Fraport AG · XETR:FRA

Fraport — FY2010 Earnings Presentation

52 slides from Fraport's earnings presentation, Mar 11, 2011

  1. Slide 1: Preliminary Figures FY 2010

    Preliminary Figures FY 2010 Frankfurt – March 11, 2011 Dr Stefan Schulte, CEO Dr Matthias Zieschang Zieschang, CFO

  2. Slide 2: Disclaimer

    Slide 2 Disclaimer This document has been prepared by Fraport solely for use in this presentation. The information contained in this document has not been independently verified. No representation or warranty – whether express or implied – is made as to,to and no reliance should be placed on, on the

  3. Slide 3: Agenda

    Slide 3 Agenda ƒ P li i Preliminary Financial Fi i l Figures Fi FY 2010 ƒ Latest Traffic Performance ƒ O Operational ti l Development D l t res FY 2010 ƒ New Runway ƒ A Pl Construction A-Plus C t ti & Pier Pi B Reconstruction R t ti ƒ Terminal 3 y Figur ƒ Wi Winter Services S i ƒ Great to have you h

  4. Slide 4: Preliminary Financial Figures

    Slide 4 Preliminary Financial Figures FY 2010 Fraport Group* Aviation • Above 4% traffic growth / First steps of fee increase effective Ground Handling • Back to profitability (EBIT-level) / New LH-contract until 2018 Retail • Retail at € 3.02 revenue per passenger res FY 2010 External • Antalya & L

  5. Slide 5: Most successful year in history of Fraport AG

    Slide 5 Preliminary Financial Figures FY 2010 Most successful year in history of Fraport AG Operating Profit EBITDA on all time high! res FY 2010 800 711 581 601 570 600 431 y Figur 400 335 359 301 272 228 197 200 152 iminary 0 Preli in € million 2007 2008 2009 2010 Net Profit* EBIT EBITDA * In 2007

  6. Slide 6: Agenda

    Slide 6 Agenda ƒ P li i Preliminary Financial Fi i l Figures Fi FY 2010 ƒ Latest Traffic Performance ƒ O Operational ti l Development D l t res FY 2010 ƒ New Runway ƒ A Pl Construction A-Plus C t ti & Pier Pi B Reconstruction R t ti ƒ Terminal 3 y Figur ƒ Wi Winter Services S i ƒ Great to have you h

  7. Slide 7: Traffic Performance – Year 2010 Overview

    Slide 7 Traffic Performance Year 2010 Overview Passengers 2010 vs. 2009 (in mil.) Cargo 2010 vs. 2009 (t 000) 5.50 220 5.25 210 5.00 200 4 75 4.75 190 4.50 180 res FY 2010 4.25 170 4.00 160 3.75 150 3.50 140 3.25 2010 2009 130 2010 2009 3.00 120 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec y Figu

  8. Slide 8: Latest Traffic Development

    Slide 8 Latest Traffic Development Traffic Figures Group February 2011 in ‘000 Fraport Share FY 2010 YTD 2011 Feb 2011 Frankfurt 100% 53,009 7,440 3,575 ∆ in % 4.1 6.6 8.1 res FY 2010 Lima 70.01% 10,278 1,890 911 ∆ in % 17.0 20.3 21.8 Antalya 51% 22,144 1,147 628 ∆ in % 18.5 9.9 18.3 Varna 60% 1 227

  9. Slide 9: Agenda

    Slide 9 Agenda ƒ P li i Preliminary Financial Fi i l Figures Fi FY 2010 ƒ Latest Traffic Performance ƒ O Operational ti l Development D l t res FY 2010 ƒ New Runway ƒ A Pl Construction A-Plus C t ti & Pier Pi B Reconstruction R t ti ƒ Terminal 3 y Figur ƒ Wi Winter Services S i ƒ Great to have you h

  10. Slide 10: Operational Development – New Runway

    Slide 10 Operational Development – New Runway Latest Picture from End of February 2011 Summer 2008 res FY 2010 Spring 2009 y Figur iminary Winter 2011 Preli Fraport Analyst Presentation FY 2010

  11. Slide 11: New Runway: Status Quo / Next Steps before Inauguration

    Slide 11 Operational Development – New Runway Status Quo / Next Steps before Inauguration ƒ Around 60% of new Runway is currently covered with concrete – 90% byy end of April,p , 100% until end of Mayy 2011 11km of new fence to be installed – 40% already in place res FY 2010 ƒ ƒ Bridges ready to con

  12. Slide 12: New Runway: Flight Routes to be relocated

    Slide 12 Operational Development – New Runway Flight Routes to be relocated • Parallel landings possible for the first time in FRA – therefore complete new air traffic structure necessary ƒ New departure flight routes necessary after new runway res FY 2010 inauguration due to safety reasons ƒ Inaugu

  13. Slide 13: New Runway: Timeframe & Slot Procedure

    Slide 13 Operational Development – New Runway Timeframe & Slot Procedere ƒ Final slot decision by Federal Ministry of Transport presumably byy March / April p 2011 res FY 2010 ƒ Slot requests possible until May 2011 according to international guidelines - slots will be distributed by the airport coo

  14. Slide 14: New Runway: Increase of new Slot Capacity

    Slide 14 Operational Development – New Runway Increase of new Slot Capacity Passengers in million p.a. Movements/hour 80 120 ƒ Winter season 2011/2012: Passengers Movements ~ 88-90 movements/hour res FY 2010 4-7% passenger growth p.a. 2011-2015 70 100ƒ Airport processes ready to handle around 90 mov

  15. Slide 15: Pier A-Plus: Fast Construction Proceeding

    Slide 15 Operational Development – Pier A-Plus Fast Construction Proceeding ƒ Interior technical equipment (escalators, floor heating, ventilation and air-conditioning, g, etc.)) widely y assembled in the lower floors res FY 2010 ƒ 7.3 km baggage conveyor system extension under construction ƒ 7 brid

  16. Slide 16: Pier B: Reconstruction in final Stage

    Slide 16 Operational Development – Pier B Reconstruction in final Stage ƒ Start in 2008 – reconstruction in 4 steps while fully operating ƒ New top floor added to separate arriving from departing passengers res FY 2010 ƒ More than 30,000 sqm new space for gates, lounges and retail - new Duty Free de

  17. Slide 17: Terminal 3: Next Steps

    Slide 17 Operational Development – Terminal 3 Next Steps ƒ Terminal 3 temporarily stopped in 2009, re-initiated in 2010 with dedicated p project j organization g res FY 2010 ƒ Tender for planning currently taking place; planning team fully staffed by mid 2011 ƒ Duration of planning to take about two

  18. Slide 18: Winter Services: Technical Improvements

    Slide 18 Operational Development – Winter Services Technical Improvements in Winter 2011 / 2012 ƒ After inauguration of the new runway: Upgrade of Tarrget technical equipment to clear 2 runways (1 for take-off/ take off/ 1 for landing) including taxiways within 30 minutes res FY 2010 ƒ Additional sn

  19. Slide 19: Great to have you here! Customer focus enhanced

    Slide 19 Operational Development – Great to have you here! Customer focus enhanced Measures 2010 ƒ +25% new security lines under construction ƒ Waiting time below 10 minutes plus fast tracks res FY 2010 ƒ New waiting & relax areas plus playgrounds for kids ƒ Cl Cleanliness li off tterminal i l & lla

  20. Slide 20: Agenda

    Slide 20 Agenda ƒ P li i Preliminary Financial Fi i l Figures Fi FY 2010 ƒ Latest Traffic Performance ƒ O Operational ti l Development D l t res FY 2010 ƒ New Runway ƒ A Pl Construction A-Plus C t ti & Pier Pi B Reconstruction R t ti ƒ Terminal 3 y Figur ƒ Wi Winter Services S i ƒ Great to have you

  21. Slide 21: Opportunities & Challenges 2011

    Slide 21 Opportunities & Challenges 2011 Opportunities pp Challenges g res FY 2010 • Construction progress of the new • EU directive on airport regulation runway on track t k & in i b budget d t t be to b transformed t f d into i t German G law – decision by mid 2011 • New runway capacities availabl

  22. Slide 22: Agenda

    Slide 22 Agenda ƒ P li i Preliminary Financial Fi i l Figures Fi FY 2010 ƒ Latest Traffic Performance ƒ O Operational ti l Development D l t res FY 2010 ƒ New Runway ƒ A Pl Construction A-Plus C t ti & Pier Pi B Reconstruction R t ti ƒ Terminal 3 y Figur ƒ Wi Winter Services S i ƒ Great to have you

  23. Slide 23: Outlook 2011 – Preview 2012

    Slide 23 Outlook 2011 – Preview 2012 2011 2012 • 4-7% growth p. a. to Passengers • FRA: Between 4 and 7% upside continue until 2015 res FY 2010 Revenue • Increase to more than € 2.3 bn • Further increase EBITDA • Increase between 10 and 15% • Further increase y Figur EBIT • Increase to less than € 5

  24. Slide 24: Preliminary Figures FY 2010

    Preliminary Figures FY 2010 Frankfurt – March 11, 2011 Dr Stefan Schulte, CEO Dr Matthias Zieschang Zieschang, CFO

  25. Slide 25: Agenda: Financials

    Slide 25 Agenda ƒ … ƒ Financials res FY 2010 ƒ Group & Segment Results ƒ Majority Holdings in External Activities ƒ Capex & Gearing y Figur iminary Preli Fraport Analyst Presentation FY 2010

  26. Slide 26: Group P&L Statement

    Slide 26 Group P&L Statement* Strong Group-Wide Traffic – EBITDA on all time high € mil. FY 2009 FY 2010 % ƒStrong revenue development due to good group-wide Revenue 2,010.3 2,194.6 9.2 Revenue adjusted** 2,004.5 2,194.6 9.5 EBITDA 569 7 569.7 710 6 710.6 24 7 24.7 performance: res FY 2010 EBITDA ad

  27. Slide 27: Group P&L: Strong Performance in FRA segments, AYT & LIM

    Slide 27 Group P&L Statement Strong Performance in FRA segments, AYT & LIM 2300 +4.8 +23.1 +54.8 +19.2 Revenue e +38.7 +40 7 +40.7 2 194 6 2,194.6 2100 +8.8 -5.8 res FY 2010 2,010.3 2,004.5 1900 1700 1500 FY 09 Hahn FY 09 Aviation1 Ground Retail Antalya2 Lima3 Twin Others FY y Figur In € mil. mil re

  28. Slide 28: Group P&L: Financial Result

    Slide 28 Group P&L Statement FY Financial Result mainly down due to higher debt! € mil. Financial Results Financial result from Financial res FY 2010 result FY 2009 Interest Interest invest- Other result FY 2009 Adjustments adjusted income expenses ments financial result FY 2010 0 -20 20 -40 -60 -80

  29. Slide 29: Segment Aviation

    Slide 29 Segment Aviation* Upside due to Traffic & Fee, lower Security Income Revenue EBITDA EBIT 17.1 % Margin 19.0 % 6.0 % Margin 8.1 % res FY 2010 +1.3 % +12.2 % 685.1 693 9 693.9 +36.9 % 131.6 117.3 56.4 41.2 y Figur FY 2009 FY 2010 FY 2009 FY 2010 FY 2009 FY 2010 iminary Up due to traffic devel

  30. Slide 30: Segment Retail & Real Estate

    Slide 30 Segment Retail & Real Estate* Retail, Parking and Real Estate up! Revenue EBITDA EBIT 78.1 % Margin 73.1 % 62.1 % Margin 56.5 % res FY 2010 +11.2 % +4.2 % +1 3 % +1.3 403.1 282.9 294.7 362.4 225.0 227.9 y Figur FY 2009 FY 2010 FY 2009 FY 2010 FY 2009 FY 2010 iminary Positive Retail and Park

  31. Slide 31: Segment Retail & Real Estate: Retail per PAX above 3 €

    Slide 31 Segment Retail & Real Estate Retail per PAX first time above 3 € Retail & Real Estate Revenue FY 2009 Retail & Real Estate Revenue FY 2010 € mil. € mil. res FY 2010 403.1 +11.2 % 11.4 Others 362.4 Others 9.9 70.9 Parking Parking 62.2 +5.6 % € 3.02 / PAX € 2.86 / PAX y Figur Real Real 170.5

  32. Slide 32: Segment Ground Handling

    Slide 32 Segment Ground Handling* Increase due to Cargo, Passengers & MTOW Revenue EBITDA EBIT 2.3 % Margin 6.7 % -% Margin 1.7 % res FY 2010 +6.2 % -% 658 6 658.6 619.9 11.0 >100 % 44.1 y Figur -40,1 14.1 FY 2009 FY 2010 FY 2009 FY 2010 FY 2009 FY 2010 iminary Positive impact due to good EBITDA up

  33. Slide 33: Segment External Activities & Services

    Slide 33 Segment External Activities & Services* Strong Performance in External Activities Reported Adjusted Revenue EBITDA EBIT 45.3 % Margin 54.7 % 21.8 % Margin 30.9 % res FY 2010 +28.0 % +54.6 % +30.2 % +81.3 % +57.9 % 439.0 +84.7 % 240.2 342.9 135.6 155.4 y Figur 74 8 74.8 FY 2009 FY 2010 FY 20

  34. Slide 34: Agenda

    Slide 34 Agenda ƒ … ƒ Financials Group & Segment Results res FY 2010 ƒ ƒ Majority Holdings in External Activities ƒ Capex & Gearing y Figur iminary Preli Fraport Analyst Presentation FY 2010

  35. Slide 35: External Activities: Antalya

    Slide 35 Segment External Activities & Services Antalya Fi Figures before b f consolidation* lid ti * mil. FY 2009 FY 2010 Δ% PAX** 11 0 11.0 22 1 22.1 >100 res FY 2010 Revenue 157.3 266.9 69.7 EBITDA 69.3 216.9 >100 EBIT 17 0 17.0 122 8 122.8 >100 ƒMassive increase in passengers in ’000 Pax and res

  36. Slide 36: External Activities: Lima

    Slide 36 Segment External Activities & Services Lima Figures before consolidation* mil. FY 2009 FY 2010 Δ% PAX** 88 8.8 10 3 10.3 17 0 17.0 res FY 2010 Revenue 116.2 135.4 16.5 EBITDA 41.4 49.1 18.6 EBIT 29 9 29.9 37 6 37.6 25 8 25.8 ƒTraffic upside on domestic (+29.8 %) and international (+6.5 %) r

  37. Slide 37: External Activities: Varna & Burgas

    Slide 37 Segment External Activities & Services Varna & Burgas Fi Figures before b f consolidation* lid ti * mil. FY 2009 FY 2010 Δ% PAX** 29 2.9 31 3.1 67 6.7 res FY 2010 Revenue 35.4 40.2 13.6 EBITDA 19.0 21.1 11.1 EBIT 11 9 11.9 13 9 13.9 16 8 16.8 ƒ Burgas: +11.1 % PAX y Figur i ’000 P in Pax ƒ

  38. Slide 38: External Activities & Services: Outlook 2011

    Slide 38 Segment External Activities & Services Outlook 2011 Antalya Lima Twin Star res FY 2010 ƒSustainable strong ƒAdditional international ƒOngoing economic y Figur tourist demand routes to come e.g. recovery expected Paris, Moscow & ƒSlight positive impact ƒAdditional positive Santiago de Chile

  39. Slide 39: Agenda

    Slide 39 Agenda ƒ … ƒ Financials res FY 2010 ƒ Group & Segment Results ƒ Majority Holdings in External Activities ƒ Capex & Gearing y Figur iminary Preli Fraport Analyst Presentation FY 2010

  40. Slide 40: Financials: Debt, Gearing, Cash Flow

    Slide 40 Financials Debt, Gearing, Cash Flow* 4,0 in € billion 3,5 3,5 Peak120 % 3,0 res FY 2010 2,5 2,0 2,0 1,6 1,5 y Figur 1,1 1,0 0,9 0,9 0,8 0,5 0,5 , 0,4 0,3 iminary 0,0 2008 2009 2010 2014 Preli Cash Flow Capex Net Debt Gearing * Cash Flow = operating Cash Flow – dividend Net debt = Fraport de

  41. Slide 41: Financial Position & Gearing

    Slide 41 Financial Position & Gearing Higher Net debt Position due to Capex program € mil. Assets Liabilities & Equity 9,170.5 9,170.5 8,865.2* 8,865.2* ƒ Net debt up due to res FY 2010 negative free cash flow to €2.02 bn. Financial Fi i l 4245,8 4,408.4 liabilities ƒ Gearing ratio at 77.8 % Other 6

  42. Slide 42: Summary: Conclusion / Outlook

    Slide 42 Summary Conclusio / Outlook EBITDA 2003 – 2010 2010 on € mil. Sustainable Growth Substantial Growth 1200 res FY 2010 900 710,6 600 y Figur 578,4 580,5 600,7 569,7 542,5 509,6 456,2 300 iminary 0 Preli 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Fraport Analyst Presentation FY 2010

  43. Slide 43: Thank you for your Attention!

    Online Publication of the Annual Report 2010 on March 24, 2011 10 igures FY 201 Thank you for your Attention! nary Fi relimin Pr www.meet-ir.com

  44. Slide 44: Appendix

    - Appendix - iminary Preli res FY 2010 y Figur Fraport Analyst Presentation FY 2010

  45. Slide 45: Consolidated Income Statement

    Slide 45 Consolidated Income Statement iminary Preli res FY 2010 y Figur Fraport Analyst Presentation FY 2010

  46. Slide 46: Consolidated Statement of Cash Flows

    Slide 46 Consolidated Statement of Cash Flows iminary Preli res FY 2010 y Figur Fraport Analyst Presentation FY 2010

  47. Slide 47: Consolidated Statement of Financial Position

    Slide 47 Consolidated Statement of Financial Position iminary Preli res FY 2010 y Figur Fraport Analyst Presentation FY 2010

  48. Slide 48: New IFRIC Accounting as of Jan. 1, 2010

    Slide 48 New IFRIC 12 Accounting as of Jan.1, 2010 Overview ƒ IFRIC 12 is a guidance on accounting for service arrangements by companies rendering public services for governmental bodies ƒ IFRIC 12 requires the recognition of construction costs as part of revenue res FY 2010 and cost of materials ƒ

  49. Slide 49: Group & Investment Adjustments due to IFRIC

    Slide 49 Group & Investment Adjustments due to IFRIC 12 Group Lima effect* Antalya effect Twin Star effect € mil. Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Revenue 2009 new res FY 2010 456.5 506.0 545.8 502.0 30.3 28.8 29.2 27.9 5.6 20.5 31.8 20.8 1.8 8.7 22.1 2.8 2009 old 452.0 493.5 532.7 49

  50. Slide 50: Financial Position: Maturity Profile & Cash Position

    Slide 50 Financial Position Maturity Profile & Cash Position as of Dec 31, 2010 Source of € mil. funds Debt of Subsidiaries, ~ € 472 mil.* Placement of 3 Promissory Notes/ 1,123 Schuldscheindarlehen ƒ 2010: € 35 mil. 10Y Bullet res FY 2010 ƒ 2009: € 368 mil. ƒ 5Y Bullet, € 256 mil. ƒ 8Y Bullet, € 87

  51. Slide 51: Financial Position: Maturity Profile & Cash Position

    Slide 51 Financial Position Maturity Profile & Cash Position as of Dec 31, 2010 € mil. Fraport debt conditions on average 5000 ƒ ~ 4 % interest rate 4,408.0 res FY 2010 ƒ ~ 8 years maturity 4000 Loans of Infrastructure Banks (EIB+LTH) of € 980 mil. 3000 Bond of € 800 mil. & Private Placement of € 15

  52. Slide 52: Special / Extraordinary Effects & Adjustments on Group Level

    Slide 52 Special / Extraordinary Effects & Adjustments on Group Level* FY 2009 FY 2010 Segment: External Activities & Services Effects within the Financial Result ƒ Sale of Hahn, effective: Feb 28, 2009 ƒ Market valuation of Derivatives, q1/q2/q3/q4/2010 res FY 2010 Revenue of: € 5.8 mil. Other fina

Fraport — FY2010 Earnings Presentation on 6ix