20250910-002 Backup - Item 02(1)_July 2025 AAC Financial Memo — original pdf

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MEMORANDUM TO: Airport Advisory Commissioners FROM: Rajeev Thomas, Chief Financial Officer, Austin Aviation DATE: September 10, 2025 SUBJECT: Austin-Bergstrom International Airport Financial Update July 2025 Financial Results Passenger traffic totaled 2,036,077 in July 2025, a decrease of 0.2% compared to July 2024. Average daily departures increased from 264 in July 2024 to 273 in July 2025, an increase of 9 daily departures or 3.6%. Table #1 Enplanements Landing Weights Cargo Tonnage Operating Revenue Airport OPEX Total Requirements Net Income FY 2025 July FY 2024 July Variance Fav (Unfav) FY 2025 YTD FY 2024 YTD Variance YTD Fav (Unfav) 1,015,498 1,014,354 0.1% 8,980,584 9,339,027 1,224,093,268 1,194,530,732 2.5% 11,010,824,646 11,360,732,335 11,359 12,957 (12.3%) 116,118 125,898 (3.8%) (3.1%) (7.8%) $32,036,904 $29,082,408 $2,954,496 $293,040,966 $266,075,251 $26,965,715 $13,845,469 $12,836,364 ($1,009,105) $136,158,291 $123,471,721 ($12,686,571) $22,872,019 $18,917,999 ($3,954,020) $212,880,703 $192,543,471 ($20,337,232) $9,164,886 $10,164,409 ($999,523) $80,160,262 $73,531,779 $6,628,483 Table #1 illustrates July 2025’s enplanements totaled 1,015,498, an increase of 0.1% compared to July 2024. Landing weights totaled 1.2 billion pounds in July 2025 representing an increase of 2.5% compared to July 2024. Cargo volume totaled 11,359 tons in July 2025, a decrease of 12.3% compared to July 2024. July 2025 cargo volume decreased primarily due to changes in FedEx cargo activity. July 2025 operating revenue totaled $32.0M, an increase of 10.2% or $3.0M compared to July 2024. The increase in operating revenue results from updated airline rates and charges in FY2025 and growth in parking revenues. Operating revenue in July 2025 is composed of 49.2% airline revenue, 49.2% non-airline revenue, and 1.6% interest income. Airport operating expenses totaled $13.8M for the month, an increase of 7.9% or $1.0M compared to July 2024. The increase in operating expenses is primarily driven by growth in airport staffing and increased APD personnel costs. AUS reported a $9.2M surplus in July 2025, a decrease of $1.0M compared to July 2024. The decrease in the surplus compared to July 2024 results from the application of interest earned on prior year debt service. Fiscal Year 2025 Financial Results FY2025 Year to Date (YTD) Operating Revenue totals $293.0M compared to $266.1M in FY2024, a 10.1% increase. Airport Operating Expenses totaled $136.2M YTD in FY2025 compared to $123.5M in FY2024, a 10.3% increase. Net income totals $80.2M YTD in FY2025 compared to $73.5M in FY2024, a 9.0% increase. FY 2025 FY 2025 FY 2025 Budget vs. YTD Variance Budget vs. YTD Variance CYE vs. YTD Variance CYE vs. YTD Variance Table #2 Approved Budget - Seasonalized CYE - Seasonalized YTD $ Fav (Unfav) % Fav (Unfav) $ Fav (Unfav) $ Fav (Unfav) Operating Revenue Airport OPEX Total Requirements Net Income $293,466,134 $287,170,767 $293,040,966 ($425,168) (0.1%) $5,870,198 $137,334,974 $135,591,166 $136,158,291 $1,176,683 $224,228,426 $223,484,618 $212,880,703 $11,347,723 0.9% 5.1% ($567,126) $10,603,915 $69,237,708 $63,686,149 $80,160,262 $10,922,554 15.8% $16,474,113 2.0% (0.4%) 4.7% 25.9% AUS delivered favorable financial performance compared to FY2025 budget and current year estimate on a seasonalized basis. As presented in Table #2, FY2025 revenues are 0.1% or $0.4M below seasonalized budget because of the decline in YTD passenger traffic compared to budget. Operating revenue exceeds current year estimate by 2.0% or $5.9M. Airport operating expenses are 0.9% or $1.2M below seasonalized budget and 0.4% or $0.6M above current year estimate. AUS reports net income of $80.2M, which exceeds the seasonalized budget estimate by 15.8% or $10.9M and exceeds current year estimate by 25.9% or $16.5M. Attachments: July 2025 - AAC Financial Report