Ladies and gentlemen, thank you for standing by. I am Gayly, your Chorus Call operator. Welcome and thank you for joining the TAV Airports Investor Day live webcast to present and discuss the nine months 2022 financial results. At this time, I would like to turn the conference over to Mr. Serkan Kaptan, CEO, and Ms. Burcu Geriş, Deputy CEO and CFO. Mr. Kaptan, you may now proceed.
Thank you. Welcome, you all. I would like to start with the overview of the first nine months. The Turkish tourism is continuing its growth, and expanding the source markets to Turkey. We had a very strong summer season despite the geopolitical setbacks around Turkey. The major source markets like Germany and U.K. surpassed the 2019 levels with a wide margin. Due to this strength, we expect our international passenger traffic to be 10%-15% higher than our initial guidance that we have published at the beginning of the year. Almaty contributes a lot to the portfolio due to mainly the cargo aircraft stopovers. It helps a lot. We have doubled the number of cargo aircraft stops and the volume compared to year 2019.
This is partially due to the geopolitical events because there is no-fly zone over Russia. It helps Almaty's cargo growth. Partially to the increased operational efficiency. As you may remember, we took over Almaty operations May last year, so immediately we've gotten into operational efficiency program. The luxury stores that we are operating at the new iGA Istanbul Airport have helped a lot for the commercial revenues. We expect this demand to Turkish airports, also the international airport to stay intact during the winter season as well. Because of the geopolitical context, we have a lot of Russians and Ukrainians still flowing into especially Antalya region for the winter season. We also have a lot of demand from Europe because of the energy crisis coming into Turkey.
In terms of the 2019 levels of our revenue, EBITDA, net income, we have surpassed the 2019 levels again. At the second quarter, as you may remember, we were over 2019 levels. In the third quarter it is the same as well. We will be revising our guidance for year 2022 for the second time. Now, we expect our EBITDA to be between EUR 272 million and EUR 313 million, and the net income to be realized between EUR 75 million and EUR 105 million. As we have earlier promised, we have emerged out of the pandemic stronger, with a better profitability and a longer and larger asset base. Just to recall, last year we have added Almaty and Antalya airports to our portfolio.
As I said earlier, May 2021 we start operating Almaty. December 2021 we got the award for Antalya to extend our concession till year 2052. All in all, our portfolio maturity increased to 30 years. In terms of the tourism, despite the downturns in economy, tourism is strong. We recovered in Antalya 60% of our Russian traffic, and the remaining is mostly topped up by a strong European traffic. In the third quarter, we have announced that we submitted a bid for the operation and development of Lagos Airport in Nigeria. It's a concession for 20 years. Last week we received the preferred bidder status to proceed to the negotiation stage for the concession agreement.
What we plan to do is that we want to position TAV in the center of Africa, which is a great economy, the Nigerian economy, with over 210 million population, whereas the volume of air traffic is very, very less. Very recently, you may have followed the news that Air Nigeria is being established, with the investment of Ethiopian Airlines. We believe the traffic in Nigeria will quickly grow. If we finalize the negotiation phase of the tender and sign the concession agreement, we hope that next year we'll be starting to operate the Lagos Airport. During the last 20 years, we have experienced a lot of shocks and crises. We could say we successfully managed all of them. As per TAV, we have a resilience adaptability culture in our genes.
We still keep on the competitive edge of TAV, which is the human resources and also, our commercial companies, sister companies, and our ability to grow the businesses. In terms of the new projects, I would also like to give you some color on this Nigeria opportunity. It's the seventh most populous country in the world. The projection for year 2050 is that Nigeria could be 400 million people. The GDP of the country is $441 billion. GDP per capita is low, $2,360 per capita. The GDP growth is around 3.6% for 2021. There are many global companies in Nigeria.
It's not an easy place to make business, but when we see the global companies like Unilever, Chevron, Nestlé, and some other companies, we see the importance of the country in terms of growth. I'll move on to the growth strategy. I think you follow the slides of page three, where you see our passenger volume. You know, the year 2018 and 2019 was an important year for us because we ceased the operations at Istanbul Atatürk Airport end of March. 2018 was our record year where we reached 152 million passengers.
Hello, everyone. Thank you for joining us today. Just to continue with Serkan's presentation, he gave you the highlights. I will go more deep i nto the numbers. You have, some of you or all of you may have the presentation in your hands because it's numbers, it could be helpful that I mention the slide number if I'm on a slide number, but I won't be going through each and every slide. Just to continue, I mean, page three, for example, we wanted to show you a long-term, long history of TAV, not that long history, but still 20 years of TAV that we went through so many crises. Nothing was as big as this COVID pandemic, but still we had our share of the crisis, both the aviation sector and TAV in particular.
We had our share of crisis. Nevertheless, through the highest or biggest crisis, we still emerged very strong. This shows that our passenger numbers are really recovering very well. Even we have—I mean, in the financials, you will see, even though they haven't fully recovered yet, financially, we have more than fully recovered. On page four, I will go through the summary numbers. The revenues are at EUR 752.5 million. This is a 112% increase on 2021 numbers. We still continue comparing to 2019 numbers. Until we fully recover, we will be doing this, hopefully this year for the last time. We saw that nine months revenue was 29% above 2019 numbers. This was, of course, some part due to addition of Almaty.
Even if you look like for like, we are only at -10% versus nine months of 2019. If you look at on a quarterly basis, on a standalone quarter, third quarter, our revenues were up 40%. We can see that on a quarterly basis, on even on the like for like level, we were 4% above our nine-month, our Q3 2019. When we turn to OpEx, we saw, of course, an increase in our OpEx, 104% to TRY 485 million. This is our cash OpEx. Obviously, this cash OpEx includes the Almaty addition, and TRY 162 million of this increase comes from Almaty, which includes everything, from the cost of goods sold, fuels, all the OpEx of Almaty.
If you were to compare cash OpEx without Almaty, which we would like to do just to see apples to apples, then we can see it was 7% below nine months 2019, which shows real savings of 7%. It was 62% above nine months 2021. Coming to our EBITDA, we recorded a very successful EBITDA of EUR 267 million, which is a 128% increase compared to previous year. If we compare to our 2019 level, 14% above, and Almaty generated one-fourth of this, one quarter of this consolidated EBITDA.
I won't go into too much detail here, but if we come to our equity-accounted investees, which was negative last year, we see a great increase to EUR 47.2, thanks to all of our JVs, including Antalya, ATU, TGS, all of them performed really well. Finally, our net profit after minority, we recorded a record EUR 129 million, which is 46% above last year. Also, if we compare to 2019, it's a substantial improvement. Our CapEx was EUR 99 million. This is mostly due to our investment in Almaty, but included all our other investments in Georgia, Macedonia, mostly our heavy maintenance investments. Our net debt, as planned and as foreseen, increased to EUR 1.6 billion.
We are at an investment phase. As you know, we are investing heavily in Almaty and Antalya. We see the returns immediately from both Almaty and Antalya. As we have already guided, we are seeing this net debt to EBITDA normalization in the next two to three years. I will come to that, but we updated our guidance, as you know. Every time, the first in July and second time in October, we have updated the guidances downwards for net debt to EBITDA, which is a big good news to all of us. Our number of employees, 7% increase. This is due to mostly operational increase, you know, the passenger increase.
Number of passengers is 62% compared to 2021, so 60 million. Our duty-free levels, duty-free spend per pax levels are almost at the same level, around EUR 9.9. If we continue with this recovery and the phase of recovery, on page six, you can follow up. This is one of my favorite slides, really. You can follow that how much we recovered both on a nine-month basis and also a quarter basis. For revenues, EBITDA, and net income, for example. For revenues, 40% above 2019. This is on a quarterly basis. For EBITDA, 17%, and for net income, 18%. If you look at nine months, the numbers are 29% above, 14% above, and 32% above.
We always had, you know, once we had to get out of Atatürk, and Atatürk was closed. We were always faced with, you know, how are you going to replace Atatürk? When are you going to replace Atatürk? We went through many crises, including COVID and the Russian-Ukraine war, and we are very happy to show that we have more than replaced really Atatürk numbers. We are happy with the performance of, you know, Almaty, Antalya, and all of our other airports, Izmir, Georgia, all of them, and our service companies as well, that they have been performing very well. I will come to the service company's turnaround as well.
I'm sure you have all noticed that there are very nice increases in their, you know, EBITDA absolute EBITDA numbers on our technology company, our BTA, our F&B company. ATU also is not in EBITDA, but in PIA, we see this improvement in net income. There's strong retail traction, obviously, some due to this revenge shopping, some due to other factors. We've seen very strong performance of ATU in our IGA retail shops, fashion boutiques and the like. All of this come together to give us this really nice recovery on EBITDA. On the next pages, we go through the, you know, on similar items on the recovery on traffic, I don't know.
I mean, it's important obviously on page nine that maybe we can go a little bit on the details of the traffic. As Serkan also mentioned at the beginning of the call, almost all of our airports performed really well in terms of recovery. Antalya is especially important because it provides bulk of our passengers. Almost half of our passengers for the nine months come from Antalya. For international passengers, compared to 2019, we were at 84%, which is great. For Izmir, we surpassed 2019 levels by 13%. In Ankara, still 82%. Bodrum, almost at 2019 levels. Gazipaşa was lagging behind, but it's a much smaller airport, and its impact on the total number is very limited. On Almaty, overall, we are above 8%.
International is at 80%, but domestic surpassed the numbers. Georgia still going well, despite the Russian ban was continuing and so the Russian-Ukraine impact was limited on Georgia since already since 2019, we were experiencing the losses from the Russian ban. The additional impact was very limited. In fact, it was set off by other markets. We are at 76% recovery. Medina started the year slow, but then once it opened up, it recovered very fast, and now we are at 65% and going steady. Tunisia, unfortunately, is still our weakest link in this portfolio. I hope, we hope it's time will come to shine, but not yet.
It's quite a small economy and a somewhat closed economy and still requires some political stability and some actions on tourism and et cetera. The Russian tourists who started to come to Tunisia were directed mostly to Turkey. I mean, we benefited from running a portfolio, but Tunisia was hurt. Macedonia and Zagreb, both of these airports are at 88%. As subtotal, we were at 84% with 60 million passengers. On page 10, I would like to draw your attention to these EBITDA contributors because obviously, Almaty come into the list from number one as with the top twenty list of busiest. It came to the list, and it's recorded EUR 67 million of EBITDA, and it's number one.
I think some things are sometimes lost in transition in terms of financial reporting, because Antalya, we mustn't forget that Antalya is still one of our biggest, I mean, the biggest asset really, in terms of EBITDA generation. Because it is not consolidated and it is seen in PIA, we don't want this to be lost in translation. In fact, in the next maybe future financial communication, we will make some changes on showing more Antalya contribution. On page 13, you can already see on a standalone basis, Antalya, in fact, 50% of Antalya EBITDA is EUR 69 million. In fact, it is the real number one. We don't want to really not show Antalya when we talk so much about Almaty. Antalya, 50%. EBITDA was EUR 69 million. Almaty contribution was EUR 67 million.
Georgia, always one of the stars, EUR 49 million. Havaş was EUR 41 million euros, EUR 41.4 million. These are the top three, four. İzmir ranking very close, it came with EUR 38 million. These are the top five, EBITDA contributors to our consolidated EBITDA. On the future pages, we give a lot of details on Almaty and Antalya, but Serkan talked also about those, I don't wanna go into too much detail. On Almaty and Antalya, both of our investments are going really well in terms of the construction, in terms of the financing. Almaty financing was already closed long time ago. As you know, we are drawing down the loans. 34% of construction is already complete. It's on track.
We will double the capacity to above 414 million passengers. On Antalya, again, construction going very well. We have closed the bridge loan. We closed it in two tranches, first in March, and then in July, and we will close the third tranche hopefully beginning of the year. Then we will do a long-term financing in Antalya. Both of these assets, obviously, we've just talked about the numbers. They're doing great in traffic, EBITDA performance, all of that, and the investments and the financing is going as planned. I want to talk a little bit about our debt actually. On page 21, because, you know, we have been already guiding that our debt will increase while making our investment. Still, I want to talk about the averages.
We do have EUR 1.6 billion net debt. Luckily, I would like to say that 76% of this debt is fixed rate. Because, you know, the interest rates are increasing, and it was important to be hedged on this. 76% of all our loans are fixed rate. Our net debt to last twelve-month EBITDA was 5.4 times. This is why we are in fact, we wanted to revise our guidance for net debt to EBITDA down one more time. Our average cost of debt is 5%, and our average maturity is 4.4 years. Our door-to-door maturity, on the other hand, is 6.6 years. We think that this debt is structured in a very well manner.
It's mostly, as you know, investors know they are SPV-based project finance, and they're very sustainably structured. This currently heavy debt burden will be normalized in the next three years' time, when our investments come to an end and our EBITDA and cash generation continue to be as strong as it is right now. Finally, I would like to talk about our guidance on page 24. Because, you know, we are very happy to uptick our guidance for the second time. We wanted to guide our investor in the correct way. We increased our revenue guidance from TRY 970 million to TRY 1,010 million, and we increased our international passenger guidance from 46 million to 49 million.
CapEx a little bit up to TRY 170 million-TRY 190 million. Our EBITDA, You know, we kept our EBITDA margin the same, 28%-31%. Our EBITDA results then into TRY 72 million-TRY 313 million. For net income, we wanted to give a more kind of concrete net income range from TRY 75 million to TRY 105 million. As I mentioned a couple of times before, the net debt to EBITDA, we decreased to 5-6 times. At this time, I think, I have completed our presentation, and we can go over to the Q&A.
Ms. Geriş, please proceed with the questions received.
Okay. The question was the update about Almaty Airport's capacity expansion investment. 34% of our construction is completed at Almaty Airport. We expect the opening to be in the second half of 2024. With the new terminal building, we will double the capacity above 14 million passengers. With the new terminal, we will significantly improve the service quality of the airport. We will also expect to have duty-free revenues, which we have none today, and additional lounge and F&B revenues. I'll go to question number two. It was about the Nigeria Lagos Airport tender and the expectation when to finalize. After the necessary approvals are obtained from the Nigerian authorities, the next step is for the negotiation between Federal Airports Authority of Nigeria and the consortium. This is a concession agreement negotiation.
We have already a draft in hand. We need to discuss the conditions and the articles of the concession agreement. This, the result of the negotiation stage, will be disclosed through the Public Disclosure Platform. If the negotiations conclude positively, then the detailed operating conditions will also be shared with the public. The next question was, do you expect material contribution from potential winter holiday tourism activity to Turkey from Europe due to the energy crisis? Yes, we are seeing that demand for winter travel. It's a strong demand. Part of the strength of the demand could be the reasons which boosted the summer season. The second could be about the winter holiday demand due to the energy prices, because we see that the energy prices in Europe is 5-7 times compared to the last year.
The traveling habits also changed during the pandemic with bookings more towards the last minute. Turkey is still a very cheap g ood destination for many European tourists. This year's season is extended, not just because of the energy crisis, but because of the favorable pricing in the Turkish travel markets. We will know more about the winter demand as the winter season progresses. The winter season is starting officially for the travel agencies end of October. We see a demand, but we'll give you more information with the realization later.
I will continue with the next question. What are the core drivers behind the increase in software sales? Is it mostly one-off in nature or likely to be recurring at current levels next quarter? Our company, TAV Technologies, which we are very proud of, gained the right to become a legally recognized official R&D center in Turkey in May 2019. They had already been developing many software in the past, but now they are legally recognized as official R&D center. They are now reaping the fruits of all this development, and they have been active in marketing and sales of this software as well. With this extensive know-how and product portfolio, TAV Technologies provides IT services in 13 countries.
Now we can say that it is not a one-off in nature, and we expect this recurring sales to continue even expanding to other geographies. For example, they are now starting to look actively in South America and Africa. Hopefully, their reach in software sales will be even more global. Next question. How sustainable is the rapid growth of technical landings at Almaty, and how dilutive are these flights on consolidated margins? Very good question. Thank you. I mean, there is this large increase in international cargo ATM. This is, we can say, driven partially by the closure of Russian airspace to some airlines and partially by improved operations.
We can say that this Russian-Ukraine crisis helped Almaty because at the end of the day, some aircraft had to move through Almaty, which is great, but not all of it. Part of it was due to the recovery. This is just totally not one-off, but it is true that some parts of it may be more one-off. We saw already in Q2 this one-off portion of it. In Q2, there were more than average fuel sales in May and June, especially. Afterwards, in Q3, we had already seen that there was a normalization, and we were guiding for some normalization during our other investor and analyst calls as well. We see this happening. In terms of the margin dilution, this is okay.
I mean, Almaty has some of this is coming from Almaty, because it is such a large airport with large revenues and large EBITDA. It is weighted average, let's say its weight in EBITDA is much higher. Some margin dilution is also coming from IT, OS, and Havaş. IT and operation services, these service companies has historically had, you know, and also F&B and retail as well, had historically lower margins. We knew this, and we guided for it. It is important that these, even though they have lower margins, they do bring additional EBITDA. At the end of the day, what matters is every additional cent. They are profitable businesses, but they are bringing lower EBITDA, and they by nature of their business, this is the case.
When their size also grows, when their sales grows for TAV Technologies, for TAV Operation Services, actually not on the EBITDA, but ATU is doing this as well. For Havaş, there's a one-off reason of Havaş, minor margin decrease on Havaş due to the Russian impact, because usually Russian charters are the most profitable in terms of EBITDA margin for Havaş. When they are lacking the Russian as much and replacing it with some substitutes from European, this has also a bit of a margin impact as well. Overall, or as I said, the biggest part is from Almaty, but it is not the only contributor to this margin dilution. This margin dilution issue, one last point is yes, I mean, the margin may not be 42% anymore, but what's important is that the EBITDA absolute number, so we believe in this.
I continue with the next question. When should we expect the renewal tender of Ankara Esenboğa, and could there be any new practice on that front, such as bundling more than one airport? Some news articles appeared in the media about the renewal tender of Ankara, indicating that tender might be held soon. The timing of the tender is completely up to DHMI, of course, first of all. Our due concession date is May 2025. We have two and a half more years to go. Once the tender is officially announced, of course, we'll start evaluating the tender.
As the incumbent operators, naturally, we have advantage compared to our possible competitors by knowing the revenue, OpEx details, and the efficiency details of the airport. We are also, as you know, very much disciplined in these standards. We never did, and we will never overpay for an asset and go below our internal IRR target thresholds. We feel ourselves advantageous because of operating Ankara Airport for the last 17 years.
We see some equity-accounted investees, such as ATÜ and TGS, start generating much better profits, BTA as well on the EBITDA side than pre-pandemic periods, despite still lower passenger and ATM figures. What is driving that? And is that sustainable? I tried to mention it a little bit in the previous question, that all of these service companies are performing really well. In terms of BTA, for example, we can give you some reasons and rationale for why this is happening. First of all, BTA started euro-based pricing. Previously, they were having their prices in Turkish lira.
You know, sometimes with devaluation, et cetera, they weren't able to adjust their prices so that they couldn't really reflect these euros or cost of goods sold at the very quickly in their prices. Once they started euro-based pricing and reflecting on a daily basis, then that started a lot of profitability. Plus, they closed all the unprofitable operations, especially Orly Airport. This was kind of like a trial. Luckily, they closed it down, and this helped a lot. Orly and İDO, there was the ferries as well. These two were discontinued. They did a lot of operational efficiency and operational improvement that like increasing their menu engineering, they say. They put the high-margin products, and they promote those.
They did a lot of efficiency on the personnel in terms of the shift analysis, et cetera. They did it, and they converted the less profit-making outlets to more profit-making concepts. They changed some of the brand concepts. All in all, it's a turnaround story really for BTA. They have been doing this for the last two years, and now it's showing the impact on the numbers. We are very happy with that. ATU, similarly, they had, I mean, ATU story is a bit different. As I mentioned, for example, IGA Luxury Stores, they have been performing really well. For TGS, together with Turkish Airlines growth and their passenger ATM number, aircraft turnaround number growth, TGS also made better profits.
There was this inflation accounting, I should mention, starting from Q2 2022 for TGS. This is also boosting the profits. It's important that we make this differentiation in inflation accounting because it's new. The TGS net profit was boosted by that as well, just to be, you know, full disclosure. The next question, what portion of your debt is fixed versus floating rates? I have gone in detail on this on our debt page. Just to remind, 76% of all loans have fixed rates. Next question, why did we see a decline in Q3 2022 monetary gain item following a material figure in Q2 2022? This is also inflation accounting. Monetary gain is indexed to CPI, published by the Turkish Statistical Institute.
In the first half of the month, CPI increased 42%, while it increased another 7% in the third quarter. The monetary gain follows the period-over-period change of the CPI, so when the change is smaller, the impact is smaller. The next question, since you are now more familiar with Kazakhstan, yes, we are. Can you give some details about revenue breakdown? What is Almaty operations, FX revenue, and cost structure like? Almaty Airport's main revenue items are driven by cargo and ATM traveling between China and Europe. These aircraft land at Almaty Airport, which is sometimes also called technical landing. During technical landing, aircraft is refueled, crew rest, and other handling and maintenance services can be provided. As such, the financial effect of passenger flow is not very large in the airport. It's mostly based on ATM rather than passengers.
You know, which is a different, let's say, concept compared to our other airports, which is more linked to passenger flow. This one is more linked to ATM flow. This provides a good low-hanging fruit for us, which we are tapping into by building the new terminal. We couldn't really get the passenger income. I mean, not we, but the previous owners didn't really tap into the passenger to get more income out of it. Now we are doing this with the new terminal. The new terminal will have. When it opens, the new terminal will have, you know, duty-free place spaces, F&B spaces, lounge spaces, just like every other terminal and airport we operate, which is lacking at this airport. For example, currently, duty-free revenues are zero at the moment. F&B is very minimal. Lounge also very minimal.
We will change all this. Hopefully, the passenger related income will increase. Finally, the functional currency of South Kazakhstan is U.S. dollar.
Okay. The next question was about Georgia. Taking into importance of Georgia for EBITDA, can you share your view about recent developments? How was it affected from Russia-Ukraine war, and what are your views about normalizations, possible timing? Actually, the Russian flight ban that came into effect in July 2019 before the Russian-Ukrainian War. It is still valid regardless of the war. That's why we did not see any additional effect for Russian tourists related to the war. There is an effect of Ukrainian and Belarusian traffic. We are minus 24% for Tbilisi Airport, the capital city airport. The loss of the Ukrainian and Belarusians are compensated by other countries, mainly coming from Israel and the Gulf region. Before the pandemic, we had a strong demand from Iran and Gulf region.
It is coming back, so we believe that loss of the especially Ukrainian and Belarusian traffic will be bridged by continuing Gulf demand and Israeli flights.
Yes. Next question: Do you expect significant negative impact from the EU recession? I mean, depends on how serious the recession is, I guess. If it is not like a world-stopping recession, which we don't think it is, we don't think the recession will have that major impact. The reason is, you know, there is a substitution effect where travelers they can trade down from a more expensive destination such as Mallorca or Ibiza to a more affordable destination such as Antalya or Bodrum. Even during the global financial crisis, Turkish tourism was very resilient. You know, this was a you know, a year or years that there was a lot of slowdown globally, but still Turkish tourism was very strong.
In terms of a European recession, yes, it is happening, but we don't think it is at a level that it would have a very negative impact on Turkish tourism or our passenger numbers. We have another question now. Let me see. The total EBITDA revision since the first guidance is circa EUR 50 million, while CapEx guidance remained virtually unchanged. What are the major contributors to this 50 million revision? In fact, our international passenger guidance increased. This is in line with our international passenger guidance upwards. Because if you look at total passengers, it is not very meaningful. The proportion of the international passengers, the breakdown of these total passengers is important. We always prefer international passengers to domestic ones. Luckily right now, our breakdown is going more and more towards international passengers.
You know, many reasons for that. Domestic passengers are not recovering as fast due to price caps, due to economic reasons, but international passengers are recovering really fast. We upgraded our international passenger guidance from 40 to 44 to 46 to 49. This is an improvement of around 5-6 million passengers. Also there is the impact of Almaty and services businesses as well in terms of EBITDA performance, which are also not in the passenger numbers. I think this is the end of the questions unless anybody sends in any new questions. I think we can complete the webcast. Thank you so much for listening, and we are available. Our IR team and the senior management is available for any other questions, follow-up questions you may have. Thank you very much. Have a nice day.