Gatwick braces for lengthy recovery

LONDON - Passenger numbers and revenue were up at Gatwick Airport for the nine-month period ending 31 December 2019, compared to the same period last year. Just under 37 million passengers passed through the airport in the nine-month period – an increase of 0.3 percent - but then Covid-19 stroke.

The annual results cover a nine-month period as Gatwick aligns reporting cycle with that of Vinci Airports, the airport’s 50.01 percent shareholder.

"Since the end of the reporting period however, the airport - and the wider aviation industry - has experienced unprecedented market circumstances and a dramatic decline in passenger numbers due to the impact of Covid-19", the airport said in a statement.

In response, Gatwick has taken a range of steps to protect both the wellbeing of its staff and passengers and shield the business. Measures taken to reduce the airport’s operational footprint include the temporary consolidation of operations into the South Terminal and limiting scheduled flights to between 14:00 and 22:00 each day.

To improve its liquidity, Gatwick secured a £300m loan with a consortium of banks. The company will not be paying a dividend in 2020. Gatwick expects all those measures "to enable a quick recovery of the business" and expects post-Covid-19 passenger numbers will "return to recent levels within 36 to 48 months".