Fraport Q3 2024 $FRA (+5,53%)
Financial performance
The Fraport Group recorded impressive revenue growth of 12.2% last year, generating total revenue of €4.992.1 million. However, net debt increased by €333.8 million to €8,046.4 million. The operating result (EBIT) increased to €664.9 million, compared to €601.0 million in the previous year. Interest income increased to €105.1 million, while interest expenses rose to €267.4 million.
Cash flow overview
Cash flow from operating activities increased by 22.5% to €896.3 million. At € -318.1 million, free cash flow remained at the previous year's level.
Key figures and profitability ratios
Earnings per share (EPS) improved to €4.11, compared to €3.42 in the previous year. The equity ratio rose slightly from 22.9% to 23.6%.
Segment information
- In the segment Aviation segment, revenue increased by €108.6 million to €929.9 million.
- The segment Retail & Real Estate segment recorded sales growth of €26.2 million and generated a total of €391.9 million.
- In the segment Ground Handling segment, revenue grew by €57.0 million to €559.1 million.
Competitive position
Fraport benefited from the positive passenger development at the Frankfurt site, which recorded growth to 46.7 million passengers (+4.9 %). International sites such as Lima (+17.2 %) and Fraport Greece (+5.9 %) also contributed to growth.
Forecasts and management comments
The Executive Board confirms the annual forecasts for 2024 and expects an improvement in EBITDA and EBIT compared to 2023.
Risks and opportunities
A temporary closure of Porto Alegre Airport due to flooding poses a challenge, with operations expected to be fully restored by December 2024. In addition, Fraport has awarded a new license to Swissport International for ground services in Frankfurt.
Executive summary
The Fraport Group showed a solid financial performance with strong revenue and EBITDA growth. The balance sheet reflects both an increase in assets and equity, but also an increase in net debt. The positive passenger development at key international locations remains a key growth factor, despite challenges such as the temporary closure of Porto Alegre Airport.
Positive aspects
- Sales growth of 12.2% compared to the previous year
- 9.5% increase in Group EBITDA
- Positive passenger development at central locations
- Improved earnings per share
- Successful follow-up financing for the expansion of Antalya Airport
Negative aspects
- Increase in net debt
- Negative free cash flow
- Temporary closure of Porto Alegre Airport affects operations
- Higher operating costs due to increased concession fees
- The Ground Handling segment remains in the negative EBITDA range
