December 8, 2024
Fraport Group Sees Double-Digit Growth in Q1 2024

Fraport Group Sees Double-Digit Growth in Q1 2024

Fraport Group has seen double digit growth across all performance metrics in Q1 2024, with continued confidence for the full year.

Fraport Group has opened the new fiscal year on a high note, delivering an impressive financial performance in the first quarter (Q1) of 2024.

All key financial metrics witnessed double-digit growth compared to the same period in 2023, reflecting a surge in passenger traffic across Fraport’s global network of airports.

Revenue Soars on Strong Passenger Numbers

Group revenue for Q1 2024 reached a staggering €890.2 million, marking a significant 16.3% increase year-over-year.

After adjusting for revenue generated from construction and expansion projects at Fraport’s international subsidiaries (as per IFRIC 12 regulations), the growth jumps further.

It rises to an even more impressive 16.7%, bringing the adjusted revenue figure to €763.5 million. The Aviation and International Activities & Services segments emerged as the main drivers of this remarkable revenue growth.

A view across the busy tarmac area at Frankfurt Airport
Photo Credit: Fraport

Aviation Segment Substantial Increase

The Aviation segment, encompassing core airport operations at Frankfurt Airport, witnessed a substantial €45.6 million increase in revenue, reaching €265.6 million in Q1 2024.

This surge was primarily fueled by a welcome rise in passenger traffic at Frankfurt alongside an increase in airport fee revenue.

International Expansion Delivers Strong Results

Fraport’s International Activities & Services segment mirrored the success of the Aviation segment, reporting a significant €49.1 million revenue increase, bringing the total to €345.9 million.

This growth can be attributed to two key factors: dynamic passenger growth at many of the Group’s airports worldwide and the strategic acquisition of new concessions in the United States.

Notably, Fraport USA assumed responsibility for center management at Washington Dulles and Reagan airports serving the U.S. capital at the start of 2024, further solidifying its international presence.

A view across Frankfurt Airport at sunset.
Photo Credit: Fraport

Profitability Rises Alongside Revenue

Reflecting the positive trend in revenue, Fraport’s operating result (EBITDA) mirrored the growth trajectory, soaring by 34.3% to €212.6 million in Q1 2024 compared to €158.3 million in the same period last year.

This significant improvement in profitability extends to the Group’s net profit. This transitioned from a loss of €32.6 million in Q1 2023 to a positive profit of €12.7 million in Q1 2024. All in all, this signifies a remarkable turnaround.

Passenger Traffic Rises Despite Challenges

Passenger numbers at Frankfurt Airport displayed a positive trajectory, increasing by 10.4% year-on-year to 12.5 million in Q1 2024.

This figure represents a promising recovery, reaching around 85% of pre-crisis passenger levels witnessed in 2019. Notably, demand for leisure travel remained high in Q1 2024 despite disruptions caused by several strikes.

Business travel also saw a welcome increase compared to the same period in 2023. However, it’s important to acknowledge that strikes and weather-related flight cancellations impacted approximately 600,000 passengers in the first quarter.

This is a sobering reminder of the potential for external factors to disrupt passenger flow.

Aircraft parked at Frankfurt Airport
Photo Credit: Piotr Bozyk

Global Gateways Shine

While Frankfurt Airport serves as a major hub within Fraport’s network, several other airports within the Group’s portfolio displayed exceptional growth in passenger traffic.

Several airports emerged as bright spots, exceeding pre-crisis passenger levels in Q1 2024. Notable were Antalya Airport on the Turkish Riviera, the 14 Greek airports managed by Fraport, and Lima Airport in Peru.

This geographically diverse growth underscores the strength of Fraport’s international network and its ability to capitalize on rising travel demand in various regions.

Five Years On Since The Final British Airways Boeing 767 Flight
G-BZHB departs Frankfurt. (Photo: Konstantin von Wedelstaedt via WikiMedia Commons)

Full-Year Outlook Maintained on Positive Performance

Buoyed by the robust performance in Q1, Fraport’s executive board remains confident in its forecasts for the full fiscal year of 2024.

Passenger numbers for Frankfurt Airport are anticipated to range between 61 million and 65 million. Overall, the trend is suggestive of a continued recovery in air travel.

Group EBITDA is projected to fall within the range of €1,260 million and €1,360 million, indicating healthy profitability.

The Group’s net profit is also expected to remain positive. Current forecasts suggest a range of €435 million and €530 million.

In conclusion, Fraport’s strong showing in Q1 2024 paints an optimistic picture for the remainder of the fiscal year.

The Group’s strategic focus has targetted international expansion, coupled with meeting a rebound in passenger traffic. Overall, this strategy has positioned Fraport for continued growth and success.


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