Airport News
Fraport said the weak euro had encouraged people to spend more on shopping at Frankfurt airport, helping it to report a first-quarter profit up 13.8 percent.
Fraport reported Q1 earnings before interest, tax, depreciation and amortisation (EBITDA) of EUR€153 million (USD$174 million).
The airport operator said net retail revenue per passenger rose 6.5 percent to €3.93, driven by an increase in the number of intercontinental passengers from places such as China, Korea, Turkey and Brazil.
Retail revenue had suffered last year as rouble weakness held back high-spending Russians from travelling and shopping.
Fraport's retail and real estate unit reported earnings before interest, tax, depreciation and amortisation (EBITDA) up 8 percent to EUR€89 million in the quarter, accounting for more than half of group EBITDA of EUR€153 million.
The company, which also confirmed its 2015 profit target, said it continued to expect passenger numbers at Frankfurt would rise by between 2 and 3 percent this year. It said numbers rose 7.5 percent in April, giving a year-to-date increase of 4.1 percent.
"This will lead to higher revenue particularly in the Aviation and the Retail & Real Estate business segments," chief executive Stefan Schulte said.
Fraport also said it was unclear if and when a deal to operate regional airports in Greek tourist destinations would be completed.
Fraport was last year named preferred bidder for a deal to operate the 14 regional airports, in tourist locations such as Corfu.
But since the election of an anti-austerity government in Greece the deal has come into the spotlight, with Greece reported to be seeking to change the terms of the deal.
"It is currently not certain whether or when the transaction can be completed in view of the political and macroeconomic development in Greece," the company said in its first-quarter report.
