Heathrow Retail Revenue +10.6% in Q1 2016

Photo: frontiermagazine.co.uk

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Spend per passenger at Heathrow Airport climbed +7.7% to reach £8.10 in the first three months of this year, figures show.

In its Q1 results announced today, the London hub reported an increase in retail revenue of +10.6% to reach £136 million, due largely to significant refurbishments at Terminal 5 that have piqued duty and tax free sales.

The ensuring investment in Terminal 5’s retail outlets and new car parking capacity have contributed to a £270 million incremental commercial revenue target set for the regulatory period.

The airport posted an overall revenue of £642 million in the first three months of this year.

EBITDA rose by 7.3% to reach £367 million, which the operator attributed to lower costs and better value.

Operating profit hit £183 million, with loss after tax of £36 million.

Source: frontiermagazine.co.uk
Source: frontiermagazine.co.uk

Passenger numbers grew by 2.6% to reach 16.8 million.

John Holland-Kaye, CEO Heathrow commented :

“It’s been a fantastic start to 2016 and Heathrow is performing strongly on all fronts. Our colleagues are delivering excellent value for our passengers – better service at a lower cost.”

The airport’s business plan 2015-2018 priotises customer service, operational resilience and delivers a programme of cost efficiencies and revenue growth, with over £450 million of cost efficiencies saved out of a target £600 million.

Source: frontiermagazine.co.uk