Fraport Group reports higher revenue and earnings in Q1

posted on 8th May 2019 by Justin Burns

The Fraport Group has reported that it achived higher revenue and earnings in the first quarter (Q1) of 2019 supported by solid passenger growth at Frankfurt Airport and almost all of Fraport’s airports worldwide.

Group revenue rose by 17.9 per cent to €803.8 million. Adjusted for revenue in connection with capital expenditure for expansion projects at Fraport’s Group companies worldwide, revenue grew by 5.3 per cent to €678.5 million.

At Frankfurt Airport (FRA), traffic growth led to higher revenue, particularly from ground handling services, as well as security services and infrastructure charges. Moreover, the retail and parking businesses had a positive impact on revenue.

In Fraport’s international portfolio, major contributions came, in particular, from the Lima (Peru) and the Fraport USA Group companies. In the U.S. market, Fraport recently took over management of retail areas at New York-JFK’s Terminal 5 (April 2018) and at Nashville International Airport (February 2019).

The operating result or EBITDA (earnings before interest, taxes, depreciation and amortization) advanced by 14.8 per cent to €200.6 million in the reporting period. Group EBIT climbed by 4.6 per cent to €86.1 million.

Supported by a better interest result, the financial result improved from minus €56.1 million in Q1 2018 to minus €49.6 million in Q1 2019. Correspondingly, group EBT soared by 39.3 per cent to €36.5 million, while the group result (net profit) jumped 42.9 per cent to €28 million.

Fraport’s executive board chairman, Dr. Stefan Schulte said: “We had a robust start to the new business year, supported once more by the ever-growing contributions to revenue and earnings from our Group airports worldwide. In Frankfurt, we successfully managed the first stress test of 2019 during the busy Easter travel period.

“Together with our partners, we will continue striving to accommodate the high demand of our customers in the best possible way. To achieve this goal, we will further optimize and streamline processes and improve infrastructure utilization, as well as vigorously moving our expansion projects forward.”

FRA welcomed almost 14.8 million passengers from January to March 2019, up 2.5 per cent year-on-year. FRA achieved this increase despite the fact that traffic in March 2018 received an additionally boost from the earlier timing of the Easter school holidays.