Gatwick Airport Financial Performance 2019-2022

Gatwick Airport Financial Performance 2019-2022

Gatwick Airport posted revenues of £776.6m in 2022, up from £192.7m in 2021. The airport saw a strong and steady recovery in passenger numbers throughout 2022 and more infrastructure being brought back into use, including the reopening of the South Terminal in late March 2022. Compared with the same period in 2019 (the last full year prior to the pandemic) total revenue in 2022 was £77m lower. Just over half of revenue was related to airport and other traffic charges. The airport made more revenue from parking, which in 2022 accounted for 13.1% of revenue, compared with 10.2% back in 2019. Total passengers in 2022 stood at 32.8m, compared with 46.6m in 2019.

The table below really does demonstrate the impact of the pandemic on the business of Gatwick, which saw planes grounded throughout an extended period.

Gatwick Airport Financial Performance 2019-2022

£m 2019 2020 2021 2022
Airport and other traffic charges 457.2 89.7 85.6 405.7
Retail revenue 199.5 49.8 38.6 158.6
Car parking revenue 87.2 17.7 18.0 101.7
Property income 33.3 30.6 25.9 30.8
Operational facilities and utilities income 34.5 12.7 10.5 34.6
Other income 41.8 16.5 14.1 45.2
Total revenue 853.5 217.0 192.7 776.6

History of Gatwick Airport

Gatwick Airport began life in 1930 as the Surrey Aero Club, a small club for flying enthusiasts. In 1934, Gatwick was licensed as a public aerodrome to provide regular services to Paris and act as relief for London Croydon Airport. It took a break from public life soon after when it became a base for RAF night fighters. Queen Elizabeth reopened the airport in 1958 after a £7.8 million construction project that transformed Gatwick into a global travel hub. Taking over two-and-a-half years to complete. Gatwick became the first airport in the world to have a direct railway link, allowing passengers to enjoy more seamless journeys.

Increased passenger demand, and the introduction of large aircraft like the Boeing 747, required three runway extensions, in 1964, 1970 and 1973. The latest enabling non-stop flights to and from the US West Coast. In 1988, the Queen returned to open the £200 million North Terminal, which saw the main building renamed South Terminal. Just ten years later, a fourth runway extension was required, and easyJet (now the airport’s biggest airline) took up residence at Gatwick the following year. The 21st century began with extensions to the North and South Terminals, totalling £60 million, followed by the construction of the famous air passenger bridge — the longest in the world at 194 metres.

The British Airports Authority was forced to sell Gatwick Airport in 2009, following a Competition
Commission report. Global Infrastructure Partners (GIP) took over the airport, announcing plans to modernise and upgrade. In 2012, GIP announced a £2.5 billion investment programme.
Gatwick opened the world’s largest self-service bag-drop zone in 2013. Our highly efficient security operation meant passengers waited less than five minutes at security 97% of the time. Unmatched in size, innovation and ambition, this highlighted Gatwick’s commitment to putting passengers at the heart of its operations by dramatically reducing queues.

May 2019 marked the beginning of new management with VINCI Airports owning the majority
shareholding of 50.01%, with the remainder owned by a consortium of investors managed by
Global Infrastructure Partners. Pre-COVID-19 Gatwick served a record 46.6 million passengers and was famous for being the world’s most efficient single runway airport, with a flight almost every minute. The pandemic had a dramatic impact on the travel industry, which saw our flights reduced to one terminal for nearly two years.

In March 2022 the South Terminal was reopened, as borders across the world reopened. The airport saw a rapid recovery, with over 30 million passengers passing through the airport in the year. Our route network rebuilt over the year and now boasts around 40 long haul destinations.

During a busy summer we also completed the resurfacing of the Main Runway. A new approach saw almost 40,000 tonnes of asphalt laid – 100,000 tonnes less than normally used when resurfacing the airport’s Main Runway, and for half the original cost. Gatwick committed to reach net zero for airport operations (Scope 1 and 2) by 2030, ten years ahead of its previous target to ensure we are creating a sustainable airport for the future. Later this year the redeveloped train station will be completed, marking yet another step forward in Gatwick’s evolution as a global transport hub.

Company Insight provides expert company research services. If you are looking for company research or market analysis services please get in touch