These results represent sound performance to date in a year that has been difficult for the aviation industry with a decline in passenger traffic, reduced capacity and strikes.
Net debt was € 80.6 million lower than year-end 2012 at € 639 million on 30 September 2013. Free cash flow improved by € 68.1 million from € 44.2 million to € 112.3 million.
The scheduled depreciation and amortisation for Check-in 3 and an impairment charge of € 4.9 million to a cargo building reduced EBIT to € 94.4 million (-8.2%).
Net profit for the first three quarters reflected the forecast at € 64.3 million (-10.9%) and nearly reached the full-year target of € 65 million already by the end of the third quarter.
This development was made possible, despite the decline in passengers, above all, by cost reduction and productivity improvement measures.
Concrete earnings guidance for 2013
Based on business development and results for the first three quarters, Flughafen Wien is now issuing concrete earnings guidance for the full 12 months of 2013: EBITDA will increase to over € 230 million and net profit will clearly exceed € 65 million. The reduction in net debt will, from the current point of view, be significantly higher than originally forecasted and net debt should fall below € 640 million. For 2013 Flughafen Wien AG expects a slight decrease in passenger traffic, which could reflect the lower end of the announced range of minus 1% to plus 1%, as well as a decline of 4% to 6% in flight movements and a slight drop in maximum take-off weight (MTOW). Revenue will exceed the previous year but, as announced, could be slightly lower than the originally forecasted € 625 million due to the slight decline in passenger traffic.
Cost discipline and productivity improvements
“Cost discipline and productivity improvements have allowed us to generate sound performance to date in a very challenging year“, explained Günther Ofner, member of the Management Board (CFO) of Flughafen Wien AG. Julian Jäger, member of the Management Board (COO) of Flughafen Wien AG, commented: “A number of external factors made this year extremely challenging from a traffic standpoint and our activities remain focused on cost efficiency, productivity improvement and the realisation of new earnings opportunities. Positive aspects included the growth trend in cargo, the slightly higher number of passengers in October and new frequencies and connections like Mombasa, Bremen and Milan-Linate.“
Passenger traffic in Q1-3/2013
Flughafen Wien AG recorded a slight 1.1% decrease in passengers to 16,738,211 for the first nine months of 2013. This decline is attributable to a number of external factors, such as the severe winter weather at airports across Europe, airline and airport strikes and the resulting flight reductions and cancellations, the Yen devaluation, political unrest in Egypt and on-going capacity adjustments by the airlines. The number of transfer passengers fell by 3.7%, and the number of local passengers rose by 0.2%. The number of passengers departing to destinations in Eastern Europe declined 2.4%, while the West European destinations recorded a slight plus of 0.3%. The number of passengers travelling to North America rose by 2.2% following the resumption of long-haul flights to Chicago. Declines were recorded in traffic to the Middle East with minus 5.1% and to the Far East with minus 9.3%.
A total of 175,341 flight movements were registered in the first three quarters of 2013. This 5.7% decline was higher than the decrease in passenger traffic and therefore supported a substantial improvement in the seat load factor to 75.2% (versus 73.1%). Malta Airport, a key investment of Flughafen Wien AG, handled approx. 3,160,000 passengers during the first nine months of 2013, for a sound increase of 9.0% or more than 260,000 passengers.