September 28, 2006
Alpha Airports Group posted a 34 percent rise in first-half pre-tax profit on Thursday and said it had signed a 10 year extension to its contract with Manchester Airport.
Alpha, which provides retailing and catering services to 100 airlines at 83 airports in 15 countries, said adjusted pre-tax profit for the six months to end-July reached GBP8.3 million pounds (USD$15.6 million) as revenue rose 3.8 percent to GBP278.9 million (USD$523.4 million).
"Against a difficult trading backdrop and the distraction of internal events these are encouraging results. We are confident that the full year results will, subject to the current security concerns, be in line with our expectations," Chairman and Chief Executive Peter Williams said.
Alpha Airports shares were suspended in April for nearly three months after auditors withdrew approval for its annual accounts pending an investigation into a credit note the firm wrote for one its clients.
The move was followed by the resignation of both Chief Executive Kevin Abbot and Finance Director Heather McRae with Chairman Graham Frost stepping down at the time of re-listing. The accounts were found to be in order.
"It's all done, dusted, gone, happened... The accounts have been re-audited... The shares have re-listed... Everybody is happy," interim Finance Director Tim Redburn said.
The group appointed Mark Adams as finance director earlier in September and Redburn said the search for a new chairman was at the interviewing stage. An appointment was expected at the end of October or early November.
Alpha Airports said the Manchester deal, to deliver retail services to the airport's three terminals, was expected to produce turnover of more than GBP800 million (USD$1.5 billion) over the 10 years.
Redburn said Alpha had a long relationship with Manchester Airport and this was an important deal for the group as its biggest customer in the UK. He saw further expansion at one of the country's fastest growing airports.
(Reuters)