Prestwick Airport back in black as revenue soars
● Publicly-owned Ayrshire site in profit 12 months after £1m loss
An airport owned by the Scottish Government has reported a financial turnaround after a £1 million loss the previous year.
Glasgow Prestwick Airport reported an underlying operating profit of £3m, subject to audit, for the 12 months to 31 March this year.
Revenue increased by 46 per cent year-on-year to £36m, up from £24.6m.
The Scottish Government has been seeking to sell the site after taking it into public hands for £1 in 2013.
A preferred bidder was appointed last year.
Stewart Adams, chief executive at Glasgow Prestwick Airport, said the development of new revenue opportunities coupled with measures to control costs and operational efficiencies helped improve the airport’s financial performance.
But he said the coronavirus pandemic was posing new challenges for the airport.
“This performance underlines Glasgow Prestwick Airport’s enhanced status as a vital strategic provider of international freight and aviation services, and a major infrastructure asset which benefits the Scottish economy,” Mr Adams said.
“While we were very much on an upward trajectory in terms of profitability before the global pandemic, it is inevitable that our future revenue and profits will be affected due to the impact of coronavirus.
“Even before the pandemic, our financial performance was hampered by declining passenger numbers and revenue. In turn, we do not expect passenger numbers to return to pre-coronavirus levels in the near future.”
The airport is owned by TS Prestwick Holdco – a private limited company wholly owned by the Scottish Government.
Mr Adams said talks were continuing with the preferred bidder. He said: “A preferred bidder was appointed as part of the sale process.
“Whilst talks with the preferred bidder are continuing, it has been necessary to extend the timeframe for these discussions.
“Due to Glasgow Prestwick Airport’s importance to Scotland’s national infrastructure, we are confident that the business can be sold in due course.”
Since April, Glasgow Prestwick Airport and its specialist freight services have been involved in the welcoming and handling of personal protective equipment for healthcare workers in Scotland.
Andrew Miller, non-executive chairman at Glasgow Prestwick Airport, applauded the “significant gains” made in the marketplace.