Revenue and EBITDA grow at double-digit rates. Net profit increases to 12.7 million euros; Full-year outlook confirmed.
The Fraport Group started successfully into the 2024 fiscal year. During the first quarter of 2024 (ending March 31), all key financial indicators achieved at least double-digit growth rates. The main driver of this positive trend was continued passenger growth at many of the airports across Fraport’s global network. Group revenue increased by 16.3 percent to 890.2 million euros in the reporting period. Meanwhile, the operating result or EBITDA (earnings before interest, taxes, depreciation and amortization) saw a 34.3 percent boost to 212.6 million euros. In what is typically the quarter with the lowest business volume, the Group result (or net profit) also rose to 12.7 million euros in Q1/2024 (from a 32.6 million euros loss in Q1/2023).
Fraport AG’s CEO Dr. Stefan Schulte said: “Frankfurt Airport was impacted by strikes on several days in the first three months of 2024. Some 600,000 passengers were affected by the strikes in addition to weather-related cancellations. In spite of these adverse effects, the new business year got off to a good start. This was, in particular, attributable to growth at our Group airports outside Germany, with many of them exceeding pre-crisis levels again. For the full year, we expect to continue this positive business trend, in line with our guidance.”
Key indicators largely improve
In the first three months of 2024, Fraport’s Group revenue rose by 16.3 percent to 890.2 million euros. Adjusting for revenues resulting from construction and expansion measures at Fraport’s international subsidiaries (under IFRIC 12), Group revenue increased by 16.7 percent to 763.5 million euros. The largest contributions came from Fraport’s Aviation and International Activities & Services business segments. The Aviation segment’s revenue rose by 45.6 million euros to 265.6 million euros in the reporting period, mainly driven by increased traffic volumes in Frankfurt and positive price effects arising from airport fees. Fraport’s International segment saw a 49.1 million euro revenue increase, lifting the total figure to 345.9 million euros. Reasons included dynamic traffic growth at many of the Group’s airports worldwide and the addition of new concessions in the U.S. At the start of the year, Fraport USA assumed responsibility for the center management at Washington Dulles and Reagan airports serving the U.S. capital.
Reflecting this positive trend, the Group’s operating result (or EBITDA) rose by 34.3 percent to 212.6 million euros during the first three months of 2024 (Q1/2023: 158.3 million euros). The Group result (or net profit) improved to 12.7 million euros. In the same period last year, this figure was still negative at minus 32.6 million euros.
Passenger numbers continue to recover in the first quarter
In the first three months of 2024, passenger numbers in Frankfurt went up by 10.4 percent year-on-year to 12.5 million passengers. This represents around 85 percent of the pre-crisis level reached in 2019. Despite the negative effects from several strikes, demand for leisure travel remained high in Q1/2024. Business travel volumes also increased in comparison with the same period of 2023. Strikes and weather-related flight cancellations affected a total of around 600,000 passengers in the first quarter.
Among Fraport’s global gateways, positive standouts were Antalya Airport on the Turkish Riviera, the 14 Greek airports, and Lima Airport in Peru. At all three gateways, passenger numbers over the first three months were significantly above pre-crisis levels seen in 2019.
Full-year outlook confirmed for fiscal 2024
Given the positive performance achieved in the first quarter of 2024, Fraport’s executive board is confirming its forecasts for the full 2024 fiscal year. Fraport expects passenger numbers for Frankfurt Airport to reach around 61 million to 65 million travelers in 2024. Group EBITDA is forecast to be between about 1,260 million euros and 1,360 million euros. The Group result (net profit) is projected to lie between approximately 435 million euros and 530 million euros.
