Fraport (FRA) Q4 2024 earnings summary

Executive summary

• Achieved all-time high EBITDA of EUR 1.3 billion and group net result over EUR 500 million, near 2018 record, despite challenging environment and heavy investments.

• International airports fully recovered to 2019 levels, with Greece and Lima outperforming, while Frankfurt and Germany lagged due to external factors.

• Major CapEx programs, including new terminals in Lima, Antalya, and Frankfurt, are nearing completion, reducing future CapEx needs and supporting free cash flow improvement.

• Free cash flow break-even targeted as all major investments conclude.

Financial highlights

• Revenue rose to EUR 4,427.0 million in FY24, up from EUR 4,000.5 million in FY23.

• Group EBITDA reached EUR 1.3 billion, in the middle of guidance range; net result exceeded EUR 500 million.

• Operating cash flow grew 37% year-over-year to EUR 1.18 billion, driven by strong operations and working capital management.

• Free cash flow was negative EUR 675 million due to expansion CapEx; net debt stood at EUR 8.4 billion, leverage ratio at 6.4x.

• Liquidity remained strong at over EUR 3.9 billion; average cost of debt stable at 3.2%.

Outlook and guidance

• 2025 Frankfurt passenger growth expected below 4%, with group result flat to down due to non-recurring gains in 2024.

• Moderate single-digit percentage EBITDA increase guided for 2025; free cash flow targeted at break-even.

• No dividend expected for 2025 (payable in 2027), with focus on deleveraging; dividend resumption likely in 2027 for 2026.

• CapEx to drop below EUR 1.1 billion in 2025, with further reduction in 2026; long-term maintenance CapEx guided at EUR 500 million annually.

• Multi-year aviation charge agreement provides visibility on Frankfurt tariffs.