Luton Airport
Further Analysis of the financial performance of London Luton Airport
Analysing the financial performance of the airport in recent years, could be done by selecting few key indicators to measure the performance of specific areas. These measures can highlight strengths and weaknesses in certain areas and indicate to manage where specific improvements can be made.
The selected indicators in this report will be assessed both internally and compared to equivalent performance externally, Considering the factors that may have affected this such as ownership, traffic patterns, investment and development of facilities, airline strategies, regulation, business model, commercial development and cost changes would be discussed.
Comparison of accounting ratios since year 2007 to 2011
1. Labour cost per WLU
Year 2007 2008 2009 2010 2011
Labour cost ‘£’ 16,964,000 17,357,000 16,853,000 19,059,000 20,995,000
Labour cost per WLU 1.71 1.70 1.85 2.17 2.21
2. Total cost per passenger
Year 2007 2008 2009 2010 2011
Total cost ‘£’ 77,237,000 83,322,000 79,178,000 81,657,000 88,259,000
Total cost per passenger 7.77 8.17 8.70 9.28 9.29
3. Revenue per passenger
Year 2007 2008 2009 2010 2011
Total revenue ’£’ 93,725,000 104,306,000 98,525,000 102,187,000 112,062,000
Total revenue per passenger 9.42 10.23 10.83 11.61 11.80
4. Non aeronautical share of total revenue
Year 2007 2008 2009 2010 2011
Non aeronautical share ‘£’ 49,728,000 54,552,000 52,695,000 56,445,000 61,962,000
Non aeronautical share of total revenue 53.06% 52.30% 53.48% 55.24%
Analysing the financial performance of the airport in recent years, could be done by selecting few key indicators to measure the performance of specific areas. These measures can highlight strengths and weaknesses in certain areas and indicate to manage where specific improvements can be made.
The selected indicators in this report will be assessed both internally and compared to equivalent performance externally, Considering the factors that may have affected this such as ownership, traffic patterns, investment and development of facilities, airline strategies, regulation, business model, commercial development and cost changes would be discussed.
Comparison of accounting ratios since year 2007 to 2011
1. Labour cost per WLU
Year 2007 2008 2009 2010 2011
Labour cost ‘£’ 16,964,000 17,357,000 16,853,000 19,059,000 20,995,000
Labour cost per WLU 1.71 1.70 1.85 2.17 2.21
2. Total cost per passenger
Year 2007 2008 2009 2010 2011
Total cost ‘£’ 77,237,000 83,322,000 79,178,000 81,657,000 88,259,000
Total cost per passenger 7.77 8.17 8.70 9.28 9.29
3. Revenue per passenger
Year 2007 2008 2009 2010 2011
Total revenue ’£’ 93,725,000 104,306,000 98,525,000 102,187,000 112,062,000
Total revenue per passenger 9.42 10.23 10.83 11.61 11.80
4. Non aeronautical share of total revenue
Year 2007 2008 2009 2010 2011
Non aeronautical share ‘£’ 49,728,000 54,552,000 52,695,000 56,445,000 61,962,000
Non aeronautical share of total revenue 53.06% 52.30% 53.48% 55.24%