Bankinter | The UK’s Heathrow airport has improved its passengers’ estimate for 2022 to 54,4 million, which would mean a recovery of 67% of 2019 levels. It’s an improvement of 3% on the 52,8 million forecast in April. The company foresees revenues doubling to 2.593 billion pounds and adjusted EBITDA growing 257% to 1.370 billion pounds. That said, it has warned that uncertainty remains high and that there are significant…
Morgan Stanley | Heathrow (C.8% of the value of Ferrovial (FER)) beat expectations in terms of revenues and costs in Q1’22. In light of an acceleration in the recovery during March/Easter, and a good outlook for airline capacity this summer, management has upgraded its previously conservative guidance for FY’22 by 16% (45.5 million people → 52.8m). It maintains its traditional cautious view with regard to the outlook for Autumn/Winter. The establishment…
More than 3 million passengers used Heathrow airport in October, encouraged by the easing of UK travel restrictions prior to the Autumn half-term holiday. Spanish infrastructure group Ferrovial is the largest stakeholder in Heathrow, with 25 percent.
Heathrow Airport Limited is controlled by a consortium led by Ferrovial with a 25% stake, Qatar Investment (20% of the capital), Caisse du Quebec (12.62%) and Singapore’s GIC fund (11.2%). The partners have already activated new urgent lines of financing for a total of 850 million euros. Heathrow wants to increase prices, and the regulatory body (CAA) is receptive to the request. But it wants the dividend cut to shareholders to be extended.
The British Supreme Court has overturned a court ruling that forced to stop the construction of a third runway at London’s Heathrow airport, Britain’s biggest airport, which is currently controlled by the Spanish group Ferrovial. The judicial decision considers that the work is not illegal and, from now on, Ferrovial may request permission to undertake the project. In February, the London Court of Appeal ruled in favor of environmental activists against the expansion of the airport.
Banc Sabadell | Despite Ferrovial´s excellent performance this year (+26% in absolute terms and +17% vs IBEX) our Objective Price still suggests potential (c.+10%) and the share remains one of our main bets in the sector.
The weakness in Ferrovial’s share price compared with that of its peers is largely down to the erosion in the construction division’s EBITDA margin. This has declined by 65% to 2.6% for Ferrovial Agroman, and it’s not expected to recover until the beginning of 2019.
Ferrovial, which owns 25% of Heathrow, could benefit from the possible extension of the airport’s installations: apart from being able to participate in the construction of a third runway, the increase in the number of passengers would mean higher revenues, profits and dividends for the Spanish services and infrastructure operator.