KEY POINTS:
Auckland International Airport is going to sell itself harder as effects of the global financial crisis threaten to dent profits.
The company told shareholders at the annual meeting yesterday it expects full-year profit will be at the bottom of a predicted range of $100 million to $110 million.
Chief executive Simon Moutter said the focus at the airport was shifting from planes to people after four years of heavy infrastructure development.
The airport was now "future proofed" in the medium term and had the capacity to sell to new airline and commercial customers.
He took over the job in August and said his emphasis would be on sales and marketing, enhancing a unique Kiwi feel at the airport and on engaging with shareholders. A new strategy was being developed for release early next year.
"It could be the best strategy is to do not much more than we're currently doing, concentrating on carparking, retail and running a good aero business.
"Those are the obvious things to keep driving on but is there anything more obvious than that?"
Airlines have been hit by high fuel prices and dropping long-haul demand but the airport has been helped by strong domestic and transtasman traffic.
Moutter said the airport company could help airlines by working with tourist agencies and providing marketing space around the airport.
Chairman Tony Frankham said that while the airport had a strong balance sheet and solid fundamentals in its revenue streams, it was not immune to the effects of a global recession.
"Auckland Airport has reviewed forecasts in light of these changes and, based on the latest information available, we forecast earnings, consistent with the previous guidance of $100 million to $110 million surplus after tax (excluding fair value changes for property) for the full year, albeit at the lower end."
Any further deterioration in global markets or regional economies as well as material adverse events, significant one-off expenses, or other unforeseeable events could further affect the result.
In the three months since June, profit rose 1.6 per cent. Net income climbed to $24.2 million during the quarter.
International passenger volumes were down 1.8 per cent in the first three months. Domestic passenger movements rose 8.7 per cent and total aircraft movements were up 3.9 per cent.
Frankham and deputy chairman Keith Turner were re-elected to the board.
AIA shares closed steady at $1.76.