Fraport (FRA) Q2 2024 earnings summary

Executive summary

• Group EBITDA increased 18% year-over-year in H1 2024 to €567 million, with group result up 89% and strong international portfolio performance, especially in Greece, Lima, and Antalya, exceeding 2019 benchmarks.

• Frankfurt Airport recovered to 86% of 2019 passenger levels in H1, with July preliminary at 87%; strikes and weather impacted approximately 600,000 passengers.

• Porto Alegre Airport in Brazil remained closed since May due to severe flooding, with restoration expected by December and partial operations resuming in October; insurance and compensation processes are ongoing.

• Free cash flow improved to €453 million from -€377.5 million in 6M 2023, with forecasts for earnings and financial position confirmed.

Financial highlights

• H1 2024 group revenues exceeded €2.04 billion, up 14% year-over-year (14.1% adjusted for IFRIC 12); EBITDA reached €567 million (+18%), EBIT €309 million (+25%), and group result €161 million (+89%).

• Q2 2024 EBITDA was €355 million (+10% YoY), EBIT €226 million, and group result €148 million (+26%).

• Operating cash flow was €359 million (+22% YoY); net debt increased to €8.2 billion, but leverage ratio improved to 6.4x.

• Liquidity remained strong at €3.8 billion (or €4.7 billion including unused credit lines).

• Earnings per €10 share: €1.63 (H1 2024) vs. €0.87 (H1 2023).

Outlook and guidance

• Full-year 2024 guidance maintained: Frankfurt passengers 61–65 million (lower half expected), EBITDA €1.26–1.36 billion, group result €435–530 million, net debt/EBITDA ~6.4x, no dividend planned.

• 2025 EBITDA expected to improve, driven by international portfolio growth, fee increases, and productivity gains, though Frankfurt's passenger growth depends on Lufthansa's fleet recovery.

• Macroeconomic and geopolitical uncertainties remain, with global trade and GDP growth expected to be moderate.