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Fraport Defies Mideast Tensions to Hold USD1.7B Profit Target
(MENAFN) Fraport Group, the operator of Germany's busiest aviation hub, reaffirmed its full-year 2026 financial targets Monday despite navigating a turbulent opening quarter shaped by Middle East war disruptions and recurring Lufthansa worker strikes.
The Frankfurt Airport operator reported first-quarter revenue of $996.2 million, a 5.2% year-on-year increase, while earnings before interest, taxes, depreciation, and amortization (EBITDA) climbed a robust 10.4% over the January-to-March period to reach $229.1 million.
Passenger throughput at Frankfurt Airport reached approximately 12.7 million in the first quarter — a 2.3% annual rise — as an uptick in direct Asian routes compensated for flight cancellations from Gulf nations triggered by the ongoing regional conflict.
For the full year, Fraport projects global passenger volumes of between 188 and 195 million across its international portfolio, with Frankfurt Airport alone expected to accommodate 65 to 66 million travelers. The group is targeting adjusted operating profit of approximately $1.7 billion, sustaining its upward earnings trajectory.
Fraport CEO Stefan Schulte identified uninterrupted jet fuel supply as the linchpin of that $1.7 billion ambition. While acknowledging the risk of supply disruptions from Gulf producers — with a potential fuel shortfall flagged as early as late May — Schulte said the company is standing by its forecasts, anchored by Berlin's assurances on supply security.
German economy and energy minister Katherine Reiche provided further reassurance, confirming adequate kerosene supply across the German market and noting that strategic state reserves exceeding one million tons of jet fuel could sustain approximately six weeks of national demand.
Aviation analysts, however, flagged a residual risk: while Middle East sources account for just one-fifth of kerosene consumed at Germany's airports, potential fuel restrictions at certain Asian hubs could complicate inbound return flights.
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