Travel Retail and Duty Free Business Intelligence    Wednesday 23 July 2014

NEWS

Non-aeronautical revenue drives Christchurch half-year performance

Published: 06/03/13

Source: ©The Moodie Report

By Melody Ng, Asia Bureau Chief

NEW ZEALAND. Christchurch International Airport Limited (CIAL) has posted a +7.9% rise in total revenue to NZ$59.6 million (US$49.7 million) for the six months ended December 2012, driven by increased property and commercial revenues.

Non-aeronautical revenue hit NZ$38.8 million (US$32.3 million), up by +12.2% over last year. This includes a full six months trading for the International Antarctic Centre – a major tourist attraction – as compared to only one month for the comparative period last year.

The other main driver for the increase in non-aeronautical revenue was increased property rental income arising from new developments in Dakota Park and other additions to the overall lease portfolio (e.g. McDonalds).

In comparison, aeronautical revenue showed minimal growth (+0.7%) as a result of lower passenger numbers.

The growth of non-aeronautical revenue has far outstripped aeronautical revenue at Christchurch Airport, according to results for the half-year ended December 2012
“The six months to December 2012 saw fewer passenger movements over the same period last year,” CIAL Chief Executive Jim Boult said. “The loss of a significant portion of Christchurch’s hotel accommodation, the Convention Centre and many sporting facilities continues to have a significant effect on passenger throughput, particularly for conference activity and for larger tour groups.”

Total passenger numbers for the period reflect a -2.3% drop on the same period last year. International passenger movements were -7.9% behind the same period last year, while domestic passenger movements were only -0.4% behind last year.

Net profit after tax declined -7.5% to NZ$7.40 million (US$6.16 million), but EBITDA – the company’s key operational financial performance measure – was up +5.2% at NZ$33.1 million (US$27.6 million).