web site
Exceptional Growth
Revenue (€m)
402 508 627 640 785 881 1099 1205
847904
9831079 1,104 1132 1181
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Pre-IFRS11
Post-IFRS11
EBITDAR (€m)
170 189 267 311 342 387 483 555
463524
569621 611
673728
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Pre-IFRS11
Post-IFRS11
2330
41 4248 53
7284
95102 104
115
152
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018-71
-38
4
51 50 53
129 133
218 210
127
175
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Passenger (m) Net Profit (€m)
2006 2007
255
3
TAV Corporate and Shareholder Structure
5.06%
1.18%
3.20%
44.45%
46.12
Shareholder Structure (as of June 2019)
Shareholders
TAV Airports Holding Co.
1
2
3
4
5
*Through Tank oWA Alpha GMBH
1. Groupe ADP*Internationally acclaimed airport operating company with global operations
2. Tepe Insaat Sanayi A.S.Turkish integrated conglomerate focused on infrastructure and construction
3. Sera Yapi Endustrisi A.S.Focused on construction in Turkey & MENA region
4. Other Non-floating
5. Other Free Float
Airport Companies Service Companies
ATU (50%)
BTA (100%)
OS (100%)
TAV Technologies (100%)
Security (100%)
Havas (100%)
TGS (50%)
Havas Latvia (100%)
Esenboga (100%)
Adnan Menderes (100%)
Gazipasa Alanya (100%)
Milas Bodrum (100%)
Medinah (50%)
Tbilisi (80%) & Batumi (76%)
Monastir & Enfidha (67%)
Skopje & Ohrid (100%)
Latvia (100%)
Zagreb (15%)
Havas Saudi (67%)
Note: Groupe ADP bought Akfen Holding’s 8.12% stake in TAV Airports as of July 7, 2017
4
Antalya (50%)
*All commercial traffic of Istanbul Ataturk Airport was transferred to the New Istanbul Airport on April 6th, 2019. DHMI had stated that it would reimburse our company for loss of profit due to opening of the New Istanbul Airport before the end of TAV Istanbul's lease period which ends on January 3, 2021.
TAV Airports Business Areas
ATU (50%)Partner with Unifree –owned by Heinemann, leading German travel retailer (Travel Value)Operating in Turkey, Georgia, Tunisia, North Macedonia, Latvia, Oman and MedinahOperating in Houston, USA, since September 2015.
BTA (100%)Operating in Turkey, Georgia, North Macedonia, Tunisia, Latvia, Saudi Arabia, Oman and CroatiaOperates İzmir Airport Hotel (81 rooms)Total seating capacity of c. 17 thousand at c. 267 points including BTA IDOBaker and pastry factory serving in TurkeyBTA Denizyollari (100%) is the F&B operator of Istanbul Deniz Otobusleri (IDO)Operating in New Muscat Int’l Airport since March 2018Operating in Orly Airport since 2Q 2019
HAVAS (100%)Major ground handler in Turkey with a c.70% shareOperates in 28 airports in Turkey including Istanbul, Ankara, Izmir and AntalyaTGS (50%) operates in Istanbul (IST&SAW), Ankara, Izmir, Antalya, Adana, Bodrum and Dalaman100% owner of Havas Latvia, with c.66% market share67% owner of Saudi HAVAS
operating in Medina
TAV OS (100%)Commercial area allocation and lounges
TAV Technologies (100%)Airport IT services
TAV Security (100%)Security service provider in Istanbul, Ankara, Izmir and Gazipasa
TAV Latvia (100%)Commercial area management in Riga Airport
Airports Duty free Food and beverage Ground handling Others
TurkeyAnkara Esenboga Airport (100%)Izmir Adnan Menderes Airport (100%)Gazipasa Alanya Airport (100%)Milas Bodrum Airport (100%)Antalya Airport (50%)*
GeorgiaTbilisi (80%) and Batumi Airports(76%)
TunisiaMonastir and Enfidha Airports (67%)
North MacedoniaSkopje and Ohrid Airports (100%)
Saudi-ArabiaMedinah (50%)
CroatiaZagreb Airport (15%)
*TAV Airports’ 49% stake in Antalya Airport entitles it to equal governance and 50% of dividends.
.
5
8,7 9,3 7,9 10,4 11,9
12,5 11,77,6
7,710,5
4,5 3,6
0,9
4,7
6,05,3 5,6
3,9
3,6
4,51,7 1,8
1,7
1,9
2,42,6 2,5
1,7
1,7
2,31,6 1,7
1,7
2,5
2,0
2014 2015 2016 2017 2018
Rest of the world Rest of Europe Russian Federation
Germany Bulgaria UK
Source: State Airports Authority
Growth of the Turkish Aviation Market
Change in Foreign Visitors in Turkey
Deregulation of the domestic market in 2003
2nd largest country in Europe in terms of population: 81m (1)
In 2018, foreign visitors reached 39.5m (+22% vs 2017)(2)
Passport ownership of Turkish citizens (+18) is only 8%. (3)
Only 11% of Turkish people vacationed abroad. (3)
Source: DHMI, (1)Turkstat, (2) Ministry Culture and Tourism, (3) Konda Research and Consultancy 2017 Turkey Report
4452
5966
7380 84
71
83
97 101 105 109
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019e 2020e 2021e
State Airports Authority International Passenger Forecast
Mn, pax
Foreign Visitors in Turkey (mn)
5%9%
4%
24%
9%18% 17%
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
2019/2018 2018/2017 2017/2016 2016/2015
YTD+14% +28% -30%+22%
-2%
-30%
+28%
36.8 36.2
25.4
32.4
39.5+22%
6
Traffic Outlook
Source: IATA, Airbus Global Market Forecast 2018, Boeing Current Market Outlook 2018
Source: IATA, Eurocontrol, DHMI
Source: THY presentation ( August 2019)Pegasus Presentation ( August 2019)
1 2 3
World Air Traffic will double in 20 years
Strong growth in Turkish Trafic
Aggressive fleet expansion plans of
major airlines in Turkey
Ministry of Tourism Turkeyexpects 12% CAGR for tourist arrivals reaching to 70mn by 2023 from 40mn in 2018
IATAexpects Turkish air traffic to grow at a 4.7% CAGR in the next twenty years
Boeingprojects 4.7% CAGR for world air traffic (2018-2037)
Airbusprojects 4.4% CAGR forfor world air traffic (2018-2037)
IATAexpects 7.8 bn pax to travel in 2036 a near doubling of 4 bn in 2017
THYto expand fleet size to 474 by 2023(from 328 in 2018)Pegasusto increase fleet to 108by 2024(from 82 in 2018)
7
Traffic Performance
Ankara Ankara international traffic predominantly Turkish citizens
İzmir International also affected by economic slowdown through Turkish citizens
Milas-Bodrum International season starts in April
Gazipasa Affected by some key carriers (Germania and Azurair)
Medinah Affected by weakness in emerging market currencies
Tunisia Continuation of recovery
Georgia Georgia continues to emerge as a new global touristic destination
North Macedonia New routes by airlines other than Wizz
Zagreb Some new routes
Pax Post Istanbul portfolio growth of +9% (int +21%, dom -7%)
* All commercial traffic of Istanbul Ataturk Airport was transferred to the New Istanbul Airport on April 5th, 2019.
Antalya was added to portfolio in May 2018. TAV Total figures do not include Antalya Airport until May 2018 and do not include Ataturk Airport
Source: Turkish State Airports Authority (DHMI), Georgian Authority, TAV Tunisie, TAV Macedonia, TIBAH and MZLZ, DHMI figures for are tentative for one year. Both departing and arriving passengers, including transfer pax
Antalya Growth continues in 2019 with weakness in Turkish Lira
January – August January-December
Passengers (thousand) (1) 2018 2019 Chg 2017 2018 Chg
Esenboga Airport 11.771 9.429 -20% 15,817 16,732 6%
International 1.554 1.535 -1% 1,989 2,250 13%
Domestic 10.217 7.894 -23% 13,828 14,483 5%
Izmir Airport 9.212 8.395 -9% 12,824 13,426 5%
International 1.876 2.240 19% 2,350 2,737 16%
Domestic 7.336 6.155 -16% 10,475 10,689 2%
Gazipaşa Airport 839 773 -8% 821 1,216 48%
International 448 433 -3% 342 631 84%
Domestic 391 339 -13% 479 584 22%
Milas-Bodrum 3.048 3.145 3% 3,502 4,186 20%
International 1.095 1.366 25% 925 1,514 64%
Domestic 1.953 1.779 -9% 2,576 2,672 4%
Antalya 21.683 24.490 13% 25,872 31,566 22%
International 16.511 19.707 19% 18,449 24,003 30%
Domestic 5.172 4.783 -8% 7,423 7,563 2%
Medinah 5.679 5.925 4% 7,805 8,144 4%
Tunisia (Monastir&Enfidha) 1.721 2.184 27% 1,684 2,490 48%
Georgia (Tbilisi&Batumi) 2.983 3.091 4% 3,654 4,400 20%
North Macedonia (Skopje&Ohrid) 1.589 1.782 12% 2,027 2,343 16%
Zagreb Airport 2.224 2.276 2% 3,092 3,336 8%
TAV TOTAL (*) 56.428 61.491 9% 51,227 83,521 63%
International 31.721 38.405 21% 20,919 46,873 124%
Domestic 11.771 9.429 -7% 30,308 36,647 21%
Ataturk Airport 45.924 16,073 nm 64.106 67.981 6%
International 32.761 11,845 nm 44,477 48,811 10%
Domestic 13.163 4,227 nm 19,629 19,170 -2%
8
Antalya International Airport
Transaction Overview
Transaction
TAV acquires IC Ictas’ 49% stake in ICF Antalya, the joint-venture that manages Antalya Airport
TAV stake entitles it to co-control; i.e. 50% dividend rights and 50% of voting rights
Fraport AG maintains 51% stake
Date of Closing 8 May 2018
Price EUR 360 million cash
Impact on TAV Transaction expected to be EPS accretive
Source of funding
Transaction financed through debt (EUR 300 million) and equity (EUR 60 million)
Consolidation Consolidated by equity method
9
*EBITDAR=IFRS EBITDA which is before rent amortization**EBITDA= Adjused IFRS EBITDA after rent amortization
Antalya Airport Financials (100%)
Note on Pax:
Severe international traffic decrease occured in 2016 with Russian ban to
charters (started late 2015) and security issues in Turkey.. Majority of Russian
traffic recovered in 2017 with the lift of travel ban. Domestic traffic increased
non-stop during last 10 years.
EUR (m) 2014 2015 2016 2017 2018
Revenue 327 303 182 260 324
EBITDAR* 283 258 141 223 277
EBITDA** 151 130 16 106 158
EBITDA Margin 46% 43% 9% 41% 49%
Net Profit 85 68 -24 40 91
Source for Pax: DHMI
15,2
18,320,5 20,2
21,5 22,120,9
11,7
18,5
2418,3
22.0
25.1 25,127.0
28,3 27,8
18,7
26.0
31,6
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Antalya Pax (m)
Int
Total
Changes to the Reporting of Financial Results
1. Discontinued Operations - Q2 2019
All commercial traffic of Istanbul Ataturk Airport was transferred to the New Istanbul Airport on April 6th, 2019. As per IFRS 5.13,Revenue and EBITDA reported after the closure have been restated to exclude the results of TAV Istanbul (the concession holder ofIstanbul Ataturk Airport). TAV total passenger numbers reported after the closure also do not include the results of Istanbul AtaturkAirport.
2. Net Debt Reclassification – Q2 2019
Net Debt has been restated to include the € 300m shareholder loan plus accrued interest from Groupe ADP.
3. Adjusted Revenue and EBITDA– Q1 2020
To harmonize with Groupe ADP reporting practices, reporting of Adjusted Revenue and Adjusted EBITDA will be discontinuedstarting with Q1 2020. With the Q1 2020 financials, we will only provide IFRS Revenue and EBITDA not adjusted for IFRIC 12 beforeEquity Pick-up. Please refer to pg. 27 for Revenue and EBITDA reported by Groupe ADP before Groupe ADP consolidation effects.
10
«IFRS 5.13: Non-current assets that are to be abandoned:
An entity shall not classify as held for sale a non-current asset (or disposal group) that is to be abandoned. This is because itscarrying amount will be recovered principally through continuing use. However, if the disposal group to be abandoned meets thecriteria in paragraph 32(a)–(c), the entity shall present the results and cash flows of the disposal group as discontinuedoperations in accordance with paragraphs 33 and 34 at the date on which it ceases to be used. Non-current assets (or disposalgroups) to be abandoned include non-current assets (or disposal groups) that are to be used to the end of their economic life andnon-current assets (or disposal groups) that are to be closed rather than sold.»
Discontinued Operations
1 January-30 June
2019
1 April-30 June
2019
1 January-30 June
2018
1 April-30 June
2018
Operating profit 63,021 4,041 107,363 62,103
Net finance costs (622) (60) 7,669 13,089
Profit before tax 62,399 3,981 115,032 75,192
Profit for the period 46,513 2,156 84,761 57,864
IFRIC 12 Adjusted Financials(in m€, unless stated otherwise) 1H18(*) 1H19(*) Chg %
Revenue 317.3 344.7 9%
EBITDAR 132.2 129.2 -2%
EBITDAR margin (%) 41.7% 37.5% -4.2 ppt
EBITDA 129.6 126.6 -2%
EBITDA margin (%) 40.9% 36.7% -4.1 ppt
FX Gain /(Loss) (13.9) 2.0 nm
Deferred Tax Expense (4.0) (5.0) 24%
Net Profit after Minority 93.1 61.3 -34%
Capex 53.4 32.7 -39%Net Debt (includes Shareholder Loan) 1026.7 948.4 -8%
Number of employees (eop) 18,694 16,477 -12%Number of passengers (m) 34.2 38.3 12%
- International 16.9 21.4 27%
- Domestic 17.2 16.8 -2%
Duty free spend per pax (€) (*) 6.7 6.4 -5%(*) All commercial traffic of Istanbul Ataturk Airport was transferred to the New Istanbul Airport on April 6th,
2019. As per IFRS 5.13, Revenue and EBITDA reported after the closure have been restated to exclude the
results of TAV Istanbul. TAV Total pax numbers reported after closure also do not include the results of Istanbul
Ataturk Airport.
Please refer to page 27, for reconciliation of Adjusted Revenue and Adjusted EBITDA to IFRS Revenue and
EBITDA reported by Groupe ADP
1H19 Summary Financial and Operational Results(*)
11
Spend per PaxFrom €6.7 to €6.4 due to weak TRY affecting Turkishpassengers
Pax (*)
+12%
Like-for-Like int pax growth is 8%, Antalya added in May 1827% int growth boosted by AntalyaDomestic traffic and outbound international traffic affected by weak Turkish Lira
Revenue(*)
+9%
Revenue positively affected by new lounges operated byTAV OS, the recovery in Tunisia and pax growth inGeorgia and Macedonia48% aero, 52% non-aero
EBITDA (*)
-2%No material change in rent YoY
FX Lossnm FX Loss improved as volatility decreased
Net Profit -34%
The effect of discontinued operations (TAV Istanbul) YoYwas €-38m
Net Debt -8%
The rent for the first three months of Istanbul operationswas amortized off rent already prepaid to DHMI. Nopayment was made for the remaining nine months not tobe operated.+€54m IFRS 16 impact in 1H19
EBITDAR (*)
-2%
EBITDAR negatively affected by inclusion of Antalya’s offseason results for the first time. (Antalya added May 18)and lower contribution from ATU due to closure ofIstanbul Ataturk
(*) All commercial traffic of Istanbul Ataturk Airport was transferred to the New Istanbul Airport on April 6th, 2019. As per IFRS 5.13, Revenue and EBITDA reported after the closure have been
restated to exclude the results of TAV Istanbul. TAV Total pax and SPP numbers reported after closure also do not include the results of Istanbul Ataturk Airport.
317,3
10,86,2 6,1 6,1 3,9 1,5 0,9 0,6 0,1 0,0 0,3 8,4
344,7
1H
18
Oth
ers
Elimin
ation
Ge
orgia
Havas
Tun
isia
Maced
on
ia
Izmir (Ege
)
Bo
dru
m
Gazip
asa
Istanb
ul
An
kara
BTA
1H
19
129,6
14,17,9 1,2 -3,4 -12,8
-16,9
126,6
1H
18
Vo
lum
e
F/X
Mix
Oth
er
Price
EPU
***
1H
19
129,6
9,25,0 3,6 0,7 0,5 0,5 0,1 0,0 -0,1 -1,6 -5,5
-15,5
126,6
1H
18
Elimin
ation
Ge
orgia
Tun
isia
Maced
on
ia
An
kara
Bo
dru
m
Izmir (Ege
)
Istanb
ul
Gazip
asa
BTA
Havas
Oth
ers**
1H
19
1H19 Revenue and EBITDA Bridges *
Revenue Bridges* (€m) EBITDA Bridges (€m)
* Please refer to page 27, for revenue reported by Groupe ADP, 2017 restated 12*** Equity Pick -up**Others includes equity pick-up
Antalya * -4,9
ATU -6.3
TIBAH -2.6
Other -1.7OS 12.8
Others -2.0
Antalya -4,9
ATU -6,3
TGS -3,1
Other -2,7
*Antalya acquisition was made in 2Q18. 1Q is seasonally weak in Antalya
317,3
43,7
10,0 5,8 2,6 -0,1-34,9
344,7
1H
18
Oth
er
Price
Vo
lum
e
Mix
On
e-Offs
F/X
1H
19
507,9
70,8
29,823,9
11,7 33,937,3
572,8
12
M17
Vo
lum
e
EPU
***
F/X
Mix
Oth
er
Price
12
M18
FY18 Revenue and EBITDA Bridges *
Revenue Bridges* (€m) EBITDA Bridges (€m)
* Please refer to page 24, for revenue reported by Groupe ADP, 2017 restated 13*** Equity Pick -up
Ege
**Others includes equity pick-up
1131,7
12,09,7 7,2 5,0 4,8 4,5 3,2 2,7 1,4 0,9 0,2 2,2
1181,2
12M
17
Oth
ers
Tun
isia
Ge
orgia
Bo
dru
m
Elimin
ation
BTA
Maced
on
ia
Gazip
asa
Havas
Izmir (Ege)
Istanb
ul
An
kara
12M
18
507,9
15,414,3
11,411,0 6,3 6,0 2,9 2,6 2,2 1,1 2,5 5,9
572,8
12
M17
Oth
ers**
Havas
Tun
isia
Istanb
ul
Geo
rgia
Bo
dru
m
Gazip
asa
Maced
on
ia
Izmir (Ege)
Elimin
ation
An
kara
BTA
12
M18
1131,7
123,025,5 20,5 15,8 0,5
135,9
1181,2
12
M17
Vo
lum
e
Oth
er
Price
Mix
On
e-Offs
F/X
12
M18
Antalya 21.2
TIBAH 3.1
ATU 1.5
IT -6.2
Other -4.3
TAV OS 13.3
Holding 6.3
IT -8.3
Other 0.8
Antalya 21.2
TGS 6.5
TIBAH (Medinah) 3.1
ATU 1.3
Other -1.7
MZLZ (Zagreb) -0.7
84,8
46,5
10,7
16,2
1H18 1H19
ContinuingDiscontinued
YoY Comparison (1H19) (*)
24%
14%
10%10%
20%
21%29%
15%
11%14%
16%
15%
Georgia IzmirAnkara Other AirportsHavas Other Services&JVs
14
Consolidated Revenue (*) (€m) Net Profit after Minority (€m)
Consolidated Revenue (%) EBITDA (%) Opex (%)
317345
1H18 1H19
130 127
1H18 1H19
38%
26%
15%
12%8%1%
39%
23%
17%
14%
6%1%
Personnel Other
D&A Services rendered
Catering Concession rent
1H18
1H19
EBITDA (*) (€m)
5%
23%
22%16%
33%
5%
25%
23%15%
33%
Duty-free Aviation
Ground-handling F&B
Other Services
(*) All commercial traffic of Istanbul Ataturk Airport was transferred to the New Istanbul Airport on April 6th, 2019. As per IFRS 5.13, Revenue and EBITDA reported
after the closure have been restated to exclude the results of TAV Istanbul. TAV Total pax numbers reported after closure also do not include the results of Istanbul
Ataturk Airport. Please refer to page 27, for reconciliation of Adjusted Revenue and Adjusted EBITDA to IFRS Revenue and EBITDA reported by Groupe ADP
93
61+52%
YoY Comparison (FY18) (2017 figures restated)
49%
33%
3%10%
5%
45%
35%
1%
11%
8%
Istanbul Other Airports BTA HAVAS Other
15
Consolidated Revenue (1) (€m) Net Profit (2) (€m)
Consolidated Revenue (%) EBITDA (%) Opex (%)
1132 1181
12M17 12M18
508573
12M17 12M18
175
255
12M17 12M18
(1) Please refer to page 24, for revenue and EBITDA reported by Groupe ADP
(2) Attributable to equity holders of the company
31%
21%15%
18%
9%5% 33%
20%19%
14%
9%5%
Personnel Concession rent
Other D&A
Services rendered Catering
FY17
FY18
EBITDAR (1) (€m) EBITDA (1) (€m)
673728
12M17 12M18
22%
33%13%
9%
22%
20%
36%13%
9%
21%
Duty-free Aviation
Ground-handling F&B
Other
Selected Financials by Assets (IFRIC 12 Adjusted) and Employee #s (1H19)
16
(€m) Revenue EBITDAEBITDA
Margin (%)Net Debt
Airports 146.2 86.8 59% 804Istanbul - - - -32Ankara 25.8 14.1 55% 91Ege (İzmir) 31.0 18.9 61% 216Gazipasa 2.5 0.9 34% 28Tunisia 14.8 4.0 27% 355Georgia 46.2 36.6 79% -19Macedonia 15.4 6.4 41% 35Bodrum 10.4 6.0 57% 132
Services 231.8 39.8 17% 144Havas 70.8 20.3 29% 159BTA 70.0 2.9 4% 24Others* 91.0 16.6 18% -39
Total 378.0 126.6 33% 948Elimination -33.3 - -Consolidated 344.7 126.6 37% 948
Revenue (€m) 1H18* 1H19 Chg.(%)
Airports 133.5 146.2 10%İstanbul - - -Ankara 26.1 25.8 -1%Ege (İzmir) 30.0 31.0 3%Gazipasa 2.5 2.5 2%Tunisia 10.9 14.8 36%Georgia 40.1 46.2 15%Macedonia 13.9 15.4 10%Bodrum 9.8 10.4 6%
Services 223.3 231.8 4%Havas 64.8 70.8 9%BTA 78.4 70.0 -11%Others 80.2 91.0 13%
Total 356.8 378.0 6%Elimination -39.5 -33.3 -16%Consolidated 317.3 344.7 9%
Number of Employees (eop) 1H18* 1H19
Istanbul 3,088 56Ankara 944 955Ege (İzmir) 931 965Tunisia 789 819Gazipasa 67 69Georgia 982 1,051Macedonia 709 773Havas 4,988 5,383BTA 3,591 3,185Holding 113 115O&S 744 1,077Technologies 328 337Security 1,304 1,573Latvia 6 5Bodrum 108 114Academy 2 -
TOTAL 18,694 16,477
EBITDA (€m) 1H18* 1H19 Chg.(%)
Airports 76.4 86.8 14%Istanbul - - -Ankara 13.6 14.1 4%Ege (İzmir) 18.7 18.9 1%Gazipasa 0.9 0.9 -9%Tunisia 0.4 4.0 940%Georgia 31.6 36.6 16%Macedonia 5.7 6.4 12%Bodrum 5.5 6.0 9%
Services 62.4 39.8 -36%Havas 25.8 20.3 -21%BTA 4.5 2.9 -35%Others* 32.1 16.6 -48%
Total 138.8 126.6 -9%Elimination -9.2 0.0 nmConsolidated 129.6 126.6 -2%
*Others EBITDA includes share of profit of equity accounted investees (equity-pick up).
(*) All commercial traffic of Istanbul Ataturk Airport was transferred to the New Istanbul Airport on April 6th, 2019. As per IFRS 5.13, Revenue and EBITDA reported after the closure have been restated to exclude the results of TAV Istanbul.
Selected Financials by Assets (IFRIC 12 Adjusted) and Employee #s (FY18)
17
(€m) Revenue EBITDAEBITDA
Margin (%)Net Debt
Airports 822.6 459.5 56% 712Istanbul 506.5 260.6 51% -114Ankara 54.2 31.0 57% 91Ege (İzmir) 69.4 46.2 67% 196Gazipasa 7.1 4.0 57% 29Tunisia 32.7 8.9 27% 352Georgia 92.7 74.4 80% -16North Macedonia 31.2 14.3 46% 36Bodrum 29.0 20.1 69% 140
Services 475.9 112.5 24% -209Havas 140.9 63.3 45% 11BTA 162.9 7.8 5% 9Others* 172.1 41.3 24% -229
Total 1,298.5 572.0 44% 503
Elimination -117.4 0.8 0
Consolidated 1,181.2 572.8 48% 503
Revenue (€m) FY17* FY18 Chg.(%)
Airports 796.0 822.6 3%İstanbul 506.3 506.5 0%Ankara 56.4 54.2 -4%Ege (İzmir) 68.5 69.4 1%Gazipasa 4.4 7.1 60%Tunisia 23.0 32.7 42%Georgia 85.5 92.7 8%North Macedonia 28.0 31.2 12%Bodrum 24.0 29.0 21%
Services 458.0 475.9 4%Havas 139.5 140.9 1%BTA 158.4 162.9 3%Others 160.1 172.1 8%
Total 1,253.9 1,298.5 4%Elimination -122.2 -117.4 -4%Consolidated 1,131.7 1,181.2 4%ATU** 342.1 342.0 0%TGS** 126.7 147.8 17%TIBAH (Medinah)** 70.2 71.2 1%
Number of Employees (eop) FY17* FY18
Istanbul 2,993 2,271Ankara 941 945Ege (İzmir) 928 940Tunisia 778 749Gazipasa 62 64Georgia 876 936North Macedonia 681 708Havas 4,135 4,433BTA 3,165 3,319Holding 111 116O&S 678 705Technologies 332 316Security 1,070 1,232Latvia 6 7Bodrum 78 78Academy 2 1
TOTAL 16,836 16,820
EBITDA (€m) FY17* FY18 Chg.(%)
Airports 419.6 459.5 10%Istanbul 249.6 260.6 4%Ankara 33.5 31.0 -8%Ege (İzmir) 44.0 46.2 5%Gazipasa 1.1 4.0 261%Tunisia -2.5 8.9 n.m.Georgia 68.1 74.4 9%North Macedonia 11.7 14.3 22%Bodrum 14.1 20.1 43%
Services 88.7 112.5 27%Havas 49.1 63.3 29%BTA 13.7 7.8 -43%Others* 25.9 41.3 60%
Total 508.3 572.0 13%Elimination -0.4 0.8 208%Consolidated 507.9 572.8 13%ATU** 28.7 35.6 24%TGS** 15.6 23.4 50%TIBAH (Medinah)** 15.1 16.4 8%
*Others EBITDA includes share of profit of equity accounted investees (equity-pick up).
**Equity accounted investee*Others EBITDA includes share of profit of equity accounted investees (equity-pick up). * Restated
2,73,3 3,4 3,5
5,54,6 4,5
8,1
2011 2012 2013 2014 2015 2016 2017 2018
3962 66
109 105
6487
128
53
124 133
218 210
127
175
25574%
50%
2011 2012 2013 2014 2015 2016 2017 2018
Dividends Paid Net Income Payout Ratio
CAPEX Development / Dividends
18
Quarterly Capex (€m)(i) Capex
Dividend Yield (%) Dividend History (€m)
Capex mostly in IGA operations and growth initiatives of OS and BTA
Capex excludes IFRS16 (non-cash) effects. Consolidated IFRS16 impact (non-cash additions to rights of use assets) €7m in 1Q19 and €35m in 2Q19
TAV Airports’ dividend policy: 50% of the consolidated IFRS net profit.
2019 1HCAPEX
€33m
1012 12
6
20
33
11
28
16 17
1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19
Decentralized Debt Structure - Prudently Levered
19
Net Debt(*)(eop, €m)
Dec2017
March2018
June2018(*)
March2019(*)
June 2019(*)
Airports 668 803 765 756 804 İstanbul -76 32 -23 -47 -32 Ankara 18 7 9 96 91 Ege (İzmir) 186 213 211 221 216 Gazipasa 48 49 48 -31 28 Tunisia* 348 355 356 356 355 Georgia -15 -14 -13 -17 -19 Macedonia 43 42 41 35 35 Bodrum 116 118 135 141 132
Services -81 -57 -40 90 144 HAVAS 7 8 -4 68 159 BTA 7 6 4 6 24 Holding (solo) -101 -80 251 0 -55 Others 6 9 11 17 16
Total 586 746 1,027 846 948
Gross Debt Maturity Profile(*) (€m)
Door to Door Maturity 6.7 Years
Average Maturity 4.2 Years
Average € Cost of Debt (Hedged*) 4.7%
Net Debt(*) / 2018 FY EBITDA 1.7
* 70% of all loans have fixed rates. -as of June 30, 2019
* Net Debt has been restated to include the € 300m shareholder loan taken in May 2018 from Groupe ADP plus accrued interest.
The interest rate for this loan is 3% and there is no principal payment until May 2021.
+€54m IFRS 16 IMPACT to Net Debt in 1H19: • Havas +€40m• BTA +€7m • Other +€7m
·
* Due to the trilateral negotiations in Tunisia, all financial debt has been reclassified to shortterm borrowings. Details can be found in IFRS financials Note on Loans and Borrowings.Does not include Shareholder Loan from Groupe ADP
Non-recourse
131 122 112 96 56
209
373
1 Year 2 Years 3 Years 4 Years 5 Years 6+ Years
Tunisia
TAV Airports
2018 Guidance & Realization
2018Guidance
(revised in July 2018) Subject to our traffic and FX assumptions
Istanbul Ataturk
Airport Int. Pax
Total TAV Airports
PaxRevenue EBITDA CAPEXNet Profit
Istanbul Ataturk
Airport Int.O&D Pax
8 to 10Percent
> 30Percent
4 to 6Percent
~ €120m11 to 13Percent
14 to 16Percent
Notes: All financial targets have been adjusted to reverse the effects of IFRIC 12 and are compliant with IFRS 11; assuming Istanbul Ataturk Airport will operate for the full year in 2018. Antalya Airport included since May, excluding the loses in the first four months of 2018. Revenue: IFRS Revenue – Construction revenue + Ankara guaranteed passenger revenue - Discount Income related to Ankara guaranteed passenger revenue. EBITDA: IFRS EBIT + Depreciation & Amortisation & Impairment – Construction revenue + construction expense + Ankara guaranteed passenger revenue - Discount Income related to Ankara guaranteed passenger revenue + Equity accounted investees (EAI). EAI is not classified to EBITDA in Groupe ADP’s accounts. Please refer to pg. 24 for reconciliation to ADP’sreporting of TAV Airports financials.
significantdouble digit
growth
Realization
10Percent
31Percent
4Percent
€92m13Percent
13Percent
46 percent
1% below
lower
Capital expenditures were lower than guidance due to some investments, such as new lounges, being deferred to 2019
EBITDA was 1% lower than guidance, mainly because of higher purchase price amortization for Antalya
20
2019 Guidance
21
Subject to our traffic and FX assumptions,
excluding passenger and EBITDA generated from Istanbul Ataturk Airport operations in 2019,
our company’s targets for 2019 are as follows:
between EUR70mto EUR80m
EBITDA: IFRS EBIT + Depreciation & Amortisation & Impairment – Construction revenue + construction expense + Ankara guaranteed passenger revenue - Discount Incomerelated to Ankara guaranteed passenger revenue + Equity accounted investees (EAI). EAI is not classified to EBITDA in Groupe ADP’s accounts. Please refer to pg. 25 forreconciliation to ADP’s reporting of TAV Airports financials.
Total TAV Airports Pax(excluding Istanbul Ataturk
Airport)
EBITDA(excluding Istanbul Ataturk
Airport)
Capex
90 to 94 million 38 to 42 %lower
Note: Excluding any impact regarding compensation related with early closure of Istanbul Ataturk Airport All financial targets are in EUR terms and have been adjusted to reverse the effects of IFRIC 12.
11%
14%
47%
28%
Revenue (1)
22
FX Exposure of Operations (1H19)
5%
19%
54%
23%€48m
€59m
€138m
Opex (1)(2)
2%
74%
9%
14%
€33m
€1m
€4m
€6m
D&A
€178m
€54m
€44m
€383m €257m
€45m
€12m
EUR USDTRY Other
(1) Combined figures, pre-elimination and consolidated adjustment, IFRIC12 adjusted, includes equity-pick up (€4.7m)(2) Includes concession rent expenses (€2.6m), does not include depreciation (€44.8m)
96%
3%
1%
€1.414m
Gross Debt
€1.464m
€35m €11m
€107m
FX Exposure of Operations (FY18)
23
11%
22%
15%
52%
Opex (1)(2)
€116m
€174m
€83m
€401m
98%
2%
Gross Debt
€1400m
4%
19%
53%
24%
Revenue (1)
€719m
€255m
€54m
€327m
96%4%
Concession Rent Expense
€7m
€149m
€2m
€1355m
€156m
€774m
€1432m
EUR USDTRY Other
(1) Combined figures, pre-elimination and consolidated adjustment, IFRIC12 adjusted, includes equity-pick up (€46m)(2) Includes concession rent expenses (€156m), does not include depreciation (€116m)
€30m
FX Exposure
24
Hedging
Subsidiaries, TAV Ege, TAV Macedonia, TAV İsletme and TAV Milas Bodrumenter into swap transactions in order to diminish exposure interest rate riskto manage exposure to the floating interest rates relating to loans used.
Interest payments of 100%, 100%, 100% and 90% of floating bank loans forTAV Ege, TAV Macedonia, TAV İşletme and TAV Milas Bodrum respectively arefixed with interest rate swaps.
Changes in the fair value of the derivative hedging instrument designated as acash flow hedge are recognized directly in equity to the extent that the hedgeis highly effective. To the extent that the hedge is ineffective, changes in fairvalue of the ineffective are recognized in profit or loss.
Sensitivity Analysis
The Group’s principal currency risk relates to changes in the value of theEuro relative to TRL and USD. The Group manages its exposure to foreigncurrency risk by entering into derivative contracts and, where possible, seeksto incur expenses with respect to each contract in the currency in which thecontract is denominated and attempt to maintain its cash and cashequivalents in currencies consistent with its obligations.
The basis for the sensitivity analysis to measure foreign exchange risk is anaggregate corporate-level currency exposure. The aggregate foreignexchange exposure is composed of all assets and liabilities denominated inforeign currencies, both short-term and long-term purchase contracts.
A 10 percent strengthening / (weakening) of EUR against the followingcurrencies at 30 June 2019 and 31 December 2018 would have increased /(decreased) equity and profit or loss by the amounts shown below. Thisanalysis assumes that all other variables, in particular interest rates, remainconstant.
Equity Profit or loss(‘000) Sstrengthenin
g of EURWeakening
of EURStrengthening
of EURWeakening
of EUR
30 June 2019
USD (9,501) 9,501
TRY (1,861) 1,861
Other (1,497) 1,497
Total (12,859) 12,85931 December 2018
USD (7,189) 7,189
TRY (155) 155
Other (2,383) 2,383
Total (9,727) 9,727
66
170
13
250
63
167
14
245
HAVAS TGS HVS E HAVAS + TGS +HVS E
1H181H19
HAVAS
25
Havas Consolidated Financials (€m) TGS Financials (50%) (€m)
Havas Solo FX Exposure FY 2018# of Flights Served (‘000)
10%
35%
55%
Revenue
3%
69%
28%
Cost
26,034,8
46,9
31,827,0
37,845,3
30,8 27,1
43,7
4,011,7
24,0
9,3 6,0
19,8
30,5
7,1
-0,6
20,9
-20%
0%
20%
40%
60%
80%
-20,0
0,0
20,0
40,0
60,0
1Q
17
2Q
17
3Q
17
4Q
17
1Q
18
2Q
18
3Q
18
4Q
18
1Q
19
2Q
19
Revenue EBITDA Margin
25,532,0
36,832,4
29,036,4 36,4
31,1
40,8
1,9 3,87,3
2,6 1,16,8
10,64,9
0,8
10,2
0%
10%
20%
30%
40%
-5
5
15
25
35
45
1Q
17
2Q
17
3Q
17
4Q
17
1Q
18
2Q
18
3Q
18
4Q
18
1Q
19
2Q
19
Revenue EBITDA Margin
EUR USDTRY
ATU (50%)
26
ATU Financials (€m) Duty Free Spend per Pax (without Istanbul) (€)
SPP dropped in 1H19, mainly due to TRY depreciation impacting Turkish passengers’ spending, as well as weakness in European passengers.
Istanbul operations discontinued on April 6 2019.
68,3
85,8102,086,0
76,088,2
97,380,6
69,1
43,95,9 6,4
12,73,8 6,9 4.0 11,6
7 7,7 4.0
9%7%
12%
8%9%
10%12%
9%
11%
9%
0%
2%
4%
6%
8%
10%
12%
14%
0
20
40
60
80
100
120
1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19
Revenue EBITDA Margin
6,76,8
6,1
6,7
6,6
2018 1Q18 1Q19 2Q18 2Q19
BTA
27
BTA Financials (€m)
32,7 41.7
47,538,1 36,7
41,72 44,4 40,1 39,730,3
1,9 2.97,0 1,8
1,6 2,91
9,4
-6,1
2,4 0,5
6% 7%
15%
5% 4% 7%
21%
-15%
6%
2%
-20%
-15%
-10%
-5%
0%
5%
10%
15%
20%
25%
-10
0
10
20
30
40
50
60
1Q
17
2Q
17
3Q
17
4Q
17
1Q
18
2Q
18
3Q
18
4Q
18
1Q
19
2Q
19
Revenue EBITDA Margin
TAV F&B Spend per Pax (without Istanbul) (€)
Predominantly TRY based revenue and opexCroatia added in 4Q17, Muscat added end of March 2018Personnel expenses increased significantly in 4Q18 due to employee termination benefits causing sharp decline in EBITDA marginBTA IDO 100% owned since 1Q19BTA Orly operations started in 2Q19
0,8 0,70,8
0,70,8
2018 1Q18 1Q19 2Q18 2Q19
IFRIC 12 & Our Adjusted Financials Policy
28
Introduction to IFRIC 12 IFRIC 12 booking model
IFRIC 12- is an accounting application treating BOT assets with special provisions forguaranteed income. Ankara Esenboga Airport and Izmir Adnan Menderes AirportInternational Terminal, with their guaranteed passenger fee structures, fall under the scope.
The capex we incur on our BOT assets, is routinely booked as “airport operation right” in thebalance sheet. However when there are guaranteed passenger fees in question, these feesare discounted to their NPV and subtracted from the “airport operation right” of the BOT inquestion. The remaining capex amount gets booked as “airport operation right” and the NPVof guaranteed passenger fees gets booked as “trade receivables.”
When the guaranteed passenger fees become earned during the course of operations, theseare credited from the balance sheet and the difference between discounted (NPV of)guaranteed passenger fees and the actual fees as they are earned are booked as financeincome.
Due to the application of IFRIC 12, guaranteed passenger fees stop being P&L items and gettreated as Balance Sheet/Cash Flow items, while at the same time, part of these fees getsshown as finance income. This unduely decreases aviation income and increases financeincome and distorts our P&L. To adjust for the distortion we add back guaranteed passengerfees while reporting our adjusted revenues.
On the other hand the capex incurred during the construction phase is immediatelytransferred to P&L with an offsetting construction income assigned to it. This income may ormay not carry a mark-up on it. Since this method of booking also distorts both the P&L andthe Balance Sheet we adjust our financials to disregard the effects of both “constructionexpense” and “construction income.”
Debit Credit
1. During Construction
BS Debt
BS Cash
BS Construction in progress
PL Construction Expense Construction Income
2. Completion of Construction
BS Construction in progress
BS(NPV of) Passenger Revenue Receivable(Trade Receivables)
BS Airport Operation Right *
3. Operations During Year
PL Aviation Income for the Current Year **
BS Cash **
4. Year Close
PL Aviation Income for the Current Year ***
PL
Was: Finance IncomeIs: Other operating revenue (Difference between discounted receivables and the actual receivables)
BS Passenger Revenue Receivable****
PL Amortisation of Airport Operation Right
BS Accumulated Amortisation of Airport Operation Right
* AOR = Construction in progress-(NPV of Passenger Revenue Receivable** TR-GAAP*** IFRS (IFRIC 12 application)**** Discounted guaranteed passenger revenues for that period
Guaranteed Pax Structure 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
An
kara
International Departing Pax (m) 0.8 0.8 0.9 0.9 1.0 1.0 1.1 1.1 1.2 1.2 1.3 1.3 1.4 1.5 1.6 0.6
Guaranteed Pax Income (€m) 11.8 12.4 13.0 13.7 14.4 15.1 15.8 16.6 17.5 18.3 19.2 20.2 21.2 22.3 23.4 9.6
Domestic Departing Pax (m) 0.6 0.7 0.7 0.7 0.8 0.8 0.8 0.9 0.9 1.0 1.0 1.1 1.1 1.2 1.2 0.5
Guaranteed Pax Income (€m) 1.9 2.0 2.1 2.2 2.3 2.4 2.5 2.7 2.8 2.9 3.1 3.2 3.4 3.6 3.7 1.5
Total Guaranteed Pax Income (€m) 13.7 14.4 15.1 15.9 16.7 17.5 18.4 19.3 20.2 21.3 22.3 23.4 24.6 25.8 27.1 11.1
Discount Income (€m) 11.80 10.96 9.93 8.69 7.21 5.47 3.43 0.43
İzm
ir
International Departing Pax (m) 1.1 1.1 1.1 1.2 1.2 1.2 1.3
Guaranteed Pax Income (€m) 15.9 16.4 16.9 17.4 17.9 18.4 19.0
Total Guaranteed Pax Income (€m) 29.6 30.8 32.0 33.3 34.6 35.9 37.4 19.3 20.2 21.3 22.3 23.4 24.6 25.8 27.1 11.1
Revenue Reconciliation
339,5
5,2 0,0
344,7
IFR
S R
eve
nu
e(r
epo
rted
by
AD
P)*
An
kara
Gu
aran
teed
Pax
Rev
enu
e
Co
nst
ruct
ion
Rev
enu
e
Ad
just
edR
even
ue
(rep
ort
ed b
yTA
V)
EBITDA Reconciliation
116,6
5,24,7
126,6
EBIT
DA
rep
ort
ed b
yA
DP
*
An
kara
Gu
aran
teed
Pax
Rev
enu
e
Equ
ity
Pic
k-u
p
EBIT
DA
rep
ort
ed b
yTA
V
Reconciliation of Revenue and EBITDA (1H19)
(Net
of
dis
cou
nt
inco
me)
(Net
of
dis
cou
nt
inco
me)
Adjusted Revenue and EBITDA Reporting will be discontinued in Q1 2020
To harmonize with Groupe ADP reporting practices, reporting of Adjusted Revenue and Adjusted EBITDA will be discontinuedstarting with Q1 2020. With the Q1 2020 financials, we will only provide IFRS Revenue and EBITDA not adjusted for IFRIC 12before Equity Pick-up.
29*before Groupe ADP consolidation effects
Quarterly Revenue & EBITDA by Assets(1)
30
(1) Please refer to page 27, for revenue and EBITDA reported by Groupe ADP(2) Others EBITDA includes share of profit of equity accounted investees (equity-pick up). Please see pg 24. (3) As per IFRS 5.13, Revenue and EBITDA reported after the closure have been restated to exclude the
results of TAV Istanbul
m€ 1Q18 2Q18 1Q19 2Q19Airports 55.9 77.5 59.7 86.6
Ankara 14.9 11.2 14.5 11.3Ege 13.4 16.6 13.0 18.0Gazipasa 0.3 2.2 0.4 2.2Tunisia 2.2 8.8 3.2 11.7Georgia 17.0 23.1 20.5 25.8Macedonia 6.4 7.6 6.9 8.5Milas Bodrum 1.8 8.0 1.3 9.1
Services 101.0 122.4 113.3 118.5Havas 27.0 37.8 27.1 43.7BTA 36.7 41.7 39.7 30.3Others (2) 37.3 42.9 46.5 44.5
Total 156.9 199.9 173.0 205.0Eliminations -19.5 -20.0 -18.2 -15.1
Consolidated Revenue 137.4 179.9 154.8 189.9Airports 27.5 49.0 30.8 56.0
Ankara 7.8 5.8 8.6 5.6Ege 7.6 11.1 7.2 11.7Gazipasa -0.5 1.4 -0.5 1.3Tunisia -2.6 2.9 -1.8 5.7Georgia 12.8 18.8 15.6 21.0Macedonia 2.2 3.6 2.2 4.2Milas Bodrum 0.1 5.3 -0.4 6.4
Services 16.3 46.1 -0.4 40.2Havas 6.0 19.8 -0.6 20.8BTA 1.6 2.9 2.4 0.5Others(2) 8.7 23.4 -2.3 18.9
Total 43.8 95.1 30.4 96.2Eliminations -0.7 -8.5 0.0 0.0
Adjusted EBITDA 43.1 86.6 30.4 96.2
Guaranteed pax revenue Ankara 5.2 -0.8 3.9 1.4
Quarterly Consolidated P&L
31
€m 1Q18 1Q19 % 2Q18 2Q19 %Adjusted Revenue 137.39 154.80 13% 179.93 189.94 6%Aviation income 31.76 34.46 9% 42.49 50.15 18%Ground Handling Income 28.92 28.73 -1% 42.19 50.68 20%Commission from sales of duty free goods 5.29 5.00 -5% 10.37 11.39 10%Catering services income 23.51 26.05 11% 27.47 25.51 -7%Income from car parking operations 3.40 4.49 32% 4.50 4.58 2%Area allocation income 7.13 6.56 -8% 7.55 6.51 -14%Bus services income 3.71 3.01 -19% 3.67 2.87 -22%Income from lounge services and Primeclass 5.53 16.69 202% 13.85 14.86 7%Other operating revenue 28.15 29.80 6% 27.83 23.39 -16%
Cost of catering inventory sold -8.77 -8.95 2% -10.27 -8.10 -21%Cost of services rendered -13.53 -16.03 18% -16.13 -21.71 35%Personnel expenses -46.76 -55.25 18% -48.26 -48.44 0%Concession rent expenses -0.86 -0.88 2% -1.70 -1.74 2%Depreciation, amortization and impairment expense -20.83 -17.83 -14% -16.96 -26.99 59%Other operating expenses -26.89 -32.63 21% -36.07 -29.14 -19%Equity Pick-up 2.48 -10.63 nm 19.10 15.34 -20%Adjusted EBITDA 43.06 30.43 -29% 86.59 96.15 11%Adjusted EBITDA Margin 31% 20% -37% 48% 51% 5%Adjusted EBIT 22.23 12.61 -43% 69.63 69.16 -1%IFRIC 12 -5.25 -3.87 -26% 0.83 -1.37 nmNet finance expense -31.79 -21.49 -32% -31.87 -24.47 -23%Finance income 2.08 17.80 756% -4.48 29.66 -762%Finance expenses -33.87 -39.29 16% -27.39 -54.13 98%Translation Gain/Loss -13.16 0.28 nm -0.74 1.70 nmTax expense -6.44 -8.75 36% -6.65 -5.58 -16%Current period tax expense -4.13 -4.58 11% -4.90 -4.73 -3%Deferred tax (expense)/income -2.30 -4.17 81% -1.74 -0.85 -51%Profit from continuing operations -21.25 -21.50 1% 31.94 37.74 18%Discontinued Operations 26.90 44.36 65% 57.87 2.16 -96%Profit for the period 5.65 22.85 305% 89.81 39.89 -56%Net Profit After Minority 7.2 23.9 233% 86.0 37.4 -57%Minority 1.5 1.1 -31% -3.8 -2.5 -34%
Aviation Income strong in 2Q with strength ininternational traffic both in Turkish and non-TurkishairportsLike for Like (excluding Antalya and Istanbul) internationaltraffic was up 3% in 1Q vs 11% in 2QGround Handling Revenue increase ın 2Q mostly due tomore favorable mix (international vs domestic)Commission from duty free sales recovered in 1Q withimprovement in LfL international trafficCatering services negatively affected in 2Q from Istanbulexit and positively affected from new businessesIncome from Lounge Services increased in 1Q and 2Qwith new businesses while Istanbul exit had a negativeeffect in 2QCost of Catering decrease in 2Q mostly due to IstanbulexitCost of Services Rendered increase mostly due to newbusinesses of BTA and TAV OS
Equity Accounted Investees – IFRS 11
32
1Q17 2Q17 3Q17 4Q17 FY17 1H18 2Q18 3Q18 4Q18 FY18 1Q19 2Q19
Antalya (50%) ¹ Revenue 7,5 35,4 65,0 22.3 130.2 12,0 43,4 77.1 29.5 161.9 12.1 55.5
Adj. EBITDAR ² 3.8 30.5 59.6 17.4 111.3 4.3 41.1 69.7 23.5 138.7 6.5 48.4
Adj. EBITDA ² -6.9 14.7 43.6 1.4 52.8 -10.9 25.8 55.2 8.9 79.0 -7.3 34.6 Net Profit -10.1 8.2 24.7 -2.8 20.0 -12.4 16.8 34.1 6.9 45.4 -12.6 28.4 Net Debt 63.8 47.6 2.1 -21.2 -21.2 29.9 54.0 34.5 -7.8 -7.8 78.6 65.8
PPAA ³ -8.5 -19.3 -9.0 -36.8 2.2 -14.3
Net Profit+PPAA4 8.5 14.8 -2.1 21.2 -10.5 14.1 1Q17 2Q17 3Q17 4Q17 FY17 1Q18 2Q18 3Q18 4Q18 FY18 1Q19 2Q19
ATU (%50) Revenue 68.3 85.8 102.0 86.0 342.1 76.0 88.2 97.3 80.6 342.0 69.1 43.9
EBITDA* 5.9 6.4 12.7 3.8 28.7 6.9 10.1 11.6 7.0 35.6 7.7 4.0
Net Profit 3.3 4.5 8.4 4.3 20.5 5.0 7.5 7.5 2.1 22.1 3.3 2.7
Net Debt 8.8 4.5 -1.1 -4.6 -4.6 -9.3 -5.4 -15.1 -18.9 -18.9 -19.0 8.7 1Q17 2Q17 3Q17 4Q17 FY17 1Q18 2Q18 3Q18 4Q18 FY18 1Q19 2Q19
TGS (50%) Revenue 25.5 32.0 36.8 32.4 126.7 29.0 36.4 36.4 46.0 147.8 31.1 40.8
EBITDA 1.9 3.8 7.3 2.6 15.6 1.1 6.8 10.6 4.9 23.4 0.8 10.3
Net Profit 0.6 2.0 5.0 1.8 9.4 0.3 5.2 9.9 0.4 15.8 -1.5 4.1
Net Debt - 0.0 0.0 -11.4 -11.4 0.0 0.0 0.0 -3.7 -3.7 -0.3 38.1
(50% with 2Q19 33% before) 1Q17 2Q17 3Q17 4Q17 FY17 1Q18 2Q18 3Q18 4Q18 FY18 1Q19 2Q19(*)
TIBAH Revenue 16.8 18.2 21.4 13.8 70.2 16.8 17.3 23.1 13.9 71.2 17.9 36.2
(Medinah) EBITDA 3.4 4.1 5.5 2.1 15.1 4.2 3.9 6.0 2.3 16.4 4.1 8.4
Net Profit -4.5 -3.7 -0.7 -2.7 -11.6 -1.6 -1.8 -0.6 -4.5 -8.5 -1.2 -4.8
Net Debt 311.0 300.7 300.3 283.0 283.0 274.9 294.4 284.2 299.9 299.9 302.9 445.6
1 TAV Airports’ 49% stake in TAV Antalya entitles it to equal governance and 50% of dividends.2 Adjusted EBITDAR defined as IFRS EBITDA (which is before concession rent amortization.)
Adjusted EBITDA defined as IFRS EBITDA after concession rent amortization 3 TAV Airports’ Purchase Price Allocation (PPA) Amortization for Antalya Airport. Purchase Price Allocation for TAV Antalya was changed in
4Q18 to include no goodwill 4 TAV Antalya’s net contribution to TAV Airports EBITDA since share purchase in May 2018.
*50%
IFRS Income Statement
33
INCOME STATEMENT (€m) 1H18 1H19
Construction revenue 0.0 0.0
Total operating Revenue 312.9 339.5
Other operating income 0.3 -0.2
Aviation income 69.8 79.4
Ground handling income 71.1 79.4
Commission from sales of duty free goods 15.7 16.4
Catering services income 51.0 51.6
Other operating revenue 105.3 112.8
Construction expenditure 0.0 0.0
Operating expenses -247.3 -267.5
Cost of catering inventory sold -19.0 -17.1
Cost of services rendered -29.7 -37.7
Personnel expenses -95.0 -103.7
Concession rent expenses -2.6 -2.6
Depreciation and amortization expense -37.8 -44.8
Other operating expenses -63.2 -61.6
Equity Pick-up 21.6 4.7
Operating profit 87.4 76.5
Finance income -2.4 47.5
Finance expenses -61.3 -93.4
Profit before income tax 23.8 30.6
Income tax expense -13.1 -14.3
Profit from discontinued operations 84.8 46.5
Net Profit After Minority 93.1 61.3
Minority 2.3 1.5
Balance Sheet
34
EQUITY AND LIABILITIES (€m) 1H19 12M18
Share capital 162 162
Share premium 220 220
Legal reserves 122 120
Other reserves -86 -84
Purchase of shares of ent. under common control 40 40
Cash flow hedge reserve -68 -52
Translation reserves -68 -62
Retained earnings 625 694Total equity attributable to equity holders of the Company 948 1038
Non-controlling interests -10 -6
Total Equity 938 1032
Loans and borrowings 654 643
Reserve for employee severance indemnity 13 22
Due to related parties 301 306
Derivative financial instruments 41 29
Deferred income 18 18
Other payables 570 559
Deferred tax liabilities 21 13Total non-current liabilities 1620 1589
Bank overdraft 2 0
Loans and borrowings 509 483
Trade payables 51 46
Due to related parties 4 25
Current tax liabilities 11 11
Other payables 233 250
Provisions 6 6
Deferred income 7 8Total current liabilities 822 830
Total Liabilities 2442 2419
TOTAL EQUITY AND LIABILITIES 3380 3451
ASSETS (€m) 1H19 12M18
Property and equipment 191 231
Intangible assets 10 11
Airport operation right 1,536 1,567
Right of use assets 53 -
Equity-accounted investees 429 493
Goodwill 139 136
Prepaid concession and rent expenses - 3
Derivative financial instruments 0 0
Trade receivables 58 66
Non-current due from related parties 2 2
Other non-current assets 82 8
Deferred tax assets 28 29
Total non-current assets 2,529 2,545
Inventories 9 9
Prepaid concession and rent expenses - 42
Trade receivables 151 150
Due from related parties 33 30
Other receivables and current assets 143 52
Cash and cash equivalents 466 553
Restricted bank balances 50 71Total current assets 852 906
TOTAL ASSETS 3,380 3,451
Cash Flow Statement
35
CASH FLOWS FROM OPERATING ACTIVITIES 1H19 1H18
Profit for the period 16.2 10.7
Profit from discontinued operations 46.5 84.8
Amortisation of airport operation right 27.3 26.7
Depreciation of property and equipment 72.9 26.4
Amortisation of intangible assets 1.3 1.3
Concession and rent expenses 48.0 80.9
Other income accruals -55.0
Provision for employee severance indemnity 1.8 2.6
Provision for doubtful receivables 0.5 0.4
Discount on receivables and payables, net -0.1 0.0
Provision set for unused vacation 0.3 1.1
Interest income -7.1 -7.1
Interest expense on financial liabilities 35.1 34.5
Tax expense 14.3 43.4
Unwinding of discount on concession receivable and payable 11.3 11.2
Share of profit of equity-accounted investees, net of tax -4.7 -21.6
Unrealised foreign exchange differences on statement of financial position items -29.0 -9.8
Cash flows from operating activities 179.6 285.3
Change in current trade receivables 0.1 -13.3
Change in non-current trade receivables 12.2 11.6
Change in inventories 0.3 0.1
Change in due from related parties 5.5 -3.3
Change in other receivables and assets -103.3 13.8
Change in trade payables 4.6 0.4
Change in due to related parties 0.3 0.3
Change in other payables and provisions -25.4 -71.3
Cash provided from operations 74.0 223.6
Income taxes paid -10.0 -36.2
Retirement benefits paid -16.4 -2.1
Additions to prepaid concession and rent expenses - -116.0
Net cash provided from operating activities 47.6 69.3
CASH FLOWS FROM INVESTING ACTIVITIES 1H19 1H18
Proceeds from sale of property, equipment and intangible assets 2.7 0.8
Acquisition of property and equipment -31.8 -52.3
Acquisition of intangible assets -0.9 -1.1
Acquisition of joint venture net of cash acquired - -360.0
Change in due from related parties -9.0 -3.3
Change in due to related parties -21.6 0.0
Dividends from equity-accounted investees 86.6 22.8
Acquisition of subsidiary, net-off cash acquired -2.1-
Net cash used in investing activities 23.9 -393.1
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from borrowings 8.3 170.1
Repayment of borrowings -31.5 -115.8
Dividends paid -126.4 -88.5
Interest received 5.4 9.4
Interest paid -19.3 -22.6
Change in due to related parties -9.1 301.4
Change in restricted bank balances 15.0 -25.7
Change in finance lease liabilities -2.1 -0.5
Net cash used in financing activities -159.7 227.8
NET DECREASE IN CASH AND CASH EQUIVALENTS -88.1 -96.1
CASH AND CASH EQUIVALENTS AT 1 JANUARY 552.2 344.2
CASH AND CASH EQUIVALENTS AT 30 June 464.0 248.1
Airport Type/Expire TAV Stake Scope 2018 Pax (mppa)
fee/pax Int'l
fee/pax Dom.
Security fee/pax int’l(7)
Volume Guarantee
Yearly Lease/ Concession Fee
Paid
Ankara Esenboga BOT
100% Terminal 16.7€15
€2.5 (Transfer)€3 €1.5
0.6m Dom. , 0.75m Int'l for 2007+5% p.a
-(May 2023)
Izmir A.Menderes (Ege)
Concession100% Terminal 13.4
€15€2.5 (Transfer)
€3 €0.75 No €29m+VAT (1)
(December 2032)
Gazipasa Alanya Lease
100% Airport 1.2 €12 TL10 €1.0 No $50,000+VAT+65%
of net profit(May 2034)
Milas BodrumConcession
(December 2035)100% Terminal 4.2 €15 €3
€0.75No
€143.4m upfront+€28.7m+VAT (2)
AntalyaConcession
(December 2024)50%(6) Terminal 31.6
€15€2.5 (Transfer)
€3€0.75
No €100.5m + VAT
Tbilisi BOT
80% Airport 3.8 US$24 US$6 - No -(February 2027)
Batumi BOT
76% Airport 0.6 US$12 US$7 - No -(August 2027)
Monastir&Enfidha BOT+Concession
67% Airport 2.5 €9 €1 €0.8 No
11-26% of revenue from
(May 2047) 2010 to 2047
Skopje & Ohrid BOT+Concession
100% Airport 2.3€11.5 in Skopje, €10.2 in Ohrid
-€6.5 in Skopje, €6.5 in Ohrid
No4% of the gross
annual turnover (3)(March 2030)
Medinah (TIBAH)
BTO+Concession50% Airport 8.1 SAR 87 (4) - - No 54.5% (5)
(2037)
Zagreb(MZLZ)
BOT+Concession(April 2042)
15% Airport 3.3€17
€7.5 €6.5 No€2.0 - €11.5m fixed0.5% (2016) - 61%
(2042) variable€4 (Transfer)
Istanbul Ataturk* Lease
100% Terminal 68.0US$15
€3 €1.5 No $140m + VAT (January 2021) €2.5 (Transfer)
Concession Overview
36
1) Accrual basis: Depreciation expense of €13.5m in 2015 to €32.4m in 2032 plus finance expense of €17.8m in 2015 to €0m in 20322) Accrual basis: Depreciation expense of €11.1m in 2016 to €38.0m in 2032 plus finance expense of €18.8m in 2016 to €0m in 20323) The percentage will be tapered towards 2% as passenger numbers increase. 4) SAR 87 from both departing and arriving international pax. Pax charge will be increase as per cumulative CPI in Saudi Arabia every three years, 5) Was reduced to 27.25 % for the first two years after construction of new terminal in Q2 20156) TAV Airports’ 49% stake in Antalya Airport entitles it to equal governance and 50% of dividends.7) Security fee for int’l pax are collected in Turkish Airports starting from January 2019.
*All commercial traffic of Istanbul Ataturk Airport was transferred to the New Istanbul Airport on April 6th, 2019. DHMI had stated that it would reimburse our company for loss of profit due to opening of the New Istanbul Airport before the end of TAV Istanbul's lease period which ends on January 3, 2021.
TAV became 100% shareholder of BTA
EUR25million impairment of Milas Bodrum (net profit impact of EUR20million, after deferred tax)
Havas Germany operations shut down
Accounting methodology changes
Timeline
2017 2018 2019
TRY 758 million cash dividends paid
BTA IDO stake increased to 100%
TAV OS acquired 70% of Spanish Lounge operator GIS
Q1TRY 248 million cash dividends paid
Adverse weather conditions in January led to flight cancellations in İstanbul
New terminal building of Zagreb Airport opened at the end of March
Q1
TRY 406 million cash dividends paid
Signed SPA to purchase 49% of Antalya Airport with co-control and equal dividend rights from IC for EUR 360 million
Q1
Philippines regional airports tender cancelled
Saudi airports awarded (Yanbu, Qasim and Hail)
New arrival terminal building of Tbilisi Airport opened at the end of June
Q2
Change in shareholder structure
Guidance Revision for 2017
Q3
Q4
Antalya Airport share transfer took place in May 2018
TGS contract renewed for 15 more years
Guidance revision for 2018
Q2
Volatility in markets
Q3
TAV Airports Holding included in Turquality program
EUR 10million impairment of Milas Bodrum reversed
Employee termination benefits provisioned
Higher PPAA allocation for Antalya Airport due to change in accounting
Q4
37
Commercial traffic of Istanbul Ataturk Airport transferred to Istanbul Airport
BTA Orly operations started
Stake in TIBAH (Medinah) increased to 50%
Q2
Tax Regimes
38
Corporate income tax rate of 25%
Corporate income tax rate of 10%
Corporate income tax rate of 20% as of 2018 (15% previously)
Corporate income tax rate of 20% for non-residents
Corporate income tax rate of 18%
Corporate income tax rate of 22% for 2018-2019-2020 (20% previously) %.
Advance tax returns are filed on a quarterly basisLosses can be carried forward for offsetting against future taxable income for up to 5 years
Corporate income tax rate of 15%
Turkey
Georgia
Tunisia
North Macedonia
Latvia
Saudi Arabia
Croatia
Share Price Performance 1M 3M YTD
TRY 1% -11% 7%
USD -2% -8% -1%
Relative to BIST -100 -5% -19% -4%
Share Performance (September 17, 2019)
ESG & Share Performance
39
The Corporate Governance rating of our Company has increased to 96.67 on 16.08.2019 from a rating of 96.25 which was announced on 17.08.2018, owing to our strong emphasis on developing good corporate governance practices.
Corporate Governance Rating Weight Grade
Shareholders 25% 95.79
Public Disclosure and Transparency 25% 98.65
Stakeholders 15% 98.82
Board of Directors 35% 94.98
Total 100% 96.67Closing Price (TRY)
23.58Market CapUSD 1. 5bn
Avg. Daily Volume**USD 7 m
Free Float*44%
Effective Free Float*44%
Foreign Ownership
~90%
* Source: Central Registry Agency (MKK)** 2019 yearly average
ESG
TAV Airports was included in the BIST Sustainability Index on November 4, 2014.
CDP report available on CDP.net
2,00
3,00
4,00
5,00
6,00
7,00
03.
01.2
01
8
28.
01.2
01
8
22.
02.2
01
8
19.
03.2
01
8
13.
04.2
01
8
08.
05.2
01
8
02.
06.2
01
8
27.
06.2
01
8
22.
07.2
01
8
16.
08.2
01
8
10.
09.2
01
8
05.
10.2
01
8
30.
10.2
01
8
24.
11.2
01
8
19.
12.2
01
8
13.
01.2
01
9
07.
02.2
01
9
04.
03.2
01
9
29.
03.2
01
9
23.
04.2
01
9
18.
05.2
01
9
12.
06.2
01
9
07.
07.2
01
9
01.
08.2
01
9
26.
08.2
01
9
TAVHL ($)
SWITZERLAND
UAE
SAUDIARABIA
USA
Global Presence with Service Companies in 28 Countries and 90 Airports
40
INDONESIA
JORDAN
GERMANY LATVIA
GEORGIA
MACEDONIA
TUNISIA EGYPT
TURKEY
QATARFRANCE
SPAIN
MEXICO
ARGENTINA
OMAN
KENYA
RWANDA
BRAZIL
ITALY
CROATIA
NETHERLANDS
COLOMBIA
CHILE
DENMARK
TAV Airports
ADP Airports
TAV + ADP
France
Paris-CDG: 72.2 mpax
Paris-Orly: 33.1mpax
Owner and operator
Schiphol Group (8%)
71.0 mpax
Industrial cooperation
Liège (25.6%)
Strategic partner
Jeddah (Terminal Hajj) – Saudi Arabia
7.3 mpax
Management contract
Amman(1) – Jordan (51%)
8.4 mpax
Management contract
Strategic partnerConakry (29%)
0.5 mpax
Operator
Mauricius (10%)
3.9 mpax
Operator
Strategic Partners
Tunisia (67%)
Enfidha & Monastir 2.5 mpax
Concession operator
Turkey
130.9 mpax
Istanbul Ataturk, Antalya(2),
Ankara, Izmir, Gazipasa & Bodrum
Concession operator
Georgia (76%)
Tbilisi & Batumi: 4.4 mpax
Concession operator
North Macedonia (100%)
Skopje & Ohrid: 2.3m pax
Concession operator
Medinah (Saudi Arabia) (33%)
8.1 mpax
Concession operator
Zagreb (ADP 21% & TAV 15%)
3.3 mpax
Operator and partner
Santiago de Chili (45%)
23.3 mpax
Concession operator
Madagascar
1.2 mpax
Concession operator
(1) In April 2018, Groupe ADP increased its stake in AIG, concessionary company of Amman Airport, Jordan, from 9.5% to 51%.(2) In May 2018, TAV Airports acquired 50% stake of Antalya Airport.
Groupe ADP – TAV Airports: A Global Footprint
A Platform of 24 airports* and 281 million passengers**
Passenger numbers are for FY 2018, excluding passenger numbers for Schiphol and Riga Airport. Antalya Airport passenger numbers are included starting from May 2018.This calculation takes into account Groupe ADP and TAV Airports’ figures at 100% for 2018 and, for minority stakes, it takes into account the traffic weighted by stake of ownership.
Source: Groupe ADP, TAV Airports ( as of end-2018)
41
Major Airports in Turkey
42
Istanbul / Ataturk AirportTender Date: 2005Type: LeaseExpire: 2021
68,0 mIntl: 48,8 m
Dom: 19,2 m
Ankara / Esenboga AirportTender Date: 2006Type: BOTExpire: 2023
16,7 mIntl: 2,2 m
Dom: 14,5 m
İzmir / A.Menderes AirportTender Date: 2011*Type: LeaseExpire: 2032
13,4 mIntl: 2,7 m
Dom: 10,7 m
Milas-Bodrum AirportTender Date: 2014*Type: LeaseExpire: October 22,2035
4,2 mIntl: 1,5 m
Dom: 2,7 m Mugla / Dalaman Airport
Tender Date: 2014Type: BOT+Lease Expire: 2039
4,6 mIntl: 3,0 m
Dom: 1,6 m
Antalya AirportTender Date: 2007Type: Lease Expire: 2024
34,1 mIntl: 22,5 m
Dom: 11,7 m
Gaziantep Airport2,7 mIntl: 0,3 m
Dom: 2,4 m
Adana Airport5,6 mIntl: 0,7 m
Dom: 4,9 m
Kapadokya Airport0,4 mIntl: 0 m
Dom: 0,4 m
Trabzon Airport4,0 mIntl: 0,3 m
Dom: 3,8 m
Samsun Airport1,7 mIntl: 0,1 m
Dom: 1,6 m
GazipasaAirportTender Date: 2007Type: LeaseExpire: 2034
1,2 mIntl: 0,6 m
Dom: 0,6 m
* International terminal taken over in October 2015** Passenger numbers are for 2018.
Operated by TAV Airports
Not privatized
Operated by others
İstanbul /Sabiha Gokcen Airport
Tender Date: 2007Type: BOTExpire: 2032
34,1 mIntl:11,7 m
Dom: 22,5 m
New Airport
SabihaGokcen
AtaturkInt.
Airport
3rdBridge
Macro Outlook
43
Country Subject Descriptor Units Scale 2017 2018 2019 2020 2021 2022 2023 2024
Gross domestic product, constant prices % Ch. 2,9 2,7 2,6 2,5 2,4 2,2 2,0 2,0
Croatia
Gross domestic product, current prices USD Billions 55,2 60,7 61,3 64,6 67,7 70,9 74,1 77,2
Gross domestic product per capita, current prices USD Thousands 13,4 14,8 15,1 16,0 16,9 17,8 18,7 19,7
Inflation, average consumer prices % Ch. 1,1 1,5 1,5 1,6 1,7 1,8 1,9 1,9
Population Persons Millions 4,1 4,1 4,1 4,0 4,0 4,0 4,0 3,9
Gross domestic product, constant prices % Ch. 4,8 4,7 4,6 5,0 5,2 5,2 5,2 5,2
Georgia
Gross domestic product, current prices USD Billions 15,1 16,3 17,2 18,9 20,7 22,4 24,2 26,1
Gross domestic product per capita, current prices USD Thousands 4,05 4,40 4,66 5,14 5,60 6,00 6,41 6,87
Inflation, average consumer prices % Ch. 6,0 2,6 2,5 3,0 3,0 3,0 3,0 3,0
Population Persons Millions 3,7 3,7 3,7 3,7 3,7 3,7 3,8 3,8
Gross domestic product, constant prices % Ch. 4,6 4,8 3,2 3,1 3,1 3,0 3,0 3,0
Latvia
Gross domestic product, current prices USD Billions 30,5 34,9 35,7 38,1 40,4 42,8 45,3 48,0
Gross domestic product per capita, current prices USD Thousands 15,7 18,0 18,5 19,8 21,0 22,3 23,7 25,1
Inflation, average consumer prices % Ch. 2,9 2,6 2,4 2,4 2,1 2,1 2,1 2,1
Population Persons Millions 2,0 1,9 1,9 1,9 1,9 1,9 1,9 1,9
Gross domestic product, constant prices % Ch. 0,2 2,7 3,0 3,1 3,2 3,3 3,4 3,5
NorthMacedonia
Gross domestic product, current prices USD Billions 11,3 12,7 12,9 13,7 14,5 15,4 16,4 17,5
Gross domestic product per capita, current prices USD Thousands 5,4 6,1 6,2 6,6 7,0 7,4 7,9 8,4
Inflation, average consumer prices % Ch. 1,4 1,5 1,8 2,0 2,2 2,2 2,2 2,2
Population Persons Millions 2,1 2,1 2,1 2,1 2,1 2,1 2,1 2,1
Gross domestic product, constant prices % Ch. -0,7 2,2 1,8 2,1 2,2 2,2 2,3 2,3
Saudi Arabia
Gross domestic product, current prices USD Billions 688,6 782,5 762,3 790,1 817,4 847,6 882,0 919,7
Gross domestic product per capita, current prices USD Thousands 21,2 23,6 22,5 22,9 23,2 23,6 24,1 24,6
Inflation, average consumer prices % Ch. -0,9 2,5 -0,7 2,2 2,1 2,1 2,1 2,1
Population Persons Millions 32,6 33,2 33,9 34,5 35,2 35,9 36,7 37,4
Gross domestic product, constant prices % Ch. 2,0 2,5 2,7 3,2 3,5 4,1 4,1 4,1
Tunisia
Gross domestic product, current prices USD Billions 40,0 39,9 36,2 35,2 36,5 39,4 42,6 46,2
Gross domestic product per capita, current prices USD Thousands 3,5 3,4 3,1 3,0 3,0 3,2 3,5 3,7
Inflation, average consumer prices % Ch. 5,3 7,3 7,5 5,6 4,4 4,3 4,2 4,0
Population Persons Millions 11,5 11,7 11,8 11,9 12,0 12,1 12,2 12,3
Gross domestic product, constant prices % Ch. 7,4 2,6 -2,5 2,5 3,0 3,0 3,5 3,5
Turkey
Gross domestic product, current prices USD Billions 851,5 766,4 706,2 809,6 929,8 987,6 1044,1 1105,6
Gross domestic product per capita, current prices USD Thousands 10,5 9,3 8,5 9,6 10,9 11,5 12,0 12,6
Inflation, average consumer prices % Ch. 11,1 16,3 17,5 14,1 13,4 13,0 13,0 12,4
Population Persons Millions 80,8 82,0 83,0 84,0 85,0 86,1 87,1 88,0
IMF, World Economic Outlook Database, April 2019
Contact IR
44
IR Team About TAV Airports
Besim MERİC Investor Relations [email protected] Tel :+90 212 463 3000 / 2123Fax : +90 212 465 3100
Ali Ozgu CANERİInvestor Relations [email protected] :+90 212 463 3000 / 2124Fax : +90 212 465 3100
IR Website http://ir.tav.aero
e-mail [email protected]
Phone +90-212-463 3000 (x2122 – 2123 – 2124 - 2125)
Twitter twitter.com/irTAV
Facebook facebook.com/irTAV
Address TAV Airports Holding Co.
Vadistanbul Bulvar, Ayazaga Mahallesi Cendere Caddesi
No:109L 2C Blok 34485 Sarıyer/Istanbul
Turkey
Georgia
Tunisia
North Macedonia
Saudi Arabia
Latvia
Croatia
Ankara EsenbogaIzmir Adnan Menderes
Gazipasa Alanya Milas BodrumAntalya
Tbilisi and Batumi
Monastir and Enfidha
Skopje and Ohrid
Medinah
Riga (only commercial areas)
Zagreb
TAV Airports through its affiliates and subsidiaries, in auxiliary airport services including dutyfree, food and beverage, ground handling services, IT, security and operation services. As part ofthese diversified services TAV Airports also operates the duty-free, food and beverage and othercommercial areas at Riga Airport in Latvia. In 2018, the company provided services for 1 millionflights and 152 million passengers. The Company’s shares are listed in Borsa Istanbul sinceFebruary 23, 2007, under the ticker code “TAVHL”
Disclaimer
This presentation does not constitute an offer to sell or the solicitation of an offer to buy or acquire any shares of TAV Havalimanlari Holding A.S. (the "Company") in anyjurisdiction or an inducement to enter into investment activity. No information set out in this document or referred to in such other written or oral information will form thebasis of any contract.
The information used in preparing these materials was obtained from or through the Company or the Company’s representatives or from public sources. No reliance may beplaced for any purposes whatsoever on the information contained in this presentation or on its accuracy, completeness or fairness. The information in this presentation issubject to verification, completion and change. While the information herein has been prepared in good faith, no representation or warranty, express or implied, is or will bemade and no responsibility or liability is or will be accepted by the Company or any of its group undertakings, employees or agents as to or in relation to the accuracy,completeness or fairness of the information contained in this presentation or any other written or oral information made available to any interested party or its advisers and anysuch liability is expressly disclaimed. This disclaimer will not exclude any liability for, or remedy in respect of fraudulent misrepresentation by the Company.
This presentation contains forward-looking statements. These statements, which may contain the words “anticipate”, “believe”, “intend”, “estimate”, “expect” and words ofsimilar meaning, reflect the Company’s beliefs, opinions and expectations and, particularly where such statements relate to possible or assumed future financial or otherperformance of the Company, are subject to risks and uncertainties that may cause actual results to differ materially. These risks and uncertainties include, among other factors,changing business or other market conditions and the prospects for growth anticipated by the management of the Company. These and other factors could adversely affect theoutcome and financial effects of the plans and events described herein. These forward-looking statements speak only as at the date of this presentation. The Company expresslydisclaim any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company’sexpectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based. Past performance cannot be relied upon as a guideto future performance. As a result, you are cautioned not to place reliance on such forward-looking statements.
Information in this presentation was prepared as of September 2019.
45