INTERNATIONAL. Leading global travel retail and dining player Avolta today (30 July) announced first-half results to 30 June, with core turnover climbing +3.1% at constant exchange rates and +3.7% on an organic basis to CHF6,437 million (US$7,898 million).
Excluding the impact of war in the Middle East, organic growth was +5.2% year-on-year. Organic sales growth improved after a “muted April”, said the company, rising +2.9% in Q2 and +4.6% without the impact of the Middle East conflict.
Highlighting performance after the first six months, July organic growth hit +4.1% year-on-year (+4.8% excluding the Middle East).
Core EBITDA reached CHF583 million (US$715 million), representing growth of +0.6% at constant exchange rates. The core EBITDA margin was 9.1%, -0.2% year-on-year.
An Avolta statement said the company’s “diversified global platform supported a robust sales performance, with momentum improving through the second quarter despite geopolitical headwinds”.
Profitability was affected by the Middle East disruption and the early-stage ramp-up of new operations, notably at New York JFK and Shanghai Pudong airports, where the company won major contracts last year and in early 2026. Excluding these effects, core EBITDA margin would have been around 9.5%.
Cash generation increased sharply during the second quarter, “reflecting efficiency measures and continued operational discipline”, said Avolta. H1 Equity Free Cash Flow (EFCF) amounted to CHF207 million (US$254 million) with Q2 EFCF reaching CHF370 million (US$454 million). Net profit slipped -8% year-on-year to CHF266 million (US$326 million).
Avolta CEO Xavier Rossinyol said, “The first half of 2026 highlighted once again the strength of Avolta’s business model and the dedication of our teams around the world to execute our strategic priorities.
“Our diversified global platform once again proved its resilience, with sales performing at or above prior-year levels across most of the business and underlying momentum improving through the second quarter.
“While near-term volatility persists, we continue to deliver against our medium-term strategy and take the necessary measures to protect profitability and cash generation, while progressing the ramp-up of our new operations.
“We remain firmly focused on the medium and long term. In the first half, we further strengthened our global footprint through strategic wins, including our entry into Japan, expansion in China and a 12-year master concession in Latvia. Together with our continued focus on execution, efficiency and disciplined capital allocation, this gives us confidence in Avolta’s ability to deliver sustained value creation in line with our medium-term ambitions.”
By region, like-for-like growth reached +3.5% in EMEA, +2.3% in North America, +4.1% in Latin America & Caribbean and +5.7% in Asia Pacific.
The company highlighted key developments by region as follows:
Europe, Middle East and Africa
- Entry into Latvia through a 12-year master concession at Riga Airport
- Continued growth in Saudi Arabia
- Key contract wins and extensions across Switzerland, Italy, Belgium and the UK
North America
- Major contract wins and extensions across travel retail, convenience and food & beverage
- Achievements at New York JFK Airport, including the first Eataly in a North American airport
- New developments across Orlando, Miami, Phoenix, Palm Beach, Toronto, Jacksonville and Norfolk airports
Latin America/Caribbean
- An extension of the Norwegian Cruise Line retail partnership with new concepts
- Duty-free openings in the Dominican Republic
- Commercial activations across Mexico, Brazil and Argentina
Asia Pacific
- Entry into Japan through food & beverage operations at Kansai International Airport
- Acquisition of DFS Okinawa in Japan, expected to be immediately earnings accretive
- Start of operations at Shanghai Pudong Airport (in joint venture with the airport company)
Avolta also highlighted the expansion of its digital programmes and loyalty base. Club Avolta has now reached 20 million members, while its alliance with Air Canada’s Aeroplan marked Avolta’s first North American airline loyalty partnership.
Avolta reconfirmed its medium-term targets of:
- Organic growth target of +5%-7% a year
- Core EBITDA margin expansion of 20-40 basis points
- EFCF conversion improvement of +100-150 basis points
A statement added: “The group expects the impact of the Middle East conflict to be temporary and anticipates further gradual operational progress at JFK and Pudong through 2026. The closing of the acquisition of the operations in Okinawa is expected imminently.” ✈
