Auckland International Airport reported a marginal decline in underlying profit for the fiscal year ended June 30, 2026, as elevated capital expenditure offset revenue growth and passenger traffic gains.
Underlying profit after tax slipped 0.5% to NZ$309.0 million on revenue of NZ$1.036 billion, a 3% increase from the prior year. Reported profit fell 20% to NZ$334.7 million, reflecting a NZ$91.7 million drop in investment property fair value gains to NZ$35.8 million. Operating EBITDAFI rose 3% to NZ$724.2 million, while normalized EBITDAFI increased 6%.
The airport commissioned more than NZ$1 billion in new assets for the third consecutive year, bringing total FY26 capital expenditure to NZ$1.068 billion, down slightly from NZ$1.090 billion in FY25. Major projects included NZ$457 million for northern remote stands, NZ$246 million for east terminal enabling works, and NZ$24 million for a new cargo precinct. The Terminal Integration Program, now 57% complete, saw NZ$700 million invested in FY26 alone.
Passenger traffic grew 2% to 19.04 million, with international movements up 2% to 10.47 million and domestic movements also up 2% to 8.57 million. Aircraft movements remained flat at 158,000. Aeronautical revenue rose 6% to NZ$475.5 million, while retail income declined 4% to NZ$181.0 million. Car parking income increased 9% to NZ$79.2 million, contributing to a 2% rise in total commercial income to NZ$442 million.
Total drawn debt increased 11% to NZ$2.769 billion, with Standard & Poor’s maintaining the airport’s A- credit rating. Gearing stood at 19.7%, well below the 60% covenant, while interest coverage was 10.12x. Liquidity remained robust at NZ$1.475 billion in undrawn committed facilities and NZ$55 million in cash.
The airport maintained its full-year dividend at 13.25 cents per share, with a final dividend of 6.75 cents scheduled for October 2, 2026. Underlying earnings guidance for FY27 was set between NZ$290 million and NZ$330 million, with capital expenditure projected at NZ$1.0 billion to NZ$1.3 billion.
Tourism recovery continued, with inbound visitor arrivals reaching 99% of pre-pandemic levels. Australia led growth with 1.585 million visitors, up 10%, while China rose 27% to 315,000 visitors. Regional connectivity declined 4%, prompting NZ$3.5 million in targeted lease support to regional airlines.
Sustainability initiatives showed progress, with Scope 1 and 2 emissions down 75% against baseline and aeronautical waste reduced 22% since 2019. Solar generation now supplies 12% of the airport’s electricity needs.
