Frankfurt, Germany (ots) - For the first time, Fraport AG
Frankfurt Airport Services Worldwide today presented an interim
report for the first six months of the current business year.
Compared to the same period of the previous year, Consolidated
revenues increased five percent to Euro 756.9 million from January to
June 2001. Consolidated profit climbed in the same period by almost
43 percent to Euro 39.1 million. Dr. Wilhelm Bender, Chairman of the
Executive Board of Fraport AG, said that the Group had "continued its
positive development and held its position in a difficult economic
environment". Deutsche Börse AG has decided that Fraport shares will
be included in Frankfurt's MDAX effective September 24.
For the first half of 2001, the number of passengers at Frankfurt
Airport (FRA) increased 2.7 percent to 24 million, while airfreight
declined 0.6 percent to 744,000 metric tons. The Lufthansa pilot
strike resulted in an unexpected negative effect for Fraport.
However, the company is confident that it can largely compensate for
the loss in the second half of the year, which is always seasonally
Consolidated revenues increased by five percent to Euro 756.9
million; retailing revenues even grew at double-digit rates in the
reporting period. Total revenues from January to June 2001 increased
by about nine percent to Euro 805 million. Major factors contributing
to this increase included non-recurring income as well as unrealized
currency gains due to the higher U.S. dollar, which have to be shown
according to IAS (International Accounting Standards).
Almost three-quarters of the total revenues were generated by the
Aviation and Ground Handling segments. With 85 percent, the
Non-aviation segment accounted for the largest share of the
consolidated EBITDA (earnings before interest, tax, depreciation and
Operational costs increased by 13.8 percent to Euro 601.5 million.
Personnel expenditures represented the largest cost item. They
increased by 10.3 percent to nearly Euro 347 million compared to the
first half of the previous year. This was mainly due to the employee
stock participation plan launched with the company's IPO (initial
public offering) and due to first-time provisions made for a new
staff pay scheme based on individual and corporate performance.
With Euro 130 million, cost of material was more than five percent
over the previous year's level, thus increasing at about the same
rate as revenues. Other operating expenses amounted to Euro 125
million; this was mainly due to non-recurring expenses for strategic
projects, such as implementation of SAP R/3 and non-realized currency
losses according to IAS.
EBITDA reached Euro 204.8 million, compared to Euro 210.5 million
recorded during the first six months of the record year 2000.
Operating cash flow experienced a strong 30-percent increase to well
over Euro 140 million, compared on a half-yearly basis. Investments
of Euro 122 million - mainly for property, plant and equipment at
Frankfurt - could be entirely financed from operating cash flow.
Some Euro 904 million flowed into the company's coffers as a
result of the IPO on June 11. Equity ratio rose to 49.5 percent from
33.5 percent in 2000. Therefore, the IPO created the financial basis
for further expansion at Frankfurt. Fraport expects the pending
planning procedures to continue on schedule. On August 27 the company
will submit documentation for the regional planning procedure.
Bender again emphasized that "the current situation regarding
airport expansion could not be any better". Fraport's CEO said "we
are optimistic". There have been clear decisions from all relevant
political bodies, favourable court decisions so far, and the company
has been able to maintain the ambitious time schedule for airport
expansion. "The results of all public opinion surveys also make us
optimistic," said Bender. More than half of the population has come
out decisively in favour of airport expansion, while only 10 to 15
Bender explained that Fraport AG now has initiated the procedure
for increasing Frankfurt Airport's coordinated movements per hour. At
FRA, it should be possible to increase the number of coordinated
aircraft movements from 78 to 80 per hour. This additionally created
capacity will help FRA temporarily to accommodate traffic until a new
runway opens in five years.
Fraport expects passenger figures to grow faster in the
traditionally stronger second half of the year, anticipating about
three-percent passenger growth for the entire year. In July 2001, the
busiest month on record in the history of Frankfurt Airport, 4.9
million passengers were welcomed, 2.6 percent more than in July of
the previous year. Well over 50 million passengers will use Frankfurt
Airport in 2001. As indicated before the IPO, the company currently
expects EBITDA results for the entire year to be modestly below the
previous year's level, due to special influencing factors. Bender
said, "Fraport AG is on course in a difficult market environment".
ots Originaltext: Fraport AG
Fraport AG Frankfurt Airport Services Worldwide
Robert A. Payne - Manager International Press
D-60547 Frankfurt am Main
Phone +49 69 690 -78547 (with voice mailbox)
Fax +49 69 690 -60548
Internet: www.fraport.de (click on "Press Lounge")