You are using an older browser version. Please use a supported version for the best MSN experience.

Wellington Airport profit up 29 per cent

NZ NewswireNZ Newswire 20/05/2016 Jonathan Underhill

Wellington Airport profit up 29 per cent © Anthony Devlin/PA Archive/Press Association Images Wellington Airport profit up 29 per cent Wellington International Airport, which is 66 per cent owned by investment group Infratil, posted a 29 per cent gain in full-year profit as growth in international passenger volumes drove revenue.

Profit rose to $12.5 million in the 12 months ended March 31, from about $9.7 million a year earlier, the company said in a statement. Sales gained 4.8 per cent to $113.5 million.

International passenger volumes rose 16 per cent to 897,316 last year while domestic gained 4.6 per cent to about 4.9 million. The airport company agreed five new international services from Jetstar, Fiji Airways and Qantas Airways, adding 160,000 seats and it anticipates a further 110,000 seats when Singapore Airlines begins a Boeing 777 service linking Wellington with Canberra and Singapore in September. Domestic volumes were lifted by new Jetstar routes, expanded capacity from Air New Zealand and a contribution from Sounds Air, it said.

Last month the company lodged an application to extend its runway with the Wellington City Council and the Greater Wellington Regional Council. The airport is seeking permission to build a 350-metre runway extension in a bid to attract long-haul flights from Asia and the United States, at a cost of $300 million.

Capital development already underway includes a $65m expansion of the domestic terminal and a $70m transport hub, a Rydges hotel and in the longer term, a $60m expansion of the international terminal.

Aircraft movement and terminal charges made up the biggest share of annual revenue, rising 5.1 per cent to $65.9m. Retail and trading activities contributed $35.7m, up 4.9 per cent, and property rent and lease income rose 2.8 per cent to $11.8 million.

The airport paid a dividend of about $13m to the city council and a subvention payment of $39.5m on Infratil.

image beaconimage beaconimage beacon