AirportPlanner1..
Yes I can see the picture you paint but is that really really where Stobart want to be?.
Not being at all disrespectful but just saying in any business term that is really a "nothing" situation meaning it`s neither one thing or the other.
Whilst enthusiasts for the airport would grab it,I always understood that any successful business needs to grow & not plateau.
That scenario is way too comfortable & then itself open to those particular market vagaries.
Any business not expanding is open itself to acquisition....BUT.....maybe that idea is still a player at HQ.
As I stated anybody trying to see the future requires the original motives some of which are not now in play.

Southside you're right to an extent but a lot businesses including airports do plateau either though constraints (SEN probably fits well into that category) or because their market has a natural limit. The issue for Stobart is whether SEN's current output and actual potential is profitable, or better still provides an acceptable return on investment. Of course Stobart as an airport operator are small, it might be that their profit in SEN comes from its sales value. Or that they can grow as a business and benefit from economies of scale and relationships with airlines across a portfolio of airports.

Of course passengers is just one revenue stream, bizjets and freight for example might be a source of growth as they get squeezed out elsewhere.

@ssb - I think part of problem right now are really two things:

(a) what were the original motives of Stobart (before Easyjet arrived on the scene)

(b) it isn't at all clear what the strategy has now become for SEN^

^2017 - deliver passenger growth to achieve 2.5m passengers at £8pp EBITDA. By 2022 achieve 5m+ passenger growth at £10 pp EBITDA.

However, those numbers are the 'what' within their stated strategy detailed in the annual report but what I am specifically interested in understanding is the 'how' and in some detail so it can be determined if the approaches adopted will deliver, in other words, shareholder value.

Dividend yield is short term but of real critical importance is achieving plan. I'm finding it difficult to see 'how' plan will be delivered. There seems to be a slowing of progress.

mik3bravo

This statement from Andrew Tinkler in December 2008 gives a clue to their original motives.

Stobart Chief Executive Andrew Tinkler said: ”At one stroke we have found our Southern base and greatly enhanced our position as a leading point-to-point service provider for customers in the UK and Europe who require fast and efficient services by air as part of their logistics solutions.

“We have already started talking to a number of airlines to investigate new passenger services.”

I get the point-to-point logistics air freight revenue generation.

What seems considerably more challenging for Stobart, is these 'talks' with 'other airlines' which appear very slow in delivering substance of commercial value. It is specifically this point where investors are fixed when monitoring the plan for the aviation division of the group. If for example cost savings are not sufficient to attract new airlines to operate consistently from SEN then teaser commercial incentives are necessary to sweeten deals. As much as SEN want to attract new airlines it simply will not advance at a pace to ensure plan is delivered if there isn't a recalibration of tactics to achieve the plan.

Valid responses...
AirportPlanner1..Exactly as you say regarding "profitability now & in the future & an acceptable return on investment",some which is being spun thru other segments of the empire inc STK obviously & with limited clarity therefore.
mik3bravo.....
Item(b)..Agreed.."It isn`t at all clear what the strategy has now become for SEN"..
This being the reason for all the diverse & endless postings here.
From the current perspective it does appear SEN has retreated ? or is establishing a very local market in complete divergence with the aim of being a London Gateway & the brow creasing comments from the Airport CEO concerning SEN & the "London" market. DC3 Dave....
Yes I had forgotten their original statements concerning "logistic solutions by air"...That appeared to go very quickly & quietly.
Gone or backburner?.
It took many years to get out of the ground at Carlisle with warehousing for surface logistics due planning but I have witnessed the result/build at one end of the airfield.

Ho hum...
Some reasoned thought there....but!!!..
Conclusion?..
Stobart are playing the smartest game ever...OR
Stobart have been worthily opportunistic in aviation ventures but in terms of management for aviation as time goes by are pretty out of their depth.
White Knight?..
There has been a Knight literally hovering over BOH last week..Oooops that`s a funny BTW & no way starting a rumour.
It does appear tho that UK regional airports are coalescing into a single entrepreneurial
real estate empire.

https://www.caa.co.uk/Data-and-analy...-airport-data/

Am I missing something here, looking through the data and SEN pax CYTD numbers not apparent?

To recap, 2017 full year pax target stated in the business plan was to deliver 2.5m pax in 2017.

We are in month 11 now, I want to see the hard data on volume of pax CYTD.

From https://www.caa.co.uk/Data-and-analy...-data-2017-09/

Cheers,fm:ok:

Not too exciting but look, another award!

London Southend Airport wins W17/18 public vote Part I

Wizz have stated that they want the Monarch slots at both Gatwick and Luton. If they had any plans for Southend, which to be honest I have always doubted, then I would think they have been put into the long grass.

SEN Observer......I`m certain,well hoping anyway your re-posting is tongue in cheek...Please tell the forum it is as your sense of humour cannot be gauged exactly.

ss bobby...a big fuss about nothing Definitely tongue in cheek. Thought it might lighten things up a bit. Didn't expect to be questioned on it!!

SEN Observer....No big fuss at all....Great stuff,tongue in cheek...I had already seen the article on site..My only problem TBH is you could have lightened the forum absolutely by making your comments attached properly funny..
SEN beats Mr Kipling at it`s own game...sorry not too funny that one,there must be good ones tho....Oh well...

This is a SENsational award in an international competition so stop baking the rise, please. London Southend. More bake off than takeoff.

You will also note SEN have won THE BEST WATER ARCH FROM A FIRE TRUCK award. A pretty good effort considering the lack of practice............

"Stobart plots expansion into FBO market"

Re-hashing old news for SEN I think, though are the expansion noises new?

https://www.flightglobal.com/news/ar...market-442956/

Well you make me laugh....excellent post DC3 Dave....v funny..

Flybe radio adverts blitzing prime morning radio in Ireland advertising low cost flights to London Southend. Currently running the adverts on the Newstalk FM Breakfast show.

I need to check the Martin & Su morning slot on Heart. Hopefully they are blasting the airwaves with SEN new service's. Perhaps a competition for free tickets to some of the new destinations will be good.

I would have thought that of all the markets to crack a successful FBO would be the easiest.