Invest
Airports grow as passengers dwindle
Despite setbacks from lower numbers of passengers and weak car park figures, east coast airports have set record profits, based on national figures.
Airports grow as passengers dwindle
Despite setbacks from lower numbers of passengers and weak car park figures, east coast airports have set record profits, based on national figures.
Brisbane, Melbourne, Perth and Sydney collectively earned $863.5 million in operating profits from aeronautical activities in 2018-19, up 3.6 per cent.
“Despite weaker growth in the number of passengers flying in 2018-19, together the four largest airports have managed to report record profits from aeronautical activities,” ACCC chair Rod Sims said.
“Australia’s four major airports have collectively increased their aeronautical profit almost every year over the 17-year lifespan of the ACCC’s monitoring. This may illustrate the benefit of being a monopoly,” Mr Sims continued.
Sydney Airport’s return on aeronautical assets was its highest since the monitoring regime began, rising to a return of 12.5 per cent, while returns for the other three airports fell.
Last week, the publicly traded Sydney airport reported earnings before interest tax depreciation and amortisation of $1.33 billion, up 4 per cent.
At Perth Airport, the operating profit from aeronautical operations fell by 19.2 per cent in 2018-19 to $75.7 million due to lower charges to airlines and higher costs associated with taking back operational control of its domestic terminal T4 from Qantas.
The ACCC also noted the profitability in car parking revenue continues to fall for all four airports as consumers continue to look for cheaper alternatives to get to and from the major airports.
The airports collectively earned $276.1 million in operating profit from car parking in 2018-19, down 2.5 per cent. Both Sydney and Melbourne airports earned lower profits than the previous financial year; however, Brisbane and Perth airports’ profits increased.
“While Melbourne Airport has reduced its car parking prices, and profits generally have fallen, the airports are still earning very high profit margins from car parking,” Mr Sims said.
Sydney and Brisbane airports were typically the more expensive airports for short-term parking near the terminals, while Sydney and Perth were generally the more expensive airports for long-term parking away from the terminals. Parking prices generally increased in 2018-19 at Brisbane Airport, while they continued their downward trend at Melbourne Airport.
RELATED ARTICLES
About the author
About the author
Economy
RBA's hawkish stance reflects inflation concerns, State Street economist comments
In a recent statement, the Reserve Bank of Australia (RBA) has signaled a hawkish stance on interest rates, drawing insights from financial experts about the implications for Australia's economic ...Read more
Economy
Navigating the inflation maze: How CFOs can outsmart economic hurdles in Australia
Fresh inflation data have cooled expectations of near-term rate cuts in Australia, intensifying pressure on margins, capital allocation and demand. Rather than wait for monetary relief that may not ...Read more
Economy
Inflation concerns rise as Australia's CPI climbs to 3.8% in October
Australia's latest Consumer Price Index (CPI) figures have sent ripples through the economy, with headline inflation accelerating to 3.8% year-on-year in October, up from 3.6% in September. The data, ...Read more
Economy
October CPI results pose challenges for RBA’s monetary policy stance
In a surprising turn of events, the October Consumer Price Index (CPI) data has raised eyebrows among economists and market strategists, revealing stronger-than-expected inflationary pressures in ...Read more
Economy
Global deal activity declines by 6% amid economic uncertainty, reports GlobalData
In a year characterised by economic turbulence and evolving market conditions, global deal activity has witnessed a notable downturn during the first ten months of 2025. According to GlobalData, a ...Read more
Economy
Australia’s softening labour market puts another RBA cut in play — here’s what business should do now
A four-year high in unemployment has revived expectations the Reserve Bank could deliver another rate cut as soon as November. With quarterly GDP growth running at 0.6 per cent and annual growth at ...Read more
Economy
Rising CPI reinforces RBA’s stance as rate cut expectations remain: State Street
State Street Global Advisors says the Reserve Bank of Australia (RBA) is likely to hold its current policy outlook following the release of September quarter inflation data, which showed an unexpected ...Read more
Economy
NSW SES boosts tsunami preparedness ahead of World Tsunami Awareness Day
As World Tsunami Awareness Day approaches on 5 November, the New South Wales State Emergency Service (NSW SES) is ramping up efforts to enhance tsunami preparedness along the east coastRead more
Economy
RBA's hawkish stance reflects inflation concerns, State Street economist comments
In a recent statement, the Reserve Bank of Australia (RBA) has signaled a hawkish stance on interest rates, drawing insights from financial experts about the implications for Australia's economic ...Read more
Economy
Navigating the inflation maze: How CFOs can outsmart economic hurdles in Australia
Fresh inflation data have cooled expectations of near-term rate cuts in Australia, intensifying pressure on margins, capital allocation and demand. Rather than wait for monetary relief that may not ...Read more
Economy
Inflation concerns rise as Australia's CPI climbs to 3.8% in October
Australia's latest Consumer Price Index (CPI) figures have sent ripples through the economy, with headline inflation accelerating to 3.8% year-on-year in October, up from 3.6% in September. The data, ...Read more
Economy
October CPI results pose challenges for RBA’s monetary policy stance
In a surprising turn of events, the October Consumer Price Index (CPI) data has raised eyebrows among economists and market strategists, revealing stronger-than-expected inflationary pressures in ...Read more
Economy
Global deal activity declines by 6% amid economic uncertainty, reports GlobalData
In a year characterised by economic turbulence and evolving market conditions, global deal activity has witnessed a notable downturn during the first ten months of 2025. According to GlobalData, a ...Read more
Economy
Australia’s softening labour market puts another RBA cut in play — here’s what business should do now
A four-year high in unemployment has revived expectations the Reserve Bank could deliver another rate cut as soon as November. With quarterly GDP growth running at 0.6 per cent and annual growth at ...Read more
Economy
Rising CPI reinforces RBA’s stance as rate cut expectations remain: State Street
State Street Global Advisors says the Reserve Bank of Australia (RBA) is likely to hold its current policy outlook following the release of September quarter inflation data, which showed an unexpected ...Read more
Economy
NSW SES boosts tsunami preparedness ahead of World Tsunami Awareness Day
As World Tsunami Awareness Day approaches on 5 November, the New South Wales State Emergency Service (NSW SES) is ramping up efforts to enhance tsunami preparedness along the east coastRead more
