Changi Airport Group sees jump in full-year net profit to $431 million on post-Covid recovery

Changi Airport Group (CAG) saw a jump in net profit to $431 million for the full year ended Mar 31, up from $33 million in the year-earlier period.

Revenue rose 45 per cent to $2.7 billion, from $1.9 billion previously, in tandem with the recovery in travel demand and strong passenger traffic growth.

"The strong traffic performance in the last quarter was boosted by the hosting of major events in Singapore and liberalisation of visa requirements between China and Singapore," CAG said on Thursday (Jun 6).

However, a "slower recovery" was seen in concessions revenue, as spending fell on inflationary pressures and global economic uncertainty.

Passenger movements reached 62.5 million or 91 per cent of pre-Covid levels, while air traffic movements totalled 344,000, or 90 per cent of pre-pandemic heights. This is compared to passenger movements of 42.6 million and air traffic movements of 257,000 in the previous financial year.

Group operating expenses rose 20 per cent year on year to $2.2 billion, as passenger traffic grew and full, four-terminal operations were restored.

Terminal 2 fully reopened in November last year, following three-and-a-half years of engineering and expansion works.

This brings Changi Airport's total handling capacity to 90 million passengers per year, CAG said.

"While the outlook for aviation is promising and travel demand is on the upward trend, we are cognisant that the industry operates in a highly volatile and fast-changing environment," said CAG chief executive officer Lee Seow Hiang.

"To stay ahead, Changi Airport will continue to invest to keep its fundamentals strong and to remain attractive as an air hub. This includes developing Terminal 5, which will begin construction in 2025."

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This article was first published in The Business Times. Permission required for reproduction.