TAV announces EUR 753M revenue in the first nine months
TAV Airports served 60.2 million passengers during the first three quarters. Due to a favorable operational and financial backdrop, the company revised its 2022 year-end guidance upwards.
A member of Groupe ADP, TAV Airports disclosed its financial and operational results for the first nine months of 2022.
TAV Airports Holding CEO Serkan Kaptan stated “Turkish tourism continues its growth thanks to high quality yet affordable offering and expanding source markets. Thus, we have had a very strong summer season despite the geopolitical setbacks, with major source markets such as Germany and UK surpassing 2019 levels by a wide margin. Due to this strength, we expect our international passenger traffic to be 10-15 % higher than the initial guidance we published in the beginning of the year.
Almaty’s cargo aircraft stopovers doubled this year compared to 2019, partially due to geopolitical events and partially due to increased operational efficiency. We also had a major turnaround in lounge and catering services and significant growth in duty free and IT services. Moreover, our luxury stores in Istanbul Grand Airport have benefitted from dazzling passenger growth. As the summer season ends, we expect demand for travel to stay intact during the winter season as well.
We had surpassed 2019 levels of Revenue, EBITDA and Net Income in the second quarter. We have surpassed these levels in the third quarter as well. With this favorable operational and financial backdrop we are revising our 2022 guidance upwards for the second time this year. We now expect our year end EBITDA to be between €m 272 – 313 and net income to be between €m 75 – 105.
As promised, we have emerged out of the pandemic stronger, with better profitability and a materially longer and larger asset base with inclusion of Almaty and extension of Antalya. We are now on a clear growth trajectory where we expect significant passenger growth and deleveraging until 2025.
Turkish tourism was supported by its secular growth trends during previous economic downturns owing to its, value offering and favorable substitution effects. Our airport portfolio will stand at an advantageous position as we face uncertainty in global macroeconomic expectations.
In the third quarter, we submitted a bid to operate and develop Lagos Airport in Nigeria for 20 years. As the bidder preferred to proceed to the negotiation phase of the tender, our goal will be to position TAV in a place where the potential rewards far outweigh the potential risks. Nigerian economy and favorable demographics offer attractive growth prospects for diligent investors.
We have successfully managed all the shocks and crises that were thrown our way during the last twenty years. Thus, I can say that resilience, adaptability, and smart growth are in TAV’s genes. We owe this competitive edge to the great people who make TAV happen who are our employees, shareholders and business partners. I would like to take this opportunity to thank our employees, shareholders and business partners once again on behalf of our global brand.”
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About TAV Airports
TAV Airports provides integrated services in all areas of airport operations, with a global footprint at 90 airports in 29 countries. A member of Groupe ADP, TAV Airports is part of the leading airport management platform globally. Through its subsidiaries, TAV is active in airport service businesses, including duty-free, food and beverage, ground handling, IT, private security and commercial area management. The company is quoted on Istanbul Stock Exchange.