Lithuanian Airports further estimate growing financial indicators. Summing up of the first 9 months of the current year revealed that comprehensive income has increased by 13 percent as compared with the preceding year, and currently amounts to nearly EUR 37 million.
The Lithuanian Airports note an increase in income generated from both, aviation – flights, passenger services, cargoes carriage, and non-aviation – premises lease, catering institutions, different commercial zones activity.
“We are pleased that we have maintained growth all year long, whereas as compared with the same period in 2018, we calculate a growth of 5 percent in aviation income. We successfully implement also the goal set to equalize the shares of aviation and non-aviation income. The later income has surged quite a bit - grew by even 30 percent and amounts to EUR 13 Million, what constitutes 36 percent of all income. In the future this share will definitely increase, as the development of services and reconstruction of the infrastructure are carried out at airports. General growth in future financial indicators will also be greatly impacted by a successfully implemented programme for the reconstruction of the main air gate – Vilnius airport”, stresses Mr. Tomas Krakauskas, Chairman of the Board of Lithuanian Airports.
The greatest share of Lithuanian Airports still consists of aviation activity: during 9 months of the current year, income has grown moderately, however stably, and exceeded EUR 23 million. A consistent growth is the result of a number of strategic solutions.
“The list of destinations offered, negotiations with air carriers is renewed, the company’s development strategy effectively implemented raises the number of flights and passengers, thus such trends are reflected also in financial indicators”, says Mr. Marius Gelžinis, CEO of Lithuanian Airports.
Based on data of the Airport Council International (ACI), growing economy and affordability of flights increase passenger traffic in the whole world – in 2018, it reached 8.8 billion, and further growth is forecasted also in the future.
Meanwhile the fastest growing indicator – non-aviation income continues to increase; as compared with the preceding year, it has already grown by one third, and during 5 years of operation of the Lithuanian Airports company, non-aviation income has more than doubled.
“Increase in non-aviation income is one of the company’s priorities, therefore such a result shows a properly selected and developed direction of the company’s activity. Currently, non-aviation income has increased faster than passenger flows, whereas the range of services offered at airports is the widest than ever: new cafes, car parking lots have been installed, a business club has been renewed, digital border control solutions and other solutions have been implemented”, states Mr. M. Gelžinis and added that during the last 5 years, the size of commercial areas at airports has increased by nearly one third.
“We will further effectively utilise the available spaces and implement new projects. In the near future, we will add the new VIP terminal and a conference centre at Vilnius Airport; installation of a multifunctional car park near the capital’s air gates is coming to an end”, told the Head of the Lithuanian Airports.
During the first three quarters, EBITDA (i.e. earnings before interest, taxes, depreciation and amortisation), as compared with the same period last year, increased by 5 percent, whereas net earnings before taxes (EBT) increased by 17 percent. Due to development of the organisation, operating costs have increased too.
“During the year, operating costs have increased by 22 percent. The lion’s share consists of an increased payroll fund, raised wages for lowest-paid workers, also the total number of employees has increased in the company”, notes M. Gelžinis.
About Lithuanian Airports
The Lithuanian network of airports consists of three airports situated in Vilnius, Kaunas, and Palanga. During 2018, they serviced 6.3 million passengers and 61 thousand flights. During the winter season, 15 airline companies directly conduct flights in 88 regular destinations.