The Airport Authority recorded an all-time-high profit of $1.6 billion for the 2005-06 financial year - up 33% on the previous year.

The authority's turnover grew 10% to $71 billion while operating expenses rose less than 1% to $2.82 billion, boosting earning before interest, taxes, depreciation and amortisation to a record $4.26 billion, a 16% rise over the previous year.

The authority's board has declared it will pay a $1.3 billion dividend to the Government, up 30% on the previous year.

Outstanding performance

The record-breaking performance in passenger and cargo throughput underpinned the authority's encouraging financial results. A total of 41.6 million passengers and cargo of 3.5 million tonnes passed through Hong Kong International Airport, up 9% and 10% over last year.

Chief Executive Officer Dr David Pang said while the authority benefited from the strong market for air transport, it takes a safe, secure and consistently well-run operation to fully exploit the robust market environment's potential.

He said the authority is re-examining its growth strategies by assessing the demand, supply and competition/co-operation dynamics that the airport will face over the next two decades.

The Master Plan 2025 should be ready by year's end and will outline the best strategy to ensure the authority is in a good position to ensure sustainable growth for the future.

Positive outlook

Dr Pang has a positive outlook, noting the authority will continue to benefit from the exponential growth in the Chinese Mainland's burgeoning economy and air traffic.