NAC posts N$540 mil, passenger volumes hit 1.1 mil

Nikanor Nangolo and Wonder Guchu

Despite ongoing technical challenges with its queue management system, Namibia Airports Company (NAC) Limited recorded 1.1 million passengers for the financial year April 2024 to March 2025, just below the 1.2 million recorded in the 2019/20 pre-COVID period, while total revenue rose 6% to N$540.2 million from N$516.2 million a year earlier.

According to the company’s 2024/25 Annual Report, the passenger volume reflects a 94.6% recovery of pre-pandemic levels, showing continued progress toward full recovery.

The growth was driven by a steady rebound in both domestic and international air traffic, which boosted aeronautical income and stabilized revenues after years of volatility in the aviation sector.

Aeronautical revenue remained the backbone of NAC’s income, contributing N$346.2 million compared to N$326.2 million a year earlier. Passenger service fees accounted for the largest share at N$254 million, followed by aviation security fees (N$50.5 million), landing fees (N$36.8 million), aircraft parking fees (N$3.9 million) and after-hours operations (N$1.1 million).

Aeronautical activities represented 64.1% of total revenue, underscoring NAC’s reliance on flight volumes and passenger throughput.

Non-aeronautical revenue rose modestly to N$112.6 million, mainly driven by premises income and car rental activities (N$64.6 million), alongside duty-free sales, concessions, fuel throughput, advertising, restaurants, parking and handling fees, which together contributed N$40.7 million.

Other operating income edged up to N$81.4 million, largely supported by N$71.3 million in government grants amortisation and recoveries of water and electricity costs.

Aircraft movements for the year-to-date period totalled 45,342, representing a 75.2% recovery compared to the pre-COVID financial year 2019/20, which recorded 60,288 movements.

As of 31 March 2025, NAC employed 386 staff members across its nine workstations, 368 on permanent and fixed-term contracts, and 18 on temporary contracts.

“Key observations were that female representation among management remained constant at 18, holding a proportion of 36%–37% across the three-month period. Female representation among general staff fluctuated slightly between 25% and 26%, with a consistent headcount of 78–79 employees. Overall female representation across NAC stood at 26% at the end of March 2025. Male representation continues to dominate both general staff (74%–75%) and management (63%–64%) categories, contributing to 74% of the total workforce by March 2025,” the report read.

Despite revenue growth, profitability came under pressure. NAC reported an operating profit (EBITDA) of N$163.7 million, representing a 17% decline compared to 2024.

The contraction reflects higher operating expenses and increased depreciation linked to infrastructure assets, even as revenues improved.

Importantly, performance still exceeded internal expectations. EBITDA came in well above the budgeted N$31.1 million, supported by a N$87.1 million revenue over-performance and N$24.4 million in cost savings against budget. This indicates that while margins narrowed year-on-year, financial management remained tighter than planned.

Operating expenditure increased to N$585.1 million, from N$512.7 million in the prior year, but remained within the approved budget ceiling of N$606.7 million.

Personnel costs were the largest component at N$231.9 million, followed by depreciation, impairment and amortisation of N$187.5 million, administrative costs of N$139.3 million, maintenance and repairs of N$22.4 million, and a N$3.9 million provision for doubtful debts.

nikanor@nmh-hub.com.na