Ad-hoc | 25 November 1999 09:03

Ad hoc-Service: Flughafen Wien AG 3rd Quarter

Ad hoc-Mitteilung übermittelt durch die DGAP. Für den Inhalt der Mitteilung ist allein der Emittent verantwortlich. —————————————————————————— VIENNA INTERNATIONAL AIRPORT 3rd Quarter Results Nine months trading to 30 September 1999 FINANCIAL HIGHLIGHTS – Aviation turnover decreased by 1.5 % to ATS 2,324 (EUR 169) – Non-aviation turnover increased by 3.7% to ATS 951m (EUR 69m) – Operating income decreased 0.2 % to ATS 3.310 (EUR 241) – Operating expenses decreased by 9.7% to ATS 2,316m (EUR 168m) – Operating profit increased by 32.6% to ATS 994m (EUR 72m) – Profit before taxation increased by 23.3% to ATS 1,035m (EUR 75m) – Net profit (Jan – Sept) increased by 13% to ATS 630m (EUR 46m) OPERATIONAL HIGHLIGHTS – New Management Board appointed – Total passenger numbers up 5.3% to 8.6m – High transfer passenger growth totalling 1.2m – an increase of 11.7% – Flight movements increased by 3.8% – “Airline Business Award” for the “Terminal 2005” project Commenting on current trading and prospects, the Vienna International Airport Management Board said: “Despite the war in Kosovo and the drop in charter traffic, triggered by the crisis in Turkey, Vienna International Airport’s results remain on target. With the new management team on board, the Group is set to improve the strength and quality of its operations as Europe’s number one airport in terms of shortest transfer time and highest standards of safety and punctuality. The outlook for further growth is promising. We believe the decision by Austrian Airlines to join the Star Alliance will position Vienna International Airport as the main east-west hub for the largest airline alliance in the world. In addition by the end of the current financial year we anticipate 11.2 million passengers and 171,000 flight movements to have moved through the airport. We look forward to this being accompanied by an improving trend in operating results.” For further information please contact: Dagmar Lang Vienna International Airport (+ 43) 1 7007 22103 Nicola Marsden / Lucy Davies Financial Dynamics (+ 44) 20 7831 3113 VIENNA INTERNATIONAL AIRPORT – Chairman’s Statement FINANCIAL RESULTS The results reported by Vienna International Airport for the nine month period to 30 September 1999 showed another year on year improvement. Operating profit rose in the first three quarters of the year by 32.6% to ATS 994m (EUR 72m). Whilst operating income decreased by 0.2%, operating costs fell by 9.7%. Net profit increased by 13% to ATS 630m (EUR 46m) Despite the war in Kosovo and the drop in charter traffic, triggered by the crisis in Turkey, Vienna International Airport’s results remain on target. From January to September a total of 8.6 million passengers were handled by the airport which constitutes an increase of 5.3% year on year. The growth in transfer passengers was even higher at 11.7%, with 1.2 million passengers moving through the airport. Flight movements increased by 3.8% over the first three quarters of 1998 and maximum take-off weight rose by 8%. TURNOVER Following the introduction of the new Austrian Ground Handling Act and the general withdrawal of Vienna International Airport from the traffic handling business, aviation turnover for the first nine months of 1999 is not directly comparable with 1998. These events have led to a complete revision of tariff structures within the airport and the introduction of an infrastructure fee for bespoke services, which can only be provided by Vienna International Airport. The loss of revenues from traffic handling, was off-set by a reduction in expenses of approximately ATS 268m (EUR 19m). In contrast, non-aviation turnover rose by 3.7% and, as a result, aviation turnover declined by 1.5%. The strongest growth was recorded in rental and concession revenues. The new access fee for self-handling agents and new invoicing for infrastructure services also limit direct comparisons with last year. OPERATING COSTS The cost of materials and services decreased by 59% to ATS 176m (EUR 12.8m) due to the absence of expenses related to traffic handling. As a result of the severe winter, use of materials increased by ATS 22m (EUR 1.6m). Personnel expenses rose by 5.1%, essentially as a result of one-off payments due to collective agreements, severance compensation and a growth of 3.4% in the average number of employees. Other operating expenses declined by 13%. RESULTS IN DETAIL Operating profit rose by 32.6% to ATS 994m (EUR 72m) The financial result declined by ATS 49m (EUR 3.5m) to ATS 41m (EUR 3m) due to the write-down of a mezzanine capital investment. Profit before tax on ordinary activities increased by 23.3% to ATS 1,035m (EUR 75m). After the deduction of taxes totalling ATS 404m (EUR 29m), net profit amounted to ATS 630m(EUR 46m). This figure represents an increase of 13% over the first three quarters of 1998. CAPITAL EXPENDITURE Capital expenditure totalled ATS 484m (EUR 35m), the bulk of which was spent on upgrading Runway System 16/34. OTHER HIGHLIGHTS In this period, a number of significant developments were undertaken at the airport. The Supervisory Board appointed a new Management Board, which took office on 1 October 1999. In addition, the construction of Austria’s largest multi-storey car park is underway. Another key event was the launch of the urban planning competition held to determine the future look of the airport. Meanwhile, Runway 16/34 was shut down for improvement, following increasing complaints of heavy air traffic over Vienna. Vienna International Airport were delighted to be awarded the Airline Business Award for the “Terminal 2005” project jointly with Austrian Airlines. The syndicate that the Group belongs to won its lawsuit over the contract which was awarded by Berlin’s new major airport to a rival consortium. OUTLOOK On 1 October 1999 the new Management Board of Vienna International Airport took up their posts. Their most important tasks will be to strengthen investor confidence in the Group and its strategy, to position the Group as internationally focussed and to provide growth opportunities through the development of carefully thought out expansion plans. One of the two winning projects in the urban planning competition will be chosen, the winner being the party best suited to meet the requirements both now and in the future at an affordable cost. Austrian Airlines’ decision to join the Star Alliance with effect from summer 2000 will position the Vienna International Airport as the main east-west hub for the largest airline alliance in the world. By the end of the current financial year it is projected that 11.2 million passengers (+5.7%) and 171,000 flight movements (+3.9%) will have moved through the airport. It is anticipated that this will be accompanied by an improving trend in operating results. Ende der Mitteilung