Bahrain Airport Company (BAC), the operator and managing body of the kingdom's airport, has achieved a net profit of BD12.9 million ($34 million) for 2017, compared to BD7.6 million ($20 million) the previous year, reported BNA.

Minister of Transportation and Telecommunications and Gulf Air Group (GFG) Chairman Kamal bin Ahmed Mohammed announced the results during a Ramadan Ghabga held at the Wyndham Grand hotel.

"These impressive figures are the result of the immense collaborative efforts between our team and partners, as well as improvements made to BIA’s infrastructure and services as part of the ongoing Airport Modernisation Programme (AMP), which will enhance BIA’s role in the local economy in line with Bahrain’s Vision 2030," said Kamal Bin Ahmed.

The minister pointed out that these financial results reflected a 20 per cent spike in revenues, from BD35 million at the end of 2016 to BD42 million in 2017.

"This can be attributed to a general increase in BIA’s activities, including a 10 per cent increase in air cargo traffic during 2017, which not only demonstrates BIA’s capacity to handle significantly large volumes, but also reflects the kingdom’s growing status as a hub for logistics operations in the region," he noted.

"In addition, we saw a marked increase in new airlines operating at BIA, including Ethiopian Airlines, Atlas Global Airlines, and Wataniya Airways, which accounts for the increased landing fees and heavy footfall through our retail areas," stated Kamal Bin Ahmed.

The minister pointed out that with a solid financial position, growing order books, and a promising operating environment, BAC was optimistic that the company could build on its success in 2018.

"Looking further ahead, the launch of the new Passenger Terminal Building, which will increase BIA’s capacity to 14 million passengers a year, is expected to drive even greater growth across both aero and non-aero revenue streams," he added.

According to him, these two revenue streams experienced significant growth in 2017, with aero income increasing by 24 per cent and non-aero income up by almost 14 per cent.

The main contributors to aero revenue growth were passenger service charges, at 61.1 per cent of the total, and landing fees at 21.7 per cent. The increase in non-aero revenues is largely due to retail concession income, which makes up 41.5 per cent, followed by property and real estate at 23.9 per cent.

Meanwhile, BAC has signed a three-year airfield maintenance services agreement, with the possibility of an extension, with Nass Group, which is to be carried out by Nass Asphalt.

The group won the contract following a public tender that included bids from six road contractors classified as AA Class by the Ministry of Works.