An analyst says Auckland International Airport will probably produce a better 2015 underlying profit than the $160 million to $170 million it is forecasting.
Auckland International Airport reported a 10.5 percent increase in underlying profit to $170 million for the year ended June this year. Photo: RNZ / Todd Niall
Forsyth Barr's Andy Bowley said, historically, the airport's early guidance had been conservative and analysts on average were expecting a $172 million result for the year ending June 2015.
The airport's 2015 guidance was exactly the same as last year's - an underlying net profit between $160 million and $170 million.
The company reported a 10.5 percent increase in underlying profit to $170 million for the year ended June this year.
Chief executive Adrian Littlewood said the current year had begun with an easing in momentum but expected developments, including for flights landing and taking off, suggested growth would pick up again.
He said in terms of the Chinese market for example predictions of outbound tourism from China are forecast to grow from 100 million today to about 200 million by 2020.
Mr Littlewood said there was good growth during the last summer peak in New Zealand and airlines added capacity to cope with that but it was hoped to increase that peak to the shoulder season.
Because the company reduced the number of its shares by 10 percent when it returned $454 million to shareholders earlier this year, this year's underlying profit will represent a per-share increase between 2 percent and 9 percent if it comes in as forecast.
