New Routes Boost Growth in Copenhagen Airport

A total of 8,413,408 passengers travelled through Copenhagen Airport in the third quarter of 2016, giving a total of 22,118,267 passengers in the first nine months, an increase of 9.9% on 2015.

A large part of the growth can be attributed to more tourists flying to Denmark. New routes and more capacity are increasing tourism, creating growth and jobs throughout Denmark. Expectations for the full year are maintained.

Copenhagen Airport has been extraordinarily busy over the first nine months of the year. More than 22.1 million passengers have passed through the airport, an increase of 9.9% on the same period of 2015.

Growth has been driven in particular by more passengers on international routes. The long-haul intercontinental routes experienced growth of 10.6%, while European traffic increased by 10.0%. Domestic traffic grew too, with a year-on-year increase of 6.9%.

In the first half year of 2016, the number of international tourists flying to Copenhagen increased by approx. 16% and the number of foreign business travellers by more than 12%.

“Several new routes have opened, alongside increased capacity on many routes in the form of larger aircraft or more departures. This makes Denmark more accessible , and the improved connectivity is one of the key reasons why more tourists, in particular, are doing so,” explains Thomas Woldbye, CEO of Copenhagen Airports A/S.

He emphasises that the growth in the number of tourists is creating growth and new jobs in the tourist industry:

“We know that a new air route means more international tourists in Denmark,” says Copenhagen Airport’s CEO, Thomas Woldbye. “So we’re also delighted that Copenhagen Airport has managed to attract additional new routes in recent years. The many new routes are helping to attract more tourists to Danish destinations and contributing to growth and job creation in the tourism sector. This is one of the very positive effects of the development of new routes at Copenhagen Airport that we have seen historically. And those effects will be enhanced in the coming years as we realise our plan to grow from 25 to 40 million passengers a year. ”

The consulting company DAMVAD Analytics has calculated that the growth in Copenhagen Airport from 2005 to 2015 has increased Denmark’s gross domestic product (GDP) by approx. DKK 31 billion. The new routes, the higher seat capacity and the increased number of passengers flying to Copenhagen Airport in the first nine months of 2016 have boosted Copenhagen Airport’s contribution to GDP by approx. DKK 2.9 billion, according to DAMVAD Analytics’ latest calculation.

“As Denmark becomes better connected to the world, so our prosperity increases. Copenhagen Airport’s contribution to Danish growth has increased by just under DKK 3 billon this year, underlining how important it is that we stay focused on getting even more routes and, consequently, more connectivity and growth, benefiting all of Denmark,” says Thomas Woldbye.

The analysis of Copenhagen Airport’s contribution to the economy was carried out earlier this year by DAMVAD Analytics, based on a comprehensive analysis of 125 European airports by InterVISTAS, a leading management consulting company with extensive expertise in aviation.

The high growth in passenger numbers has also helped to ensure good third-quarter results for Copenhagen Airports A/S (CPH). Revenue grew by 9.8% and, although CPH maintained its high level of capital investments in the third quarter, profit before tax, excluding one-off items, increased by 17.1% to DKK 1,278.7 million.

In August, CPH’s full-year outlook for profit before tax, excluding one-off items, was upgraded to DKK 1,550-1,650 million. This outlook is maintained.

The high growth in passenger numbers means that CPH continues to have a high level of capital investments, totalling DKK 664.7 million in the first nine months of the year. These relate in particular to expansion of capacity at the central security checkpoint, improvement of wide-body facilities, new aircraft stands, runway renovation, and various IT systems and additional investments.

“Our level of capital investments remains high. We are maintaining our Expanding CPH strategy, under which we will expand and develop the airport as passenger numbers increase. Our plan is to grow to 40 million passengers per year, which requires investments of up to DKK 20 billion,” says Thomas Woldbye.

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