Gatwick Funding Limited
21 March 2024
Issuer: Gatwick Funding Limited
Date: 21 March 2024
Gatwick Funding Limited (the
"Issuer")
a company incorporated in Jersey (registered number
107376)
Annual results publication - Ivy Holdco
Limited
The
Issuer's parent, Ivy Holdco Limited, today publishes
its Annual Report and consolidated financial statements for the
year ended 31 December 2023.
The Ivy
Holdco Limited report and financial statements consolidate the
results of Ivy Holdco Limited, the Issuer, Ivy Bidco Limited and
Gatwick Airport Limited. These financial statements and a related
investor presentation are available on the
Gatwick Airport Limited website at www.gatwickairport.com/investor
London Gatwick financial
results for year ending 31 December 2023
Continued recovery of traffic
drives strong financial performance
·
Traffic boosted by a string of new airlines and
destinations at the start of summer 2023.
·
Redeveloped train station is the first significant
project to be delivered from a £2.2 billion, six-year, programme of
infrastructure improvements.
·
Airport awarded internationally recognised
accreditation for plans to reduce emissions in line with global
climate goals.
·
Strong leadership role taken to improve air
traffic control resilience and provide reliable timetables for
passengers in 2024.
·
Examination of Northern Runway planning
application is underway.
The continued recovery of traffic
and the careful balancing of operating costs drove London Gatwick's
strong financial performance in 2023, the airport said today when
publishing its 2023
financial results.
In particular, a string of new airlines and services to new destinations at
the start of a busy summer season contributed to the increase in
traffic. Recovery peaked - reaching 94% of 2019 levels - in July and October.
2023 results
include:
·
40.9 million passengers passed through the airport
by year end - up 24.7% on 2022 - with passenger demand at 88% of
pre-pandemic levels for the year.
·
Revenue at £1,015.1 million (+30.7%), driven by
the continued recovery in passenger numbers.
·
Revenue includes aeronautical income at £545.7
million (34.5%), retail income of £207.7 million (+30.9%) and car
parking income of £132.8 million (+30.7%).
·
Profit for the period at £314.8 million (+69.9%),
with EBITDA at £617.7 million (+38.4%).
Growing network of airlines
and destinations
Passengers can currently choose from
56 airlines flying to 220 destinations. This includes 169
short-haul destinations across a large European network and 51
long-haul routes. New long-haul airlines flying from the
airport in 2023 included Air India, Delta, Saudia, Air Mauritius,
Ethiopian Airlines and China Southern. This summer, 85
long-haul services will fly to Asia each week, including 26 to
China.
Improved levels of service
for passengers
During the overall successful year,
the airport hit 99% of all measured service level
requirements, supported by hard work of
frontline colleagues. For example, the successful recruitment of 200 new security officers ahead of
summer helped get 97% of passengers through security in under five
minutes. Significant investment will also enhance the process
with Next Generation Security screening equipment currently being
installed across both airport terminals due for full operation by
Q1 2025, after the busy summer peak.
The airport however acknowledges
that it was regrettable that disruption did occur in the airport's
control tower towards the end of the 2023 summer season. The
airport took a strong leadership position and facilitated closer
collaboration between airport partners to provide more reliable
timetables for passengers. Air traffic control provider,
NATS, has since provided assurances and implemented significant
changes to ensure reliable schedules in 2024.
Investing in sustainable
growth
A
fully redeveloped Gatwick train station
opened in November 2023 and was the first
significant project in a series of infrastructure improvements due
to be completed. A Rapid Exit Taxiway
is now also improving resilience by reducing runway occupancy and
aircraft taxi times. Additionally, a
redeveloped North Terminal departure lounge
and a 3,250 space multi storey car park are
due to complete this year (2024).
The airport's new
six-year
Capital Investment Program was
published in 2023 and includes a
£250 million-plus commitment to become
a net
zero airport by 2030 for
Scope 1 and 2 emissions.
London Gatwick's
planning application (Development Consent Order) to bring its existing Northern
Runway into routine use, alongside its Main Runway, is currently
being scrutinised in detail by a panel of independent inspectors. A
successful application would deliver additional resilience and
capacity, in line with Government policy, while also generating
around 14,000 new jobs and £1 billion for the region's economy
every year.
Sustainability continues to
evolve
In 2023, the
airport achieved Level 4+
'Transition' of the
internationally recognised Airport
Carbon Accreditation scheme -
demonstrating London Gatwick's commitment to reduce its direct
emissions, and to driving third parties on the airport to reduce
their emissions, in line with global climate goals.
Separately, London Gatwick
today increased its reporting of Scope 3
greenhouse gas emissions to enhance
decision making and transparency. It is also
exploring how a hydrogen eco-system might be created on campus to
potentially reduce emissions from flights, alongside Sustainable
Aviation Fuels.
Stewart Wingate, Chief Executive Officer, London Gatwick,
said: "As ever, I want to thank every single colleague at London
Gatwick for their hard work and contribution to our strong
performance in 2023. The airport's ongoing recovery was
boosted by collaborative work with our airlines and partners and
I'm proud that we continue to offer passengers a fantastic choice
of airline and destination, whether flying short or
long-haul.
"Combined, our strong performing airline, retail and other
revenue streams means we can once again invest in substantial
airport improvements. Passengers will already have seen our
fully redeveloped train station, new shops, bars and restaurants,
and more exciting developments will complete over coming months and
years.
"Longer term, our Northern Runway plans are at a critical
stage in the process and we will continue putting forward our
strong case. Ensuring that all growth is
achieved sustainably is of course an ongoing priority and we will
keep demonstrating and evolving our commitment to reduce our
environmental impacts, contribute positively to local communities
and help the economy to thrive."
NOTES
1.
Other notable milestones in London Gatwick's
sustainability journey in 2023, included:
·
Strengthening ten Decade of Change goals with ten
roadmaps that clearly define the airport's ambition and key
performance indicators for each goal. Progress against these
indicators can be seen in the 2023 Decade of Change performance
report , which was published today.
·
Winning Airports Council International's Eco
Innovation
Award for Environmental Excellence
·
Opening
Europe's first airport electric vehicle charging
forecourt, with x30
chargers.
2. In December, London Gatwick was awarded CAPA -
Centre for Aviation's Large Airport of the Year
- for its speedy post-pandemic recovery and
innovative plans for the future.
About London Gatwick
London Gatwick is the UK's second
largest airport and is a vital piece of national infrastructure
that helps drive both the regional and national economy. More
than 40 airlines fly from the airport to over 150 short-haul and
more than 45 long-haul destinations. The airport is focused on
rebuilding and growing sustainably in the long term. It has
ambitious plans to be a net zero airport by 2030 and increase
capacity by bringing its Northern runway into routine use.
Vinci Airports owns a 50.01% stake in the airport, with Global
Infrastructure Partners managing the remaining 49.99%
interest.
About VINCI Airports
The world's leading private airport
operator, VINCI Airports operates more than 70 airports in 13
countries. Thanks to its expertise as a
global integrator, VINCI Airports develops, finances, builds and
manages airports by providing its investment capacity and its
know-how in optimizing operational performance, modernizing
infrastructure and managing their operations and environmental
transition. VINCI Airports is the first airport operator to have
committed to an international environmental strategy in 2016, to
achieve the goal of net zero emissions across its entire network by
2050.
For more information:
www.vinci-airports.com
@VINCIAirports
https://www.linkedin.com/company/vinci-airports/
www.vinci-airports.com
@VINCIAirports
https://www.linkedin.com/company/vinci-airports/
About Global Infrastructure Partners
Global Infrastructure Partners (GIP)
is a leading infrastructure investor that specializes in investing
in, owning and operating some of the largest and most complex
assets across the energy, transport, digital infrastructure and
water and waste management sectors. With decarbonization central to
our investment thesis, we are well positioned to support the global
energy transition. Headquartered in New York, GIP has offices in
Brisbane, Dallas, Hong Kong, London, Melbourne, Mumbai, Singapore,
Stamford and Sydney.
GIP has approximately $106 billion
in assets under management. Our portfolio companies have combined
annual revenues of approximately $75 billion and employ over
115,000 people. We believe that our focus on real infrastructure
assets, combined with our deep proprietary origination network and
comprehensive operational expertise, enables us to be responsible
stewards of our investors' capital and to create positive economic
impact for communities. For more information, visit
www.global-infra.com.