ADM Aéroports de Montréal airports’ passenger traffic totalled 5.3 million in the second quarter of 2023, up 32.9% compared with 2022 and representing 106.1% of the traffic for the corresponding period in 2019. The airport also announced its consolidated operating results for the six months (H1) ended June 30, 2023.
The airport sustained the passenger growth throughout the quarter with 101.0% of 2019 traffic levels in April, 108.8% in May and reaching 107.9% in June. The international sector also showed a significant upturn, reaching 117.7% of 2019 traffic levels in the second quarter. For the first six months of 2023, passenger traffic stood at 9.8 million, up 57.6% over 2022.
The Group reported an EBITDA was $104.8 million for the Q2, 2023, an increase of $22.9 million compared with EBITDA of $81.9 million for the same period in 2022. For the six months ended June 30, 2023, EBITDA totalled $193.5 million, an increase of $76.6 million over EBITDA of $116.9 million for the first six months of 2022.
The airport’s capital investments, net of grants, were $90.7 million in the Q2 of 2023 compared with $40.2 million for the corresponding period of 2022, an increase of $50.5 million, or 125.7%. Capital investments for the six months ended June 30, 2023, amounted to $114.1 million as compared to $56.2 million in 2022, an increase of 103.0%. For the six months under review, grants from the Airport Critical Infrastructure Program (ACIP) totalled $43.5 million.
“Despite passenger traffic now exceeding 2019 levels and challenging weather conditions, airport operations at YUL Montréal-Trudeau International Airport are running more smoothly this summer season compared to the summer of 2022. ADM has worked hard over the past year, making significant investments in baggage handling and working with airlines and government agencies on airport processes. Of course, we’ll continue to improve the way we do business to provide the best possible experience for our passengers during this busy season. In this regard, I would also like to thank the employees of the airport community for their excellent work in enabling millions of Quebecers and tourists to enjoy their holidays under conditions that are not always easy,” said Philippe Rainville, president and chief executive, ADM.
The airport reported a consolidated revenues of $203.6 million for Q2, 2023, an increase of $45.5 million, or 28.8%, over the corresponding period in 2022. For the first six months of 2023, revenues totalled $389.4 million, an increase of $128.5 million, or 49.2%, compared with the same six-month period in 2022. These positive results are directly attributable to the rebound in passenger traffic that is continuing in 2023.
Operating expenses were $64.5 million, an increase of $15.6 million, or 31.7%, over the same quarter of 2022. For the six months ended June 30, 2023, operating expenses increased by $34.5 million, or 35.9%, from $95.9 million to $130.4 million. This variance in operating expenses is mainly due to higher operating expenses for passenger services as a result of the sustained recovery in business activity that is continuing in 2023.
Transfers to governments (payments in lieu of taxes to municipalities [PILT] and rent to Transport Canada) totalled $34.3 million in Q2 up $7.0 million over the previous year, and represented 16.9% of ADM’s revenues (17.3% in 2022). For the first six months of 2023, transfers amounted to $65.5 million, an increase of $17.4 million over the same six months of 2022, and represented 16.8% of ADM’s total revenues (18.4% in 2022).
Net financial expenses totalled $24.3 million for the quarter under review, down $7.4 million, or 23.1%, from the same period in 2022. Cumulative net financial expenses at June 30, 2023 totalled $48.6 million compared with $63.3 million for 2022, a decrease of $14.7 million, or 23.1%. This variance is primarily due to higher interest income on surplus cash.
ADM’s net debt at June 30, 2023 was $2.27 billion compared with $2.30 billion at December 31, 2022.