Photo: RNZ / Samuel Rillstone
Auckland Airport has revealed its first full-year underlying profit and dividend in three years as tourists returned following the easing of border restrictions.
Key numbers for the 12 months ended June compared with a year ago:
- Net profit $43.2m vs $191.6m
- Revenue $625.9m vs $300.3m
- Underlying profit (loss) $148.1m vs ($11.6m)
- Passenger numbers 15.9m vs 5.6m
- Dividend 4 cents per share vs 0 cps
The airport said it has experienced a stronger than anticipated rebound in travel markets over the year.
It said international seat capacity had recovered to 90 percent of pre-pandemic levels by the end of the financial year, while domestic recovered to 89 percent.
"We still have some way to go to achieving full recovery, but it all amounts to a fantastic turnaround for an industry that was in dire straits two years ago - bringing relief and optimism to those of us who work in aviation," chief executive Carrie Hurihanganui said.
Auckland Airport chief executive Carrie Hurihanganui. Photo: Supplied
Its bottom line profit fell by 77 percent to $43.2 million due to the weaker property market affecting the value of its investment portfolio.
Overall revenue more than doubled as passengers returned.
Aeronautical revenue also more than doubled at $219.5m, commercial property revenue rose 27 percent to $142.9m and retail revenue was $130.9m, compared to $22.7m the prior year.
The airport posted an interim underlying profit of $68m for the six months ended December.
Hurihanganui said the airport continued to see positive signs for the year ahead.
It forecast underlying profit for 2024 to be between $260m and $280m, with capital expenditure forecast to be between $1 billion and $1.4b.
Airport chairperson Patrick Strange said the year was not only marked by the strong return of international travel, but also getting underway with the most significant upgrade in its history.
The $2.2b integrated terminal project was met with fierce opposition from airlines concerned about aeronautical charges.
"We appreciate their concern about cost, as infrastructure is a significant investment. We are always open to further feedback about how to reduce costs while still delivering a resilient, long-term solution," Strange said.
"However, we remain committed to the current programme of work we have underway to pave the way for a new domestic terminal. Delaying infrastructure is not in New Zealand's best interests - we know where that road leads," he said.