Profit falls at both Belfast airports
14.10.11
Profit falls at Belfast's two airports suggest competition between is hurting both, the BBC reports. Belfast City Airport made a £15,000 pre-tax profit on a turnover of £17.1m in 2010, down from profits of £433,000 in 2009. Belfast International Airport saw its pre-tax profit drop 11% to £1.6m on a turnover of £30.6m in 2010.
Belfast City Airport was originally conceived as a low volume, high margin operation, focusing on the business traveller. But with business class travel on domestic routes now largely history, the airport has been forced to chase a wider range of customers. With margins reduced, the only way to make money is to increase volumes and compete with its larger rival, which seems to be affecting the profitability of both hubs
Reduced profits could starve both airports of investment and raises questions about the region having two airports in direct competition, the BBC suggests. Both airports also compete with Dublin airport, especially with the current rates of APD much higher than air taxes in Ireland. This would also be hitting profits.
To book belfast airport hotel or belfast airport car park at the lowest price click on these links to belfast airport car parking and belfast airport hotel price comparison pages.
