Auckland International Airport remained optimistic about the
2014 financial year and was one of the few companies to
provide profit guidance, Craigs Investment Partners broker
Chris Timms said.
The company expected underlying reported profit to be between
$160 million to $170 million in the current financial year,
5% up on the current year.
''The range is very tight but shareholders in the company
will be pleased with that, particularly when Auckland airport
continues to provide dividends.''
Auckland airport reported operating earnings of $320.8
million for the year ended June, up 4% on the $319.3 reported
in the previous corresponding period.
Reported profit was up 25% to $178 million and the underlying
profit, which strips out matters not affecting company
performance, was 11% higher at $153.8 million.
Sales revenue for the period was up 5% to $448.5 million. The
final dividend of 6.25% took the total dividend to 12 cents
per share, up 14% on last year.
Mr Timms said the numbers continued to stack up for Auckland
airport. The company was working hard to get more airlines to
fly into the airport and bring increasing numbers of tourists
to the country.
''We were expecting it to be a strong result and generate
profit at the upper end of our forecast.''
Craigs had a price target of $3.30 a share which was reached
yesterday, he said.
Auckland airport chairwoman Joan Withers said the Commerce
Commission had now reported to the Government about its
investigation into airport charges.
The outcome had been the end of a long and involved process
and showed New Zealand's information disclosure regime for
airports was working well.
She said the company's pricing provided an acceptable return
on the significant investment being made in essential
''While our business has continued to grow in the financial
year, our strategic plan is to grow faster, aim higher and
become stronger over the next 12 months and, in doing so,
maintain the strong momentum we have established over the
past few years,'' Mrs Withers said.