Aer Rianta lifts pre-tax profits 13% to £42.4m

WITH income swelled by almost 12 million passengers travelling through its three airports, a 13 per cent increase, Aer Rianta…

WITH income swelled by almost 12 million passengers travelling through its three airports, a 13 per cent increase, Aer Rianta has maintained its strong profit growth. Pre-tax profits for 1996 advanced 13 per cent to £42.4 million.

There was strong growth across all the airport authority's operations, but the danger of losing duty-free sales within the EU is evidenced by over one-third of group sales of £231 million coming from this source. Aer Rianta International, which includes various duty-free outlets around the world and airport management contracts, had sales of £251 million.

Dublin Airport had a surplus of £37.9 million, with £24.5 million coming from commercial activities and £13.4 million from airport operations. A record 9.1 million passengers passed through the airport and August 3rd was the busiest day in the airport's history with 43,000 passengers. Duty-free sales totalled £58.7 million and record one-day sales of £339,000 were notched up on March 1st last year.

Shannon Airport had a surplus of £2.38 million, with £1.88 million coming from commercial activities and £500,000 from airport operations. A record total of 1.74 million passengers used the airport and all routes out of Shannon showed an increase over 1995.

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July 27th last year was Shannon's busiest ever day with 16,764 passengers using the airport. The Shannon duty-free shop had a 13 per cent rise in sales to £12.1 million, while the catering division had an 8 per cent increase in revenue to £11.5 million.

At Cork Airport, a 16 per cent rise in passengers to 1.1 million was the main factor behind a £2.4 million in revenues, with £2.5 million from commercial activities countering a £83,000 loss on airport activities. Duty-free sales were 23 per cent higher on £6 million.

Aer Rianta International had managed turnover of £251 million and for the first time had higher turnover than the parent group. Consultancy revenues were £10,6 million, with pre-tax profits of £7.9 million. Aer Rianta is now the fifth largest duty-free company in the world and last year made its most strategic investment to date when it combined with venture capital group Natwest Ventures to buy a 40 per cent stake in Birmingham Airport.

Great Southern Hotels continued to grow, with turnover up 11 per cent to £21 million, while profits were 18 per cent higher on £2.7 million.