Retail delivers solid performance for Vienna Airport in 2014

Retail and dining were among the big drivers of revenue for the Retail & Properties division in 2014 (pictured is Heinemann Duty Free in the T3 Non-Schengen zone)

AUSTRIA. Vienna Airport’s Retail & Properties division posted a +2.2% year-on-year rise revenue in 2014, to €123.8 million. The growth was mainly driven by a +4.1% climb in income from the shopping and gastronomy business. Crucially, per passenger income increased despite the impact of the crisis in Russia/Ukraine, which affected travel and spending among the key Russian nationality.

EBIT from the division rose by +41.0% to €59.0 million and EBITDA climbed by +21.6% to €74.9 million, said the airport.

Key events for the business unit in 2014 included the opening of 22 new stores and the modernisation of Pier West with a new food court offer through DO&CO. More than 102 new stores have opened since a major commercial investment programme began in September 2011. Shopping and gastronomy now accounts for 31% of the division’s revenue, with parking at 34% and other rentals at 35%.

How retail performed in 2014 and (below) how the unit broke down by income stream

Overall, Vienna Airport revenue rose slightly (+1.3%) in the year to €630.2 million (+1.3%), with EBITDA hitting €250.2 million (+3.6%). Net profit rose substantially (+12.5%) to €82.5 million.

For 2015, revenue is forecast to improve to over €645 million, with net profit for the period to surpass €85 million, said the airport.

Flughafen Wien AG Member of the Management Board Günther Ofner said: “Flughafen Wien is once again on a healthy economic footing. In spite of global economic and industry-related challenges, the 2014 financial year developed gratifyingly, and the company succeeded in achieving a perceptible improvement in all relevant financial indicators. We expect growth in revenue and earnings in 2015, although negative effects are likely to arise from the capacity reductions of the airlines and the crisis situations in Russia, Ukraine and the Middle East in the first quarter of the current year.”

“In terms of traffic development, the past year went very well, featuring a new passenger record of 22.5 million travellers using Vienna Airport,” added Management Board Member Julian Jäger. “We achieved strong growth in the long-haul segment of +27.8% to North America and +12.5% to the Far East.

“Although decreases in flight traffic are still likely to occur in the first months of 2015, we expect an increase in passenger volume of between 0% and +2% for the entire year 2015”, Jäger added.

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