Originally Posted by
southside bobby
.....errrrrr SEN is a profit centre? tell us more...
Profit centres can make losses, unfortunately.
Aviation is the largest profit centre in the balance sheet and as the investment properties are sold off to support the dividend, Aviation will becoming an even larger percentage of the overall group. So I believe all eyes will be on the airport to support the dividend from 2022.
Targets are 2.5m pax at £8 per pax profit (EBITDA) by 2018 which we know is now unrealistic. The longer term target is 5m pax at £10 per pax profit (EBITDA).
I can see two issues preventing achieving this. The first is the movements cap which only allows for circa 2m pax annually - however by removing non-pax flights (club flying, cargo, training etc...) this could be increased.
The second is that the Stobart Air fly a decent chunk of the pax and either they make a profit or the airport make a profit, but surely they both can't?