Company Announcement
A drop in revenue and lower dividend
It was a busy year for
CPH’s overall revenue fell by 2.2% to
The aeronautical business was marked by lower charges paid by airlines for using the airport. Charges were lowered 10% in 2018 and by another 5% in 2019. In addition, traffic at the airport was affected by a number of bankruptcies, a seven-day strike by SAS pilots and by Norwegian’s new strategy of focusing on profitability rather than growth. Aeronautical revenue was down by 6.2% to
The non-aeronautical business is based on, among other things, rental income, concession revenue from parking and the shopping centre. Overall, the non-aeronautical revenue for the year was up by 3.2% to
Profit before tax for 2019 fell by 8.7% to almost
Historically, CPH have met the shareholders' expectations of dividend payments, including that of the Danish state, and has annually distributed 100% of the net profit; but in light of the situation with the global economic uncertainty, lower charges and a very high level of investments, the Board of Directors have decided to recommend to the Annual General Meeting that no dividend will be paid for the second half of 2019. For the first half of 2019, dividends of 50% of the half-year result were paid. Thus, for the full financial year 2019, a total dividend of 23.3% is paid. The dividend policy to pay out 100% of the company's result over time is maintained.
Business under pressure
CPH reached a milestone on
Accelerating the green transition
The airport's financial strength and the necessary green transition are inextricably intertwined. CPH accelerated the transition in 2019, involving everything from solar panels and energy savings to adding new electric vehicles. The airport operations were certified as carbon neutral by
In 2019, the Danish aviation industry teamed up to launch a climate initiative based on the ambition to make Danish aviation a zero-emissions industry by 2050. Through the proposal to establish an aviation climate foundation and active participation in the Danish government’s climate partnership with the aviation industry, CPH can work with scientists, policy-makers and green organisations to chart the direction and accelerate the transition to sustainable aviation.
New strategy: Architects of the future Airport
In 2019, CPH launched a strategy for the airport of the future: Architects of the future Airport. While building on CPH’s existing platform of efficient and safe operations, CPH’s new strategy is also focused on CPH’s role in society, sustainable developments and on taking the passenger experience to the next level. CPH must focus even more on passengers, the airlines and all CPH’s other customers. CPH needs to innovate and simplify, making everyday things easier and providing an even better experience for all users of the airport.
CPH has identified a number of core areas – a range of take-offs to drive innovation and change. Their focal points include sustainable aviation, engaging stakeholders and neighbours even more in creating the airport of the future, accelerating digitalisation and developing the jobs and skills of the future.
New master plan for the airport of the future
Also in 2019, CPH submitted an application to the authorities to enact new legislation that would constitute the framework for the continued development and sustainable transition to the airport for the future. Supported by SAS, Norwegian and DAT, CPH wants to relocate the rarely used third runway – the cross-wind runway. This will free up space for the modern fuel-efficient and less noisy aircraft types of the future. According to a new master plan, CPH will over a number of years be able to further develop the airport within the current area, with all facilities under one roof and with the shortest possible walking distances to gates and public transport.
All-time high passenger satisfaction
The year ended with good news. According to the international Airport Service Quality (ASQ*) survey conducted at more than 350 airports the world over, the passenger satisfaction rate at
At the Annual General Meeting on
Outlook for 2020
Global aviation is under pressure from amongst other factors economic uncertainty, climate change and the recent outbreak of Coronavirus COVID-19.
The Corona outbreak significantly affects the number of flights - both in terms of holiday and business travel. Airlines have announced they are cancelling and reducing operations in line with declining demand.
Due to the great uncertainty COVID-19 has created for air travel in
As a consequence, CPH will continuously assess and adjust the level of operational costs and investments.
The Group’s Annual Report is attached in PDF format.
P.O. Box 74
Lufthavnsboulevarden 6
2770 Kastrup
Contact:
CFO
Tel.: +45 3231 3231
Fax: +45 3231 3132
E-mail: cphweb@cph.dk
www.cph.dk
CVR no. 14 70 72 04
Attachments
- Announcement to the
Nasdaq Copenhagen Stock Exchange 3 Marts 2020 - Copenhagen Airports AS Group Annual Report 2019
- Copenhagen Airports AS Parent Company Annual Report 2019
© OMX, source