EANS-News: Flughafen Wien Group:
Strong Passenger Growth and Significant Earnings Improvement in the First
Quarter of 2018
Upward Revision of Guidance for 2018
--------------------------------------------------------------------------------
Corporate news transmitted by euro adhoc with the aim of a Europe-wide
distribution. The issuer is responsible for the content of this announcement.
--------------------------------------------------------------------------------
Quarterly Report
Vienna - Airport - Flughafen Wien Group:
Strong Passenger Growth and Significant Earnings Improvement in the First
Quarter of 2018
Upward Revision of Guidance for 2018
-- NET PROFIT FOR THE PERIOD in Q1/2018 up more than one-third to EUR 21.6
million (+35.3%)
-- REVENUE increase to EUR 163.9 million (+2.1%), EBITDA rise to EUR 64.8
million (+6.9%), EBIT improvement to EUR 33.3 million (+28.1%)
-- Upward revision of guidance for 2018:
Passengers: Group +8% (+1%p) and Vienna Airport +6% (+1%p)
Revenue: greater or equal EUR 770 million (+ EUR 10 million),
EBITA greater or equal EUR 350 million (+ EUR 10 million)
Net profit for the period: greater or equal EUR 148 million (+ EUR 8 million)
-- Traffic development in Q1/2018: 9.0% rise in passenger volume of the
Flughafen Wien Group - 6.6% increase in passengers handled by Vienna Airport
-- April 2018: 4.2% rise in passenger volume for the Flughafen Wien Group and
2.2% increase at Vienna Airport
-- Highest number of passengers ever recorded at Vienna Airport on April 27,
2018, with 92,605 travellers
"Vienna Airport has managed to overcome the repercussions of the Air Berlin
bankruptcy and successfully started the year 2018. The good air traffic
development, above all by our foreign subsidiaries, combined with one-off real
estate income of EUR 3.0 million against the backdrop of strict cost discipline
to serve as the basis for a net rise in earnings of 35% in Q1/2018. Moreover,
the financial guidance for 2018 has been significantly improved, so that the net
profit* for the entire year is now expected to surpass the level of EUR 148
million. The number of people employed at the Vienna Airport site continues to
grow strongly because new companies are continuously settling here, and similar
to various airlines, are substantially expanding their staffs", explains Günther
Ofner, Member of the Management Board of Flughafen Wien AG.
"In April 2018, we already registered the busiest day in the airport's history,
with over 92,600 passengers. I assume that this record will be broken once again
this year. Based on this very good development, we are revising our passenger
forecast upwards for 2018 to show a rise of 8% (+1%p) in the Group and 6% (+1%p)
at Vienna Airport. The main growth drivers underlying this good performance are
the numerous new flight offerings on the part of Austrian Airlines, Eurowings,
easyJet, Vueling and others as well as new carriers such as Wizz Air,
Laudamotion and as of October 2018 also Hainan Airlines, which will offer a new
long-haul flight connection to China", says Julian Jäger, Member of the
Management Board of Flughafen Wien AG.
*) Profit for the period before non-controlling interests
Revenue up 2.1% to EUR 163.9 million in Q1/2018
In the first quarter of 2018, the Flughafen Wien Group (FWAG) generated revenue
of EUR 163.9 million (Q1/2017: EUR 160.6 million), comprising a year-on-year
increase of 2.1%. The positive effect of passenger growth in the Airport Segment
was in contrast to adjustments made to incentives for the purpose of
strengthening airline bases at Vienna Airport. As a result, at present, revenue
of this segment is not rising to the same extent as the increase in passengers.
However, the higher passenger volumes will correspondingly lead to higher
Airport Segment revenue again in subsequent periods, which is also reflected in
the improved financial guidance for 2018.
It should also be noted that marketing and market communications costs in the
Airport Segment are now encompassed in the incentive model. For this reason, the
item market communications recognised under other operating expenditures is EUR
2.9 million below the comparable prior-year figure.
Traffic development in Q1/2018:
9.0% rise in passenger volume of the Flughafen Wien Group
The Flughafen Wien Group including its foreign strategic investments in Malta
Airport and Kosice Airport reported 6.1 million passengers from January to March
2018, a rise of 9.0% from the previous year.
6.6% increase in passengers handled by Vienna Airport
The number of passengers handled by Vienna Airport in the period January-March
2018 was up 6.6% to 4,864,177 travellers. The number of local passengers was up
6.8% in the first three months of 2018 and transfer passenger volume rose by
6.6%. The number of passengers to Western Europe climbed by 5.6%, and Eastern
European destinations showed passenger growth of 10.5%. Passenger volume to the
Far East rose by 30.7% in Q1/2018, in contrast to the slight drop of 0.1% in
passenger traffic to the Middle East. The number of passengers flying to Africa
developed very positively, showing an increase of 48.5%, whereas the total
number of passengers flying to North America was down slightly by 0.2%.
The number of flight movements in the period January to March 2018 was up 1.7%
from the prior-year level to 48,672 starts and landings. The average seat
occupancy (seat load factor) improved markedly from 66.7% to 70.0% in the first
quarter of 2018. Cargo volume increased by 3.9% in the same period to 67.974
tonnes (air cargo and trucking).
Good traffic and business development at Malta and Kosice airports
The foreign strategic investments of the Flughafen Wien Group in Malta and
Kosice airports are also developing very well. Malta Airport reported a strong
rise in passenger volume of 19.4% in the first three months of 2018 to 1,172,213
passengers. Kosice Airport registered a considerable increase of 19.9% in a
year-on-year comparison, handling a total of 91,692 passengers.
Substantial improvement in financial performance indicators in Q1/2018
Revenue of the Flughafen Wien Group in the first three months of 2018 was up
2.1% to EUR 163.9 million, and EBITDA improved by 6.9% to EUR 64.8 million. EBIT
increased by 28.1% to EUR 33.3 million, and the net profit for the period rose
by 35.3% to EUR 21.6 million thanks to the improved financial results. Net debt
was reduced once again to EUR 193.2 million. The free cash flow totalled EUR
13.0 million (Q1/2017: EUR 40.7 million).
Substantial improvement in the financial and passenger guidance for 2018
The company expects passenger growth of at least 8% (+1%p) for the Flughafen
Wien Group and at least 6% (+1%p) at Vienna Airport. Due to the good
development, the financial guidance for the Flughafen Wien Group for the entire
year 2018 has been revised upwards. Revenue is anticipated to increase to a
level of more than EUR 770 million, and EBITDA is expected to total more than
EUR 350 million. From today's perspective, the profit for the year 2018 should
surpass EUR 148 million. The guidance for investments remains unchanged at EUR
175 million, and net debt will likely be under EUR 250 million as originally
forecast.
Revenue and earnings development in the segments
Revenue in the Airport Segment in Q1/2018 rose by 2.2% year-on-year to EUR 76.7
million. Segment EBIT improved to EUR 9.9 million (Q1/2017: EUR 4.7 million).
The Handling & Security Services Segment registered a 2.6% rise in revenue to
EUR 40.0 million and increased its EBIT to EUR 2.6 million (Q1/2017: EUR 2.5
million). This segment also includes the security services of VIAS as well as
the handling services provided by Vienna Aircraft Handling (VAH) and Vienna
Passenger Handling Services (VPHS). The Retail & Properties Segment reported a
0.7% rise in revenue to EUR 29.6 million in the first three months of 2018 due
to higher shopping and food & beverage income. EBIT of the segment rose to EUR
15.9 million (Q1/2017: EUR 13.5 million). Revenue of the Malta Segment climbed
by 3.8% to EUR 13.9 million, with segment EBIT remaining stable at EUR 3.5
million (Q1/2017: EUR 3.5 million). Revenue in the Segment "Other Segments"
amounted to EUR 3.7 million in Q1/2018, comprising a drop of 1.9%, whereas
segment EBIT totalled EUR 1.4 million (Q1/2017: EUR 1.9 million).
Investments
Total investments in the first three months of 2018 amounted to EUR 71.3
million. The largest investment project related to payment obligations of the
environmental fund to the amount of EUR 56.8 million in connection with the 3rd
Runway project as a consequence of the official approval granted for the runway.
Investments of EUR 1.8 million were made for high-performance snow cutter
blowers, whereas EUR 1.9 million was earmarked for the terminal development
project and EUR 0.7 million for Office Park 4. A total of EUR 1.3 million was
invested in Malta Airport for terminal modernisation work.
Traffic development in April 2018
Flughafen Wien Group handled 2.8 million passengers (+4.2%)
In April 2018, the number of passengers handled by the Flughafen Wien Group
(Vienna Airport, Malta Airport, Kosice Airport) showed a 4.2% increase to 2.8
million travellers. Accumulated passenger volume in the period January to April
2018 was up 7.5% to 8.9 million travellers. Vienna Airport also developed very
well, registering 5.2% growth to 7,031,941 passengers in the months January-
April 2018.
Vienna Airport in April 2018: Single-day passenger record and increase in flight
movements
The number of passengers handled by Vienna Airport in the month of April 2018
rose by 2.2% compared to the prior-year month to 2,167,764 travellers. April 27,
2018 marked the busiest day in the airport's history, with 92,605 passengers.
(The previous record was June 30, 2017 featuring 91,162 passengers).
The number of local passengers was up by 1.5%, whereas transfer passenger volume
climbed by 3.7%. In April 2018, the number of flight movements increased by 5.0%
in a year-on-year comparison. Cargo volume at Vienna Airport showed a rise of
4.4% from the comparable level of April 2017.
The total number of passengers at Vienna Airport flying to destinations in
Western Europe was up 1.0% in April 2018 in contrast to the 3.4% decline in
passenger traffic to Eastern Europe. In April 2018, the number of passengers
travelling to the Far East increased by 28.1% from the prior-year month, and
passenger volume to Middle Eastern destinations climbed by 3.5%. The number of
passengers travelling to North America was up slightly by 0.5%, and passenger
traffic to Africa rose by 16.2%.
Malta Airport reported strong growth in passenger volume of 11.4% in the month
of April 2018, and Kosice Airport also showed a gratifying year-on-year rise of
14.7% in the number of passengers it handled.
Traffic development April 2018
______________________________________________________________________________
|Vienna Airport | 04/2018| Change in %| 01-04/2018| Change in %|
|(VIE)__________|______________|_______________|_______________|_______________|
|Passengers | 2,167,764| +2.2| 7,031,941| +5.2|
|arr+dep+transit|______________|_______________|_______________|_______________|
|Local | | | | |
|passengers | 1,583,842| +1.5| 5,281,780| +5.2|
|arr+dep________|______________|_______________|_______________|_______________|
|Transfer | | | | |
|passengers | 576,774| +3.7| 1,717,820| +5.6|
|arr+dep________|______________|_______________|_______________|_______________|
|Flight | | | | |
|movements | 19,565| +5.0| 68,237| +2.6|
|arr+dep________|______________|_______________|_______________|_______________|
|Cargo in tonnes| 25,230| +4.4| 93,204| +4.0|
|arr+dep_in_to__|______________|_______________|_______________|_______________|
|MTOW_in_tonnes_|_______777,922|___________+5.3|______2,716,489|___________+3.3|
|Malta Airport | | | | |
|(MLA, fully | 04/2018| Change in %| 01-04/2018| Change in %|
|consolidated)__|______________|_______________|_______________|_______________|
|Passengers | 591,283| +11.4| 1,763,496| +16.6|
|arr+dep+transit|______________|_______________|_______________|_______________|
|Local | | | | |
|passengers | 587,009| +11.1| 1,754,303| +16.9|
|arr+dep________|______________|_______________|_______________|_______________|
|Transfer | | | | |
|passengers | 4,274| +104.9| 9,130| +26.9|
|arr+dep________|______________|_______________|_______________|_______________|
|Flight | | | | |
|movements | 4,319| +18.8| 13,250| +17.1|
|arr+dep________|______________|_______________|_______________|_______________|
|Cargo in tonnes| 1,272| +13.7| 5,178| +7.9|
|arr+dep_in_to__|______________|_______________|_______________|_______________|
|MTOW_in_tonnes_|_______172,617|__________+19.2|________538,367|__________+16.9|
|Kosice Airport | | | | |
|(KSC, | 04/2018| Change in %| 01-04/2018| Change in %|
|consolidated at| | | | |
|equity)________|______________|_______________|_______________|_______________|
|Passengers | 35,181| +14.7| 126,873| +18.4|
|arr+dep+transit|______________|_______________|_______________|_______________|
|Local | | | | |
|passengers | 34,226| +14.7| 121,469| +18.8|
|arr+dep________|______________|_______________|_______________|_______________|
|Transfer | | | | |
|passengers | 0| n.a.| 0| n.a.|
|arr+dep________|______________|_______________|_______________|_______________|
|Flight | | | | |
|movements | 475| +3.3| 1,759| +6.3|
|arr+dep________|______________|_______________|_______________|_______________|
|Cargo in tonnes| 8| +295.6| 21| +52.1|
|arr+dep_in_to__|______________|_______________|_______________|_______________|
|MTOW_in_tonnes_|________10,299|___________-2.9|_________38,212|___________+6.4|
|Vienna Airport | | | | |
|and strategic | 04/2018| Change in %| 01-04/2018| Change in %|
|investments | | | | |
|(VIE,_MLA,_KSC)|______________|_______________|_______________|_______________|
|Passengers | 2,794,228| +4.2| 8,922,310| +7.5|
|arr+dep+transit|______________|_______________|_______________|_______________|
|Local | | | | |
|passengers | 2,205,077| +4.1| 7,157,552| +8.0|
|arr+dep________|______________|_______________|_______________|_______________|
|Transfer | | | | |
|passengers | 581,048| +4.1| 1,726,950| +5,7|
|arr+dep________|______________|_______________|_______________|_______________|
|Flight | | | | |
|movements | 24,359| +7.2| 83,246| +4.8|
|arr+dep________|______________|_______________|_______________|_______________|
|Cargo in tonnes| 26,510| +4.8| 98,404| +4,2|
|arr+dep_in_to__|______________|_______________|_______________|_______________|
|MTOW_in_tonnes_|_______960,838|___________+7.4|______3,293,068|___________+5.3|
Note: Total number of passengers includes local, transfer, and transit
passengers. Retroactive adjustment of comparative values for 2017 and transit
figures in Kosice.
Consolidated Financial Statements
______________________________________________________________________________
|in_EUR_million____|____________Q1/2018|____________Q1/2017|________Change_in_%|
|Revenue___________|______________163.9|______________160.6|_______________+2.1|
|Other operating | 5.9| 2.3| n.a.|
|income____________|___________________|___________________|___________________|
|Operating_income__|______________169.8|______________162.9|_______________+4.2|
|__________________|___________________|___________________|___________________|
|Expenses for | | | |
|consumables and | -11.3| -10.6| +6.5|
|services_used_____|___________________|___________________|___________________|
|Personnel_expenses|______________-70.2|______________-67.6|_______________+3.9|
|Other operating | -23.8| -24.4| -2.5|
|expenses__________|___________________|___________________|___________________|
|Proportional share| | | |
|of income from | 0.3| 0.3| -9.5|
|companies recorded| | | |
|at_equity_________|___________________|___________________|___________________|
|Earnings before | | | |
|interest, taxes, | | | |
|depreciation and | 64.8| 60.7| +6.9|
|amortisation | | | |
|(EBITDA)__________|___________________|___________________|___________________|
|__________________|___________________|___________________|___________________|
|Depreciation and | -31.5| -34.2| -7.9|
|amortisation______|___________________|___________________|___________________|
|Impairment________|__________________-|_______________-0.4|_____________-100.0|
|Earnings before | | | |
|interest and taxes| 33.3| 26.0| +28.1|
|(EBIT)____________|___________________|___________________|___________________|
|__________________|___________________|___________________|___________________|
|Interest_income___|________________0.1|________________0.1|______________+46.6|
|Interest_expense__|_______________-4.2|_______________-4.6|_______________-8.5|
|Financial_result__|_______________-4.1|_______________-4.5|_______________+9.4|
|__________________|___________________|___________________|___________________|
|Earnings before | 29.3| 21.5| +35.9|
|taxes_(EBT)_______|___________________|___________________|___________________|
|__________________|___________________|___________________|___________________|
|Income_taxes______|_______________-7.7|_______________-5.6|______________+37.5|
|Net profit for the| 21.6| 15.9| +35.3|
|period____________|___________________|___________________|___________________|
|__________________|___________________|___________________|___________________|
|Thereof | | | |
|attributable_to:__|___________________|___________________|___________________|
|Equity holders of | 20.5| 14.9| +37.2|
|the_parent________|___________________|___________________|___________________|
|Non-controlling | 1.1| 1.0| +8.2|
|interests_________|___________________|___________________|___________________|
|__________________|___________________|___________________|___________________|
|Earnings per share| | | |
|(in EUR, basic = | 0.24| 0.18| +37.2|
|diluted)__________|___________________|___________________|___________________|
Balance Sheet Indicators
______________________________________________________________________________
|in_EUR_million____|_________31.03.2018|_________31.12.2017|_________Change_in%|
|ASSETS:___________|___________________|___________________|___________________|
|Non-current_assets|____________1,894.8|____________1,870.9|_______________+1.3|
|Current_assets____|______________242.3|______________192.1|______________+26.1|
|__________________|___________________|___________________|___________________|
|LIABILITIES:______|___________________|___________________|___________________|
|Equity____________|____________1,233.1|____________1,211.0|_______________+1.8|
|Non-current | 588.4| 601.3| -2.1|
|liabilities_______|___________________|___________________|___________________|
|Current | 315.6| 250.7| +25.9|
|liabilities_______|___________________|___________________|___________________|
|__________________|___________________|___________________|___________________|
|Total_assets______|____________2,137.1|____________2,063.0|_______________+3.6|
|__________________|___________________|___________________|___________________|
|Net_debt__________|______________193.2|______________227.0|______________-14.9|
|Gearing_(in%)_____|_______________15.7|_______________18.7|_______________n.a.|
Cashflow Statement
______________________________________________________________________________
|in_EUR_million____|____________Q1/2018|____________Q1/2017|________Change_in_%|
|Net cash flow from| | | |
|operating | 52.9| 66.5| -20.4|
|activities________|___________________|___________________|___________________|
|investing | -39.9| -25.8| +54.9|
|activities________|___________________|___________________|___________________|
|financing | -2.8| -32.5| -91.4|
|activities________|___________________|___________________|___________________|
|__________________|___________________|___________________|___________________|
|Free_cash_flow____|_______________13.0|_______________40.7|______________-68.0|
|__________________|___________________|___________________|___________________|
|CAPEX*____________|_______________71.3|_______________35.6|______________+99.9|
*) Excluding financial assets
The report by Flughafen Wien AG for the first three months of 2018, from January
1 to March 31, 2018, is available to the general public at the company's offices
at 1300 Flughafen Wien and at Bank Austria, 1010 Vienna, Schottengasse 6-8. It
is also available on the Internet at http://viennaairport.com/en/company/
investor_relations/publications_and_reports/quarterly_reports.
Vienna Airport, May 24, 2018
The Management Board
Further inquiry note:
Investor Relations:
Mag. Judit Helenyi (+43-1)7007-23126; j.helenyi@viennaairport.com
Mario Santi (+43-1)7007-22826; m.santi@viennaairport.com
end of announcement euro adhoc
--------------------------------------------------------------------------------
issuer: Flughafen Wien AG
Postfach 1
A-1300 Wien-Flughafen
phone: +43 1 7007 - 22826
FAX: +43 1 7007 - 23806
mail: investor-relations@viennaairport.com
WWW: http://viennaairport.com/unternehmen/investor_relations
ISIN: AT00000VIE62
indexes:
stockmarkets: Wien
language: English