HIAL invests for the future as passenger numbers reach all time high

26th September 2014

Passenger numbers at regional airport operator HIAL climbed to their highest ever level in the latest financial year, as the group stepped up its investment for the future.

The company's annual report and accounts for the year 2013/14 show that almost 70,000 extra passengers used the group's 11 airports during the year. Overall, passenger numbers grew by 5.4% to a record 1,367,342.

Sumburgh Airport, currently being upgraded at a cost of £2 million, was the fastest growing airport in the group, with passenger numbers up by 32.2% as a result of increased energy sector traffic. Wick John O' Groats also benefited from the boost in energy related demand as passenger numbers grew by 21.7%.

Inverness enjoyed its busiest year for five years as passenger numbers grew to 619,000, the result of rising demand for the airport's domestic and international network, including a new winter service to Geneva.

Capital investment increased substantially during the period, up from £8 million in 2012/13 to £17 million in the latest financial year. To help fund the extra investment, HIAL drew on its cash reserves, resulting in an increase in the operating loss, from £769,000 to £3.78 million.

There was a modest fall in public subsidies to the company, which is wholly owned by Scottish Ministers, down from £22,189,000 in 2012/13 to £21,847,000 in 2013/14. However, non aeronautical revenue increased by £1.75 million during the period, an increase of 9.7%. The company also showed continued success in reducing operating costs, particularly winter related costs.

Among the investment highlights included £9.5 million on essential repairs of the runway at Sumburgh, increasingly subject to erosion after years of heavy storm damage, £1.4 million to upgrade the runway at Inverness and a further £961,000 on a taxiway extension at Inverness to allow for future expansion of the Inverness Airport Business Park development site.

During the period, HIAL also began to roll out a new fleet of purpose built fire tenders, with the first four of 20 new appliances delivered to Stornoway and Benbecula airports, part of an overall £7 million investment by the group.
In his assessment of the year, Inglis Lyon, Managing Director of HIAL, said: "In many respects, 2013/14 was a particularly successful year for HIAL, with record passenger numbers and a host of new or expanded routes across a number of airports. The period also saw significant investment in new capital projects, future proofing our airports for forecast growth. But there were challenges too, not least as some of our airline partners sought to rationalise their business in the face of rising costs, the future of access to the south east remained up in the air, and the impact of Air Passenger Duty continued to be felt across the industry."

He highlighted efforts to improve connectivity from HIAL's airports, including new easyJet services from Inverness to London Gatwick and new Flybe flights to Geneva, London City and Dublin, improved connections from the central belt to Campbeltown, Sumburgh and Wick John O'Groats, and the launch of a new twice daily weekday service from Dundee to London Stansted, secured through a Public Service Obligation.

Mr Lyon also highlighted HIAL’s contribution to the ongoing debate about the future of air capacity in the UK. In submissions to the Airports Commission, currently considering the future aviation capacity needs of the industry, HIAL has stressed the distinct challenges faced by regional airports, not least those which serve remote or island communities.

HIAL Chairman Grenville Johnston added: "While many of Scotland’s largest airports have secured new high profile international services in recent months, our challenge as a regional airport operator is very different. In many cases, our priority is to retain the existing services we have - often a real challenge in the face of economic difficulties, low population density and capacity constraints elsewhere.

"I am therefore particularly delighted that HIAL recorded its busiest ever year in 2013/14, attracting an extra 70,000 passengers during the period. This is a testament to our success, often in partnership with local authorities and central government, at securing new air services, not just in Inverness - which recorded its busiest year for five years - but across our network of airports, where we have succeeded in improving connectivity."

Copies of the HIAL Annual Report and Accounts are available to download at www.hial.co.uk

GAELIC

HIAL a’ cur airgead an sàs airson an t-àm ri teachd leis an àireamh luchd-siubhail aig an ìre as àirde a-riamh

Dh’ fhàs an àireamh luchd-siubhail HIAL chun an ìre as àirde a-riamh anns a’ bhliadhna ionmhasail a chaidh seachad, agus chuir a’ bhuidheann an gnìomh airgead-seilbh airson an t-àm ri teachd.

Tha aithisg bhliadhnail agus cunntasan na companaidh airson a’ bhliadhna 2013/14 a’ sealltainn cha mhòr 70,000 luchd-siubhail a bharrachd aig an 11 puirt-adhair aig a’ bhuidheann thar na bliadhna. Gu h-iomlan, dh’ fhàs an àireamh luchd-siubhail 5.4% gu reacòrd 1,367,342.

B’ e Sumburgh, far a bheil iad an dràsta a’ leasachadh a’ phort-adhair a bu luaithe a dh’ fhàs sa bhuidheann, leis an àireamh luchd-siubhail suas 32.2% air sgàth ’s gu robh grunn luchd-siubhail gnìomhachas nan lùths a’ meudachadh. Fhuair Inbhir Uige Taigh Iain Ghròt buaidh mhath a-mach à iarratas bho ghnìomhachas lùths le àireamh luchd-siubhail an àrda 21.7%.

Rè an àm seo bha a’ bhliadhna a bu thrang ann an còig bliadhna aig port-adhair Inbhir Nis nuair a dh’ fhàs an àireamh luchd-siubhail gu 619,000 seach gu robh iarratas nas àirde ann airson lionradh dachaigheil agus eadar-nàiseanta na puirt-adhair, a’ toirt a-steach seirbheis ùr geamhraidh gu Geneva.

Dh’ fhàs airgead-seilbh chapla gu mòr rè an àm seo, suas bho £8 millean ann an 2012/13 gu £17 millean sa’ bhliadhna seo. Airson cuideachadh le airgead-seilbh a bharrachd, chosg HIAL airgead cùl-stòr, agus thug seo buil air an call-rian, bho £769,000 gu £3.78 millean.

Bha lùghdaichte ann an taic phoblach dhan chompanaidh, a tha gu lèir le Ministearan Albannach, sìos bho £22,189,000 ann an 2012/13 gu £21,847,000 ann an 2013/14. Ge-tà, lùghdaich teachd-a-steach neo-itealaich le £1.75 millean aig an àm seo, àrdachadh 9.7%. Bha a’ chompanaidh soirbheachail le bhith lùghdachadh cosgaisean-obrachaidh, gu h-àraidh cosgaisean a’ gheamhraidh.

Am measg airgead-seilbh, bha £9.5 millean air a chosg a’ càradh an raon-itealan ann an Sumburgh, a chaidh am milleadh as dèidh stoirmean dona, £1.4 millean airson an raon-itealan a leasachadh ann an Inbhir Nis agus £961,000 a bharrachd air leudachadh an taxiway aig Inbhir Nis airson barrachd leasachadh air làrach leasachaidh Pàirce Ghnìomhachais Port-Adhair Inbhir Nis san àm ri teachd.

Rè an àm seo, thòisich HIAL feuchainn a-mach cabhlach ùr de ghoireasan teine, leis a’ chiad cheithir de 20 ghoireasan ùra a’ dol gu puirt-adhair Beinn na Faoghla agus Steòrnabhagh, pàirt den £7 millean de airgead-seilbh na buidhne.
Thuirt Inglis Lyon, Àrd-Stiùiriche HIAL mu dheidhinn na bhliadhna: "Ann an iomadh dòigh, ’s e bliadhna gu math soirbheachail airson HIAL a bh’ ann an 2013/14, leis an àireamh de luchd-siubhail as àrd a bh’ ann a-riamh, agus slighean ùra stèidhte aig grunn phuirt-adhair. Rè an àm seo, chuir sinn airgead-seilbh cudromach ann am prìomh phròiseactan, a’ dìon ar puirt-adhair gus a fàsadh iad san àm ri teachd. Ach, bha dùbhlain ann cuideachd aig àm nuair a bha com-pàirteachan a’ cur an ìre na gnìomhachasan aca seach gu robh prìsean ag èirigh. Bha ceangalan leis an ear-dheas cugallach airson an àm ri teachd, agus bha an roinn fhathast a’ faireachdainn buaidh an Air Passenger Duty (APD)."

Chuir e fòcas air an obair a thathas a’ dèanamh airson leasachadh ceangalan bho phuirt-adhair HIAL, a’ toirt a-steach seirbheisean ùra EasyJet bho Inbhir Nis gu Gatwick Lunnainn agus seirbheisean-adhair ùra gu Geneva, Baile Mòr Lunnainn, agus Bail'-Ath-Cliath, seirbheisean nas fheàrr bho Mheadhan Alba gu Ceann Loch Chille Chiarain, Sumburgh agus Inbhie Uige Taigh Iain Ghròt, agus a’ cur air bhog seirbheis ùr dà uair gach latha bho Dùn Dè gu Stanstead Lunnainn, a fhuair iad tro Dhleastanas Seirbheisean Poblach.

Chuir Mgr Lyon cuideam air cuideachadh bho HIAL airson an deasbad leantainneach mu chomas-adhair san àm ri teachd. Tha Coimisean nan Puirt-adhair an dràsta a’ beachdachadh air iarratas comas adhair san àm ri teachd agus tha HIAL a’ cur cuideam air na dùbhlain sònraichte a tha an aghaidh puirt-adhair roinneil, gu h-àraidh an fheadhainn a tha a’ toirt seirbheisean do choimhearsnachdan nan eilean.

Thuirt Cathraiche HIAL, Grenville Johnston: "Ged a fhuair tòrr de na puirt-adhair as motha seirbheisean suaicheanta eadar-nàiseanta anns na mìosan a chaidh seachad, tha an dùbhlan a th’ againn mar ghnìomhaiche puirt-adhair sgìreil gu math diofraichte. ’S e a’ cheud chothrom againn, gun glèidh sinn na seirbheisean a th’ againn mar thà - glè thric, ’s e dùbhlan a tha seo aig àm nuair a tha an eaconomaidh cruaidh co-dhìu, an àireamh sluaigh ìosal, agus èiginn air comas ann an àitean eile.

Airson an adhbhar sin, tha mi gu sònraichte toilichte gu bheil HIAL air a’ bhliadhna a bu thrang a bh’againn a-riamh a chlàradh ann an 2013/2014, a’ tarraing 70,000 luchd-siubhail a bharrachd fad a’ chuairt seo. Tha seo a’ dearbhadh cho soirbheachail sa tha sinn air a bhith, gu math tric ann an com-pàirteachas le ùghdarrasan ionadail agus riaghaltas meadhanach, a’ faighinn seirbheisean-adhair ùra, chan ann an Inbhir Nis a-mhàin - a chlàr a’ bhliadhna a bu thrang ann an còig bliadhna - ach air feadh lionradh ur puirt-adhair, far a bheil sinn air a bhith soirbheachail le bhith leasachadh nan ceangalan.

Gheibh sibh an Aithisg Bhliadhnail agus Cunntasan aig www.hial.co.uk