Fast growth of the Lithuanian Airports Company having been forecasted in 2018 has actually took place – this is confirmed by audited financial results of the company. The company’s net profit last year amounted to EUR 8.4 million – three times more than in 2017. The successfully operating company will pay out to the state budget a handsome amount of dividends for the second year in a row, this year - EUR 8.5 million.
According to the Chairman of the Board of Lithuanian Airports Tomas Krakauskas, financial indicators of the preceding year enabled the company to be ranked among the most successfully managed state owned companies, whereas strategic decisions adopted by the team as well as focused work brought excellent operating results for the three airports of the country. This enabled to earn a record-breaking in the company’s history profit totalling EUR 8.4 million.
“A particularly important indicator – ROE – equalled to 6.9 per cent last year and this confirmed that the direction in which we are proceeding is the right one. This is one of the best achievements among state-owned companies. Stable and effective activity for already second year in a row allows paying out to the state budget a record amount of dividends. This year this will be a sum of EUR 8.5 million that is double as compared to the last year,” commented Mr. Krakauskas.
According to the CEO of Lithuanian Airports Marius Gelžinis, the company’s total revenue on 2018 amounted to nearly 44 million and was bigger by 32.9 per cent or EUR 10 million than in 2017. The company’s biggest financial flow consisted of the revenue from the core aviation activity. It reached EUR 29.4 million, i.e. more by EUR 7.5 million than in 2017.
“We succeeded in achieving a breakthrough also in generating non-aviation revenue. Last year it increased by one third and totalled EUR 14.5 million. This was the result of not only an increase in the number of airport travellers in our country that was consistently growing in our country’s airports, but also ongoing reconstruction of the Vilnius Airport started from the renovation of the commercial zone. We are pleased that this renewal of the capital’s air gates which was given special attention by our team has already been felt and acknowledged by our passengers,” noted Mr. Gelžinis.
Non-aviation revenue of the Lithuanian Airports was also supplemented by activities such as advertising sales, parking rental, business club and other services.
Besides, cargo shipment services have been successfully developed at the company. In all the three airports, 16 thousand tons of cargoes were handled, and this figure, as compared with 2017, rose by one fifth.
According to audited data, the company’s EBITDA profit, i.e. earnings before interest, taxes, depreciation and amortisation last year reached EUR 17.7 million – more by EUR 8.8 million than last year.
In addition, passenger (6.3 million) and flight (61 thousand) flows were marked by records during the last year which, as compared with 2017, increased by 19 per cent and 11 per cent, accordingly. Services provided to Lithuanian, foreign and business customers were improved and expanded. Last year, the company offered to passengers 15 new destinations and direct flights to 29 countries of the world. Passengers of the Lithuanian Airports could travel to 99 destinations, in total.
“The team’s input enabled to start also this year by launching destinations strategically important for the state. Corporate passengers will shortly be able to reach comfortably London’s financial centre by flying to London City Airport directly from Vilnius. Besides, during negotiations with business travellers an agreement on the new destination to Dortmund city from Palanga was reached,” noted Mr. Gelžinis, and added that it was of special importance that due to these destinations which are of significance to economic and social development of the state, negotiations were held with joint participation of Lithuanian Airports, municipalities and other stakeholders.
About Lithuanian Airports
The Lithuanian network of airports includes three airports in Vilnius, Kaunas and Palanga. During 2018, they served 6.3 million passengers and 61 thousand flights. During the winter season, 14 airline companies organize flights in 86 directions to 67 cities in 27 countries. Based on data of the Airports Council International (ACI Europe), Lithuanian airports contribute to the Lithuania’s GDP by 2.5 percent.