EANS-News: Flughafen Wien AG / Strong First Half-Year 2016 Leads to Significant Earnings Improvement for the Flughafen Wien Group

--------------------------------------------------------------------------------
Corporate news transmitted by euro adhoc. The issuer/originator is solely
responsible for the content of this announcement.
--------------------------------------------------------------------------------

quarterly report

Strong First Half-Year 2016 Leads to Significant Earnings Improvement
for the Flughafen Wien Group

* REVENUE increase to EUR 334.4 million (+7.3%), EBITDA rise to EUR
201.5 million (+ 9.9% or EUR 149.7 million clean i.e. adjusted for
the upward revaluation of stake in Malta Airport), EBIT of EUR
138.3 million (clean: +20.1% or EUR 86.5 million)

* NET PROFIT FOR THE PERIOD* up considerably to EUR 106.4 million
(clean rise of 14.7% to EUR 54.6 million)

* NET DEBT further reduced to EUR 419.0 million (down EUR 47.0
million from the end of 2015)

* Increase in the free cash flow to EUR 155.4 due to advance rent
payment (+111.9% from EUR 73.4 million in H1/2015)

* Positive guidance confirmed for 2016: increase in the clean net
profit for the period after non-controlling interests, i.e.
adjusted for Malta revaluation, to EUR 115 million, reduction of
net debt below EUR 400 million

* Traffic guidance for the Vienna Airport site for 2016 also
confirmed: passenger growth between 0% and 2%, projected
development of flight movements between -1% and 0%

* July 2016: +2.9% passenger increase, +6.0% rise in cargo volume at
Vienna Airport

"An economically strong first half of 2016 resulted in a significant
improvement of all relevant financial performance indicators for the
Flughafen Wien Group, featuring increases in revenue and net profit
for the period and a further reduction of net debt. Accordingly, we
continued on this success path for our fifth straight year. In
addition, new companies with 450 employees recently located their
business operations in the Airport City. Our next milestone will be
about EUR 500 million in investments to revitalize and expand the
terminal infrastructure," emphasized Günther Ofner, Member of the
Management Board of Flughafen Wien AG.

"Passenger volume at Vienna Airport is progressing favourably. The
month of July 2016 marked a new record of 2.4 million travellers at
Vienna Airport, the highest number of passengers in the airport's
history. Low cost carriers such as Eurowings and easyJet are growing
strongly, and long-haul flight service is also developing well. The
winter flight schedule 2016/17 will feature the new long- haul
destinations of Havana and Hong Kong offered by Austrian Airlines in
addition to expanded short-haul and medium-haul flight service. We
are optimistic concerning the entire year 2016, even if the travel
industry is currently under strong pressure due to the terrorist
attacks in Paris and Brussels as well as the unstable economic and
political conditions in some regions", explains Julian Jäger, Member
of the Management Board of Flughafen Wien AG.

Traffic development in H1/2016: Flughafen Wien Group handles 12.9
million passengers

Vienna Airport and its foreign strategic investments in Malta Airport
and Kosice Airport showed a slight increase in passenger volume in
the period January to June 2016, handling a total of 12.9 million
passengers or a rise of 2.1% compared to H1/2015.

Vienna Airport: passenger growth in H1/2016 despite a difficult
market Environment

Vienna Airport reported a 0.4% rise in passenger volume in the period
January to June 2016 to 10,500,816 passengers compared to the
prior-year period. The number of local passengers increased by 2.6%
in the first half of 2016, whereas the number of transfer passengers
declined by 5.2%. Passenger volume to Western Europe was up by 2.2%,
whereas the number of passengers flying to Eastern European
destinations fell by 4.7% as a consequence of the economic situation
in Russia and capacity reductions by the airlines. Far Eastern
destinations showed a 1.1% growth in passenger volume compared to a
drop of 0.7% in the number of travellers to the Middle East. The
total number of passengers to North America was up 4.8%. In contrast,
passenger volume to Africa decreased by 23.2% as a result of the
politically unstable situation in North African regions.

The number of flight movements fell by 1.1% year-on-year in the
period January to June 2016 to 108,809 starts and landings. The
average seat occupancy (seat load factor) in the period January to
June 2016 equalled 70.0%, down from the comparable level of 71.5% in
H1/2015. In contrast, cargo volume (air cargo and trucking) increased
by 6.3% in the same period to 138,227 tonnes.

Good traffic results and business development at Malta and Kosice
Airports

The foreign strategic investments of the Flughafen Wien Group in
Malta and Kosice Airports continued to develop well. Malta Airport
reported growth of 9.8% to reach a volume of 2,183,089 passengers in
the first half of 2016. The most important markets for Malta Airport
were Great Britain, Italy and Germany. Kosice Airport handled a total
of 168,648 passengers, comprising a 17.5% rise in passenger volume in
the first half of 2016.

Substantial improvement of financial performance indicators in
H1/2016

Revenue of the Flughafen Wien Group in the first six months of 2016
climbed 7.3% to EUR 334.4 million. In addition to the positive
passenger development, higher revenue in the Handling Segment, the
increased revenue can be attributed to the full consolidation of
Malta Airport as of the second quarter of 2016. With the conclusion
of the transaction in which Flughafen Wien AG increased its
shareholding in Malta Airport, and its formal closing on March 30,
2016, the stake was subject to an upward revaluation and fully
consolidated in the consolidated financial statements of the
Flughafen Wien Group starting at the end of the first quarter of
2016.

Increase of 14.7% in the adjusted net profit for the period* in
H1/2016

EBITDA improved to EUR 201.5 million (+48.0%), whereas EBIT climbed
to EUR 138.3 million (+92.0%) and the net profit for the period after
non-controlling interests rose 123.6% from EUR 47.6 million to EUR
106.4 million. Adjusted for this one-off effect relating to the
upward revaluation of the stake in Malta Airport, clean EBITDA
totalled EUR 149.7 million. (+9.9% vs. the adjusted H1/ 2015 of EUR
136.2 million) and EBIT amounted to EUR 86.5 million (+20.1% vs. the
adjusted H1/2015 of EUR 72.0 million). The reversal of an impairment
of an office building related to increased rental income also had a
positive impact. The clean net profit for the period in H1/2016 was
EUR 54.6 million, comprising a year-on-year rise of 14.7% adjusted
for the upward revaluation of Malta Airport. Net debt was reduced
once again to EUR 419.0 million. The free cash flow rose to EUR 155.4
million (up 111.9% from EUR 73.4 million in H1/2015).

Revenue and earnings development in the segments: New Malta Segment

Revenue of the Airport Segment climbed 2.8% year-on-year to EUR 171.4
million. As a result, segment EBIT improved by 28.5% to EUR 32.1
million (H1/2015: EUR 25.0 million). The Handling Segment showed a
2.5% increase in revenue to EUR 75.5 million and a 63.0% improvement
of EBIT to EUR 5.1 million (H1/2015: EUR 3.1 million). This includes
the security services provided by VIAS as well as the handling
services of Vienna Aircraft Handling (VAH). The Retail & Properties
Segment reported a revenue decline of 6.1% in the first half-year
2016 to EUR 59.5 million. This decrease is primarily due to the lower
rental income relating to a special effect of a finance lease
agreement in conjunction with the acquisition of Hermione, a positive
one-off effect in the previous year and the restrained development of
parking and retail revenue. EBIT of the Retail & Properties Segment
amounted to EUR 33.5 million (H1/2015: EUR 36.3 million). Revenue of
the Other Segments was up 5.5% in H1/2016 to EUR 8.2 million (H1/
2015: EUR 7.7 million). Segment EBIT increased to EUR 58.5 million as
a consequence of the revaluation of the stake held in Malta Airport.
With the closing of the transaction on March 30, 2016, the strategic
investment in Malta Airport is now in the group of companies which
are fully consolidated in the consolidated financial statements of
the Flughafen Wien Group. For this reason, these business results are
reported as the new Malta Segment starting in the second quarter of
2016. Revenue of the Malta Segment amounted to EUR 19.8 million in
Q2/2016, and EBIT totalled EUR 9.2 million.

Investments

Of the total investments (excluding business acquisitions) amounting
to EUR 50.5 million in the first half of 2016, EUR 21.8 million
related to investments in the Runway System 11/29 (runway
modernisation), EUR 5.7 million was for investments in connection
with the 3rd Runway and EUR 2.0 million involved the renovation of an
operations building. Total investments in the year 2016 are expected
to be about EUR 95 million (excluding the special items relating to
Malta Airport). The following values were added to the consolidated
balance sheet as at March 30 2016 on a provisional basis from the
acquisition of Group companies in connection with Malta Airport: EUR
61.3 million for goodwill, EUR 0.9 million for intangible assets and
EUR 363.8 million for property, plant and equipment and investment
property.

Traffic development in July 2016: Flughafen Wien Group handles 3.1
million passengers (+3.2% vs. July 2015), accumulated passenger
growth of 2.3% in the period January to July 2016

In July 2016, Flughafen Wien AG including its strategic foreign
investments in Malta and Kosice Airports handled a total of 3.1
million passengers, comprising a rise of 3.2% from July 2015. The
accumulated passenger volume for the Flughafen Wien Group rose 2.3%
to 15.9 million in the period January to July 2016.

Vienna Airport in July 2016: 2.9% increase in total passengers, 6.0%
cargo growth

The total number of passengers handled at Vienna Airport rose by 2.9%
in July 2016 compared to July 2015 to 2,431,583 passengers. The
number of local passengers climbed 4.3%, whereas the number of
transfer passengers fell slightly by 0.5%. The number of flight
movements at Vienna Airport in July 2016 declined by 1.4% from July
2015. Vienna Airport showed a good level of growth with respect to
cargo volume, which increased by 6.0% from July 2015.

The total number of passengers to Western European destinations
increased by 1.3% in July 2016, whereas passenger traffic to Eastern
Europe was up 2.4%. The number of passengers traveling to the Far
East rose by 6.8% in July 2016, and even climbed by 15.8% to
destinations in the Middle East. Passenger volume to North America
was up 8.0%. The number of passengers flying to destinations in
Africa fell by 8.9%.

The number of passengers handled by Malta Airport rose 5.9%, whereas
passenger volume at Kosice Airport fell by 7.0%.

Presentation of traffic results

Following the increase of the stake held by Flughafen Wien AG in
Malta Airport at the end of March 2016, the strategic investment is
fully consolidated in the interim consolidated financial statements
of the Flughafen Wien Group beginning at the end of the first quarter
of 2016. For this reason, the entire traffic results for Flughafen
Wien AG and its foreign strategic investments have been included in
the monthly reports since April 2016. The traffic results for Vienna
Airport correspond to the comparable values of the monthly
announcements of traffic results up to and including the month of
March 2016.

* Profit for the period attributable to the parent company

Results in detail: Traffic development in July 2016:

January-July
July 2016 Change in % 2016 Change in
%

Vienna Airport(VIE)

Passengers 2,431,583 +2.9 12,932,554 +0.9
Local
passengers 1,708,954 +4.3 9,514,796 +2.9
Transfer
passengers 712,816 -0.5 3,362,952 -4.2
Flight

movements (arrivals and departures) 20,944
-1.4 129,753 -1.1 Cargo in tonnes (air cargo and

trucking) 23,466.2 +6.0 161,692.7 +6.3

Malta Airport(MLA, fully consolidated)

Passengers 580,474 +5.9 2,763,563 +9.0
Local
passengers 579,574 +6.1 2,759,379 +9.1
Transfer

passengers 900 -46.6 4,184
-44.1 Flight movements (arrivals and departures) 3,884
+0.0 19,962 +3.6 Cargo in tonnes (air cargo and

trucking) 1,130.9 -12.4 7,931.5 -2.5

Kosice Airport(KSC, consolidated at equity)

Passengers 66,629 -7.0 235,371 +9.4
Local
passengers 66,629 -7.0 235,371 +9.4
Transfer
passengers - - - -
Flight

movements (arrivals and departures) 1,115
+10.0 5,311 +18.1 Cargo in tonnes (air cargo and

trucking) 9.0 +114.5 56.6 -66.2

Vienna Airport and strategic investments(VIE, MLA, KSC)

Passengers 3,078,686 +3.2 15,931,488 +2.3
Local
passengers 2,355,157 +4.4 12,509,546 +4.3
Transfer
passengers 713,716 -0.6 3,367,136 -4.3
Flight

movements (arrivals and departures) 25,943
-0.7 155,026 +0.0 Cargo in tonnes (air cargo and
trucking) 24,606.1 +5.1 169,680.8
+5.8

Consolidated Interim Financial Statements as of 30 June 2016

______________________________________________________________________________
|in_EUR_million____|____________H1/2016|___________H1/2015*|________Change_in_%|
|Revenue___________|______________334.4|______________311.5|_______________+7.3|

|Other operating | | |
| |income____________|________________6.4|________________5.8|_______
________+9.1| |Other operating | |
| | |income____________|______________340.7|_______
_______317.3|_______________+7.4| |__________________|_______________
____|___________________|___________________| |Consumables and |
| | | |services_used_____|_______
_______-16.6|______________-17.2|_______________-3.6| |Personnel_expe
nses|_____________-132.4|_____________-130.3|_______________+1.6|
|Other operating | | |
| |expenses__________|______________-44.5|______________-37.2|_______
_______+19.6|

|Proportional share| | | |
|of income from | | | |
|companies recorded| | | |
|at_equity_________|________________2.4|________________3.5|______________-30.9|
|Revaluation of | | | |
|companies recorded| | | |
|at equity due to | | | |
|company | | | |
|acquisitions______|_______________51.8|__________________-|_______________n.a.|
|Earnings before | | | |
|interest, taxes, | | | |
|depreciation and | | | |
|amortisation | | | |

|(EBITDA)__________|______________201.5|______________136.2|_________
_____+48.0| |Scheduled | |
| | |depreciation and | |
| | |amortisation______|______________-67.2|_______
_______-64.2|_______________+4.7| |Reversal of |
| | | |impairment________|_______
_________3.9|__________________-|_______________n.a.| |Earnings
before | | |
| |interest and taxes| | |
| |(EBIT)____________|______________138.3|_______________72.0|_______
_______+92.0| |__________________|___________________|_______________
____|___________________|

|Income from | | | |
|investments, | | | |
|excluding | | | |
|investments | | | |
|recorded_at_equity|________________0.6|________________0.1|_______________n.a.|
|Interest_income___|________________0.8|________________1.3|______________-40.4|
|Interest_expense__|______________-11.0|______________-11.2|_______________-1.2|
|Other financial | | | |
|result____________|__________________-|_______________-0.1|_______________n.a.|
|Financial_result__|_______________-9.7|_______________-9.8|_______________-1.3|
|__________________|___________________|___________________|___________________|
|Earnings before | | | |
|taxes_(EBT)_______|______________128.7|_______________62.2|_____________+106.7|
|__________________|___________________|___________________|___________________|
|Income_taxes______|______________-19.1|______________-14.6|______________+30.6|

|Net profit for the| | |
| |period____________|______________109.5|_______________47.6|_______
______+130.2| |__________________|___________________|_______________
____|___________________| |Thereof | |
| | |attributable_to:__|___________________|_______
____________|___________________| |Equity holders of |
| | | |the_parent________|_______
_______106.4|_______________47.6|_____________+123.6|
|Non-controlling | | |
| |interests_________|________________3.1|_______________-0.0|_______
________n.a.| |__________________|___________________|_______________
____|___________________| |Earnings per share| |
| | |(in EUR, basic = | |
| | |diluted)__________|_______________1.27|_______
________0.57|_____________+123.6|

* adjusted for at-equity results

Balance Sheet Indicators

______________________________________________________________________________
|in_EUR_million____|__________30.6.2016|_________31.12.2015|________Change_in_%|
|ASSETS:___________|___________________|___________________|___________________|
|Non-current_assets|____________2,100.8|____________1,748.6|______________+20.1|
|Current_assets____|______________148.1|______________161.1|_______________-8.0|
|__________________|___________________|___________________|___________________|
|LIABILITIES:______|___________________|___________________|___________________|
|Equity____________|____________1,211.4|____________1,020.0|______________+18.8|
|Non-current | | | |
|liabilities_______|______________699.7|______________579.1|______________+20.8|
|Current | | | |
|liabilities_______|______________337.8|______________310.6|_______________+8.8|
|__________________|___________________|___________________|___________________|
|Total equity and | | | |
|liabilities_______|____________2,248.9|____________1,909.7|______________+17.8|
|__________________|___________________|___________________|___________________|
|Net_debt__________|______________419.0|______________466.0|______________-10.1|
|Gearing_(in%)_____|_______________34.6|_______________45.7|____________-11.1p%|

Cash Flow Statement

______________________________________________________________________________
|in_EUR_million____|____________H1/2016|____________H1/2015|________Change_in_%|
|Net cash flow from| | | |
|operating | | | |
|activities________|______________132.2|______________110.1|______________+20.1|
|investing | | | |
|activities________|_______________23.2|______________-36.8|_______________n.a.|
|financing | | | |
|activities________|_____________-113.1|______________-69.9|______________+61.8|
|__________________|___________________|___________________|___________________|
|Free_cash_flow____|______________155.4|_______________73.4|_____________+111.9|
|__________________|___________________|___________________|___________________|
|CAPEX*____________|_______________50.5|_______________24.6|______________105.2|

* Excluding financial assets and business acquisitions

The report by Flughafen Wien AG for the first six months of 2016,
from January 1 to June 30, 2016, is available to the general public
at the company's offices at 1300 Flughafen Wien and at Bank Austria,
1010 Vienna, Schottengasse 6-8. It is also available on the Internet
at http://viennaairport.com/en/company/
investor_relations/publications_and_reports/quarterly_reports

The Management Board of Flughafen Wien AG

Vienna Airport, August 22, 2016

Further inquiry note:
Investor Relations:
Mag. Judit Helenyi (+43-1)7007-23126; j.helenyi@viennaairport.com
Mario Santi (+43-1)7007-22826; m.santi@viennaairport.com

end of announcement euro adhoc
--------------------------------------------------------------------------------

company: Flughafen Wien AG
Postfach 1
A-1300 Wien-Flughafen
phone: +43 1 7007 - 22826
FAX: +43 1 7007 - 23806
mail: investor-relations@viennaairport.com
WWW: http://viennaairport.com/unternehmen/investor_relations
sector: Transport
ISIN: AT0000911805, NEU: AT00000VIE62
indexes: ATX Prime
stockmarkets: official market: Wien
language: English