Hawke’s Bay Airport Profit Result

Hawke’s Bay Airport is strongly positioned for an exciting year ahead on the back of a solid financial performance and $1.3 million profit result, the Airport Company announced today.

Airport Company chairman Tony Porter said the 2014-15 financial year focused on planning for the future and setting a strong platform for growth and expansion.

“We are entering an exciting time in the Airport’s history where we look forward to embracing a new name as Ahuriri Airport Hawke’s Bay, along with investing in the redevelopment of our terminal to cater for more passengers and three airlines,” he said.

During the year, the Airport Company had focused on completing the groundwork to move ahead with improving passenger service and capturing both airside and non-airside business opportunities, Mr Porter said.

Passenger numbers increased 4.3 per cent on last year to 476,000 and are projected to increase by at least 15 per cent in the next 5 years.

Work on the proposed terminal expansion to service increased passenger demand and deliver a greater experience as the gateway to Hawke’s Bay will begin early next year. The project includes a new rescue fire station.

Mr Porter said building a new rental car wash and valet facility, which includes a new vehicle storage area is well underway in a former hangar building, which was surplus to requirements.

The Airport Business Park is another significant project and there will be a more focused and pro-active approach for promoting and attracting businesses to be based alongside the airport.

Mr Porter expected continued public interest in the board’s decision to support the proposed name change to Ahuriri Airport Hawke’s Bay, following extended stakeholder consultation.

“We are looking forward to this significant milestone in the Airport’s history and see the opening of the new terminal as an excellent time to launch our new name,” he said.

Implementing the name change as part of the terminal development would also minimise any associated legal and branding costs, which would be absorbed within normal operating budgets, he said.

Reporting on the Company’s financial performance – the Airport’s revenue of $4.37 million increased 9.1 per cent on the previous $4-million.

Operating expenses of $1.6 million were 12.3 per cent below the previous year reflecting reduced maintenance, salaries and allowances, and consultancy fees.

Bank debt decreased by $611,160 during the year due to a partial repayment on borrowings.

Airport assets were revalued during the year and increased in value to $33.8 million (including an $11.9 million revaluation).

The Airport company would recommend a shareholder dividend next month. It paid $360,000 in December 2014.