Flughafen Zurich Ag · SIX:FHZN

Flughafen Zurich — H1 2016 Earnings Presentation

34 slides from Flughafen Zurich's earnings presentation, Aug 24, 2016

Slide 1: 2016 Half Year Financial Results – Presentation to Investors & Analysts
2016 HALF YEAR FINANCIAL RESULTS PRESENTATION TO INVESTORS & ANALYSTS Stephan Widrig Daniel Schmucki Chief Executive Officer Chief Financial Officer | | © Flughafen Zürich AG
Slide 2: Schedule
SCHEDULE 1. Overview HY2016 2. Financial performance HY2016 3. Outlook 4. Q&A 2 | 24/08/2016 | 2016 half year financial results © Flughafen Zürich AG
Slide 4: Very solid business parameters & strong operating performance
VERY SOLID BUSINESS PARAMETERS & STRONG OPERATING PERFORMANCE • net profit +15.3% • resilient (local) PAX growth • stable commercial revenues despite strong CHF • favorable decision of the Swiss Federal Court on noise- related compensation principles • operational charges approved by FOCA • agreemen
Slide 5: HY2016 Traffic Figures
HY2016 TRAFFIC FIGURES Jan-Jun 2016 Jan-Jun 2015 ∆ (in %) in million Local passengers 9.2 8.7 █████ + 6.0% Transfer passengers 3.4 3.5 -3.0% ██ Transfer share (in %) 26.9 28.7 -6.3% ██████ Total passengers 12.6 12.2 ███ + 3.4% Movements (in 1'000) 129.6 128.3 + 1.0% whereof line & charter movements
Slide 6: Key Figures Commercial Business
KEY FIGURES COMMERCIAL BUSINESS spend / dep. PAX CHF 40.7 44% 56% total airside commercial area ~14’200sqm total landside commercial area ~19’000sqm 6 | 24/08/2016 | 2016 half year financial results © Flughafen Zürich AG
Slide 7: New Duty-Free Contract with Dufry AG
NEW DUTY-FREE CONTRACT WITH DUFRY AG premature extension until 2028 • long-standing successful partnership • improvement in the key financial parameters new innovative shop concept • redesign of all duty-free locations • international brands & Swiss identity | | © Flughafen Zürich AG
Slide 8: «The Circle»
«THE CIRCLE» project work & construction • second stage released  secure construction costs  compelete offering  increase frequencies marketing & promotion • 25% of «Brands & Dialogue» module rented out • office market still challenging timelines • handover to tenants starts early 2019 • grand op
Slide 10: Financial Key Figures Including Noise
FINANCIAL KEY FIGURES INCLUDING NOISE Jan-Jun 2016 Jan-Jun 2015* Jan-Jun 2015 ∆ (in %) in million CHF Aviation revenue 292.2 279.0 279.0 ██ + 4.7% Non-aviation revenue 188.5 189.7 189.7 -0.6% Revenue 480.7 468.7 468.7 █ + 2.6% EBITDA 265.9 249.8 187.3 ███ + 6.4% EBITDA margin (in %) 55.3 53.3 40.0 E
Slide 11: Financial Key Figures Excluding Noise
FINANCIAL KEY FIGURES EXCLUDING NOISE Jan-Jun 2016 Jan-Jun 2015* Jan-Jun 2015 ∆ (in %) in million CHF Aviation revenue 286.7 273.8 273.8 ██ + 4.7% Non-aviation revenue 188.5 189.7 189.7 -0.6% Revenue 475.2 463.5 463.5 █ + 2.5% EBITDA 262.1 246.3 280.9 ███ + 6.4% EBITDA margin (in %) 55.1 53.1 60.6 E
Slide 13: Aviation Segment Revenue Breakdown
AVIATION SEGMENT REVENUE BREAKDOWN Jan-Jun 2016 Jan-Jun 2015 ∆ (in %) in million CHF 1 Passenger & security charges 192.4 184.0 ████ + 4.6% PRM charges 5.6 5.4 ███ + 3.5% 2 Landing charges 46.0 42.7 ██████ + 7.5% Aircraft-related noise charges 5.5 5.2 █████ + 6.6% Emission charges 1.7 1.6 ████████ +
Slide 15: Non-Aviation Segment Revenue Breakdown
NON-AVIATION SEGMENT REVENUE BREAKDOWN Jan-Jun 2016 Jan-Jun 2015 ∆ (in %) in million CHF 1 Retail, tax & duty free 44.2 44.4 -0.5% Food & beverage operations 7.8 7.7 ██ + 2.3% 2 Revenue from multi-storey car parks 36.1 36.0 + 0.3% Other commercial revenue 16.1 15.3 █████ + 5.2% Total commercial reve
Slide 17: Operating Expenses
OPERATING EXPENSES Jan-Jun 2016 Jan-Jun 2015* Jan-Jun 2015 ∆ (in %) in million CHF 1 Personnel expenses 95.5 92.3 92.3 ███ + 3.5% 2 Police and security 59.0 58.7 58.7 + 0.4% 3 Energy and waste 8.7 11.3 11.3 -23.0% █████████ 1 Maintenance and material 15.6 19.6 19.6 -20.6% ████████ Other operating ex
Slide 18: Key Figures
KEY FIGURES incl. noise excl. noise Jan-Jun 2016 Jan-Jun 2015* Jan-Jun 2016 Jan-Jun 2015* in million CHF EBITDA 265.9 249.8 262.1 246.3 EBITDA margin (in %) 55.3 53.3 55.1 53.1 Depreciation and amortization -115.4 -113.1 -112.5 -110.3 EBIT 150.5 136.7 149.6 136.0 EBIT margin (in %) 31.3 29.2 31.5 29
Slide 19: Segment Report (in million CHF)
SEGMENT REPORT (IN MILLION CHF) TOTAL ROIC (EXCL. NOISE): 9.5% Regulated business Non-regulated business based on results of the 12-month period preceding the reporting date 19 | 24/08/2016 | 2016 half year financial results © Flughafen Zürich AG
Slide 20: Investments
INVESTMENTS Investments per June 30, 2016 (in million CHF) 2016 planned investment costs for largest projects 1 «The Circle» (51%) 27.2 2 Upgrade terminal 2 11.3 3 Redesign curbside lanes 8.0 Various maintenance 4 7.8 projects in real estate 5 Expansion parking 6.7 «The Circle» Upgrade T2 CHF ~100 m
Slide 22: Implementation of New Charges
IMPLEMETATION OF NEW CHARGES FOCA has approved the charges on May 3, 2016 • 30 days appeal period ended on June 2 • implementation of new tariff regime as of September 2016 • cost coverage in the regulated segment for next 4 years charges reduction to be offset by passenger growth in 2016 positive
Slide 23: Timetable Highlights
TIMETABLE HIGHLIGHTS all 6 B777-300ER operational by end of July 2016 2 CSeries 100 operational by end of July 2016 (replacing 6 A340 of which one joins Edelweiss in October) 9 will be operational by the end of 2016 (replacing Avro RJ100 ) current summer timetable 2016 Sky Team carrier Air Europa of
Slide 24: Accelerated Depreciations
ACCELERATED DEPRECIATIONS life cycle assessment of property, plant and equipment • depreciation is conducted linearly according to the useful life • periodic assessment of key infrastructre for useful life period • partial reduction of useful life (based on internal guidelines) • regulated and non-r
Slide 25: Guidance 2016
GUIDANCE 2016 PAX approx. 3.5% higher local disproportionately higher growth transfer lower Revenue slightly higher aviation slightly higher non-aviation stable OPEX slightly higher EBITDA margin stable Depreciation & amortization approx. CHF 250 million Profit excl. noise slightly lower CAPEX CHF 2
Slide 26: CAPEX Roadmap
CAPEX ROADMAP period 2017-2018 (high visibility) • total CAPEX: CHF 300-350 million p.a. • whereof regulated: ~40% • whereof maintenance: CHF 100-150 million p.a. • core projects: «The Circle» / adoptions airport center / expansion parking period 2019-2025 (medium visibility) • total CAPEX: CHF 250-
Slide 27: 4. Q&A
4. Q&A Frankfurt: Sector Conference (Commerzbank) Wednesday, August 31, 2016 Zurich: Kepler Cheuvreux Tuesday Tuesday, September 06, 2016 London: Transportation Conference (UBS) Monday, September 12, 2016 Publication full year results 2016 Monday, March 6, 2017 General meeting of shareholders Thursd
Slide 28: IR Contacts
IR CONTACTS Lukas Brosi Head Financial Services +41 (0)43 816 72 91 investor.relations@zurich-airport.com Stefan Weber Investor Relations & Treasury +41 (0)43 816 27 15 investor.relations@zurich-airport.com 28 | 24/08/2016 | 2016 half year financial results © Flughafen Zürich AG
Slide 29: Disclaimer
DISCLAIMER This document has been prepared by Flughafen Zürich AG 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, and no reliance should be placed on, the fairnes
Slide 30: Financial Liabilities (per June 30, 2016)
FINANCIAL LIABILITIES (PER JUNE 30, 2016) 30 | 24/08/2016 | 2016 half year financial results © Flughafen Zürich AG
Slide 31: HY2016 Passenger Development
HY2016 PASSENGER DEVELOPMENT Worldwide 2016 from/to ZRH +3.4% global market +5.9% North America 2016 market share ZRH 8.1% Middle East 2016 from/to ZRH +4.2% market share ZRH 5.6% global market +4.8% from/to ZRH +10.7% global market +10.1% Far East 2016 market share ZRH 7.1% Latin America 2016 from/
Slide 32: HY2016 Alliance Shares ZRH
HY2016 ALLIANCE SHARES ZRH 32 | 24/08/2016 | 2016 half year financial results © Flughafen Zürich AG

Flughafen Zürich — H1 2016 Earnings Presentation on 6ix

Flughafen Zurich — H1 2016 Earnings Presentation

Slide 1: 2016 Half Year Financial Results – Presentation to Investors & Analysts

Slide 2: Schedule

Slide 3: 1. Overview HY2016

Slide 4: Very solid business parameters & strong operating performance

Slide 5: HY2016 Traffic Figures

Slide 6: Key Figures Commercial Business

Slide 7: New Duty-Free Contract with Dufry AG

Slide 8: «The Circle»

Slide 9: 2. Financial Performance HY2016

Slide 10: Financial Key Figures Including Noise

Slide 11: Financial Key Figures Excluding Noise

Slide 12: Aviation

Slide 13: Aviation Segment Revenue Breakdown

Slide 14: Non-Aviation

Slide 15: Non-Aviation Segment Revenue Breakdown

Slide 16: OPEX & Other Key Figures

Slide 17: Operating Expenses

Slide 18: Key Figures

Slide 19: Segment Report (in million CHF)

Slide 20: Investments

Slide 21: 3. Outlook

Slide 22: Implementation of New Charges

Slide 23: Timetable Highlights

Slide 24: Accelerated Depreciations

Slide 25: Guidance 2016

Slide 26: CAPEX Roadmap

Slide 27: 4. Q&A

Slide 28: IR Contacts

Slide 29: Disclaimer

Slide 30: Financial Liabilities (per June 30, 2016)

Slide 31: HY2016 Passenger Development

Slide 32: HY2016 Alliance Shares ZRH

Slide 33: Star Alliance Hubs

Slide 34: Key Indicators