The operator of Hong Kong International Airport (HKIA) has achieved a sharp rise in profits in the first half of its financial year.
For the six months to 30 September 2013, Airport Authority Hong Kong (AAHK) experienced a 17.0% jump in profits, to HK$3.2 billion (US$415 million). The result was driven by a 14.7% increase in revenues, to HK$7.3 billion, following rising passenger traffic, flight movements and cargo volumes.
AAHK said that extra revenue from retail licences and advertising also helped improve the airport’s financial performance.
“We are pleased with the strong financial performance for the first six months, which was primarily the result of traffic growth, as well as retail and advertising revenue growth arising from the awarding of a few major retail licences in late 2012,” said William Lo Chi-chung, AAHK’s executive director of finance.
“We forecast the momentum of traffic growth will continue in the remainder of the financial year, and we are therefore cautiously optimistic of our 2013-2014 full-year financial performance,” he added.
HKIA is currently undergoing a major expansion that will see the addition of a new runway and terminal on reclaimed land, allowing the airport to increase its capacity to 100 million passengers per year by 2030.
The airport handled a total of 30.5m passengers and 187,000 flight movements from April to September 2013, registering year-on-year growth of 6.3% and 6.4% respectively. Last year, the HKIA handled 56.5m passengers.