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Turkish Airlines denied a Bloomberg report suggesting it was interested in HNA Group Co.’s minority stake in carrier Virgin Australia Holdings as it seeks growth in the Asia-Pacific region.
● TAV
TAV Havalimanları Holding, Turkey’s largest airport operator, reported its net income declined by a sharp 43% on an annual basis to Turkish lira (TRY) 243mn in the second quarter of this year. Revenues of the company increased to TRY1.23bn in the quarter from TRY926mn a year ago while gross profit rose to TRY586mn from TRY482mn.
TAV’s H1 profit declined to TRY389mn from TRY460mn in the first half of 2018. Revenues stood at TRY2.15bn in the first half of 2019 versus TRY1.55bn a year earlier. The company reported that costs of sales increased significantly to TRY1.2bn in January-June from TRY837mn.
Turkish airport operator TAV has failed to win a tender to operate Sofia Airport. “As a result of the evaluation carried out in relation to the tender to operate and develop Sofia Airport in Bulgaria, with a 35 years concession contract, the consortium formed by TAV Airports Holding and our main shareholder Groupe ADP has not been declared as the concessionaire of the tender,” TAV said in a filing with the Istanbul Stock Exchange. The winner of the tender is SofConnect, a consortium between French-registered Meridiam Eastern European Investments and the Munich Airport operator.
The number of passengers passing through the airports TAV operates increased by 12% on an annual basis to 38.3mn in January-June this year. TAV’s revenues grew 9% y/y to €270mn in the first quarter of 2019 while its EBITDA increased 2% y/y to €98.4mn. Net profit at the company soared 233% y/y to €23.9mn in January-March this year. TAV’s investment spending increased only 9% to €22.3mn.
TAV Airports operates Antalya, Ankara Esenboga, Izmir Adnan Menderes, Milas Bodrum and Gazipasa Alanya airports in Turkey as well as Tbilisi and Batumi airports in Georgia, Monastir and Enfidha-Hammamet airports in Tunisia and Skopje and Ohrid airports in Macedonia. Madinah Airport in Saudi Arabia and Zagreb Airport in Croatia are also operated by TAV Airports. TAV
68 TURKEY Country Report August 2019 www.intellinews.com