Auckland Airport has reported a 12 per cent increase in net underlying profit, reaching $NZ310.4 million ($281 million). This surge was primarily driven by a strong rebound in international passenger traffic. Auckland Airport is New Zealand’s largest airport, serving millions of travellers each year. It provides crucial infrastructure and services for both domestic and international flights.
While international travel boosted profits, domestic passenger numbers experienced a slight dip of 0.5 per cent in the 12 months leading to June 30. This decline was attributed to aircraft issues affecting Air New Zealand and a reduction in government travel expenditure. However, Jetstar, Qantas Group’s low-cost subsidiary, managed to capitalise on Air New Zealand’s challenges.
The airport noted that Jetstar significantly increased its capacity at Auckland Airport (AKL), growing by 14 per cent during the financial year. Despite this, overall capacity remained steady due to Air New Zealand’s engine problems and fleet constraints, as well as broader economic conditions.
Chief executive Carrie Hurihanganui acknowledged that the outlook remains uncertain. She noted that ongoing airline seat capacity constraints are expected to persist in the short term. Furthermore, factors such as the global geopolitical environment, the softer New Zealand economy, and the complexities of operating in an active construction environment are contributing to increased uncertainty.
