Frankfurt airport operator Fraport expects core profit to rise again next year as sales gain, reversing an expected revenue drop this year, it said in its annual report on Thursday.

But Fraport said rising depreciation and amortization costs, and higher interest expenses would push 2009 net profit below this year's level.

Fraport said earlier this month that it expected earnings before interest, taxes, depreciation and amortization to rise this year from EUR580.5 million euros (USD$897.5 million) last year. Sales were seen dropping this year from EUR2.33 billion in 2007.

Fraport said then that net profit would decline this year from EUR213.7 million last year because of one-off tax effects in 2007 and an increase in interest costs.

Capacity constraints at Frankfurt Airport and falling income from security services would "dampen revenue" in the group's aviation airport operations division in 2009, with airport fee revenue rising only slightly, Fraport added.

Higher security costs and depreciation and amortization expenses would weigh on profit at the division.

But new airport retail and advertising space and additional income from car parks would lead to significant sales increases in the Retail and Properties division in 2009, Fraport said. Operating profit at the unit would also rise.