Heathrow is predicting a “probable return” to dividends following four years of dry spells. A summer of music, sport and entertainment helped lift passenger numbers to record highs.
In the nine months leading up to September 30, Europe’s busiest international airport saw 63.1 million passengers pass through its doors, an increase of 6.2% over the same period in 2013.
In the three months between June and September, Heathrow was used by 30.7 million passengers, which is a record quarterly for the airport. This shows its recovery from the disruptions caused by the Covid-19 travel restrictions and groundings.
The west London hub was a magnet for hundreds of thousands sport and music fans.
Airports have upgraded their full-year forecast of passengers to 83.8 millions, surpassing the 80.9 million pre-pandemic records set in 2019. Heathrow’s busiest days were July 24th and September 2nd.
The airport’s pre-tax profit increased by 12.6% to £696million, and on an adjusted basis it went from a £19million loss in the same time period last year to £350million.
Heathrow is owned by sovereign wealth funds in China and Qatar as well as the Spanish construction company Ferrovial and large infrastructure funds. Ferrovial announced in June that it had agreed sell the majority its 25% share of the Saudi Arabian Public Investment Fund to the French company Ardian.
Thomas Woldbye who became Heathrow’s CEO last year said that this summer had tested the co-operation of our colleagues, airlines and infrastructure more than ever. Record numbers of passengers were travelling through the busiest airport with two runways in the world.
Woldbye asked Rachel Reeves to use next week’s budget in order to “set up the aviation industry for long-term growth”. Woldbye wants to see measures like a revenue assurance mechanism for UK producers who produce sustainable aviation fuels and “joined up policy” that supports aviation.
Managers stated that a return to payouts is “probable, subject to financial performance”. “Dividends are only paid when business is successful. For us, that means strong results for our customers,” said a spokesperson.
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