Fraport Ag · XETR:FRA
Fraport — FY2022 Earnings Presentation
36 slides from Fraport's earnings presentation, March 2023
Slide 1: FY22 Analyst Presentation March 2023
Januar Analystbis September I2022 Presentation March 2023 8.11.2022 22FY Fraport AG Bilanzpressekonferenz Dr. Stefan Dr. StefanSchulte, CEO Vorstandsvorsitzender Schulte, I Prof. Dr. Matthias Zieschang, CFO
Slide 2: Disclaimer
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, and no reliance should be placed on, the fairness, ac
Slide 3: 22FY Review: A Year of Strong Traffic & Financial Recovery
22FY Review A Year of Strong Traffic & Financial Recovery! FRA Passengers EBITDA RoFRA 49mn 1,030mn 6% +97% vs. 2021 ~87% of 2019 -2.8pp vs 2019 Employees YE Group Passengers Operating Cash Flow 19.2k +8% vs. 2021 146mn 787mn ~80% of 2019 ~83% vs. 2019 3 Analyst Presentation I March 2023
Slide 4: Business Update: Frankfurt Summer Flight Schedule 2023
Business Update Frankfurt Summer Flight Schedule 2023 ▪ Continental Seat Capacities: ~80% of 2019 ▪ Intercontinental Seat Capacities: ~90% of 2019 ▪ Continental Movements: ~80% of 2019 ▪ Intercontinental Movements: 90+% of 2019 4 Analyst Presentation I March 2023
Slide 5: Business Update: Frankfurt Security Transitioning
Business Update Frankfurt Security Transitioning ▪ Security Responsibility Transitioning at Frankfurt Airport on Jan 1st, 2023 ▪ FRA now in Charge of Procurement, Tendering, and Management ▪ Stake in Frankfurt Aviation Security Services reduced to 49% 2023 Effects Estimate: ▪ Broadly neutral on EBIT
Slide 6: Business Update: Frankfurt Ground Operations
Business Update Frankfurt Ground Operations 6 Analyst Presentation I March 2023
Slide 7: HRneo to Address Next Big Leap
Business Update HRneo to Address Next Big Leap Processes Empowering Sourcing Branding HRneo: Rethinking HR Management addressing Demographics and Labor Market Conditions 7 Analyst Presentation I March 2023
Slide 8: Business Update: Frankfurt Terminal
Business Update Frankfurt Terminal 3 ▪ On Track to be Construction-wise completed in 2 Years (2025) ▪ Commissioning scheduled for Summer 2026 ▪ Residual Worth of Contracts to be awarded: clearly less than 1bn EUR ▪ Residual cash out expected slightly above 2bn (Contracts already awarded + to be awar
Slide 9: Business Update: International Activities
Business Update International Activities ▪ Lima Runway expected to be inaugurated 2Q23 ▪ Lima Terminal to be inaugurated in <2 Years ▪ Greek Airports expected to pay first Dividends ▪ Brasil achieved another COVID Rebalance ▪ Antalya Terminal on Track to be ready in 2025 ▪ 2023 Segment EBITDA Outloo
Slide 10: Updated CO2 Targets
Business Update Updated CO2 Targets ▪ Masterplan Decarbonization for Frankfurt passed! ▪ Decarbonization of vehicle fleet ▪ Generate emission-free energy on site ▪ Purchase renewable electricity ▪ Purchase emission-free district heating and cooling ▪ Energy optimization of buildings and facilities G
Slide 11: 23FY Outlook
23FY Outlook Continued Traffic & Financial Recovery expected! FRA Passengers EBITDA >80-90% of 2019 1,040-1,200mn 2019: ~70.6mn 2019: EUR ~1,180mn Net Debt/EBITDA Result before Minorities DPS ~stable 300-420mn EUR - vs. 2022 level of 6.9 2019: EUR ~454mn unchanged vs. 2022 11 Analyst Presentation I
Slide 12: Detailed Financials
Januar bis Detailed September Financials 2022 2023 I March 8.11.2022 22FY Fraport AG Bilanzpressekonferenz Prof.Stefan Dr. Dr. Matthias Zieschang, Schulte, CFO Vorstandsvorsitzender
Slide 13: Group Financial Performance
Group Financial Performance EBITDA in 2022 back at 87% of 2019 levels EUR mn EBITDA 1.003 1.129 1.180 1.030 1,040-1,200 2019 757 1.040 -251 2017 2018 2019 2020 2021 2022 2023E 2023 2022 Group Result 506 454 360 300-420 2019 92 167 -690 2017 2018 2019 2020 2021 2022 2023 2023E 2 13 Analyst Presentati
Slide 14: 22FY Cash Flow
22FY Cash Flow Strong OCF Exceeds Maintenance Capex by EUR 500mn -375 +50 7,059 EUR mn -33 -44 -48 +51 -187 -542 6,370 +787 -329 -12 -9 Free Cash Flow 22FY: € -741mn (excl. AYT new: -366mn) Other Fixed IAS 23 IFRS Divs from Equity Other Net debt Net debt OCF Brazil Greece Lima FRA capex concession b
Slide 15: 2H22 Cash Flow
2H22 Cash Flow FCF Break Even despite c.500mn Expansion Capex 700 602 600 -81 487 500 -76 +42 400 300 -493 200 100 -6 0 -100 Operational Maintenance IAS 23, IFRS 16, Dividends Free Cash Flow T3 & Lima Free Cash Flow Cash Flow Capex Fix Concessions incoming (ex. Growth Capex Capex) 15 Analyst Present
Slide 16: Aviation Segment Outlook
Aviation Segment Strong Earnings Recovery, 2023: Pre-COVID Level Targeted EUR mn 22FY 21FY 19FY − Increase in revenues from charges to >75% of FY19 at Revenue 828 588 1,027 just under 70% PAX level Charges 618 362 816 − OPEX reduction of EUR >100mn vs. FY19 despite Security 174 194 161 substantial t
Slide 17: Retail & Real Estate Segment Outlook
Retail & Real Estate Segment Q4 EBITDA and EBIT outperforming 2019 levels EUR mn 22FY 21FY 19FY − Revenues reach nearly 90% of FY19 level, mainly due to Revenue 446 319 508 outperformance of Real Estate business Retail 154 72 221 − Parking revenues outperform passenger recovery at Real Estate 186 16
Slide 18: Ground Handling Segment Outlook
Ground Handling Segment Recruitment and Quality Constraints Weigh on Cost Side EUR mn 22FY 21FY 19FY − Quicker revenue recovery compared to passenger Revenue 550 386 707 development, a.o. due to MTOW and aircraft movement Ground Hand. 291 221 359 related charges (Q422 at 85% of Q419) Central Infra.
Slide 19: Frankfurt Opex
Frankfurt Opex Substantial Savings of EUR 162mn despite Inflation, Higher Wages & Ramp-up Aviation, Retail & Real Estate, Ground Handling Aviation, Retail & Real Estate, Ground Handling Staff Cost Other Opex -169 mn EUR 899 (~-19%) mn EUR +7 730 679 686 2019 2022 2019 2022 ▪ Backbone of FRA staff co
Slide 20: Intl. Activities & Services Segment Outlook
Intl. Activities & Services Segment Underlying Revenue and EBITDA above 2019 at ~87% PAX level EUR mn 22FY 21FY 19FY − Underlying revenue excl. IFRIC 12 above FY19 level at Revenue 1,370 850 1,464 ~87% PAX level, also based on higher charges IFRIC 12 331 242 446 − Other Opex increased by 11%, mainly
Slide 21: Cash Management
Cash Management Increase in Available Funds1 to >EUR 5.3bn New Lima Project Finance will increase Cash & Financial Assets (Liquidity) Committed Credit Lines & Finance Available Funds to >EUR 5.3bn2 EUR mn EUR +2,896mn 5.000 4,603 ~+750 4.500 4,506 4.000 942 736 3.500 3,105 3,867 3.000 3,564 2.500 89
Slide 22: Cash Management: Available Funds & Repayment Profile
Cash Management Available Funds & Repayment Profile 12.000 in € mil. 11.000 10,926 10.000 €9.1 bn Fraport AG debt 9.000 €1.2 bn Greece debt 8.000 Average debt condition ~ 2.3 % interest rate 7.000 € 340 mn Brazil debt 6.000 5.000 4,603 € 314 mn Lima debt 4.000 3,867 3.000 2.000 15 10 13 14 17 314 37
Slide 23: 23FY Cash Outlook
23FY Cash Outlook Capex, Cash Flow & Net Debt Frankfurt FCF & Net Debt Bridge FY 2023 T3 Capex: €~550mn 1.500 1.040 -1.250 Other Capex: to to €~250mn 1.200 1.200 -1.350 FCF: negative 900 Lima 600 Capex as per 3Q22 guidance: 300 -400 €~350-450mn to -660 FCF: 0 -100 -200 negative -300 -50 -100 Other I
Slide 24: Appendix
Januar bis September Appendix 2022 I March 2023 8.11.2022 22FY Fraport AG Bilanzpressekonferenz Dr. Stefan Schulte, Vorstandsvorsitzender
Slide 25: Group P+L
Appendix Group P+L € million 2022 2021 Revenue 3,194.4 2,143.3 Other internal work capitalized 39.9 38.0 Other operating income 139.3 354.6 Total revenue 3,373.6 2,535.9 Cost of materials –1,101.6 –750.7 Personnel expenses –1,036.7 –884.3 Depreciation and amortization –465.3 –443.3 Other operating e
Slide 26: Cash Flow
Appendix Cash Flow € million 2022 2021 € million 2022 2021 Cash flow from operating activities 787.3 392.6 Result attributable to shareholders of Fraport AG 132.4 82.8 Investments in airport operating projects –407.1 –277.1 Investments for other intangible assets –4.7 –4.4 Result attributable to non
Slide 27: Financial Position
Appendix Financial Position Assets Liabilities and equity December December December December € million 31, 2022 31, 2021 € million 31, 2022 31, 2021 Non-current assets Shareholders´ equity Goodwill 19.3 19.3 Issued capital 923.9 923.9 Investments in airport operating projects 3,769.1 3,416.4 Capita
Slide 28: Overview of Major Special Effects 2021/2022
Appendix Overview of Major Special Effects 2021/2022 2022: 2021: Retail & Real Estate Aviation 4Q 22 EUR +18.6mn Other Income: Disposal of Property Development 1Q 21 EUR + 57.8mn Revenue: Settlement Security Dispute 2Q 21 EUR +159.8mn Other Income: State Compensation for Parts of Operating Ground Ha
Slide 29: Major Special Effects on 2022 EBITDA
Appendix Major Special Effects on 2022 EBITDA EBITDA EUR mn 1,200 1.030 54 1.040 24 34 19 19 948 976 22FY 2Q22 3Q22 4Q22 4Q22 4Q22 22FY 23 FY Xi'An Greece Stake Sale GH provision Brasil excl. Effects Outlook (Property Dev.) 29 Analyst Presentation I March 2023
Slide 30: Frankfurt Spend per Passenger
Appendix Frankfurt Spend per Passenger Net Retail Revenues per Passenger Net Retail Revenues per Passenger EUR p.a EUR per Quarter 4,73 4,23 3,70 3,76 3,46 3,52 3,28 3,33 3,12 3,10 2,95 3,00 2,73 18FY 19FY 20FY 21FY 22FY 1Q19 2Q19 3Q19 4Q19 1Q22 2Q22 3Q22 4Q22 30 Analyst Presentation I March 2023
Slide 31: Unchanged Medium-Term Outlook
Appendix Unchanged Medium-Term Outlook Traffic Recovery to 2019 EBITDA Recovery to 2019 Frankfurt Expected ~2025/26 ~2023/24 International Airports Expected on average 2023 ~2023 Thanks to Traffic Recovery and Countermeasures, pre-COVID EBITDA expected by 2023/24! 31 Analyst Presentation I March 202
Slide 32: Major International Holdings
Appendix Major International Holdings Fully consolidated Group companies € million Share in % Revenue1) EBITDA EBIT Result 22FY 21FY Δ% 22FY 21FY Δ% 22FY 21FY Δ% 22FY 21FY Δ% Fraport USA 100 103.4 67.9 +52.3 49.6 57.3 –13.4 4.8 20.7 –76.8 –1.8 8.5 – Fraport Slovenija 100 33.9 21.7 +56.2 7.6 7.7 –1.3
Slide 33: P&L of Major Airport Investments vs. 2019
Appendix P&L of Major Airport Investments vs. 2019 Greece € mil. 22 FY 19 FY Brasil € mil. 22 FY 19 FY Ljubljana € mil. 22 FY 19 FY Revenue 444 463 Revenue 90 283 Revenue 34 45 Revenue w/o IFRIC 12 434 297 Revenue w/o IFRIC 12 81 93 Revenue w/o IFRIC 12 34 45 - Airport Charges1 348 246 - Airport Cha
Slide 34: Fraport Greece Financial Overview
Appendix Fraport Greece Financial Overview Revenue EBITDA EUR mn EUR mn 500 463 300 272 444 10 400 206 77 166 434 200 300 255 195 297 29 170 124 200 226 100 100 82 35 0 0 19FY 21FY 22FY 19FY 21FY 22FY 23FY Underlying EBITDA ex. State Compensation Effects IFRIC 12 State Compensation Effects (saving o
Slide 35: Dates: 2023 Financial Calendar
Appendix Dates 2023 Financial Calendar Mar 14, 2023 May 4, 2023 May 23, 2023 Aug 8, 2023 Nov 7, 2023 FY 3M AGM 6M 9M 2020 Traffic Calendar 2023 Apr12, Apr 17,2019 2023 May 12, 2023 Jun 14, 2023 Jul 13, 2023 Aug 11, 2023 3M 4M 5M 6M 7M Sep 13, 2023 Oct 13, 2023 Nov 13, 2023 Dec 13, 2023 Jan 16, 2024
Slide 36: Thank you for your Attention!
Thank you for your Attention! IR Contact Postal T: +49 69 690 - 74840 Fraport AG F: +49 69 690 - 74843 Frankfurt Airport Services Worldwide M: investor.relations@fraport.de 60547 Frankfurt am Main www.meet-ir.com Germany 36 Analyst Presentation I March 2023