Yahoo Finance

• Revenue: Increased 13% to just under $500 million.

• EBITDAFI: Up 13% to $349.6 million, with a margin of 69.9%.

• Underlying Profit After Tax: Increased 2% to $148.1 million.

• Total Reported Profit After Tax: Up 58% to $187.3 million.

• Interim Dividend: $0.0625 per share, totaling $105.1 million.

• Capital Expenditure: Just under $600 million, with $461 million on aeronautical programs and $139 million on commercial projects.

• Passenger Movements: Increased 2% to 9.5 million, with international passengers up 4.1% to 5.2 million.

• Net Interest Expense: $43.9 million, reflecting increased borrowing levels.

• Depreciation Expense: Increased 18% to $99 million.

• Operating Expenses: Rose 15% to $150 million.

• Cash Flow from Operations: Up 19% to just over $310 million.

• Total Drawn Debt: Approximately $2.5 billion.

• Undrawn Bank Facility Headroom: $625 million.

• Cash in Bank: $789 million.

• Investment Property Portfolio Value: $3.3 billion with 99% occupancy rate.

• Guidance for Underlying Profit After Tax: Between $290 million and $320 million.

• Guidance for Capital Expenditure: Between $1 billion and $1.3 billion.

• Warning! GuruFocus has detected 7 Warning Sign with ACKDF.

Release Date: February 19, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Auckland International Airport Ltd (ACKDF) reported a 13% increase in first-half revenue to just under $500 million, driven by increased passenger numbers and higher commercial income.

• The company's operating EBITDAFI rose by 13% to $349.6 million, resulting in a strong EBITDAFI margin of 69.9%.

• Passenger movements increased by 2% to 9.5 million, with international passenger movements up 4.1% to 5.2 million.

• Significant progress has been made on the aeronautical construction program, with the terminal integration project 72% complete.

• Auckland International Airport Ltd (ACKDF) maintains a strong liquidity position with $625 million in undrawn bank facilities and $789 million in cash, supporting future capital expenditure.

Negative Points

• Growth in travel demand was more subdued than expected due to capacity constraints and local economic conditions.

• International air capacity remains at 91% of 2019 levels, with inbound tourism still lagging at 84%, impacting overall growth.

• Operating expenses rose by 15% to $150 million, driven by increased staff costs and one-off expenses related to new projects.

• The company's underlying profit after tax rose only 2% to $148.1 million, impacted by higher depreciation costs and a higher effective tax charge.

• Domestic passenger capacity remains constrained, with 1.5 million fewer seats flying per year compared to 2019, leading to higher airfares.