NEW ZEALAND. Auckland Airport (AIAL) has today announced its annual results for the financial year to 30 June 2015 – with both retail and car park income in positive territory.
In the 12 months to 30 June, the airport generated retail income of NZ$132 million (US$87.4 million), a +3.9% increase from the previous period.
Car park income grew by +8.9% over the previous period, to NZ$46.6 million (US$30.8 million), helped by the addition of 1,200 public parking spaces.
AIAL classified its total retail and duty free performance as good, despite the impact of restricted customs allowances for tobacco in both New Zealand and Australia.
The airport’s passenger spend rate (PSR) declined -1% including tobacco, but when tobacco is taken out of the equation the PSR increased +2.8% over the year.
In speciality retailing, by contrast, the PSR grew by +25%, helped by new stores including Comvita, MAC, Saben, 3 Wise Men and Casio G-Shock.
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Auckland Airport grew retail income in FY2015, with speciality retailing the standout |
After making what it describes as a “seamless transition” to two new duty free retailers, Auckland Airport is now focusing on supporting the refurbishment of exiting stores to expand the footprint and range.
As reported , LS travel retail Pacific’s Aelia Duty Free and Aer Rianta International’s The Loop Duty Free took up minimum seven-year duty free concessions at the airport at the end of June this year.
“We have introduced two new duty free operators and exciting fashion, food and beverage retailers in our terminals,” commented AIAL Chair Sir Henry van der Heyden.
“Our collaborative work with partners has improved the efficiency of airport operations and has delivered significant benefits for our passengers.”
Auckland Airport now has five retailers running full online click-and-collect models, and momentum is building in this area.
With marketing of new speciality and food & drinks concessions underway, including luxury goods, fast fashion and smart casual dining options, the retail component of Auckland Airport’s income is poised for a next phase of growth, AIAL said.
Passenger growth helps overall performance
In the year to 30 June 2015, Auckland Airport grew revenue by +6.9% to NZ$508.5 million (US$336.3 million), EBITAFI +7% to NZ$380 million (US$251.3 million) and underlying profit +3.8% to NZ$176.4 million (US$116.7 million).
Overall passenger numbers rose +5% to 15.8 million, with growth in international passengers numbers by +5.7% to 8.1 million, international transit passengers +6.7% to 500,000, and domestic passengers +4.2% to 7.2 million.
Chinese passenger numbers increased by +28.8% over the previous 12-month period, helped by enhanced capacity and frequency on China Eastern Airlines and China Southern Airlines services.
Other source markets to notch double-digit increases in passenger included Southeast Asia with +11.9% and the USA with +10.6%.
At AIAL’s group airports, there was also a strong passenger story to tell for Queenstown Airport, where international passenger numbers grew +29%, with domestic numbers up +6.4% on the previous 12 months.
North Queensland Airports experienced modest passenger growth but recorded a +25% increase in underlying profit.
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Strong international passenger growth drove the strong FY2015 result |
