Norwegian airport authority Avinor has reported a duty free sales and rental income increase to NK1,199.0m ($150.5m) in the first six months of 2017, as compared with NK1,152.0m ($144.7m) in HY1 2016.

 

This important contribution to revenues comes at the same time that Avinor’s operating income for the first half came in at NK5,595m ($702.9m) compared with NK5,043m ($633.6m) in the corresponding period in 2016.

 

PROFITS FELL IN HY1

However, profit after tax was reported at NK230m ($28.8m) in the first half – considerably down on the NK346m ($43.4m) generated in the previous 2016 half-year period.

 

 

Avinor management blames the lower profit after tax on increases on a combination of provisions for pension and environmental liabilities, the financial settlement agreement with the Norwegian Armed Forces for the 2010-2016 period and costs resulting from the completion of development projects.

 

MODERNISATION PROGRAMME

Meanwhile, Avinor says the company’s modernisation programme has realised and exceeded its target for Q2 by achieving NK500m ($62.8m) in savings.

 

Commenting on the results, it said: “The new, extended terminal areas at Oslo Airport were officially opened on 27 April. The extension project was completed and the facilities were opened for use on time, within budget and with excellent operational results.”

 

At the same time, the airport authority’s new terminal in Bergen Airport opened yesterday, with the authority also pointing to this also coming in ‘on time and within budget’.

 

HEALTHY TRAFFIC RISE AT OSLO

Avinor also pointed to last May’s 80th anniversary of Stavanger Airport where a topping-out ceremony was held to celebrate the extension of the terminal. This is also expected to be completed on schedule next year.

 

In the meantime, passenger numbers travelling through Avinor’s airports during HY1 rose by 4.3% compared with the corresponding period in 2016. A total of 25.6m passengers used Avinor’s airports during the half-year period representing an increase of 4.3%, compared with the corresponding period in 2016.

 

International traffic recorded the biggest increase of 7%, while domestic rose by 2.7%. Oslo Airport grew by 7.3%, while the combined growth of the other airports came in at plus 1.2%.