Press Releases

TAV announces EUR 592 M revenue in 3Q 2019

Turkey’s global brand in airport operations, TAV Airports announced EUR 592 million in revenues in the first nine months of the year. Following the closure of Istanbul Ataturk, TAV achieved EUR 93.8 million net profit in its continuing operations, with a 28% increase compared to the same period in 2018. The company now gets 31% of its EBITDA from its service companies and TAV’s global footprint reached 90 airports in 28 countries.

 

TAV Airports Holding Executive Board Member & CEO Sani Sener stated “We completed another quarter during which we worked hard to add value to the tourism sectors of the countries where we operate by providing the best-in-class passenger experience. The third quarter of the year, which is seasonally the strongest quarter in aviation and tourism, yielded very strong operational and financial results for TAV Airports.

Turkey continues to provide a great tourism offering at a bargain price. As this value proposition attracts more tourists into the country as we host an all-time high number of foreign visitors. The number of tourists visiting Turkey increased 15% in the first 8 months of 2019 compared to last year. All in all, we had a strong season in international traffic in almost all of our airports across the board and in general, our airports had a very good year in financial results.

The growth initiatives of our service companies continue as we now span a footprint of 90 airports in 28 countries. The latest additions to our service portfolio are the lounges we opened at JFK Airport, in NY, USA. With these new lounges, we now operate 69 lounges in 21 countries. Services now make up 31% of our consolidated EBITDA.

The consolidated revenue of our post-Istanbul portfolio increased 9% in the first nine months and reached €592m. The EBITDA of our post-Istanbul portfolio increased 2% and reached €282m. The net profit of our post-Istanbul portfolio increased 28% and reached €98m. Our total net income for 2019 including Istanbul operations came in at €150m. The growth in net income from our continuing operations was more than EBITDA growth because of lower volatility in exchange rates.

These results clearly show that our post-Istanbul portfolio which we call TAV 2.0, continues to deliver value and growth for our shareholders. Our efforts to grow this portfolio through value accretive additions is ongoing.

Compensation discussions on the early closure of Ataturk Airport are ongoing with DHMI and we expect to finalize these discussions by year end.

As we continue to build TAV 2.0, I would like to thank all our employees, our shareholders and our business partners for their invaluable efforts in creating the TAV Airports of the future. “

KEY PERFORMANCE INDICATORS**

 

(in EURm)

9M18

9M19

%

Consolidated Revenue

541.0

591.9

9%

EBITDA

277.3

282.5

2%

EBITDA margin (%)

51.3%

47.7%

-3.5 ppt

Net Profit From Continuing Operations

76.7

98.3

28%

Net Profit from Discontinued Operations

128.9

51.8

nm

Total Net Profit

205.6

150.1

-27%

Number of passengers (m)

66.4

71.6

8%

- International

38.4

45.6

19%

- Domestic

28.1

26.0

-8%

**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