Fraport sounded optimistic about its business operations this year although noting challenges in the market like the ongoing Russian aggression in Ukraine.
In his speech during the company's Annual General Meeting (AGM), Fraport AG's CEO, Dr. Stefan Schulte, highlighted the achievements of the past business year, while taking an optimistic view overall of the next few months.
"The year 2021 has shown that we have bottomed out and are now climbing back up step-by-step in terms of traffic volumes. At Frankfurt, we are getting ready for a busy summer. We expect to attain between 70 and 75% of the pre-crisis traffic level," Schulte said, adding that now that restrictions on intercontinental destinations are gradually falling away, Fraport is seeing a start to a "revival" of business travel.
"This year, however, tourism will be the main driver in Frankfurt again. Also at the Group's airports outside Germany, we once again expect passenger volumes to rebound dynamically," the Fraport chief added.
Risks from Russia-Ukraine war
Schulte noted that currently, the impact of the ongoing Russian invasion of Ukraine remains minimal to its performance — but warned that throughout the year, the business performance overall will be impacted by how the war eventually plays out.
"Currently, the war in Ukraine and associated sanctions on passenger and cargo flows have only had a small impact on Frankfurt and our other Group airports," Schulte said.
He also expects the Group's key financial figures to be "clearly positive" for the current 2022 business year, driven by an ongoing recovery in passenger demand.
"The Group result or net profit is expected to range between about 50 million euros and 150 million euros. This will depend on how Russia's aggression ultimately impacts our figures," Schulte said.
