Recovery boosts CAG’s topline

SINGAPORE, 13 June 2024: Passenger traffic recovery at Changi Airport continued steadily, gaining momentum in the last quarter of FY2023/24 to ensure travel demand once more close to pre-Covid levels. 

Changi Airport Group’s results for the year ended 31 March 2024, released last week, highlighted a strong traffic performance in the last quarter, boosted by hosting major events in Singapore and the liberalisation of visa requirements between China and Singapore. 

Photo credit: Changi Airport Group.

For the full financial year, passenger movements reached 62.5 million, or 91% of pre-Covid levels, and air traffic movements totalled 344,000, or 90% of pre-Covid levels.

While the Group’s revenue has increased with the growth in passenger traffic, concessions revenue experienced a slower recovery. This was due to lower spending amid inflationary pressures and global economic uncertainty. Overall, Changi Group’s revenue grew 45% to SGD2,727 million (FY2022/23: SGD1,883 million).

Group Operating Expenses

In tandem with the recovery in passenger traffic and the return of full operations at Terminal 4 Changi Airport, the Group’s operating expenses increased by 20% year-on-year to SGD2,233 million in FY2023/24 (FY2022/23: SGD1,856 million). Terminal 2 (T2) was fully reopened in November 2023 after 3.5 years of extensive engineering and expansion, boosting the airport’s total handling capacity to 90 million passengers annually. With the recovery of air traffic at Changi Airport, services and licence fees charged by the Civil Aviation Authority of Singapore were also fully reinstated.

EBITDA and Net Profit

The Group recorded EBITDA of SGD1,205 million (FY2022/23: SGD751 million) and net profit attributable to the company’s shareholders of SG431 million in FY2023/24 (FY2022/23: SGD33 million).

Financial Position

As of 31 March 2024, the Group’s asset base remained strong at SGD14,347 million (FY2022/23: SGD13,313 million), with more than two-thirds comprising capital asset investments in property, plant and equipment and investment property. During the year, the Group invested over SGD800 million to upkeep and upgrade the airport’s facilities and fund the expansion of T2 and the development of Changi East. With significant capital investment outlay for the Changi East development underway, Changi Group continued to “stay prudent and focused on rebuilding its financial resilience and cash reserves.” 

As of 31 March 2024, the Group’s cash and cash equivalents totalled SGD2,115 million (FY2022/23: SGD1,595 million), while loans and borrowings amounted to SGD1,925 million (FY2022/23: SGD1,972 million). Total equity attributable to the company’s shareholders stood at SGD,637 million (FY2022/23: SGD6,259 million).

Recovery boosted CAG’s topline 

CAG CEO  Lee Seow Hiang commented: “FY2023/24 marked a significant milestone for Changi Airport as passenger traffic recovered to pre-Covid levels in the fiscal year’s final quarter.

“The recovery of travel boosted our topline while we continued to exercise prudence with our operating expenses. This has translated into an improved financial performance with higher EBITDA and profit attributable to our shareholders.

“While the outlook for aviation is promising and travel demand is on the upward trend, we are aware that the industry operates in a highly volatile and fast-changing environment. To stay ahead, Changi Airport will continue to invest to keep its fundamentals strong and to remain attractive as an air hub. This includes developing Terminal 5, which will begin construction in 2025.

“As we further strengthen our position as a leading international air hub, we acknowledge the collective efforts of the airport community and thank all our partners for working closely with CAG to drive Changi’s long-term growth.”

About Changi Airport Group
Changi Airport Group (Singapore) Pte Ltd (CAG) focuses on airport operations and management, air hub development, commercial activities and airport emergency services. It also manages the Changi East development project, including building a new Terminal 5 for Changi Airport. CAG also operates Seletar Airport (IATA: XSP, ICAO: WSSL) and, through its subsidiary Changi Airports International, invests in and manages airports around the world.

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