Auckland airport announces revenue growth

Andrew Pentol

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New domestic terminal retail precinct contributes to solid results at Auckland

Auckland International airport (AIAL) has announced solid annual results, with the new retail precinct in the domestic terminal helping to increase revenue by 5.3% over the previous year.  The company has also reported strong process on resetting retail concessions, with new retail concessions awarded for duty-free—as reported earlier on RavenFox.com—foreign exchange and car rental.

EBITDA increased 5.2% to NZ$ 252.7 m ($180.1m). Growth in total international passengers was 2.6%, underpinned by solid growth in New Zealand travellers, along with a very strong growth from some of the newer markets such as China and India. Domestic passenger growth was 2.1%.

AIAL chairman John Maasland said: “The company has made significant process this year across a wide range of strategic and operational initiatives. New facilities for regional services and a new retail precinct were opened in the domestic terminal in December last year. The new mutli-level car park with covered access to the domestic terminal was also opened in July 2006. This has prompted another solid result, despite passenger growth below long-term trends, and increased depreciation and interest costs directly associated with the company’s substantial investment programme, combined with higher interest rates.

“The outlook for the company remains positive, with passenger growth rates improving, major airline customers undertaking significant fleet expansions and upgrades, improved airport services and facilities for passengers and major aeronautical and retail concession arrangements concluded.”