Press Releases

TAV announces EUR 345M revenue in 1H

TAV Airports served 38.3 million passengers in the first half of 2019, a 12% increase compared to the same period the previous year.

TAV Airports Holding Executive Board Member & CEO Sani Sener stated “On April 6th, 2019, the commercial traffic at Istanbul Ataturk Airport ended. We completed all of our responsibilities and handed the airport over to the State Airports Authority. The discussions regarding our compensation on loss of profit due to Istanbul Ataturk’s closure before the end of our concession are continuing and have progressed well. The international consultants, KPMG and PWC, have prepared and submitted their technical evaluation reports on the calculation of the compensation amount. We expect to finalize the calculation soon through our ongoing discussions with the State Airports Authority.

Although domestic traffic in Turkish airports was weak due to the depreciation of Turkish Lira, the number of visitors coming to Turkey in the first 5 months of 2019 increased 11%. In 2018, the strength in tourist numbers both in our Turkish airports and our other international airports reflected well in our financial results.

Our total revenue excluding Istanbul, increased 9% and reached €345m in the first half of 2019. While our post-Istanbul airports portfolio contributed significantly to this growth, our lounge services company, TAV Operation Services was also an important factor. With our recent investments in passenger lounges spanning a diverse geography that includes Brazil, Chile, Denmark and Kenya, the service footprint of TAV Airports reached 90 airports in 28 countries.

Our EBITDA excluding Istanbul decreased 2% and became €127m, affected by inclusion of Antalya’s off season results for the first time and lower contribution from ATU due to closure of Istanbul Ataturk. Net Income decreased 34% and came in at €61m mostly due to Istanbul Ataturk’s early exit from the portfolio.

Our portfolio of 14 airports in 7 countries is performing very well. The revenue of our airports portfolio excluding Istanbul increased 10% in the first half of 2019 and reached €146m. The EBITDA of these airports increased 14% and reached €87m. Our post-Istanbul airport portfolio comprises smaller airports that have just begun to deliver operating leverage. Therefore we can expect both organic and inorganic growth to have more impact on our financial results going forward. We are always actively managing and marketing our airports to boost organic growth while continuing to pursue value accretive inorganic growth opportunities with strict investment and return criteria.

I wholeheartedly thank all our employees, our shareholders and our business partners for their invaluable contribution to and support of TAV Airports. “

KEY PERFORMANCE INDICATORS*

 (in EURm) 

1H18

1H19

%

Consolidated Revenue

317.3

344.7

9%

EBITDA

129.6

126.6

-2%

EBITDA margin (%)

40.9%

36.7%

-4.1 ppt

Net Profit

93.1

61.3

-34%

Number of passengers (m)

34.2

38.3

12%

- International  

16.9

21.4

27%

- Domestic  

17.2

16.8

-2%

*Adjusted for IFRIC 12 except for net profit.

 

All commercial traffic of Istanbul Ataturk Airport was transferred to the New Istanbul Airport on April 6th, 2019. As per IFRS 5.13, Revenue and EBITDA reported after the closure have been restated to exclude the results of TAV Istanbul. TAV Total pax numbers reported after closure also do not include the results of Istanbul Ataturk Airport.
 

About TAV Airports

TAV Airports maintains its leading position in the airport operations sector in Turkey. TAV Airports operates Antalya, Ankara Esenboga, Izmir Adnan Menderes, Gazipasa Alanya, Milas Bodrum and Antalya Airports in Turkey as well as Tbilisi and Batumi Airports in Georgia, Monastir and Enfidha-Hamammet Airports in Tunisia, Skopje and Ohrid Airports in Macedonia, Medinah Airport in Saudi Arabia and Zagreb Airport in Croatia. TAV Airports is also active in other areas of airport operations including duty free, food and beverage, ground handling, IT, security and operation services. Within the same context, TAV Airports also operates duty free, food and beverage and other commercial areas at Riga Airport in Latvia. Together with its subsidiaries, the Company provided services to one million flights and 152 million passengers in 2018.

For further information: Erhan Ustundag, +90 212 463 30 00/2097 and +90 530 228 80 59, erhan.ustundag@tav.aero        

www.tavairports.com

http://ir.tav.aero