DENMARK. Copenhagen Airport’s concessions revenues grew +29% year-on-year in the January-June 2023 period, helping drive a DKK108 million (US$15.86 million) H1 profit. The recovery accelerated in Q2, which returned a DKK167 million (US$24.53 million) profit, helping to reverse losses from the winter months.
Revenue for the first six months reached DKK1,898 million (US$278.8 million), a +22% increase on H1 2022.
Of that total, retail and food & beverage concession revenues accounted for DKK372 million (US$54.64 million), an increase of +32% against the same period last year. This was driven primarily by an increase in passenger numbers which reached 12.4 million in the first half (still -14% down on 2019).
Rising passenger numbers had a strong knock-on effect to airport car parking revenues, which increased revenue by DKK36 million (US$5.29 million) to DKK173 million (US$25.41 million), or +26%, compared with H1 last year.
Total commercial rent in H1 amounted to DKK98 million (US$14.4 million), a +10% increase compared with last year.
Revenue from the airport’s hotel operation increased by DKK2 million (+3%) compared to H1 2022 to DKK56 million.
Overall non-aeronautical EBIT improved by DKK27 million (US$3.97 million) compared with the same period of last year, which the airport company attributed mainly to the higher activity levels in 2023.
Reaction
Reflecting on the overall results, Copenhagen Airport CEO Thomas Woldbye said: “Given the circumstances with a demanding restart after COVID-19, it is a satisfactory half-year result. However, the absolute level is not high enough considering the necessary investments and our inevitably rising costs.
“The good news is that organisationally, CPH is back at full strength, ready and able to deliver high-quality service and performance to passengers, airlines and customers. By June, we have taken on 372 employees, and about half of them were re-hires. In other words, we were prepared for a busy summer period.”
Since the low point during the COVID-19 crisis two years ago, the 800 companies operating in and around the airport have re-hired more than 3,600 employees, now employing a total of about 16,500 people.
Planned investment
This year, Copenhagen Airport said it expects to invest DKK1.6 billion (US$0.24 billion), primarily to develop the airside terminal area between Piers B and C. This will include creating much more space for passengers and passport control and more than doubling the baggage reclaim area in Terminal 3, the airport company noted.
Worth some DKK5 billion (US$0.73 billion), this is the airport’s largest project in recent times. The initial phases of the project are slated for completion in 2027.
Woldbye said: “However, we’re facing the challenge that it has become much more expensive today to run and develop the airport due to increased salary costs, tightened regulatory requirements as well as interest expenses and repayment of our debt.
“With that in mind, we must continue to run the airport as efficiently as possible and consistently work to keep expenditures low.”
Upgraded full-year 2023 guidance
In response to the growing activity at the airport during the spring, Copenhagen Airport upgraded its full-year guidance in a company announcement issued on 11 July. The total number of travellers expected in 2023 was raised from more than 25 million to more than 26 million.
If passenger numbers reach 26 million, Copenhagen Airport said it expects a pre-tax profit in the DKK300-350 million (US$44 million-51.4 million) range. In the last year pre-COVID-19, CPH reported a profit of DKK1.3 billion (US$0.19 billion) before tax. 
