Following a year of strong growth, Shannon Airport is gearing up to reach the two million passenger mark by the end of the year, for the first time since 2009.
According to Mary Considine, CEO of The Shannon Airport Group, growth across all key air services in 2023 surpassed expectations. Ms Considine was commenting following today’s publication of The Shannon Airport Group’s 2023 annual report.
“2023 saw us welcome 1.959 million passengers, a 29 per cent increase on the previous year, and the highest level of traffic since 2009," she said. "Our commitment to enhancing connectivity was reflected in notable increases in passenger traffic across all key markets. Continental European traffic rose by 41 per cent to 748,000, UK traffic increased by 31 per cent to 838,000, and transatlantic passenger numbers grew by 24 per cent to 296,000.”
The service offering from Shannon was boosted considerably in 2023 with new Ryanair services to destinations including Naples, Porto, Béziers and Liverpool, as well as additional capacity on popular destinations such as Malaga, Faro and Alicante, particularly during peak holiday times and school holidays. Another highlight was the launch of the new Aer Lingus service to the hub airport of Paris Charles de Gaulle.
“Transatlantic services at Shannon are an important part of our customer offering and they received a major boost in 2023 with the launch of a new daily Chicago service by United Airlines," Ms Considine added. "With reduced dwell times in security screening and our established US Pre-clearance facilities, passengers can look forward to an even easier and more enjoyable experience at Shannon.
“We have enjoyed a transatlantic market rebound generally since Covid, and in addition to Chicago, we offer services to New York/JFK, Boston, and New York/Newark with our airline partners. We are delighted that May 2024 will see the resumption of the Delta New York/JFK service. This new daily seasonal service will further boost Shannon's connectivity to the US, meeting the demand for direct US routes to and from the West of Ireland.
“Shannon Airport's recognition as the best Irish airport brand in 2023 by RED C underscores our commitment to customer satisfaction, which remains central to our operations," she continued. "Our routes to and from Shannon Airport facilitate access to global export markets, attract Foreign Direct Investment, support tourism and drive economic activity. 2024 is off to a great start with first quarter airport passenger traffic results showing a 12 per cent increase on 2023 figures."
Strong financial performance
The Shannon Airport Group delivered a strong financial performance in 2023. Group turnover from continuing operations increased 12 per cent on the 2022 figure to €67.9 million, while EBITDA for the Group increased to just over €21 million, a 27 per cent increase on 2022. This positive operational performance was reflected in the group’s profit for the year from continuing operations of €28.4 million (before tax and exceptional items ).
“Our strong growth is the result of the hard work of our dedicated team, the support of our customers and stakeholders, our strategic partnerships and government support," Ms Considine said.
“In 2023, Shannon Airport secured operational and capital funding when it was temporarily included in the Regional Airports Programme enabling the completion of vital safety and security projects at the airport during the year.
“We made considerable progress last year and with continued Government support we can achieve even more for our region and for the country as a whole. Ultimately, Shannon Airport’s permanent inclusion in the Regional Airports Programme will deliver economic benefits for Ireland, aligning as it does with the Government’s own ambitions for ensuring balanced regional development.
“The economic benefits from the group’s activities extend far beyond passenger numbers," she asserted. "An independent report undertaken by Oxford Economics and published in 2023, quantifies the positive impact of The Shannon Airport Group to the Irish and mid-west economy. It highlights its crucial role in balanced regional development and significant contribution to Ireland's GDP, job creation, and tax revenues. The report shows that The Shannon Airport Group delivers a major contribution of almost €4 billion (€3.96bn ) to Ireland’s GDP, supports over 20,300 jobs across the Irish workforce, and contributes €643m in tax revenues.”
Capital investment programme
In 2023 the group continued the roll out of its ambitious capital investment programme with the delivery of a new 60,000sq ft multi-purpose industrial unit, and a 40,000sq ft R&D technology unit at its Shannon campus. The group also completed a number of infrastructural projects at the airport, among these, rehabilitation work on an airport taxiway.
“We are passionate about developing our Shannon campus as a hub for technology and aerospace industries, contributing to regional job creation and economic opportunities, and much work was done during the year at Future Mobility Campus Ireland [FMCI] on the Shannon campus to further this ambition,” said Ms Considine.
Continued focus on sustainability
Embedding sustainability was a key focus for The Shannon Airport Group in 2023 when it delivered a number of programmes, from employee wellbeing and CSR to energy saving, carbon reduction and recycling initiatives.
In pursuit of its goal to green its operations, the group achieved Airport Carbon Accreditation Level 2 certification and made significant strides towards further reductions in energy consumption. Initiatives such as a partnership with ESB to implement LED lighting and the rollout of electric vehicle charging points, underscore the group’s commitment to environmental sustainability and corporate responsibility.
Looking ahead
“As we look forward to another positive year in 2024, we remain optimistic about the opportunities that lie ahead, as our airport and commercial property activities continue to create an environment that boosts economic growth and helps the region to grow," Ms Considine said.
“We remain steadfast in our commitment to prioritising customer satisfaction, a principle that guides both our airport operations and our commercial property endeavours, and to ensuring that Shannon Airport continues to be Ireland’s airport of choice for connectivity and business.”
