MANCHESTER - 5

[Suzeman]

MAG Profits up

From UK Airport News


30.07.08

Profits are up for Manchester Airports Group - owners of East Midlands, Bournemouth, Humberside and Manchester Airport- after two bad years. The group - the UK's second largest airport owner - has reported a 16.4% rise in profits from £82.9m to £96.5m.
In 2006 and 2007, earnings were hit by a combination of passengers switching to faster trains (especially on routes to the capital), soaring security bills and low-cost flights using other local airports, most notably Liverpool.

However, after a costs squeeze and better returns from its shops and car parks, the airport has seen profits rise again. Group revenues in the year to 31 March rose from £385.5m to £395.7m as the strong retail and car parks performance offset lower income from airlines. Income at Manchester Airport rose 3.2% to £286.5m. Stripping out one-off items, group operating profits surged 20% from £75m to £90.5m. At the pre-tax level they rose 8.5% from £80.9m to £87.8m.

Passenger numbers across the group saw a 2% rise from 28.6 million to 29.2 million, boosted by strong performances at East Midlands and Bournemouth. Passengers fell by 200,000 (0.9%) at Manchester to 22 million, as pressures in the domestic market and consolidation among charter airlines wiped out strong growth on long-haul scheduled routes.

Chief executive Geoff Muirhead hailed an ‘excellent year’ and said the group was in good shape to withstand turbulent times ahead. He said: ‘I look forward with some degree of optimism for the business. We have made real progress in the past year, which reflects the hard work that has gone on in recent years.' But he said the consumer-spending-slowdown and credit squeeze were expected to leave passenger numbers and group profits flat this year.

The group is paying a dividend of £26m to its shareholders, the 10 local authorities of Greater Manchester. It represents a rise of £1m and is the first increase since 2005.


So I guess it's trebles all round......

Suzeman