Toronto Pearson retail revenue up +8.3% in first nine months amid passenger surge

CANADA. The Greater Toronto Airports Authority (GTAA) has reported a +8.3% year-on-year increase in retail revenue in the first nine months, to C$67.7 million (US$50.16 million).

The Toronto Pearson International Airport operator said retail revenue was up +10.6% in the third quarter, to C$25.7 million (US$19.0 million).

Growth in both cases was driven by the opening of 25 new retail stores in the past 12 months and the “introduction of new and enhanced products and services”, the GTAA said.

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Source (all charts): Greater Toronto Airports Authority

During the third quarter and first nine months of 2016, the GTAA’s non-aeronautical revenues increased +10.3% to C$103.8 million (US$76.9 million) and +7.6% to C$287.6 million (US$213.1 million) respectively.

Concession and rental revenues were up +8.5% to C$57.6 million (US$42.7 million) and +6.5% to C$158.6 million (US$117.5 million) respectively in the third quarter and first nine months.

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Passenger numbers grew +10.3% to 13.0 million during the third quarter of 2016, the strongest percentage growth since 2005. The GTAA said this reflected “increased capacity of aircraft and new routes, the economic strength of the Greater Toronto Region, and the role of Toronto Pearson International Airport as Canada’s largest airport and North America’s second busiest airport in terms of international passengers”.

International travel was up +12.0%, with a domestic increase of +7.9%.

A total of 33.8 million passengers travelled through Toronto Pearson in the first nine months of 2016, representing an increase of +7.6%.

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“Toronto Pearson’s continued strength as a connecting airport with global reach to a large portion of the world’s economic centres facilitates more opportunities for trade and tourism in our region and the rest of Canada,” said GTAA President and CEO Howard Eng.

“Future investments in the growth of this airport – transit connections, improvements to security screening and to customs and immigration processes – will enable Toronto Pearson to thrive as the anchor of one of Canada’s most significant employment centres.”

The GTAA reported total revenues of C$351.1 million (US$260.1 million) and C$969.3 million (US$718.1 million) in the third quarter and first nine months respectively. These figures represented increases of +8.0% and +7.4%.The continued growth in revenues was a reflection of strong third quarter passenger growth and increases in non-aeronautical revenues, the GTAA said.

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A Tastefully Canadian shop in shop (designed by The Design Solution) featuring local producers and artisans is a highlight of Nuance’s duty free store in Terminal 1 at Toronto Pearson
Image: The Design Solution
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