Cheerful Christmas trading bolsters BAA UK retail

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BAA has announced income growth of 6.4% in its UK retail business, including World Duty Free, for the nine months to the end of December

BAA has announced strong growth in its UK airport retailing business, boosted by the ?busiest Christmas on record?, in its third quarter results today. WDF operating profit and concession revenues earned the authority £424m in the nine months to the end of December, up 6.4% year-on-year, with new space in London Heathrow terminal three and at Stansted airports contributing to income of £138m in the third quarter.

World Duty Free has achieved operating profit of £321m in the financial year so far?up 10.5% on the same period in 2002?of which £8m came in the third quarter Retail spend per passenger reached £4.36 in the last three months of 2003, contributing to a 2.5% growth over the nine months, to £4.10.

The group revealed that strong performance in core product categories over the Christmas period boosted the nine-month figures. Fragrances and cosmetics gifting grew by over 80% in the period, with 20% growth in sales of fragrance gift sets. A strong seasonal campaign also bolstered confectionery sales, up 25% year-on-year, and champagne sales also grew, up 20% on Christmas 2002.