GERMANY/INTERNATIONAL. A -73.4% annual fall in passenger traffic to 18.8 million at flagship location Frankfurt Airport drove a heavy fall in revenue and profits for Fraport last year.
Retail revenues dropped -64% year-on-year across the group to €79 million. Interestingly, however, Fraport posted all-time high retail revenues per passenger at €4.73, up +44.2% compared to €3.28 in 2019.
Passenger numbers were also markedly down at Fraport’s Group airports worldwide, with declines ranging from -34 percent at Xi’an Xianyang International Airport in China to -83% at Ljubljana Jože Pučnik Airport in Slovenia.
Group revenue declined by over half in 2020, while net profit turned to loss for the first time in 20 years, with extensive cost-saving measures failing to prevent a -€690.4 million loss (see charts below).
The final quarter saw a -76% fall in group retail revenues to €41 million. Real Estate, however, proved highly resilient, slipping just -4.4% in the year to €163 million. Car parking revenue fell -56% to €44 million in the year.
Fraport AG Executive Board Chairman Dr. Stefan Schulte put a brave but realistic face on the results, tinged with optimism. “We are looking back on an extremely challenging year 2020. Unlike almost any other industry, aviation has been hit hard by the Covid-19 pandemic. Nevertheless, we are now seeing the light at the end of the tunnel.
“The rollout of vaccination programmes and greater availability of testing options provide the prerequisites for air traffic to rebound – starting this summer at the latest. People want to finally travel again, while airlines are ready to ramp up their capacities. At the same time, we have realigned our company to become leaner and more agile. Therefore, we will emerge even stronger from this historic crisis.
“As the operator of the Frankfurt Airport global hub and thanks to our Group airports worldwide, we are well positioned to fully benefit from the air travel relaunch, while our long-term growth perspectives remain intact.”
INTERNATIONAL HIGHLIGHTS
For the current business year, the Fraport Executive Board forecasts traffic at Frankfurt Airport to range from under 20 million up to 25 million passengers, up marginally on 2020. Group revenue is expected to reach approximately €2 billion in 2021. The company is forecasting Group EBITDA to range between €300 million and €450 million. Group EBIT is expected to be slightly negative, while the Group result (net profit) will also remain in negative territory. Both of these key performance indicators, however, will markedly improve compared to 2020, Fraport said.
