Copenhagen Airport (CPH) is facing a financial testing period this year, after recording a pre-tax loss of DKK 59 million (€7.9 million) in the initial quarter of the year.
However, the CPH’s attention is now turned towards the summer season, during which period it will offer direct flights to more than 160 world destinations, SchengenVisaInfo.com reports.
The airport’s operations are also noticeably expanding, characterised by an increase in staff hiring and active construction work.
According to CPH data, the airport welcomed 5.2 million passengers during the first three months of 2023. Meanwhile, revenue reached DKK 839 million (€112 million), which is an increase of 45 per cent compared to the same period last year.
Preparations for an active summer are well underway at the airport, with an additional 100 staff members recruited, adding to the 810 employees hired the previous year.
From the present time and up until October, the airport plans to provide flights to over 160 destinations, signifying an increase of nine destinations compared to the summer season of 2022.
Commenting on the matter, Copenhagen Airport CEO Thomas Woldbye, said that they expected to register a loss in the previous months. The same noted that the Airport has high hopes for the summer months as the figures have already started to increase.
“The loss was to be expected. Breaking it down month by month, we made a slight profit in March, and that is an indicator for the coming quarters, in which we expect to turn a profit,” the statement of Woldbye reads.
He also emphasised that the airport is primed and equipped to facilitate summer travels for tourists from Denmark and southern Sweden and to receive the numerous visitors flying into Denmark.
As Woldbye explains, last year Denmark reduced its expenses and port activities and the same thing could not happen this year, considering that the management and development of the airport has become much more expensive in 2023.
Furthermore, CPH plans to allocate as much as DKK 1.7 billion (€228 million) this year for airport development and upgrades.
Concurrently, the demand for travel remains robust and overall income is projected to experience a ten per cent surge in 2023. This growth trajectory is largely dependent on passenger counts, with expectations of surpassing 25 million passengers this year.
Besides, if the passenger count reaches this 25 million mark, CPH anticipates a pre-tax profit ranging between DKK 150-200 million (€20-26 million).
An uptick in passenger movement will positively influence this, though it may be offset by escalating operating costs and interest rates in comparison to the previous year.