Dublin Airport operator sees first-half profit surge to €53m amid travel lift

Revenue at the DAA, the semi-State operator of Dublin and Cork Airports, soared 55pc to just under €459m in the first six months of the year as it continued to see strong growth in passenger numbers.

The group also more than doubled its profit after tax to €52.6m from €23.6m in the period.

Figures released by the company on Wednesday show that the increase in passengers helped boost domestic revenue at the group by 57pc to €337.1m in the period.

Combined passenger numbers at Dublin and Cork jumped to 17.1 million in the first half of this year from 13 million in the first six months of 2022. Dublin Airport accounted for 15.8 million of passengers in the first half of this year, up 32pc on the corresponding period on 2022.

The DAA’s aeronautical revenue – the money it receives from airlines using its facilities, for instance – rose 102pc to €130.3m in the first half of the year.

Non-aeronautical revenue rose 38pc to €206.8m, lifted by strong food and beverage sales, improved concessionaire revenue, as well as high demand for car parking and lounge facilities.

The group’s total operating costs, including wages, materials and services, were €252.6m in the first half of the year, which was 28pc higher year-on-year as normal airport operations resumed following the pandemic.

Its earnings before interest, tax, depreciation and amortisation (Ebitda) rose 25pc to €121.9m in the first half.

“There were significant improvements to the overall passenger experience at Dublin Airport in the first half of the year compared to last year and passenger satisfaction ratings are now back to the standards that we routinely delivered pre-Covid,” according to DAA chief executive Kenny Jacobs.

The DAA rolled out a number of improvements for passengers this year after a surge in travel in 2022 following lock-downs saw airports around Europe struggle to cope.

Mr Jacobs said that just over 92pc of passengers got through security at Dublin Airport in less than 20 minutes during the first half of the year.

“Our focus now moves to our Infrastructure Application to meet Ireland’s future demand for international travel which requires us to grow the capacity of Dublin Airport to 40 million passengers per annum and allow for the delivery of critical, required infrastructure enhancements such as new piers, taxiways and other airside facilities,” he added.

The airport has to seek permission to alter a cap on passenger numbers at Dublin Airport. That cap currently stands at 32 million a year, with the condition having been attached to permission granted for T2 almost 20 years ago. Dublin Airport will handle close to 32 million passengers this year.

The DAA said that its international retail, consultancy and management business, operated through its Aer Rianta International and DAA International units, continued to grow in the first half of this year. Their combined revenues climbed 49pc to €121.7m.

It said that the increase in revenue at the 24 retail stores it operates in 13 counties was a result of increased passenger volumes and higher passenger spend.

Aer Rianta International operates facilities in countries including Saudi Arabia, Canada, New Zealand, Cyprus and Indonesia.

Cork Airport saw 1.3 million passengers in the first half of 2023 and is expected to have its busiest year ever for international traffic, with 2.7 million passengers.

Reporting On: www.independent.ie