Fraport: 9m loss over half a billion due to crisis

(CercleFinance.com) - Fraport announced on Wednesday that it has made a net loss of 537.
2 million euros over the first nine months of the year, due to the health crisis that has ravaged the aviation sector.

The airport operator says that it only welcomed 16.2 million passengers in Frankfurt, its main hub, from January to September, which represents a 70% year-on-year decline in activity.

The net loss - which compares to a net profit of 413.5 million euros over the same period in 2019 - is largely due to a provision of 280 million euros made ahead of a wave of mass layoffs.

Fraport plans to make up to 4,000 redundancies by the end of 2021, a measure that should save it some 250 million euros a year at Frankfurt airport alone.

For FY 2020, the group says it expects traffic at Frankfurt airport to fall by 70% to only 18-19 million passengers over the year.

On Wednesday the Fraport share, whose market capitalisation has lost over half its value since the beginning of the year, was down almost 2% in Frankfurt.


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