SYS-CON MEDIA Authors: Pat Romanski, Nikita Ivanov, Yeshim Deniz, Elizabeth White, Sean Houghton

News Feed Item

Fiscal Year 2013 / Fraport Successfully Meets Expectations in a Difficult Business Environment

FRANKFURT, Germany, March 7, 2014 /PRNewswire/ --

Growth in Passenger Traffic, Revenue and Operating Profit - Dividend of €1.25 to Be Recommended Again - CEO Schulte Provides Positive Outlook for 2014

Despite a difficult business environment, the Fraport Group successfully met its targets in the 2013 business year - thanks to higher-than-expected growth in passenger traffic at Frankfurt Airport and positive development of its key financial figures.  Revenue climbed by 4.9 percent to €2.56 billion, while the Group's operating profit (EBITDA - earnings before interest, tax, depreciation and amortization) rose to some €880 million, up 3.7 percent.  In line with the forecast set out at the beginning of fiscal year 2013, the Group result declined by some €16 million year-on-year to approximately €236 million.  This was due, among other things, to the non-recurrence of high one-off gains from the Group's financial asset management achieved in fiscal year 2012.

A dividend of €1.25 per share will again be recommended at the upcoming Fraport AGM (Annual General Meeting) in late May. This would represent a dividend payout ratio of about 52 percent of the Group result attributable to shareholders.

At the Fraport Group's Frankfurt Airport (FRA) home base, passenger figures rose by almost 1 percent (+0.9 percent) to more than 58 million.  Cargo traffic at FRA also developed positively, rising by 1.4 percent to almost 2.1 million metric tons. Overall, Fraport's majority-owned Group airports welcomed more than 103 million passengers in 2013 - an increase of 4.1 percent.

Commenting on the Group's business performance in 2013, Fraport AG executive board chairman Dr. Stefan Schulte said: "Despite difficult framework conditions, our company performed well during the 2013 business year.  After a difficult start with declining passenger traffic at Frankfurt Airport, the favorable summer season and positive booking numbers during the last months of the year provided the necessary momentum to obtain a positive overall result.  Our international Group airports also performed strongly again in 2013.  In this segment, we paved the way in 2013 for future organic growth by opening new terminals in St. Petersburg, Russia, as well as in Varna and Burgas on the Bulgarian Black Sea coast.  All three airports are now provided with the necessary capacity to accommodate the expected traffic growth."

In the Aviation business segment, passenger growth and higher revenue from airport charges resulted in a continuous increase in the segment's revenue to approximately €845 million, up 2.6 percent.  Segment EBITDA grew by 1.7 percent to about €205 million.

Fraport's Retail & Real Estate business segment scored a 3.6 percent increase in revenue to €469 million, with EBITDA rising by 4.6 percent to some €351 million.  The key performance indicator "net retail revenue per passenger" improved from €3.32 to €3.60.

Revenue in the Ground Handling business segment edged up by 1.1 percent to just over €656 million. The segment's EBITDA also grew by 1.1 percent, to some €38 million.

The External Activities & Services business segment continued to contribute positively to the Group's overall result - reflecting the ongoing growth trend particularly at Fraport's Group airports in Lima, Peru, and Antalya, Turkey. Revenue in this segment jumped 14.4 percent to €591 million, while the segment's EBITDA increased by 4.4 percent to some €286 million.

Confirming the company's outlook for the current year, Fraport CEO Schulte said: "The air transport industry in Europe continues to operate in a highly competitive environment, and we expect 2014 to be another challenging year also for Fraport.  Nevertheless, we are positive about the outlook for our company in the current business year.  We expect passenger figures to rise by two to three percent at our Frankfurt Airport home base and the dynamic trend to continue also at our other Group airports."

Due to a change in accounting standards effective January 1, 2014, it is no longer permitted to recognize interests in joint ventures using proportionate consolidation.  This change will particularly affect Fraport's interest in Antalya Airport.  From 2014, Antalya Airport's net profit will be recognized in the financial result within Fraport's consolidated income statement.  This will have an impact on the Group's reported financial figures for fiscal year 2014.

Based on the traffic outlook, Fraport expects Group revenue to rise to up to about €2.45 billion in 2014 - an increase compared to 2013, when a value of approximately €2.38 billion was achieved, if adjusted to the new accounting standards for comparison purposes.  The Group EBITDA is expected to reach a level between approximately €780 million and some €800 million in 2014 (adjusted value for 2013: around €733 million), while the Group EBIT is forecast to reach up to approximately €500 million (adjusted value for 2013: €439 million).

Thus, the EBITDA and EBIT outlook for 2014 exceeds the value reached in 2013 (if adjusted for comparison purposes) by around €40 million to €60 million. Revenue is forecast to rise by approximately €70 million on the adjusted 2013 value.  The Group result is not affected by the new accounting standards and is expected to see a slight increase compared to fiscal year 2013.

For Further Information, Please Contact:

Fraport AG Frankfurt Airport Services Worldwide
Robert A. Payne - International Spokesman; Head of International Press & External Activities Team, Press Office (UKM-PS), Corporate Communications, 60547 Frankfurt, Germany; Tel.: +49-69-690-78547; E-mail: [email protected]; Internet: http://www.fraport.com;  

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
The Internet of Things promises to transform businesses (and lives), but navigating the business and technical path to success can be difficult to understand. In his session at @ThingsExpo, Sean Lorenz, Technical Product Manager for Xively at LogMeIn, demonstrated how to approach creating broadly successful connected customer solutions using real world business transformation studies including New England BioLabs and more.
"ElasticBox is an enterprise company that makes it very easy for developers and IT ops to collaborate to develop, build and deploy applications on any cloud - private, public or hybrid," stated Monish Sharma, VP of Customer Success at ElasticBox, in this SYS-CON.tv interview at DevOps Summit, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
SYS-CON Events announced today that Gridstore™, the leader in hyper-converged infrastructure purpose-built to optimize Microsoft workloads, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Gridstore™ is the leader in hyper-converged infrastructure purpose-built for Microsoft workloads and designed to accelerate applications in virtualized environments. Gridstore’s hyper-converged infrastructure is the ...
P2P RTC will impact the landscape of communications, shifting from traditional telephony style communications models to OTT (Over-The-Top) cloud assisted & PaaS (Platform as a Service) communication services. The P2P shift will impact many areas of our lives, from mobile communication, human interactive web services, RTC and telephony infrastructure, user federation, security and privacy implications, business costs, and scalability. In his session at @ThingsExpo, Robin Raymond, Chief Architect...
"Matrix is an ambitious open standard and implementation that's set up to break down the fragmentation problems that exist in IP messaging and VoIP communication," explained John Woolf, Technical Evangelist at Matrix, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
An entirely new security model is needed for the Internet of Things, or is it? Can we save some old and tested controls for this new and different environment? In his session at @ThingsExpo, New York's at the Javits Center, Davi Ottenheimer, EMC Senior Director of Trust, reviewed hands-on lessons with IoT devices and reveal a new risk balance you might not expect. Davi Ottenheimer, EMC Senior Director of Trust, has more than nineteen years' experience managing global security operations and asse...
We are reaching the end of the beginning with WebRTC, and real systems using this technology have begun to appear. One challenge that faces every WebRTC deployment (in some form or another) is identity management. For example, if you have an existing service – possibly built on a variety of different PaaS/SaaS offerings – and you want to add real-time communications you are faced with a challenge relating to user management, authentication, authorization, and validation. Service providers will w...
DevOps is all about agility. However, you don't want to be on a high-speed bus to nowhere. The right DevOps approach controls velocity with a tight feedback loop that not only consists of operational data but also incorporates business context. With a business context in the decision making, the right business priorities are incorporated, which results in a higher value creation. In his session at DevOps Summit, Todd Rader, Solutions Architect at AppDynamics, discussed key monitoring techniques...
The 3rd International @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that it is now accepting Keynote Proposals. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devices - computers, smartphones, tablets, and sensors - connected to th...
SYS-CON Media announced that Centrify, a provider of unified identity management across cloud, mobile and data center environments that delivers single sign-on (SSO) for users and a simplified identity infrastructure for IT, has launched an ad campaign on Cloud Computing Journal. The ads focus on security: how an organization can successfully control privilege for all of the organization’s identities to mitigate identity-related risk without slowing down the business, and how Centrify provides ...
The Internet of Things will greatly expand the opportunities for data collection and new business models driven off of that data. In her session at @ThingsExpo, Esmeralda Swartz, CMO of MetraTech, discussed how for this to be effective you not only need to have infrastructure and operational models capable of utilizing this new phenomenon, but increasingly service providers will need to convince a skeptical public to participate. Get ready to show them the money!
The 3rd International Internet of @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that its Call for Papers is now open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
The term culture has had a polarizing effect among DevOps supporters. Some propose that culture change is critical for success with DevOps, but are remiss to define culture. Some talk about a DevOps culture but then reference activities that could lead to culture change and there are those that talk about culture change as a set of behaviors that need to be adopted by those in IT. There is no question that businesses successful in adopting a DevOps mindset have seen departmental culture change, ...
In her General Session at 15th Cloud Expo, Anne Plese, Senior Consultant, Cloud Product Marketing, at Verizon Enterprise, focused on finding the right mix of renting vs. buying Oracle capacity to scale to meet business demands, and offer validated Oracle database TCO models for Oracle development and testing environments. Anne Plese is a marketing and technology enthusiast/realist with over 19+ years in high tech. At Verizon Enterprise, she focuses on driving growth for the Verizon Cloud platfo...
"There is a natural synchronization between the business models, the IoT is there to support ,” explained Brendan O'Brien, Co-founder and Chief Architect of Aria Systems, in this SYS-CON.tv interview at the 15th International Cloud Expo®, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.