Wellington Airport passenger numbers bouncing back, $25.2 million profit for the year

Wellington Airport passenger numbers have bounced back to 86% of pre-Covid levels, as the airport posts a profit of $25.2 million for the year.

It was “pleasing to see strong continued recovery” after the “trials of the pandemic”, said chief executive Matt Clarke. The results were from the 12 months leading up to the end of March 2023.

Total passengers for this period totalled 5.26m, made up of 4.7m domestic passengers and 564,000 international passengers.

“It’s hard to believe how much things have changed from the previous financial year when there was no regular international travel, compulsory face masks and massive disruption to major events,” Clarke said.

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In the previous financial year the airport’s profit was just $3m, with lower numbers of domestic passengers and virtually no international travel.

International visitors were up 1000% on the previous year, because it was the first year with open borders since the Covid-19 border closure. They made up 74% of pre-Covid levels.

Many more domestic passengers travelled through the airport compared with the previous financial year. Overall domestic travel through Wellington has bounced back to about 90% of pre-Covid levels.

“International borders are now fully open, major events are running smoothly, and the terminal is bustling again – a shot in the arm after so much global disruption,” the airport’s 2023 annual review says.

It wasn’t all good news – Clarke cautioned that there were several headwinds in the short-term, with inflation, the cost of living crisis and constrained airline capacity all facing the airport.

The airport had proved its resilience during Covid-19, he said. The $75.8m support agreement from shareholders Infratil and the Wellington City Council was “thankfully not utilised”, and expired in June 2022.

Air New Zealand, Qantas, Jetstar and Fiji Airways have all resumed international routes to Wellington. Both Jetstar and Fiji Airways will be increasing their flights this winter.

But some international routes have not yet returned to the airport – notably Singapore Airlines and Virgin Australia. The airport is aiming to increase support and bring more international flights to Wellington.

The focus is now turning towards longer-term growth and the long-planned expansion of the airport, with the required consent over 12.9 hectares of land granted last year by the Environment Court.

Appeals were planned against this designation, but the review notes that the airport has reached a settlement – “avoiding the need for a full Environment Court hearing which would have been long and costly for everyone involved”.

With these roadblocks removed from expansion, incremental steps will be taken to expand the airport over the coming years, with no fixed timeline.

Eventually the expanded airport will include a new international terminal and more space to store aircraft.

This year construction will start on a new Airport Fire Station on Coutts St, which will free up space for the existing site to be used for aviation.