Quarterly Report • Nov 19, 2009
Quarterly Report
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r d quarter 2009
| C hange |
||||
|---|---|---|---|---|
| 1–9/2009 | in % | 1–9/2008 | ||
| Total revenue | 374.4 | -10.4 | 418.0 | |
| EBITDA | 132.6 | -19.2 | 164.2 | |
| EBIT | 82.8 | -26.6 | 112.8 | |
| EBITDA margin in %1 ) | 35.4 | n.a. | 39.3 | |
| EBIT margin in %2) | 22.1 | n.a. | 27.0 | |
| Net profit for the period after minority interests | 60.8 | -28.3 | 84.7 | |
| Cash flow from operating activities | 108.2 | -5.7 | 114.8 | |
| Equity | 783.1 | +2.6 | 763.5 | |
| Capital expenditure3) | 112.2 | -37.3 | 178.8 | |
| Employees4) | 4,188 | -1.8 | 4,266 |
| C | hange | ||
|---|---|---|---|
| 1–9/2009 | in % | 1–9/2008 | |
| MTOW in tonnes5) | 5,445,848 | -8.6 | 5,960,604 |
| Passengers | 13,732,465 | -10.3 | 15,307,955 |
| Thereof transfer passengers | 4,154,666 | -10.0 | 4,616,752 |
| Flight movements | 183,783 | -9.8 | 203,656 |
| Cargo (air cargo and trucking) in tonnes | 176,243 | -12.5 | 201,334 |
| Seat occupancy %6) | 68.8 | n.a. | 68.8 |
Definitions:
1) EBITDA margin (earnings before interest, taxes, depreciation and amortisation) = EBIT + depreciation and amortisation / revenue
2) EBIT margin (earnings before interest and taxes) = EBIT / revenue
3) Intangible assets and property, plant and equipment
4) Weighted average number of employees for the period, including apprentices and employees on official non-paying leave (maternity, military etc.)
and excluding the Management Board and managing directors 5) MTOW: maximum take-off weight for aircraft
6) Seat occupancy: Number of passengers / available number of seats
| Traffic results for 2009 | 19 January 2010 |
|---|---|
| Annual results for 2009 | 25 March 2010 |
| 21st annual general meeting | 29 April 2010 |
| First quarter results 2010 | 21 May 2010 |
| Interim financial report 2010 | 26 August 2010 |
| Third quarter results 2010 | 25 November 2010 |
Ticker Symbols
Vienna, Frankfurt (Xetra), London
(SEAQ International), New York (ADR)
| Share price on 31.12.2008 in € | 31.75 |
|---|---|
| Share price on 30.9.2009 in € | 35.50 |
| Market cap as of 30.9.2009 in € mill. | 745.50 |
| Index weighting (ATX) as of 30.9.2009 in % | 1.50 |
| Reuters | VIEV.VI |
|---|---|
| Bloomberg | FLUG AV |
| Datastream | O:FLU |
| ISIN | AT0000911805 |
| ÖKB-WKN | 091180 |
| ÖTOB | FLU |
| ADR | VIAAY |
During the third quarter of 2009 we were again faced with numerous challenges, which originated in the economic environment as well as in the aviation sector. In comparison with growth of over 9% in the number of passengers during first three quarters of the previous year, Vienna International Airport registered a decline of 10.3% for the reporting period – and a slight decrease in relation to the -12.7% reported for the first six months of this year. A total of 13,732,465 passengers were handled during the first three quarters of 2009. A comparison with the first three quarters of the previous year shows a decrease of 8.6% in maximum take-off weight to 5,445,848 tonnes, while flight movements were 9.8% lower. Cargo, including trucking, fell by 12.5% to 176,243 tonnes.
The airport tariffs were adjusted as of 1 January 2009 based on the index formula: the landing, parking and airside infrastructure tariffs were increased by 0.72% and the passenger and landside infrastructure tariffs by 0.38%. The agreement covering the tariff formula is scheduled to expire at the end of 2009, and we expect the tariff formula will be extended in agreement with all partners.
Revenue recorded by the Flughafen Wien Group totalled € 374.4 million for the first nine months of 2009, whereby this 10.4% decline reflects the development of traffic. Our cost reduction measures reduced personnel expenses and other operating expenses by 2.9% and 2.2%, respectively. EBITDA amounted to € 132.6 million (-19.2%) and EBIT equalled € 82.8 million (-26.6%). The decline in operating expenses was less than the decrease in revenue for the first three quarters, which reduced the EBITDA margin to 35.4% (1–9/2008: 39.3%) and the EBIT margin to 22.1% (1–9/2008: 27.0%). Financial results were 4.3% lower at minus € 3.7 million. After the deduction of € 18.3 million in income tax expense, net profit for the period totalled € 60.8 million (1–9/2008: € 84.7 million).
Construction on the terminal expansion VIE-Skylink was interrupted on 30 June 2009 and Flughafen Wien AG has cancelled all ongoing contracts with the construction companies and trade firms, among others, because of excessive charges for construction overheads in connection with the construction delays. Contract negotiations between Flughafen Wien AG and the relevant firms as well as the tenders for the continuation of construction on the terminal expansion VIE-Skylink have produced positive results, but have not yet reached a stage that would permit a reliable estimate for the total project.
10.3% decline in passengers to 13.7 million for the first nine months.
Negative traffic development responsible for 10.4% drop in revenue to € 374.4 million.
Construction interrupted to reduce costs below latest estimates.
In spite of the above-mentioned interruption in work, construction on the project should be completed by July 2011. The goal of this temporary halt is to cut costs and reduce actual expenditures below the currently forecasted volume of € 830 million. The project is now under review by internal and external auditors, and the Austrian Federal Audit Office issued orders on 23 October 2009 for the start of an investigation on 27 October 2009. An amendment to the Austrian constitution that took effect on 20 October 2009 gives the Austrian Federal Audit Office the legal jurisdiction to conduct an audit and, for this reason, the special corporate law audit on the VIE-Skylink project that was approved by the extraordinary general meeting on 20 August 2009 will not take place. Moreover, the public prosecutor and Austrian Financial Market Authority have launched investigations that are still in progress.
We are convinced that we have met all legal obligations to the benefit of the company and have complied with all regulations defined in the Austrian Corporate Governance Code.
The takeover of our major customer, Austrian Airlines, by Lufthansa was finalised during the reporting period.
In spite of developments during the first nine months and the still difficult economic environment, traffic forecasts for 2009 remain unchanged. Flughafen Wien AG expects a decline of 9% in the number of passengers, 8% in maximum take-off weight (MTOW) and 8% in flight movements. The number of passengers handled at Vienna International Airport is forecasted to reach roughly 18 million by the end of 2009.
In conclusion, we would like to thank our shareholders and customers for their support. Our special thanks also go out to the many men and women who work for the Flughafen Wien Group, whose commitment has also made our success possible in these challenging times.
Ernest Gabmann Herbert Kaufmann Gerhard Schmid Member of the Board Member of the Board Member of the Board and Speaker
Vienna International Airport handled a total of 13,732,465 passengers during the period from January to September 2009, which represents a year-on-year decline of 10.3%. Traffic to Eastern Europe and Western Europe fell by 17.0% and 8.4%, respectively. Travel to the Middle East was least affected by the economic crisis, and increased 5.4% during the reporting period. The share of passengers handled by the Austrian Airlines Group continued to decline and totalled 49.4% for the first nine months (1–9/2008: 49.8%). The low-cost carriers handled 23.4% of the passengers at Vienna International Airport (1–9/2008: 23.2%), for a decline of 9.4%.
Maximum take-off weight (MTOW) totalled 5,445,848 tonnes, which is 8.6% lower than in the comparable prior year period. Cargo volume (air cargo and trucking) fell by 12.5% 176,243 tonnes, and flight movements declined 9.8% to 183,783. Seat occupancy remained unchanged in comparison with the prior year at 68.8%.
Revenue fell by 10.4% to € 374.4 million for the first nine months of 2009 (1–9/2008: € 418.0 million). Flughafen Wien AG restructured its reporting segments at the beginning of this year in connection with the application of IFRS 8. Revenue recorded by the Airport Segment declined 12.6% year-on-year as a result of the downturn in traffic and a decrease of € 6.5 million – thereof € 3.0 million of non-recurring effects – in income from the reimbursement of costs for security services. The Handling Segment reported a revenue decline of 10.2% and the Retail & Properties Segment a minus of 6.6%. The average market share of the Handling Segment rose by 0.5 percentage points over the comparable prior year period to 90.1%. Revenue registered by the "Other Segments" matched the first nine months of 2008.
Other operating income rose by € 3.0 million to € 10.6 million. This growth was supported above all by an increase of € 1.3 million in own services capitalised as well as higher income of € 0.6 million from the reversal of valuation adjustments to receivables.
Traffic: passengers -10.3%, Eastern Europe -17.0%, Western Europe -8.4%, Middle East + 5.4%.
The cost of consumables and services was reduced by € 2.7 million to € 27.0 million.
Personnel expenses reduced by € 4.8 million and other operating expenses by 2.2% through cost savings programme.
Cost reduction measures implemented since the end of 2008 led to a decrease in the workforce compared with the level at year-end 2008. The Flughafen Wien Group had 3,951 employees as of 30 September 2009, or 190 less than on 31 December 2008. This reduction was responsible for a decrease of € 4.8 million in personnel expenses to € 160.2 million, despite wage and salary increases as well as one-off payments required by collective bargaining agreements.
Other operating expenses were also reduced by the cost control programme, and declined 2.2% year-on-year to € 65.2 million for the reporting period. Savings were realised above all in the areas of marketing, maintenance, insurance and rentals as well as travel and training. These reductions are contrasted by additions of € 5.1 million in valuation adjustments to receivables (1–9/2008: € 3.8 million) – including lump-sum valuation adjustments of € 0.8 million – as well as the recognition of € 3.3 million in planning expenses. Earnings before interest, taxes, depreciation and amortisation (EBITDA) fell by 19.2% to € 132.6 million. Depreciation and amortisation were 3.0% lower at € 49.8 million. The EBITDA margin declined 3.9 percentage points to 35.4%. Earnings before interest and taxes (EBIT) equalled € 82.8 million (1–9/2008: € 112.8 million), and led to a decline of 4.9 percentage points in the EBIT margin to 22.1%.
Net financing costs improved by € 0.2 million to minus € 7.2 million. The main factors in this development were lower interest income of € 2.2 million (1–9/2008: € 2.4 million) combined with a reduction in interest expense to € 9.4 million (1–9/2008: € 9.9 million) following the capitalisation of € 11.6 million (1–9/2008: € 7.2 million) in borrowing costs during construction in accordance with IAS 23. Financial results totalled minus € 3.7 million (1–9/2008: minus € 3.5 million). Profit before taxes (EBT) amounted to € 79.1 million, compared with € 109.3 million in the first nine months of 2008, and resulted in tax expense of € 18.3 million. Net profit of € 60.8 million for the period includes minus € 9,488.52 attributable to minority interest. Profit attributable to the shareholders of the parent company equalled € 60.8 million (1–9/2008: € 84.7 million). Based on an unchanged number of shares outstanding, earnings per share equalled € 2.89 for the reporting period (1–9/2008: € 4.03).
Earnings before interest, taxes, depreciation and amortisation (EBITDA) equalled € 52.5 million for the third quarter (1–9/2008: € 59.8 million). The decline in traffic was responsible for the decrease of 10.7% in revenues to € 129.8 million (1–9/2008: € 145.3 million). Cost control measures led to a reduction of 6.6% or € 3.7 million in personnel expenses to € 52.6 million and a decrease of 9.2% in other operating expenses to € 20.9 million. Earnings before interest and taxes (EBIT) fell by 16.0% to € 36.1 million in the third quarter. As a result of the € 1.5 million decline in net financing costs, financial results totalled minus € 1.3 million. Profit before taxes (EBT) amounted to € 34.8 million (1–9/2008: € 42.6 million). Tax expense was lower than the comparable prior year period and resulted in net profit of € 26.6 million for the third quarter. The share of this net profit attributable to minority interest equalled minus € 3,177.47. Profit attributable to the shareholders of the parent company fell by 22.3% to € 26.6 million. Basic earnings per share for the third quarter of 2009 equalled € 1.26 (1–9/2008: € 1.63) and also represents diluted earnings per share.
Non-current assets rose by 4.1% over the level at 31 December 2008 to equal € 1,628.5 million as of 30 September 2009. This growth resulted above all from an increase in property, plant and equipment and investment property. Investments in intangible assets, property, plant and equipment and investment property totalled € 112.2 million. This reflects a substantial decline in relation to the comparable prior year period (€ 178.8 million), but is still higher than depreciation of € 49.8 million. Current assets declined 15.8% from the balance sheet date on 31 December 2008 to € 144.0 million. This decrease resulted chiefly from the sale or redemption of securities with a carrying value of € 32.2 million as of 31 December 2008 as well as an increase of € 4.5 million in receivables and other assets, the recognition under equity of € 0.9 million in fair value changes to securities as of 30 September 2009 and a decrease of € 0.3 million in cash and cash equivalents.
Revenue declines due to lower traffic; EBIT equals € 36.1 million for the third quarter.
Equity rose by 0.9% from the balance sheet date on 31 December 2008 to € 783.1 million as of 30 September 2009. This increase includes the payment of a € 54.6 million dividend for the 2008 financial year as well as net profit of € 60.8 million for the first nine months of 2009. Minority interest as of 30 September 2009 represents the stake held by RZB Holding GmbH in the Slovakian subsidiary BTS Holding a.s., Bratislava. The equity ratio equalled 44.2% as of 30 September 2009, compared with 44.7% at 31 December 2008.
Non-current liabilities rose by 17.2% to € 734.2 million, above all due to the issue of a € 103.5 million promissory note and the recognition of deferred tax liabilities of € 5.0 million. Current liabilities declined 23.2% to € 255.3 million, in particular following a decrease in current financial liabilities to € 62.4 million (31.12.2008: € 120.1 million) and an increase in trade payables to € 89.4 million (31.12.2008: € 61.6 million). Other current provisions were reduced from € 107.9 million to € 57.9 million, and consist chiefly of provisions for goods and services not yet invoiced during the reporting period.
Profit before taxes (EBT) fell by 27.6% year-on-year to € 79.1 million. Increases of € 5.4 million and € 27.1 million in receivables and liabilities, respectively, were contrasted by a reduction of € 27.1 million in provisions. A decline in depreciation and amortisation as well as payments for income taxes led to a decrease of € 6.6 million in cash flow from operating activities to € 108.2 million.
Net cash flow from investing activities declined 40.8% to minus € 99.8 million. Payments of € 132.0 million (1–9/2008: € 178.8 million) for the purchase of non-current assets were contrasted by cash inflows of € 32.2 million (1–9/2008: € 70.0 million) for other securities, whereby the comparable prior year period also included payments of € 60.0 million for the purchase of current securities.
The dividend payment of € 54.6 million (1–9/2008: € 52.5 million) was contrasted by an increase of € 45.7 million in financial liabilities. Including a € 0.3 million change in liabilities due to minority shareholders, net cash
flow from financing activities amounted to minus € 8.6 million for the first nine months (1–9/2008: € 30.0 million). The above factors led to a decrease of € 0.3 million in cash and cash equivalents, which totalled € 6.3 million at the end of the reporting period.
The major investment during the first six months of 2009 was the terminal expansion VIE-Skylink at a cost of € 56.8 million.
Other projects focused on the ramp in front of the airport building at € 12.5 million, the new fire department headquarters and checkpoints at € 6.3 million, baggage sorting equipment at € 5.3 million, the guidance system at € 3.1 million, technical noise protection at € 1.9 million and a forwarding agent building at € 1.1 million.
The major risks and uncertainties associated with the last three months of the 2009 financial year are connected with the development of the economy and the aviation industry.
On 1 September 2009 bankruptcy proceedings were opened over SkyEurope, one of the customers of the Flughafen Wien Group. Sufficient accounting provisions have already been created to reflect the possible impairment of receivables. At the present time it is still not known when and to what extent other airlines will take over the SkyEurope routes.
Other risks are related to the expansion of airport capacity in connection with VIE-Skylink, in particular through a possible obligation to carry out new tenders in accordance with the Austrian Public Tender Act, through difficulties in the provision of guarantees by construction companies and trade firms and through possible claims for damages. However, these risks should be outweighed by a reduction in construction costs. Flughafen Wien AG is currently using legal services to evaluate and pursue claims for damages in connection with the terminal expansion, and expects that court and/or arbitration proceedings will also be required to resolve these issues. Internal and external experts are also evaluating whether these claims for damages necessarily lead to any conclusions concerning the capitalisation of production costs or the recognition of
At € 56.8 million VIE-Skylink represents largest investment.
impairment charges. At the present time it cannot be excluded that the results of these evaluations will have a negative effect on results for the 2009 financial year.
The valuation of all assets was based on the premise that Vienna International Airport will continue its function as an east-west hub with a focus on traffic to the east.
The effects of the H1N1 influenza virus on air travel cannot be estimated at the present time.
Preliminary traffic results for October show a continuing decline in all traffic segments, but this decline was lower than in the preceding months. In comparison with October of the previous year, the number of passengers fell by 2.9%. Flight movements and maximum take-off weight (MTOW) decreased 8.2% and 5.8%, respectively. The number of passengers travelling to Eastern Europe (scheduled and charter flights) was 12.3% lower in October 2009, while the other European destinations remain stable with an increase of 0.2%. Traffic to the Middle East rose by 12.8% during the reporting period. For 2009 Flughafen Wien AG is forecasting a decline of 9% in the number of passengers, 8% in maximum take-off weight (MTOW) and 8% in flight movements. The number of passengers handled at Vienna International Airport is expected to reach roughly 18 million by the end of 2009.
The handling contracts with the Austrian Airlines Group were renewed during the first half of 2009 and now extend to 2012. A new amendment to the Austrian Aviation Security Act took effect on 1 July 2009. The original agreement is still valid, and includes provisions that regulate the invoicing of security services with the Austrian Federal Ministry of the Interior. However, negotiations are currently in progress that will lead to a change in the invoicing of these services.
Flughafen Wien AG has filed an application with the responsible authorities in the provincial government of the province of Lower Austria for the approval of the project "parallel runway 11R/29L (third runway)" in accordance with the Austrian environmental impact assessment act. A decision on the start of construction will be made after the final ruling is received.
Traffic decline slows during October: passengers -2.9%, flight movements -8.2%, MTOW
-5.8%.
Handling contracts with the Austrian Airlines Group extended to 2012.
The ex-post environmental impact report for Vienna International Airport was filed with the Austrian Ministry for Transportation, Industry and Technology on 3 April 2009. The first revision to this ex-post report, which was required to incorporate improvements required by the authorities, was submitted on schedule. The ex-post environmental impact report is available for public review until 3 December 2009. The authorities and their experts will then evaluate the submitted statements and prepare a final report, which we expect to receive during the first quarter of 2010.
Plans for 2009 now call for total investments of € 154.7 million (excluding land).
Schwechat, 30 October 2009
Ernest Gabmann Herbert Kaufmann Gerhard Schmid Member of the Board Member of the Board Member of the Board
and Speaker
In accordance with the mandatory application of IFRS 8 to financial years beginning on or after 1 January 2009, the Flughafen Wien Group adjusted its segment reporting to meet the requirements of this standard. Information on the resulting changes is provided in the selected notes.
| Change | |||
|---|---|---|---|
| Airport | 1–9/2009 | 1–9/2008 | in % |
| External segment revenue | 167,943.1 | 192,102.0 | -12.6 |
| Segment EBIT | 63,164.4 | 83,399.5 | -24.3 |
| Handling | |||
| External segment revenue | 128,237.5 | 142,814.3 | -10.2 |
| Segment EBIT | 11,360.3 | 15,185.7 | -25.2 |
| Retail & Properties | |||
| External segment revenue | 66,010.9 | 70,666.8 | -6.6 |
| Segment EBIT | 32,395.3 | 37,474.5 | -13.6 |
| Other Segments | |||
| External segment revenue | 11,873.2 | 11,855.2 | 0.2 |
| Segment EBIT | -3,010.1 | -2,231.5 | 34.9 |
In comparison with segment reporting pursuant to IAS 14, the presentation of the Airport Segment remains unchanged under IFRS 8. External revenues generated by this segment fell by 12.6% to € 167.9 million. This development reflected the downturn in traffic (passengers: -10.3%, flight movements: -9.8%, maximum take-off weight: -8.6%) as well as lower income from the reimbursement of costs for security services. During the first nine months of 2009 income from security services was € 6.5 million less than in the comparable prior year period. This decline is comprised of two components: € 3.0 million of non-recurring costs from the final invoice for 2008 as an adjustment for overestimates (effects of project postponements) and € 3.5 million from the later-than-planned start of operations in the VIE-Skylink.
The airport tariffs were adjusted as of 1 January 2009 based on the index formula: the landing, parking and airside infrastructure tariffs were increased by 0.72% and the passenger and landside infrastructure tariffs by 0.38%. The agreement covering the tariff formula is scheduled to expire at the end of 2009, but we expect an extension in agreement with all partners.
10 Segment Reporting
The share of the Austrian Airlines Group in the total number of passengers continued to decline during the first three quarters of 2009, falling from 49.8% to 49.4%. In contrast, the share of passengers handled by the lowcost carriers rose by 0.2 percentage points to 23.4% – these airlines were responsible for 21.3% of the decline in passenger volume.
Lower expenditures for marketing and a decrease in depreciation and amortisation supported a 6.6% reduction in external operating expenses to € 75.5 million. Segment EBITDA equalled € 89.0 million for the reporting period (1–9/2008: € 111.4 million) and segment EBIT amounted to € 63.2 million (1–9/2008: € 83.4 million).
The Handling Segment now includes VIE-Handling and its subsidiary Vienna Aircraft Handling GmbH as well as the security control services that are provided by the subsidiary Vienna International Airport Security Services Ges.m.b.H. This segment generated external revenue of € 128.2 million for the reporting period (1–9/2008: € 142.8 million), which represents a decrease of 10.2%.
Revenue from security controls (VIAS) totalled € 22.0 million, or 15.8% less than in the comparable prior year period. Personnel expenses and other operating expenses were reduced by € 1.3 million and € 0.1 million, respectively.
The general aviation sector (VAH) reported a 25.8% decline in revenues to € 5.7 million. The costs of consumables and services were reduced by € 1.8 million, and personnel expenses declined 3.8%.
Revenue recorded by VIE-Handling from apron services fell by 4.6% during the first half-year. This decrease was less than the decline in traffic, and was moderated by higher revenue from special services during the first quarter of 2009. The 16.5% decline in revenue from external cargo handling resulted in part from the market entry of Swissport as a cargo handling agent on 1 April 2008 and from the general effects of the economic crisis. The average market share of VIE-Handling in aircraft handling rose by 0.5 percentage points year-on-year to 90.1% for the reporting period. VIE-Handling was able to cut personnel expenses by € 6.1 million by reducing overtime and time off in connection with flexible working hours and through staff turnover. Depreciation and amortisation as well as other expenses also declined during the reporting period.
The Handling Segment was able to cut external operating expenses by € 10.4 million or 8.3% to € 115.0 million during the reporting period. This development was supported by a further reduction of € 7.5 million in personnel costs and a 22.2% decline in expenditures for consumables.
Segment EBITDA fell to € 16.7 million (1–9/2008: € 21.2 million) and EBIT to € 11.4 million for the first nine months of 2009 (1–9/2008: € 15.2 million).
The Retail & Properties Segment comprises shopping, gastronomy and parking activities as well as the development and marketing of properties. The provision of security services is now allocated to the Handling Segment, while the remaining areas of business are classified under "Other Segments". The Retail & Properties Segment recorded external revenue of € 66.0 million for the first nine months of 2009. This reflects a decline of 6.6%, which resulted chiefly from a 7.6% drop in parking revenues to € 23.0 million. Revenues from other rentals fell by 0.9% to € 24.7 million, and revenues from shopping and gastronomy were 7.2% lower at € 18.2 million.
The 8.9% decrease in other operating expenses to € 12.0 million was contrasted by a € 1.5 million increase in depreciation and amortisation as well as a € 0.9 million rise in personnel costs. Segment EBITDA amounted to € 43.0 million (1–9/2008: € 46.6 million) and EBIT € 32.4 million (1–9/2008: € 37.5 million) for the reporting period.
The newly defined reporting segment "Other Segments" provides a wide range of external and internal services. It also comprises the Group companies that directly or indirectly hold shares in associates or joint ventures in foreign countries and have no other operating activities. During the reporting period this segment generated external revenues of € 11.9 million (1–9/2008: € 11.9 million) and internal revenues of € 50.8 million (1–9/2008: € 49.3 million).
The recognition of € 3.3 million in planning costs to the income statement was responsible for an increase of 5.5% in external operating costs to € 62.8 million. A reduction of 3.2% in the cost of consumables and services to € 16.0 million was contrasted by a 5.5% increase in personnel expenses. Internal operating costs were € 0.2 million lower. This segment reported EBITDA of € 4.7 million (1–9/2008: € 5.7 million) and EBIT of minus € 3.0 million (1–9/2008: minus € 2.2 million) for the first three quarters of 2009.
| Consolidated Income | Change | ||||
|---|---|---|---|---|---|
| Statement in T€ | 1–9/2009 | 1–9/2008 | in % | 7–9/2009 | 7–9/2008 |
| Revenue | 374,353.6 | 417,966.2 | -10.4 | 129,768.3 | 145,300.1 |
| Other operating income | 10,637.1 | 7,605.4 | 39.9 | 4,256.6 | 2,608.4 |
| Operating income | 384,990.7 | 425,571.5 | -9.5 | 134,024.9 | 147,908.5 |
| Consumables and services used | -26,991.6 | -29,681.3 | -9.1 | -8,108.5 | -8,882.1 |
| Personnel expenses | -160,183.2 | -164,982.4 | -2.9 | -52,579.1 | -56,265.9 |
| Other operating expenses | -65,212.0 | -66,711.1 | -2.2 | -20,854.1 | -22,979.5 |
| Earnings before interest, taxes, | |||||
| depreciation and amortisation (EBITDA) | 132,603.9 | 164,196.7 | -19.2 | 52,483.1 | 59,781.0 |
| Depreciation and amortisation | -49,838.3 | -51,387.5 | -3.0 | -16,413.3 | -16,860.5 |
| Earnings before interest | |||||
| and taxes (EBIT) | 82,765.6 | 112,809.2 | -26.6 | 36,069.8 | 42,920.5 |
| Income from investments, | |||||
| excl. companies at equity | 225.0 | 406.0 | -44.6 | 225.0 | 0.0 |
| Net financing costs | -7,247.7 | -7,484.9 | -3.2 | -3,821.9 | -2,290.2 |
| Other financial results | -33.8 | 133.0 | -125.4 | 0.0 | 0.0 |
| Financial results, excl. | |||||
| companies at equity | -7,056.5 | -6,945.9 | 1.6 | -3,596.9 | -2,290.2 |
| Income from companies | |||||
| at equity | 3,362.5 | 3,405.1 | -1.3 | 2,290.5 | 1,991.0 |
| Financial results | -3,694.0 | -3,540.8 | 4.3 | -1,306.4 | -299.3 |
| Profit before taxes (EBT) | 79,071.5 | 109,268.4 | -27.6 | 34,763.4 | 42,621.3 |
| Income taxes | -18,309.6 | -24,544.2 | -25.4 | -8,136.1 | -8,361.2 |
| Net profit for the period | 60,761.9 | 84,724.2 | -28.3 | 26,627.3 | 34,260.1 |
| Thereof attributable to: | |||||
| Equity holders of the parent | 60,771.4 | 84,732.3 | -28.3 | 26,630.5 | 34,260.2 |
| Minority interest | -9.5 | -8.1 | 16.7 | -3.2 | -0.1 |
| Earnings per share in € | |||||
| basic/diluted | 2.89 | 4.03 | -28.3 | 1.26 | 1.63 |
| Consolidated Statement of Recognised | Change | ||||
|---|---|---|---|---|---|
| Income and Expense in T€ | 1–9/2009 | 1–9/2008 | in % | 7–9/2009 | 7–9/2008 |
| Net profit for the period | 60,761.9 | 84,724.2 | -28.3 | 26,627.3 | 34,260.1 |
| Income and expenses recognised | |||||
| directly in equity (gross) | |||||
| Change in fair value of | |||||
| available-for-sale securities | |||||
| Recognised directly in equity | 948.6 | -6,669.8 | -114.2 | 1,873.5 | -1,006.9 |
| Deferred taxes | -237.1 | 1,667.5 | -114.2 | -468.4 | 251.7 |
| Changes arising from foreign | |||||
| currency translation | |||||
| Recognised directly in equity | 0.0 | 4,764.0 | -100.0 | 0.0 | 2,845.3 |
| Fair value measurement of put-option | |||||
| minority interest | 0.0 | -3,374.8 | -100.0 | 0.0 | -3,374.8 |
| Cash flow hedge | -212.8 | -48.7 | 337.4 | -39.4 | -54.9 |
| Deferred taxes | 53.2 | 12.2 | 337.4 | 9.9 | 13.7 |
| Total income and expense | |||||
| recognised directly in equity | 551.8 | -3,649.7 | -115.1 | 1,375.6 | -1,325.9 |
| Total recognised income | |||||
| and expense | 61,313.7 | 81,074.5 | -24.4 | 28,002.9 | 32,934.2 |
| Thereof attributable to: | |||||
| Equity holders of the parent | 61,323.2 | 81,003.4 | -24.3 | 28,006.0 | 32,934.4 |
| Minority interest | -9.5 | 71.1 | -113.3 | -3.2 | -0.1 |
| Change | |||
|---|---|---|---|
| Consolidated Balance Sheet in T€ | 30.9.2009 | 31.12.2008 | in % |
| ASSETS | |||
| Non-current assets | |||
| Intangible assets | 11,847.8 | 12,715.7 | -6.8 |
| Property, plant and equipment | 1,377,178.9 | 1,320,988.0 | 4.3 |
| Investment property | 129,088.1 | 122,690.1 | 5.2 |
| Investments accounted for using | |||
| the equity method | 107,344.0 | 104,790.1 | 2.4 |
| Other financial assets | 3,072.3 | 3,075.6 | -0.1 |
| 1,628,531.0 | 1,564,259.5 | 4.1 | |
| Current assets | |||
| Inventories | 3,546.8 | 3,535.9 | 0.3 |
| Securities | 63,180.7 | 94,418.6 | -33.1 |
| Receivables and other assets | 70,949.8 | 66,427.3 | 6.8 |
| Cash and cash equivalents | 6,333.4 | 6,642.8 | -4.7 |
| 144,010.7 | 171,024.6 | -15.8 | |
| Total Assets | 1,772,541.7 | 1,735,284.1 | 2.1 |
| EQUITY AND LIABILITIES Equity Share capital |
152,670.0 | 152,670.0 | 0.0 |
| Capital reserves | 117,657.3 | 117,657.3 | 0.0 |
| Other reserves | 6,278.6 | 5,726.8 | 9.6 |
| Retained earnings | 506,224.2 | 500,052.7 | 1.2 |
| Minority interest | 268.0 | 277.5 | -3.4 |
| 783,098.1 | 776,384.3 | 0.9 | |
| Non-current liabilities | |||
| Provisions | 92,316.2 | 89,327.3 | 3.3 |
| Financial liabilities | 591,626.7 | 488,198.2 | 21.2 |
| Other liabilities | 39,805.9 | 43,693.9 | -8.9 |
| Deferred tax liabilities | 10,422.0 | 5,467.2 | 90.6 |
| 734,170.8 | 626,686.6 | 17.2 | |
| Current liabilities | |||
| Provisions for taxation | 774.4 | 300.0 | 158.1 |
| Other provisions | 57,948.2 | 107,854.2 | -46.3 |
| Financial liabilities | 62,386.1 | 120,132.3 | -48.1 |
| Trade payables | 89,366.3 | 61,579.9 | 45.1 |
| Other liabilities | 44,797.8 | 42,346.8 | 5.8 |
| 255,272.7 | 332,213.1 | -23.2 | |
| Total Equity and Liabilities | 1,772,541.7 | 1,735,284.1 | 2.1 |
| Change | |||
|---|---|---|---|
| Consolidated Cash Flow Statement in T€ | 1–9/2009 | 1–9/2008 | in % |
| Net cash flow from operating activities | 108,162.7 | 114,754.5 | -5.7 |
| + Payments received on the disposal of non-current | |||
| assets (excl. non-current financial assets) | 19.6 | 103.7 | -81.1 |
| + Payments received on the disposal of | |||
| financial assets | 3.3 | 3.3 | 0.0 |
| - Payments made for the purchase of non-current | |||
| assets (excl. non-current financial assets) | -132,019.2 | -178,778.2 | -26.2 |
| - Payments made for the purchase of | |||
| financial assets | 0.0 | -57.6 | -100.0 |
| + Payments received for non-repayable subsidies | 0.0 | 57.0 | -100.0 |
| + Payments received for other financial | |||
| assets (securities) | 32,152.6 | 70,000.0 | -54.1 |
| - Payments made for the purchase of securities | 0.0 | -60,000.0 | -100.0 |
| Net cash flow from investing activities | -99,843.7 | -168,671.8 | -40.8 |
| - Dividend | -54,600.0 | -52,500.0 | 4.0 |
| + Change in minority interest | 289.2 | -18,788.5 | -101.5 |
| - Currency translation adjustments | |||
| to minority interest | 0.0 | -801.6 | -100.0 |
| Changes from the purchase | |||
| of minority interest (from equity) | 0.0 | -3,374.8 | -100.0 |
| + Change in financial liabilities | 45,682.3 | 105,493.8 | -56.7 |
| Net cash flow from financing activities | -8,628.4 | 30,028.9 | -128.7 |
| Change in cash and | |||
| cash equivalents | -309.4 | -23,888.4 | -98.7 |
| + Currency translation adjustments | 6,642.8 | 29,293.0 | -77.3 |
| Cash and cash equivalents at the beginning | |||
| of the period | 0.0 | 76.8 | -100.0 |
| Cash and cash equivalents at the end | |||
| of the period | 6,333.4 | 5,481.4 | 15.5 |
| Consolidated Statement | Total | |||||
|---|---|---|---|---|---|---|
| of Changes in Equity | Share | Capital | other | Retained | Minority | |
| in T€ | capital | reserves | reserves | earnings | interest | Total |
| Balance on 1.1.2008 | 152,670.0 | 117,657.3 | -2,421.7 | 466,317.4 | 711.8 | 734,934.8 |
| Currency translation | ||||||
| adjustments | 4,684.8 | 79.2 | 4,764.0 | |||
| Fair value measurement of | ||||||
| put-option minority interest | 0.0 | -3,374.8 | -3,374.8 | |||
| Fair value measurement | ||||||
| of securities | -5,002.4 | -5,002.4 | ||||
| Cash flow hedge | -36.5 | -36.5 | ||||
| Total income and expense | ||||||
| recognised directly in equity | 0.0 | 0.0 | -354.1 | -3,374.8 | 79.2 | -3,649.7 |
| Net profit for the period | 84,732.3 | -8.1 | 84,724.2 | |||
| Total recognised | ||||||
| income and expense | 0.0 | 0.0 | -354.1 | 81,357.5 | 71.1 | 81,074.5 |
| Dividend | -52,500.0 | -52,500,0 | ||||
| Balance on 30.9.2008 | 152,670.0 | 117,657.3 | -2,775.8 | 495,174.9 | 782.8 | 763,509.3 |
| Balance on 1.1.2009 | 152,670.0 | 117,657.3 | 5,726.8 | 500,052.7 | 277.5 | 776,384.3 |
| Fair value measurement | ||||||
| of securities | 711.4 | 711.4 | ||||
| Cash flow hedge | -159.6 | -159.6 | ||||
| Total income and expense | ||||||
| recognised directly in equity | 0.0 | 0.0 | 551.8 | 0.0 | 0.0 | 551.8 |
| Net profit for the period | 60,771.4 | -9.5 | 60,761.9 | |||
| Total recognised | ||||||
| income and expense | 0.0 | 0.0 | 551.8 | 60,771.4 | -9.5 | 61,313.7 |
| Dividend | -54,600.0 | -54,600.0 | ||||
| Balance on 30.9.2009 | 152,670.0 | 117,657.3 | 6,278.6 | 506,224.2 | 268.0 | 783,098.1 |
The condensed consolidated interim financial statements of Flughafen Wien AG as of 30 September 2009 were prepared in accordance with International Financial Reporting Standards (IFRS), as adopted by the European Union (EU).
In agreement with IAS 34 (Interim Financial Reporting), the condensed consolidated interim financial statements do not include all information and disclosures that are required for annual financial statements, and should be read in connection with the consolidated financial statements of Flughafen Wien AG as of 31 December 2008.
With the exception of the changes to individual standards and interpretations that are indicated below, the preparation of these interim financial statements was based on the same accounting and valuation policies as well as the same calculation methods used in preparing the annual financial statements for 2008.
Additional information on the accounting and valuation methods is provided in the consolidated financial statements as of 31 December 2008, which form the basis for these condensed consolidated interim financial statements. The use of automatic data processing equipment may lead to rounding differences in the addition of rounded amounts and percentage rates.
(applicable to financial years that begin on or after 1 January 2009)
IFRS 8 – a standard that calls for extensive disclosures – led to the redefinition of the reportable segments of the Flughafen Wien Group (see note (3)), but had no effect on the asset, financial or earnings position or cash flows of the Group.
Revision of IAS 1 "Presentation of Financial Statements" (applicable to financial years that begin on or after 1 January 2009)
The revised standard IAS 1 has led to numerous changes in terminology as well as a number of changes in the presentation of financial statements and disclosures, but had no effect on the asset, financial or earnings position or cash flows of the Group.
18 Selected Notes
The Flughafen Wien Group applied IFRS 8 for the first time as of 1 January 2009. IFRS 8 follows the management approach much more rigorously than IAS 14 and calls for segment reporting that is based solely on the internal organisation and reporting structure as well as the internal measurement indicators used by the company.
IFRS 8 identifies operating segments as components of a company: that engage in business activities from which they can earn revenues and incur expenses (also together with and from other segments); and whose operating results are regularly reviewed by the company's chief operating decision-makers to make decisions about resources to be allocated to the segment and assess its performance; and for which discrete financial information is available.
In accordance with the previously applicable provisions of IAS 14, a company was required to define two types of segments (operating segments and geographical segments) based on the "risks and rewards" approach. The system for internal reporting to management represented the starting point for the identification of these segments.
The introduction of IFRS 8 resulted in strict compliance with the management approach. The starting point is formed by the operating segments that meet the quantitative thresholds defined in IFRS 8.13 and are therefore reportable. Operating segments that exhibit similar characteristics as defined in IFRS 8.12 and are also similar to the other factors described in IFRS 8.12 are aggregated together with these reportable segments into a single operating segment. Activities that are not reportable in their own right and cannot be aggregated with other reportable segments are combined into the category "Other Segments" in agreement with IFRS 8.16:
The business segments aviation and airport services are combined into the reportable operating segment "Airport". The activities of the Aviation Segment are comprised primarily of the traditional services performed by an airport operator. These services include the operation and maintenance of all aircraft movement areas and the terminals as well as all equipment and facilities involved in passenger and baggage handling, including the VIP Center and VIP lounges. The fees for these services are generally subject to tariff regulations. The airport services unit provides wide a range of services to support airport operations, to deal with emergencies and disruptions and to ensure security. Vöslau Airport is also allocated to the Airport Segment.
The Handling Segment supplies a broad range of services for the handling of aircraft and passengers on scheduled and charter flights. It is also responsible for the handling of general aviation aircraft and passengers as well as the operation of the General Aviation Center. In addition, security controls for persons and hand luggage are provided by the Handling Segment.
The Retail & Properties Segment provides various services to support airport operations, including shopping, gastronomy and parking. Activities related to the development and marketing of real estate are also included in this segment.
This segment comprises various services that are provided to other operating segments as well as external customers, and include technical services and repairs, infrastructure maintenance, energy supply and waste disposal, telecommunications and information technology, electromechanical and building services, the construction and maintenance of infrastructure facilities, construction management and consulting.
Also allocated to this segment are the subsidiaries of Flughafen Wien AG that hold shares in associates and joint ventures in foreign countries and have no other operating activities.
| Retail & | Other | ||||
|---|---|---|---|---|---|
| 1–9/2009 in T€ | Airport | Handling | Properties | Segments | Group |
| External segment revenue | 167,943.1 | 128,237.5 | 66,010.9 | 11,873.2 | 374,064.7 |
| Internal segment revenue | 21,642.1 | 19,907.3 | 11,462.2 | 50,844.9 | |
| Segment revenue | 189,585.2 | 148,144.7 | 77,473.1 | 62,718.1 | |
| Other external revenue1) | 288.9 | ||||
| Group revenue | 374,353.6 | ||||
| Segment results | 63,164.4 | 11,360.3 | 32,395.3 | -3,010.1 | 103,909.8 |
| Other (not allocated) | -21,144.3 | ||||
| Group EBIT | 82,765.6 |
1) Other external revenue is related solely to the administrative area.
| Retail & | Other | ||||
|---|---|---|---|---|---|
| 1–9/2008 in T€ | Airport | Handling | Properties | Segments | Group |
| External segment revenue | 192,102.0 | 142,814.3 | 70,666.8 | 11,855.2 | 417,438.3 |
| Internal segment revenue | 21,943.1 | 20,925.1 | 8,961.2 | 49,342.1 | |
| Segment revenue | 214,045.1 | 163,739.4 | 79,628.0 | 61,197.3 | |
| Other external revenue1) | 527.8 | ||||
| Group revenue | 417,966.2 | ||||
| Segment results | 83,399.5 | 15,185.7 | 37,474.5 | -2,231.5 | 133,828.2 |
| Other (not allocated) | -21,019.0 | ||||
| Group EBIT | 112,809.2 | ||||
1) Other external revenue is related solely to the administrative area.
| in T€ | 1–9/2009 | 1–9/2008 |
|---|---|---|
| Total reported segment results (EBIT) | 103,909.8 | 133,828.2 |
| Administration | ||
| Revenue | 4,194.5 | 4,327.7 |
| Other operating income | 1,744.2 | 1,062.5 |
| Consumables | -226.9 | -907.0 |
| Personnel expenses | -9,469.4 | -9,700.3 |
| Other operating expenses | -17,055.2 | -15,479.4 |
| Depreciation and amortisation | -331.4 | -322.5 |
| Total not allocated | -21,144.3 | -21,019.0 |
| Group EBIT | 82,765.6 | 112,809.2 |
The non-allocated items shown in the reconciliation are related solely to the administrative area.
| in T€ | 30.9.2009 | 31.12.2008 |
|---|---|---|
| Assets by segment | ||
| Airport | 1,101,427.7 | 1,023,905.4 |
| Handling | 47,828.4 | 50,331.1 |
| Retail & Properties | 360,053.1 | 358,897.8 |
| Other Segments | 172,662.0 | 172,484.6 |
| Total assets in reported segments | 1,681,971.1 | 1,605,618.9 |
| Assets not allocated to a specific segment | ||
| Intangible assets and property, plant and | ||
| equipment used in administration | 1,098.4 | 1,529.1 |
| Financial assets | 9,420.4 | 9,301.0 |
| Non-current receivables | 98.8 | 98.8 |
| Current securities | 63,180.7 | 94,418.6 |
| Inventories | 63.9 | 138.6 |
| Trade receivables | 46.8 | 0.1 |
| Receivables due from subsidiaries | 793.6 | 266.2 |
| Receivables due from investments recorded at equity | 59.3 | 0.1 |
| Receivables due from taxation authorities | 2,217.6 | 9,945.7 |
| Other receivables and assets | 4,618.3 | 4,973.4 |
| Prepaid expenses and deferred charges | 2,639.4 | 2,350.8 |
| Cash and cash equivalents | 6,333.4 | 6,642.8 |
| Total not allocated | 90,570.6 | 129,665.2 |
| Group assets | 1,772,541.7 | 1,735,284.1 |
Revenue and earnings recorded by Flughafen Wien AG for the first and fourth quarters of the calendar year are generally lower than the second and third quarters due to the seasonality of the aviation industry. These higher results are a consequence of the increase in the number of passengers during the vacation season in Europe.
In addition to Flughafen Wien AG, these consolidated interim financial statements include 12 domestic (31.12.2008: 12) and 5 foreign (31.12.2008: 3) subsidiaries over which Flughafen Wien AG exercises control. Two foreign subsidiaries were founded during the first half of 2009 and serve as financing companies. The minority stake in KSC Holding a.s. is shown as a liability because the minority shareholders have a put option to sell their shares to Flughafen Wien AG. In addition, 3 domestic companies (31.12.2008: 3) and 4 foreign companies (31.12.2008: 4) are included using the equity method. Seven subsidiaries and one associated company were not included in the consolidated interim financial statements because they are immaterial for the provision of a true and fair view of the asset, financial and earnings position of the Group.
There were no material changes in liabilities or other financial obligations since the last balance sheet date.
The circle of related companies and persons has remained largely unchanged since the preparation of the 2008 annual financial statements. No material transactions were conducted with related companies or persons during the first three quarters of 2009 or in the comparable prior year period.
A dividend of € 54.6 million was distributed to shareholders during the reporting period (2008: € 52.5 million).
These condensed consolidated interim financial statements and the interim group management report were not audited or reviewed by a certified public accountant.
Other events after the end of the interim reporting period that are of material importance for recognition and measurement as of 30 September 2009, such as outstanding legal proceedings or claims for damages as well as other obligations and impending losses which must be recognised or disclosed in accordance with IAS 10, are included in these interim financial statements or are not known.
We confirm to the best of our knowledge that the condensed consolidated interim financial statements provide a true and fair view of the assets, liabilities, financial position and profit of the group as required by the applicable accounting standards and that the group management report provides a true and fair view of important events that occurred during the first nine months of the financial year and their impact on the condensed consolidated interim financial statements as well as the principal risks and uncertainties for the remaining three months of the financial year and the major related party transactions disclosed.
Schwechat, 30 October 2009
Ernest Gabmann Herbert Kaufmann Gerhard Schmid Member of the Board Member of the Board Member of the Board
and Speaker
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Investor Relations Robert Dusek Telephone: +43/1/7007/23126 e-mail: [email protected]
Flughafen Wien AG, Corporate Communications · P.O. Box 1, A-1300 Wien-Flughafen Telephone: +43/1/7007-23333, Telefax: +43/1/7007-23805
Investor Relations: Robert Dusek, Telephone: +43/1/7007-23126, Telefax: +43/1/7007-23058 e-mail: [email protected]
http://www.viennaairport.com · Data Registry Nr.: 008613 · Corporate Register Nr.: FN 42984 m · Court of Registry: Provincial Court in Korneuburg · Printed by: AV + Astoria Druckzentrum GmbH
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