Sydney Airport’s half-year profit plunges after taking $182m tax hit

Sydney Airport has suffered a huge drop in profit for the first six months of the 2019 calendar year, compared to the $173.2 million profit it posted in the prior corresponding period.

The profit slide was due to a $181.7 million tax bill over the 2011 sale of Copenhagen Airport, while the matter remains unresolved in the Danish High Court.

Sydney Airport’s half-yearly revenue rose 3.4 per cent to $797.1 million, with its aeronautical division enjoying 4.7 per cent growth, its retail division experiencing 4.0 per cent growth and its property and car rental division posting 1.8 per cent growth.

The company’s parking and ground transport business was the only division to see a fall in revenue – down 1.4 per cent compared to the first half of 2018.

Sydney Airport’s earnings before interest, taxes, depreciation and amortisation increased by 4.1 per cent to $649.2 million.

The number of passengers at Sydney Airport dropped slightly in the first half of 2019 – down 0.2 per cent to 21.6 million – due to a 1.5 per cent decline in domestic passengers, while the number of international passengers grew 1.9 per cent.

Sydney Airport CEO Geoff Culbert blamed the decline in domestic passengers on capacity reductions and subdued demand, and attributed the rise in international passengers to strong flows from the US, India, Vietnam and Japan.

Culbert also noted the strong performance of the airport’s duty-free and speciality stores, with a lift in advertising revenues reflecting its investment in new digital advertising.

“Sydney Airport is a business that continues to perform well across the cycle, and this half was no exception,” he said.

“We see ongoing opportunities for growth in our aeronautical and non-aeronautical businesses. and our investment program will continue to deliver capacity and great experiences for our customers.”

Shares in Sydney Airport opened 1.9 per cent lower to trade at $8.21 on Thursday.

Email the Travel Weekly team at traveldesk@travelweekly.com.au

sydney airport

Latest News

  • Destinations
  • News

APT Launches 2025 Asia Adventures

APT has launched its Asia Adventures for 2025, including new luxury holidays in India, Sri Lanka and Japan. Five new tours lead guests to the highlights of India, including a seven-night cruise along the rarely travelled Lower Ganges aboard the Ganges Voyager. Further south, Sri Lanka’s greatest destinations are revealed on a new 15-day Land […]

  • Cruise
  • Luxury
  • News

Seabourn announces Western Kimberley Traditional Owners as Godparents of Seabourn Pursuit

Seabourn has named Western Kimberley Traditional Owners, the Wunambal Gaambera, as Godparents of the ultra-luxury purpose-built Seabourn Pursuit. It is the first cruise line to appoint Traditional Owners as godparents of a ship. Seabourn Pursuit embarks on its inaugural season in the Kimberley region this June. The naming ceremony will take place on Seabourn Pursuit’s […]

  • Luxury

Malolo Island Resort opens brand new Spa

Fiji’s Malolo Island has added another string to its bow – opening its $1.3 million day spa on Thursday, 18th April 2024. (Lead Image: matriarch Rosie Whitton with spa staff) Located at the edge of the resort’s luscious patch of tropical rainforest, the new “Leilani’s Spa” adds another level of elevated experiences to Malolo’s already […]