Queenstown Airport's record passengers and $7m interim dividend

Wednesday, 19 February 2025

A record number of passengers have travelled through Queenstown Airport in the six months to December 31.

Queenstown Airport will pay a $7 million interim dividend to its shareholders after a record number of passengers.

Queenstown Airport chairperson Simon Flood said the business started the financial year well, while releasing the interim report for the six months to December 31.

The airport’s revenue was up 22% on the same period the previous year, to $40.4m.

Earnings before interest, tax, depreciation and amortisation (EBITDA) were $29.5m and the net profit after tax was $16.2m.

The airport had a significant jump in term debt as at December 31, up from $32.5m at June 30, 2024, to $60m.

The report said that reflected increased investment in the airport’s capital development programme, the final dividend payment of $19.6m for the end of the 2024 financial year and income tax payments.

As the majority shareholder the Queenstown Lakes District Council would receive $5.2m when the interim dividend was paid this month.

Auckland International Airport owned 24.99% and would receive the remainder.

During the six-month period, there were a record 1.3 million passenger movements. The arrival and departure of one passenger is counted as two movements.

That was a 6% increase compared with the same period the previous year, Flood said.

The growth was driven by continued demand for travel to and from Queenstown, with particularly strong trans-Tasman numbers, he said.

Skippers, the new restaurant at Queenstown Airport’s international departures lounge.

Qantas adjusted one of its Sydney to Queenstown services to an evening arrival and early-morning departure, which had been “well-received”, the report said.

However, domestic and business travellers said they had since been frustrated by the scrapping of Air New Zealand’s early morning flights from Queenstown to Christchurch, from January.

The landing gear of an aircraft that was brought to a safe stop by EMAS technology, which is to be installed at Queenstown Airport.

Queenstown Airport was expected to complete a $23m project to install engineered materials arresting system (EMAS) beds at either end of the main runway this month.

It would be the first airport in Australasia to adopt the technology, designed to safely stop an aircraft that overshoots a runway.

“Should a runway over-run occur at Queenstown, this will be the best investment we have ever made, and we are proud to be the leading the way in risk mitigation and enhanced safety,” Flood said.

A key strategic focus for the board of directors and executive team was the delivery of the Queenstown Airport Master Plan, which would allow more people, more technology and more bicycles.

Queenstown Airport Corporation chief executive Glen Sowry will be leaving his role at the end of the financial year.

Queenstown Airport chief executive Glen Sowry said good progress had been made on key areas of focus, including sustainability, and projects to improve customer experience and operational efficiency.

The airport had recorded a 71% reduction in organisational Scope 1 and 2 emissions and limited Scope 3 emissions compared to 2019.

In October, Sowry announced he would be leaving Queenstown Airport at the end of this financial year. A recruitment process was under way.

During the reporting period, board chairperson Adrienne Young-Cooper stepped down after two terms, and Auckland International Airport representative Mark Thomson left the board, having served since June 2017.

Flood was named the new chairperson and the vacancies were filled by Dr Don Elder, of Wānaka, and Auckland Airport’s chief strategic planning officer Mary-Liz Tuck.