Christchurch Airport reports 10.5% growth in net profit

Photo: Supplied

Christchurch International Airport Ltd's net profit grew by 10.5% in the first half of the financial year due to more international passengers and a strong property portfolio.

Christchurch Airport board chair Sarah Ottrey and chief executive Justin Watson. Photo: Supplied

CIAL board chair Sarah Ottrey said the strong financial performance in the six months to December 31, 2024, led to an increase in net profit of $23.8 million compared to the same period last year.

“As a key asset for Christchurch city and the South Island, Christchurch Airport is pleased with this growth enabling a dividend pay-out to its 75% shareholder Christchurch City Holdings Ltd of just under $16 million for this first half year," Ottrey said.

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Ottrey said the international travel industry's ongoing recovery, strong commercial revenue growth, and investment in key infrastructure projects have put the airport in a strong position.

CIAL chief executive Justin Watson said the airport remains focused on passenger growth, sustainability, and infrastructure investment.

"Despite aviation sector headwinds, we’re experiencing strong momentum across our business - driven by international growth and major infrastructure projects," Watson said.

"With passenger numbers on the rise and key projects underway, we are set for a strong future and look forward to continuing our sustainability initiatives and the completion of our terminal refresh this year."

The refresh includes 12 new eateries, upgraded bathrooms, a revamped food court, new retail spaces, a parent’s room, and a large children’s play area.

CIAL's half-yearly report key highlights:

Total revenue increased by 4.5% to $120.8 million.

Net profit rose to $23.8 million, a 10.5% increase on the previous year.

Interim dividend declared at $21.3 million (37.0 cents per share), up 12% from FY24.

Total passenger numbers reached 3.17 million, with international passengers up 11%, compared to same period last year.

Occupancy rates in the airport’s property portfolio remained exceptionally high at 99.5%, including strong performance from the Novotel Hotel.

Enhanced customer experience. Nine new food and beverage offerings opened along with a new customer food court.

Kowhai Park solar farm commenced development.

International travel and airport growth

Passenger growth at the airport was driven by increased long-haul capacity from China Southern, Cathay Pacific, and United Airlines, alongside trans-Tasman expansion by Qantas and Jetstar. A 14% increase in international seat capacity during the peak summer season contributed to strong aeronautical performance.

The airport also saw continued investment in infrastructure, with ongoing projects including doubling the size of the airport freight apron, new freight and manufacturing developments, and an expansion of the Pratt & Whitney engine servicing centre.

Extra visitors and freight capacity through the airport along with strengthening the campus directly drives economic outcomes for the Christchurch and the South Island, a role that the airport is especially proud of.

Sustainability and community initiatives

CIAL continued its strong sustainability focus, with highlights including:

Kōwhai Park Stage , a 230-hectare solar farm project now underway, set to be operational by 2026.

EV fire trucks – the first new airport fire truck arrived in early 2025, with another on order for 2026.

BP Giga Hub EV charging station – opened by the Prime Minister in November, marking a first for the Southern Hemisphere.

The launch of the first hydrogen testing facility in any airport across the globe.

Food court refurbishment – 8 tonnes of furniture were redirected to the Eco Store, preventing landfill waste.

New board appointment

The October 2024 AGM marked the retirement of Chris Paulsen, a long-standing director who played a key role in our aviation development over 14 years.

The board welcomed Meg Matthews, who brings over 20 years of senior leadership experience.