Corporate | 26 May 2011 08:00

Flughafen Wien Group: 4.8% increase in net profit to EUR 19.8 million for the first quarter of 2011

Flughafen Wien AG / Key word(s): Quarter Results

26.05.2011 / 08:00

Flughafen Wien Group:
4.8% increase in net profit to EUR 19.8 million for the first quarter of 2011

– EBITDA: + 1.2% to EUR 44.2 million

– EBIT: + 2.5% to EUR 28.0 million

– Net profit for the period: + 4.8% to EUR 19.8 million

– Passengers: + 5.5% to 4,106,266

The Flughafen Wien Group recorded revenue of EUR 131.5 million in the first quarter of 2011, which represents an increase of 6.9% over the comparable prior year period. EBITDA amounted to EUR 44.2 million (+1.2%) and EBIT EUR 28.0 million (+2.5%) for the first quarter. After the deduction of EUR 5.9 million in income tax expense (1-3/2010: EUR 6.2 million), net profit for the period totalled EUR 19.8 million (1-3/2010: EUR 18.9 million). The development of earnings did not match the growth in revenue, which led to a decline in the EBITDA margin to 33.6%
(1-3/2010: 35.5%) and in the EBIT margin to 21.3% (1-3/2010: 22.2%).

Segment revenue
Revenue recorded by the Flughafen Wien Group rose by 6.9% to EUR 131.5 million for the first three months of 2011 (1-3/2010: EUR 123.0 million). This revenue growth was supported by the increase in traffic and the new security charge. External revenue in the Airport Segment rose by EUR 5.1 million or 8.9% over the comparable prior year period to EUR 62.5 million. External revenue of EUR 39.8 million in the Handling Segment nearly matched the previous year. The Retail & Properties Segment recorded a 14.8% increase in revenue to EUR 25.6 million. External revenue from the Other Segments rose by EUR 0.4 million to EUR 3.6 million.

Growth in passenger traffic continues in the first quarter of 2011
Traffic remained on an upturn during the first quarter, in spite of the limitations caused by the political unrest in North Africa and the events in Japan. Vienna Airport handled a total of 4,106,266 passengers during this period, for a year-on-year increase of 5.5%. Transfers declined 0.1% in comparison with the first quarter of 2010, above all due to the events in Japan and the situation in North Africa. This development was contrasted by an increase of 6.0% in passenger traffic to Eastern Europe and stronger growth in travel to Spain and Turkey as alternative holiday destinations. The Middle East recorded above-average growth of 6.2% in passenger traffic.

The Austrian Airlines Group reported a 0.5% increase in passengers for the first quarter, but this airline's share of total passenger traffic declined from 49.8% to 47.4%. The so-called low-cost carriers handled 10.4% more departing passengers during the reporting period, which represented 23.4% of passenger traffic in Vienna (1-3/2010: 22.3%). A total of 57,396 flight movements were registered, or 1.0% more than in the first quarter of 2010. Maximum take-off weight (MTOW) was 12.5% higher than the previous year at 1,914,538 tonnes, whereby this growth resulted from the use of larger aircraft. Cargo turnover (air cargo and trucking) rose by 1.8% to 71,668 tonnes. Seat occupancy amounted to 60.9%, versus 63.8% in the first quarter of 2010.

Skylink: continuation of construction and preparations for start-up
Work is proceeding to complete the terminal extension VIE-Skylink. The start of operations is planned for the first half of 2012 and, from the current point of view, this schedule will be met. Parallel to construction, preparations are underway for the start-up and test operations are expected to begin during the fourth quarter of 2011. The maximum costs for the VIE-Skylink total EUR 830.0 million and, from the present standpoint, the project will remain within this budget. Current information indicates that a complete range of general contractor services will, in all probability, not be required. Reserves of EUR 30 million were created for this function, but will presumably not be used in full.

Corporate spending
The major investments in the first quarter of 2011 included the terminal extension VIE-Skylink at EUR 25.2 million, security control lines at EUR 0.4 million, security systems at EUR 0.5 million, the revitalisation of bus gates at EUR 1.1 million and baggage sorting equipment at EUR 0.4 million. In addition, EUR 0.3 million was invested in technical noise protection, EUR 0.9 million in the guidance system and EUR 0.4 million in furnishings for the VIE-Skylink.

Outlook
Statistics for April point to growth in all traffic segments, and the number of passengers handled by Vienna Airport was 23.6% higher than in April 2010. Flight movements rose by 10.3% and total maximum take-off weight (MTOW) by 15.2%. Passenger traffic (scheduled and charter flights) to Eastern Europe and the Middle East increased 36.0% and 20.0%, respectively, during April 2011. Cargo turnover (air cargo and trucking) grew 0.3% to 25,561 tonnes. These positive developments are also attributable to the comparable prior year data, which were influenced by flight restrictions related to the volcanic ash cloud in April 2010. For 2011 Flughafen Wien is forecasting an increase of 5.0% in passengers, 3.0% in maximum take-off weight (MTOW) and 2.0% in flight movements.

Investments of approx. EUR 660.0 million are planned for the period from 2011 to 2015 (excluding land), whereby roughly EUR 290 million represent replacement investments. Other investments involve the terminal extension VIE-Skylink as well as expansion projects and technical noise protection. Investments of EUR 299 million are planned for 2011. This amount includes replacement investments, but does not include any expenditure for the third runway, the purchase of land or interest capitalised during construction.

Consolidated Interim Financial Statements

Consolidated Income Statement in T EUR	1-3/2011	1-3/2010	Change in %
Revenue	131,517.9	123,038.9	6.9
Other operating income	3,744.1	4,324.4	-13.4
Operating income	135,261.9	127,363.3	6.2
Consumables and services used	-12,157.1	-12,819.7	-5.2
Personnel expenses	-58,187.8	-52,635.5	10.5
Other operating expenses	-20,692.6	-18,203.6	13.7
Earnings before interest, taxes, depreciation and amortisation (EBITDA)	44,224.5	43,704.6	1.2
Depreciation and amortisation	-16,176.2	-16,341.9	-1.0
Earnings before interest and taxes (EBIT)	28,048.4	27,362.7	2.5
Interest income	853.9	506.5	68.6
Interest expense	-3,216.7	-2,564.3	25.4
Other financial expense/income	10.4	10.8	-3.8
Financial results, excl. companies at equity	-2,352.4	-2,047.0	14.9
Income from companies at equity	-53.9	-220.8	-75.6
Financial results	-2,406.4	-2,267.7	6.1
Profit before taxes (EBT)	25,642.0	25,094.9	2.2
Income taxes	-5,862.6	-6,219.7	-5.7
Net profit for the period	19,779.4	18,875.2	4.8
Thereof attributable to:
Equity holders of the parent	19,779.9	18,876.2	4.8
Non-controlling interests	-0.6	-1.1	-44.6
Earnings per share (in Euro) basic/diluted	0.94	0.90	4.4

Flughafen Wien Aktiengesellschaft

Announcement

The report by Flughafen Wien AG on the first quarter from 1 January to 31 March 2011 is available to the general public at the company's offices in 1300 Flughafen Wien and at Bank Austria, 1010 Vienna, Am Hof, and is also available in the Internet under http://ir.viennaairport.com , menu point 'Publications', sub-section 'Other Publications'.

The Management Board

Flughafen Wien, 26.05.2011


Contact:
Mario Santi
Flughafen Wien AG
Investor Relations
Tel: +43 1 7007/22826
e-mail: m.santi@viennaairport.com

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Language:	English
Company:	Flughafen Wien AG
	Postfach 1
	1300 Wien-Flughafen
	Österreich
Phone:	+43-1-7007/22826
Fax:	+43-1-7007/23806
E-mail:	investor-relations@viennaairport.com
Internet:	http://www.viennaairport.com
ISIN:	AT0000911805
WKN:	884216
Listed:	Freiverkehr in Berlin, München, Stuttgart; Open Market in Frankfurt; London, Wien (Amtlicher Handel / Official Market)

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