Knock airport firm Connaught Airport Development posts loss before State subvention

The company that operates Ireland West Airport Knock recorded a pre-tax loss of €536,618 last year — before it received its Government subvention.

Connaught Airport Development Co Ltd had its busiest ever year, with a record 703,000 passengers — an increase of 6% on 2013.

The new accounts show that after the State funding, the airport recorded a modest pre-tax profit of €11,982 compared to a net loss of €5,132, in 2013. Total turnover increased marginally to €14.1 million, helped by its commercial, retail, car parking and other services.

Last year, it received a total of €2.47m in Government funding which went to fund operations as well as capital expenditure. The level of this year’s subvention is due be completed in the coming weeks.

The airport serves 20 international destinations, including 14 scheduled services.

The pre-tax loss last year takes account of hefty non-cash depreciation costs of €1.73m.

A spokesman for the airport yesterday said that the current year has been a good one, largely due to the strength of sterling and the success of the Wild Atlantic Way campaign for which the airport is the main western gateway.

“Generally 2015 has been a positive year with strong growth on existing services from Europe and in particular from the UK with growth on UK routes being up in the region of 8% in 2015,” he said.

But passenger numbers are forecast to be little changed in 2015 from 2014, in the region of 685,000 to 700,000.

The airport has received a boost with seven local and city authorities, including Galway, Mayo, Roscommon, Leitrim, Donegal and Sligo agreeing to invest €7.3m to fund the airport in return for a 17.5% stake. They also get increased representation on the board and a big say in the strategic development and future growth of the airport.

At the end of last year, the operating company had shareholder funds of €2.2m, including cash of €1m.

Staff costs at the airport last year increased 5% to €4.84m from €4.59m. There are 75 people employed in operations, 26 people in retail and catering and 14 work in administration and marketing roles.