By Mike Cherney
SYDNEY--Sydney Airport (SYD.AU) said revenue in the six months through June rose more than 3% but overall passenger traffic declined slightly, driven by weakness in the domestic market.
Sydney Airport said first-half revenue was 797.1 million Australian dollars (US$538 million). Total passengers came to 21.6 million, down 0.2%.
Earnings before interest, tax and other items, or Ebitda, rose 4% to A$649.2 million, though that figure excludes one-off charges such as redundancy and indemnity expenses. Including those charges, Ebitda was A$465.1 million, down 25%. Net profit attributable to members rose by 15% to A$199.8 million.
Sydney Airport said its first-half distribution would be 19.5 Australian cents per share. It reaffirmed guidance for its full-year distribution to be 39 Australian cents per share, which would be a 4% increase.
The half-year result was "underpinned by international passenger growth of 1.9% and a solid contribution from our non-aero businesses," Chief Executive Geoff Culbert said. "Duty free and speciality store performance was strong with a lift in advertising revenues reflecting our investment in new digital advertising."
Sydney Airport said half-year aeronautical revenue rose nearly 5%, retail revenue rose 4%, property and car rental revenue rose 1.8% and car parking and ground transport revenue fell 1.4%, which reflected the domestic-market weakness.
The airport attributed the domestic decline to capacity reductions and subdued demand. Domestic passenger traffic fell 1.5%.
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(END) Dow Jones Newswires
August 14, 2019 19:27 ET (23:27 GMT)Copyright (c) 2019 Dow Jones & Company, Inc.