Fraport's first-half net profit slumps on non-recurring items (updated)

Fraport Frankfurt Airport Services Worldwide AG

05/08/2025 07:00

Fraport Q2 beats estimates on higher traffic and prices

Shares jump 6%, marking best performance since December

Free cash flow improves, robust contributions from Greece, Peru

Recasts to add bullet points, details of earnings, adds share price, comments

By Simon Ferdinand Eibach and Paolo Laudani

Aug 5 (Reuters) - Frankfurt Airport operator Fraport FRAG.DE beat analyst expectations for second-quarter profit on Tuesday on higher passenger traffic and prices and confirmed its full-year earnings forecast, sending shares surging 6% in early trading.

Still, net profit in the first half fell to 98.6 million euros, from 160.8 million euros a year earlier due to non-recurring items booked in 2024. These included a 28 million euro COVID compensation payment for Fraport Greece and 9.1 million euro compensation for flood damage at a Brazilian airport.

Second-quarter earnings before interest, taxes, depreciation, and amortisation (EBITDA) was 383 million euros, exceeding the 374 million expected by analysts in an LSEG poll.

Shares rose 6% and were on track for their best day since December.

Oliver Wojahn, an analyst at mwb research, told Reuters the aviation segment was a mild positive surprise as moderate traffic growth in Frankfurt and higher prices lifted EBITDA and EBIT more than expected.

Second-quarter revenue was in line with expectations and was supported by a 3.8% rise in passenger traffic across the group's global airport network, with particularly strong contributions from Greece and Lima in Peru.

Analysts at J.P. Morgan were "encouraged" by Fraport's improved free cash flow, which in the second quarter reached positive territory at 28.5 million euros.

In the second quarter of last year, the company posted negative free cash flow of 226.9 million euros.

The group reiterated that its full-year profit was forecast to remain in "a stable to slightly falling range."

($1 = 0.8654 euros)

 (Reporting by Simon Ferdinand Eibach and Paolo Laudani; Editing by Bernadette Baum)

 ((Simonferdinand.eibach@thomsonreuters.com))