Corporación América Airports Soars to Record Profits Amid Global Expansion

LUXEMBOURG – November 24, 2025 – Corporación América Airports (NYSE: CAAP) delivered a powerful performance in the third quarter of 2025, achieving its highest-ever Adjusted EBITDA and demonstrating robust growth that significantly outshines industry averages. The global airport operator reported impressive gains in revenue and passenger traffic, signaling both a strong recovery in its key markets and the success of its strategic initiatives, even as it navigates complex economic headwinds and embarks on ambitious new ventures in emerging markets.

For the quarter ending September 30, 2025, CAAP reported consolidated revenues (excluding construction services under IFRIC12) of $472.1 million, a 16.6% increase year-over-year. This top-line growth fueled a remarkable surge in profitability. Adjusted EBITDA ex-IFRIC12 jumped 33.6% to a record $194.3 million, expanding the associated profit margin by over five percentage points to an impressive 41.2%. The performance underscores the company's ability to effectively manage costs and capitalize on recovering travel demand across its diverse portfolio of 52 airports.

Passenger Growth That Outpaces the Pack

A key driver of CAAP’s stellar quarter was a surge in passenger volumes that significantly outstripped global and regional trends. The company handled 23.3 million passengers, a 9.3% increase compared to the same period in the prior year. This growth rate is more than double the global average of 4.1% reported by the International Air Transport Association (IATA) for Q3 2025 and well ahead of the 3.9% growth seen across European airports.

Even within its primary region of Latin America, where passenger demand grew by a healthy 6.7%, CAAP's performance stands out. This outperformance is stark when compared to other major global operators. For the same period, Fraport reported a modest 3% passenger increase across its group, while Vinci Airports saw a 4.2% rise. CAAP's superior growth figures point to strong market positioning and operational excellence in its specific territories, particularly in Argentina, Italy, and Armenia, which all delivered double-digit growth and, in some cases, hit historical traffic records.

In his comments on the results, CEO Martín Eurnekian highlighted this dynamic, stating, “Revenue growth once again outpaced traffic, rising 17% in the quarter, driven by broad-based strength across Aeronautical and Commercial revenues.” This indicates the success of the company's commercial initiatives, which are converting higher footfall into even higher revenue per passenger through enhanced retail, food and beverage, and other non-aeronautical offerings.

A Two-Pronged Strategy: Modernization and Expansion

Beyond strong operational execution, CAAP's results reflect a clear strategic focus on both enhancing existing assets and pursuing disciplined international expansion. The company is actively investing in modernizing its airports to improve the passenger experience and unlock further commercial revenue. Current projects include a complete redesign of the Duty Free store in Armenia and a significant expansion of the Duty Free area and construction of a new VIP lounge in Uruguay.

In Europe, the company achieved a critical milestone in Italy, where the government issued an Environmental Impact Assessment decree for the Florence Airport master plan, paving the way for future upgrades.

Simultaneously, CAAP is making bold moves into new, high-potential markets. The most significant development is the recent signing of an Award Agreement for a 25-year concession to operate, manage, and modernize Baghdad International Airport (BGW) in Iraq. As part of a consortium, CAAP will oversee a comprehensive overhaul of the airport, including the construction of a new terminal, rehabilitation of runways, and modernization of cargo facilities. The project, structured as a Public-Private Partnership (PPP), represents a major strategic entry into a new region and is projected to involve a total investment of approximately $764 million over the concession period.

This expansionary vision extends to Africa, where the company noted that government processes are advancing in its bid for an airport tender in Angola. Mr. Eurnekian emphasized a prudent growth philosophy: “We apply a disciplined approach to growth, pursuing new opportunities only when we have a clear understanding of the associated risks and are confident they will create long-term value.”

Navigating Economic Crosswinds

CAAP's impressive performance is made more notable by the challenging economic environments it navigates. The company's largest subsidiary operates in Argentina, a country grappling with hyperinflation. This forces the application of complex IAS 29 accounting rules, which can obscure underlying performance. However, by also reporting figures excluding this impact, the company provides a clearer view of its operational strength. In fact, Argentina was a major contributor to the quarter's robust results, benefiting from favorable comparisons to a prior year when it absorbed significant inflation-driven cost increases.

Looking ahead, however, the CEO has prudently cautioned that the exceptional domestic growth seen in Argentina is expected to moderate. This highlights the persistent volatility in that market. The company's expansion into new territories like Iraq and Angola introduces different sets of geopolitical and economic variables. While Iraq's internal stability has improved, its economy remains heavily reliant on volatile oil prices, with analysts offering conflicting GDP forecasts for 2025. Similarly, Angola's economic outlook has been tempered by lower oil revenue projections, according to the IMF.

Despite these challenges, CAAP's strong balance sheet, with a healthy net debt to LTM Adjusted EBITDA ratio of 0.9x and over $540 million in cash, provides a solid foundation to weather uncertainty and fund its growth ambitions. The third-quarter results paint a picture of a company skillfully executing its strategy, turning recovering travel demand into record profitability while planting seeds for long-term growth in new and demanding global markets.