NEW ROUTES BOOST REVENUE AT BIRMINGHAM AIRPORT
29 SEP 2015
Revenues have surged at Birmingham Airport during its "busiest ever year" as the introduction of a string of new routes boosted passenger numbers, newly filed accounts seen by Insider have revealed.
In the year ended 31 March 2015, Birmingham Airport Holdings Ltd turned over £121.1m, up from £113.7m a year earlier.
During the period, a number of airlines introduced new routes from the airport, including Icelandair's service to Reykjavik, Norwegian Air Shuttle's route to Madrid, and Thomson's 787 Dreamliner service to Jamaica.
In July, it also became the first airport outside of London to introduce a direct flight to China via China Southern Airlines. The following month, it reported its business ever period in its 75-year history, with more than 1.1 million passengers passing through its terminals in August.
Dublin retained its title of most popular destination for customers during the 2014/15 financial year, followed closely by Dubai and Amsterdam. However, Dubai is expected to overtake the Irish capital after Emirates launched a third daily service to the Middle Eastern city.
A statement signed off by directors said the airport's 2015/16 financial year "look equally exciting" as it further expands its route network.
It comes after flights to Barcelona with Vueling and John F Kennedy Airport with American Airlines launched in May 2015. Flybe also expanded its services, offering routes to Bastia, Biarritz and Deauville.
Paul Kehoe, chief executive of Birmingham Airport, added: "Following the record year experienced in 2014/15 we have continued to grow passenger numbers and broke the 10 million passenger mark in August 2015 for the first time.
"This year alone we have welcomed eight new airlines to Birmingham as more and more carriers realise the strong business and leisure market in the Midlands region and the airport's investment to offer a world class facility.
"We are confident that this trend will continue given the wider range of the destinations that we now offer, and Dubai might possibly overtake Dublin this year to become our busiest route."
Pre-tax profit at Birmingham Airport Holdings for the year fell to £16.2m from £18.8m due to exceptional costs of £4m associated with a restructure and a further £1.3m for air traffic control transition. Operating profit increased to £30.6m from £27.9m.
Commercial income increased by more than £5m to £69.9m, while aeronautical income was up to £51.2m from £49.2m.
In January, Canadian pension fund Ontario Teachers' Pension Plan, acquired an additional stake in Birmingham Airport, taking its shareholding to 48.25 per cent.
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