FRANCE. Groupe ADP, which runs the major Paris airports, today reported first quarter results for 2019, with revenue from the Retail and Services division climbing by 7.5% year-on-year to €248 million.
Revenue from retail activities alone (rents received from airside and landside shops, bars and restaurants, banking and foreign exchange activities and car rental companies, as well as revenue from advertising) rose by 6% to €111 million.
Within this, rent from airside shops stood at €77 million, up by 11%, due to “the positive evolution of the traffic mix, a positive exchange rate and good performances of luxury fashion and core business segments,” said the company.
The phased reopening of shops in Terminal 2E Hall L at Paris Charles de Gaulle and the full effect of 2018 shop openings (notably Louis Vuitton) contributed to a 3.7% rise in spend per passenger, to €19.30.
Rent from landside shops fell by 4% to €4 million while rent from bars and restaurants was up 5.3% at €11 million. The EPIGO joint venture for F&B delivered a 7.2% revenue increase.
Média Aéroports de Paris’ revenue decreased by 5.6% to €10.8 million, while income from other retail activities decreased by 10%. This was due to a new contract structure, said ADP, with the SDA joint venture with Lagardère Travel Retail taking over business such as tax refunds, previously handled by ADP alone.
Revenue from car parks increased by 1.1% to €40 million in the period.
Overall, consolidated revenue including the full consolidation of TAV Airports and Airport International Group (AIG) in Jordan was up by 11.9% at €1,080 million. Excluding the full consolidation of AIG, the consolidated revenue rose 6.4%.
Groupe ADP traffic posted a slight increase of 0.4% to 58 million passengers. The major factor was the fall in Turkish domestic traffic at TAV Airports locations.
Paris Aéroport traffic rose by +4.1% to 23.7 million passengers, with international traffic rising by a solid 5.5% and low-cost airline growth (4.8%).
Aéroports de Paris SA – Groupe ADP Chairman and CEO Augustin de Romanet said: “The 2019 first quarter revenue increased by 11.9%, driven by a very good performance in all the activities of the group. In Paris, commercial growth continues to be sustained.
“Regarding the international activities, TAV Airports reports good results despite decreasing domestic traffic and the Turkish lira depreciation. Commercial flights at Istanbul Atatürk Airport were transferred to the new Istanbul Airport on 6 April 2019. Since Paris Aéroport traffic figures over the first quarter were very good, the traffic growth assumption is revised for 2019, between 2.5% and 3.0%, against 2.0% and 2.5% previously. All our other 2019 assumptions are confirmed.”
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