Airport's response
Auckland International Airport had a distinct year of two halves in its last financial year (ending June 30). For the first half of the year it retained an aura of success — planning for new terminal and runway development, and encouraging passenger and airline growth, all amid increased rentals from its growing property portfolio.
For investors, that continued expectations for a steady stream of increasing dividends and rising capital returns from one of the NZX's best-performing blue chips over the past decade.
Then came the escalation in the global response to Covid-19. That escalating response was reflected in AIA's investor updates to the market.
On February 20, AIA indicated only a slight reduction in 2020 underlying net profit estimates, to around $260m-$270m.
On March 13, only three weeks later, this range was downgraded to $210m-$235m.
