Flughafen Zurich Ag · SIX:FHZN
Flughafen Zurich — FY2023 Earnings Presentation
45 slides from Flughafen Zurich's earnings presentation, Mar 8, 2024
Slide 1: Full Year Results 2023
Full Year Results 2023 Presentation to Investors & Analysts Lukas Brosi, Chief Executive Officer Kevin Fleck, Chief Financial Officer March 8th, 2024
Slide 2: Content
Content 01 Business Update 02 Financial Update 03 Outlook 04 Q&A 05 Appendix 2
Slide 3: Milestones
Milestones 3
Slide 4: Milestones Full Year 2023
Business Update Milestones Full Year 2023 Financial Update • Traffic: 28.9 million passengers in 2023; over 100,000 passenger on peak days Aviation • Network: More destinations served in 2023 than 2019; new routes to Bogotá and Cartagena (Edelweiss) established; Seoul (Korean Air) back; seat load fa
Slide 5: Financial Summary
Financial Summary Business Update Strong Passenger Recovery reflected in Financial Figures Revenue (in million CHF) EBITDA (in million CHF) Financial Update 1,236 1,024 677 556 Outlook FY22 FY23 FY22 FY23 Consolidated Result (in million CHF) CAPEX Group** (in million CHF) Q&A 438 235 International 3
Slide 6: Aviation ZRH
Aviation ZRH 6
Slide 7: Traffic Development
Traffic Development Business Update Passenger Level back to 92% of 2019 and new Seat Load Factor Record Passengers (in million) Seat Load Factor Financial Update 3.1 3.1 82% 84% 84% 83% 82% 2.7 2.7 2.9 2.9 2.9 80% 81% 80% 2.4 2.2 2.3 74% 78% 76% 77% 2.1 2.0 2.9 2.9 2.8 2.9 80% 77% 82% 84% 84% 81% 79
Slide 8: Aviation Business
Aviation Business Business Update Second half year above initial Expectations In the reporting year, a total of 28.9 million passengers flew through Zurich Airport, Financial Update representing a level of 91.7 percent compared to 2019. During the summer and fall holidays, at times over 100,000 trav
Slide 9: Commercial Business and Real Estate ZRH
Commercial Business and Real Estate ZRH 9
Slide 10: Commercial Business and Real Estate
aktualisie ren Commercial Business and Real Estate Business Update Strong Revenue Contribution COMMERCIAL AND PARKING BUSINESS Financial Update With the recovery of passenger numbers, revenues in the airside center also increased. In the publicly accessible (landside) airport shopping, pre-crisis le
Slide 11: Commercial Business
Commercial Business Business Update Commercial Turnover above pre-crisis Level Commercial Turnover (in million CHF) Financial Update 594 601 609 511 295 237 Outlook FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 Turnover Airside (CHFm) Turnover Landside (CHFm) Q&A Total Airside Commercial Area ~14,200m2
Slide 12: Reorganisation of Priora Contracts
Reorganisation of Priora Contracts Creating Value through active Portfolio Management • In December 2019, a total of 36 properties were acquired from Priora Suisse AG • As part of the strategic development of the southside hangar area, rental contracts were newly structured and subleases taken over
Slide 13: International
International 13
Slide 14: International
International Business Update Passenger Numbers above 2019 Florianópolis (in thousands) Vitória / Macaé (in thousands) Financial Update 472 392 305 330 338 303 294 291 290 275 294 361 361 313 294 290 320 325 321 328 345 246 269 277 417 384 301 283 278 285 291 266 264 259 240 266 282 319 337 304 325
Slide 15: Update on Airports in Macaé and Natal
Macaé: new runway Latin America Business Update Update on Airports in Macaé and Natal MACAÉ Financial Update • Macaé is part of portfolio with Vitória Airport (same concession agreement) • New runway at Macaé currently under construction will be 1,410 meters long and allows handling of larger aircra
Slide 16: Noida Airport
Runway Noida Airport Construction ongoing Construction work at Noida International Airport is proceeding rapidly, making Zurich Airport Ltd. currently the biggest Swiss investor in India. • Declaration of intent signed with India's largest airline IndiGo Airlines; further declaration also signed wit
Slide 17: Content
Content 01 Business Update 02 Financial Update 03 Outlook 04 Q&A 05 Appendix 17
Slide 18: Rising Revenue and Profit
Rising Revenue and Profit Business Update Full Year 2023 Revenue (in million CHF) Revenue Split (in million CHF) Financial Update • Further growth in traffic • Aviation revenue grew at 1,236 volumes drove revenue slower pace than passenger 1,024 to new record levels 1,236 numbers against background
Slide 19: Non-Aviation Figures
Non-Aviation Figures Business Update Full Year 2023 Commercial & Parking (in million CHF) Real Estate (in million CHF) Financial Update • Parking revenue showing • Real estate revenue the highest growth due in 264 reached a new all-time high part to better product 240 • Rise because of 196 different
Slide 20: Operating Expenses
Operating Expenses Business Update Full Year 2023 Personnel Expenses (in million CHF) Police & Security (in million CHF) Financial Update • Personnel expenses • Costs for police and reflect the increase in security rose in particular headcount and inflation 220 due to higher passenger 197 adjustment
Slide 21: Financial Key Ratios
Financial Key Ratios Business Update Full Year 2023 Net Financial Debt / EBITDA ROIC (in %) Financial Update • Net Financial Debt • The lower invested decreased to capital coupled with CHF 1,110m 2.3x higher earnings led to an 7.0% 1.6x increase in ROIC 4.7% Outlook FY22 FY23 FY22 FY23 Operating Cas
Slide 22: Group CAPEX
Group CAPEX Business Update Full Year 2023 Financial Update New Baggage Sorting System ~CHF 41 million New Dock A, Tower and Base ~CHF 32 million Outlook Q&A Total Group CAPEX* of Appendix CHF 438 million Zone West (apron) ~CHF 22 million Noida International Airport ~CHF 167 million * Cash view 22
Slide 23: Content
Content 01 Business Update 02 Financial Update 03 Outlook 04 Q&A 05 Appendix 23
Slide 24: Mid-term Guidance: Traffic ZRH
Traffic ZRH Business Update Mid-term Guidance 2025 ~100% Financial Update of 2019 traffic 100% 28.9m passengers 31.5m passengers 92% 2026 2024 Outlook 72% >100% ~95% of 2019 traffic of 2019 traffic of 2019 traffic 32% Q&A 26% 2019 2020 2021 2022 2023 2024E 2025E 2026E Appendix Full recovery still ex
Slide 25: Outlook: Guidance 2024
Outlook Business Update Guidance 2024 2023 Actual 2024 Guidance Financial Update Passengers ZRH 28.9 million • Around 30 million passengers Revenues CHF 1,236 million • Aviation: slightly better than traffic due to increase in baggage sorting and (excl. IFRIC12) handling system fees Aviation revenue
Slide 26: Innovative project to replace fossil fuels
Innovative project to replace fossil fuels Subglacial aquifer at Zurich Airport • Subglacial aquifer 300 meters below the airport surface may serve as an emission-free heat and cold storage – © Geo Explorers important for achieving net-zero by 2040 • Seismic investigations and exploratory drillings
Slide 27: Content
Content 01 Business Update 02 Financial Update 03 Outlook 04 Q&A 05 Appendix 27
Slide 28: Corporate Calendar and Contact Information
Corporate Calendar Business Update Contact Information • March 12, 2024 Financial Update Barclays Leisure and Transport Conference (London) Kevin Fleck • March 20, 2024 Chief Financial Officer Kepler Swiss Seminar (Zurich) • March 28, 2024 Outlook Société Générale ESG Conference (virtual) Stefan Web
Slide 29: Content
Content 01 Business Update 02 Financial Update 03 Outlook 04 Q&A 05 Appendix 29
Slide 30: Liquidity and Debt Overview
Liquidity and Debt Overview Business Update As of December 31, 2023 Liquidity (in CHFm) Bond Maturity Profile (in CHFm)* Financial Update 365 Committed Credit Facilities CHF 300m 350 300 In CHFm Total utilization (incl. guarantees) CHF 10m 200 Available short-term credit facilities CHF 290m Cash bal
Slide 31: Zurich Airport at a Glance
Zurich Airport at a Glance Business Update Diversified Airport Operator AVIATION / REGULATED NON-AVIATION / UNREGULATED Financial Update 2023 revenue of CHF 610 million Commercial • “To satisfy the demand for direct connections to 2023 revenue of CHF 264 million the world’s major cities” • Leading c
Slide 32: Performance by Segment
Performance by Segment Business Update Non-aviation Segment with highest margin Financial Update FY 2023 Aviation Commercial Real Estate Services International** Revenue CHF 610m CHF 264m CHF 196m CHF 47m CHF 118m CHF 1,236m Outlook Q&A EBITDA* CHF 279m CHF 355m CHF 43m CHF 677m Appendix Increased E
Slide 33: Group Key Figures
Group Key Figures Business Update Income Statement* in million CHF Jan – Dec 2023 Jan – Dec 2022 Financial Update Aviation revenue 610.1 491.1 Non-aviation revenue 626.2 532.4 Revenue 1,236.3 1,023.5 EBITDA 676.7 555.6 EBITDA margin (in %) 54.7 54.3 Depreciation and amortization (286.8) (295.3) Outl
Slide 34: Revenue Breakdown: Aviation Business
Revenue Breakdown Business Update Aviation Business in million CHF Jan – Dec 2023 Jan – Dec 2022 Financial Update Passenger-related operations charges 406.4 319.4 Landing charges 78.4 65.5 Aircraft-related noise charges 15.4 12.1 Emission charges 3.6 3.0 Aircraft parking charges 28.2 25.0 Freight ch
Slide 35: Revenue Breakdown: Non-Aviation Business
Revenue Breakdown Business Update Non-Aviation Business Jan – Dec 2023 Jan – Dec 2022 Financial Update in million CHF Retail, tax & duty-free 114.4 108.5 Food & beverage operations 25.0 21.6 Advertising media and promotion 17.8 17.7 Other commercial revenue 17.5 15.9 Revenue from multi-story car par
Slide 36: Cost Overview
Cost Overview Business Update Operating Expenses Breakdown in million CHF Jan – Dec 2023 Jan – Dec 2022 Financial Update Personnel expenses 220.0 196.9 Police and security 116.6 105.3 Energy and waste 48.9 34.2 Maintenance and material 41.7 38.8 Other operating expenses 57.2 50.1 Sales, marketing, a
Slide 37: International: Focus on Brazil and India
International Business Update Focus on Brazil and India Florianópolis International Airport Switzerland Diego Aracena International Airport Financial Update • New terminal completed in October 2019; no Curaçao • New terminal completed major mid-term investments expected • No major investments expect
Slide 38: Portfolio Overview – Majority Owned Airports
International Business Update Portfolio Overview – Majority Owned Airports Aport (Antofagasta and Financial Update Florianópolis, Brazil Vitória/Macaé, Brazil Noida Delhi, India** Iquique), Chile* FY23 FY22 Δ FY23 FY22 Δ FY23 FY22 Δ FY23 FY22 Δ Passengers (in millions) 4.0 3.4 17% 3.5 2.9 20% 4.2 3.
Slide 39: Group Investments (CAPEX) Reconciliation
Group Investments (CAPEX) Reconciliation Business Update Accounting Treatment FY2019 FY2020 FY2021 FY2022 FY2023 Financial Update in CHFm accounting1 cash2 accounting cash accounting cash accounting cash accounting cash Inv. Property, plant & eq. 4563 4333 244 232 141 154 201 180 397 382 Inv. invest
Slide 40: Passenger Development: Global Market Figures
Passenger Development Business Update Global Market Figures (2023 vs. 2022) Worldwide 2023 Financial Update From/to ZRH +15.2% Global market +27.8% Europe 2023 Share ZRH 75.0% From/to ZRH +26% Global market +17% Middle East 2023 Outlook Share ZRH 5.5% North America 2023 From/to ZRH +20% Share ZRH 9.
Slide 41: Reachable in 5 Hours by Train and Plane
Business Update Financial Update Outlook Q&A Appendix Reachable in 5 Hours By Train and Plane 41
Slide 42: Alliance Share ZRH
Alliance Share ZRH Business Update Largest Alliances in ZRH (Jan – Dec 2023) Alliance Share ZRH Financial Update Lufthansa 66.8% Group 66.6% 64.9% Star Alliance Outlook 64.9% 5.4% Oneworld Passenger Growth 5.5% Lufthansa Group 29% Q&A 4.3% Star Alliance 28% Skyteam 4.1% Oneworld 26% Skyteam 32% Midd
Slide 43: Traffic Ratios
Traffic Ratios Business Update Seat Load Factor, Passengers per Movement and Take-Off Weight Traffic Ratios ZRH Financial Update 80% 80% 78% 78% 145.00 77% 77% 77% 76% 76% 75% 135 Passengers per Movement (PAX) Average Take-Off Weight (tons) 130 130.00 70% 127 126 Outlook 124 Seat Load Factor 65% 117
Slide 44: Passengers and Movements Development
Passengers and Movements Development Business Update Since ZRH Privatization Historical Traffic Numbers Financial Update 35 31.1 31.5 450'000 29.4 28.9 30 27.7 26.3 400'000 25.5 24.3 24.8 24.9 Total Passengers (in millions) 25 Air Traffic Movements (ATM) Outlook 22.6 22.9 22.6 22.1 21.9 350'000 21.0
Slide 45: Disclaimer
Disclaimer Business Update Forward-Looking Statements This document has been prepared by Zurich Airport Ltd. for use in this presentation. Financial Update The information contained in this document has not been independently verified. No representation or warranty – whether express or implied – is
Flughafen Zürich AG (Zurich Airport Ltd.) — FY2023 Earnings Presentation on 6ix