Fraport cautious on passenger growth in Frankfurt, Antalya airports as attacks hit holiday demand

BERLIN - Reuters

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German airport operator Fraport has said it will be cautious on passenger growth at its Frankfurt and Antalya airports in 2016 after attacks on tourist destinations dampened demand for travel to places such as Turkey this year. 

Fraport expects passenger numbers at Frankfurt airport to rise by between 1 and 3 percent this year, compared with growth of 2.5 percent in 2015, and passenger numbers to decline at Antalya, it said as it reported annual results on March 16.

“The outlook... is currently characterized by restrained holiday bookings in Germany and significantly declining passenger figures in Turkey as a result of the recent terrorist attacks,” chief executive Stefan Schulte said in a statement.

Airlines, tour operators, hoteliers and travel search companies at a major travel fair last week said they had seen more caution than usual in bookings at the start of the year, usually a popular time for people to book trips.

Fraport reported 2015 earnings before interest, tax, depreciation and amortization (EBITDA) up 7.4 percent to 848.8 million euros ($941.9 million), slightly below the average estimate for 851 million in a Reuters poll.
It expects profit to rise to between 850 million and 880 million euros in 2016, compared with the average analyst expectation of 891 million in a Reuters poll.

It kept its dividend stable at 1.35 euros a share and said it planned to keep the payout “at least” stable for 2016.