Results for 2009

The Group’s results for 2009 were better than the objectives set within the framework of measures to boost efficiency, defend profitability and maximize cash flow generation, measures which showed the Group’s capacity to react in a particularly complex situation.

Diversification of business enabled the impact of problems in single channels, business sectors and countries to be limited.

In Food & Beverage, the effects of both lower productivity (due to loss of sales) and higher rents tied to new motorway contracts in Italy in 2008 were to a large extent absorbed. In the Travel Retail & Duty-Free sector, efficiency measures and synergies afforded by the business integration process (the latter yielding over € 30m in 2009 out of an expected € 45m by the end of the process), led to a significant increase in margins. In the Flight business, profitability rose thanks to improved sales performance in Australia and the Middle East and robust efficiency measures regarding central costs, and despite the reduction in flights and crises in some of the client airlines.

Sales by sector

Autogrill closed 2009 with consolidated revenues of € 5,728.4m 1, substantially stable with respect to the € 5,794.5m posted in 2008 (down 1.1%). The result reflects full consolidation of Aldeasa as of 1st April 2008 (previously 50%) and World Duty Free Europe (consolidated as of 1st May 2008). On a pro forma basis, the 5.1% decrease was due to the contraction in traffic and spending, especially in the 1st half.

In the Food & Beverage sector, where sales suffered most from the slump in traffic, measures were taken to support profitability and efficiency. In Travel Retail & Duty Free, business in UK airports bucked the traffic trend and got revenues rising again, while in Spain the contraction in sales was limited by results at Madrid Airport, only slightly down, and more in general by those for business traffic. In the Flight sector, growth in international business offset the drop in sales in the UK, which were also penalized by the failure of a number of client airlines.

The table below details sales by sector in 2009 and 2008.



pro forma

Pro forma
Food & Beverage 3,787.3 3,934.3 4,037.2 (3.7%) (6.2%)
Travel Retail & Duty-Free 1,538.1 1,429.0 1,585.8 7.6% (3.0%)
Flight 403.0 431.2 411.4 (6.5%) (2.0%)
Total 5,728.4 5,794.5 6,034.3 (1.1%) (5.1%)

1 Excluded sales of oil. The Group also manages in Europe a limited number of service stations. Sales of oil amounted in 2009 to € 89,1m (€ 104,3m in 2008).

Efficiency measures already put in place in the 2nd half of 2008, synergies afforded by integration of companies acquired in the Travel Retail & Duty Free sector and stabilization of the prices of the main raw materials to a large extent cushioned the effects of falling traffic and higher rents. This enabled the Ebitda margin to rise to 10.6% from 10.1% in 2008.

Food & Beverage
Sales in the Food & Beverage sector in 2009 amounted to € 3,787.3m down 3.7% on € 3,934.3m in 2008 (down 6.2% on a pro forma basis). The year was characterized by a sharp downturn in traffic in the 1st half of the year, in certain months being down over 10% in American 1 and the main European airports. With reference to the Group’s main markets, a slight recovery in the 2nd half of 2009 made it possible to limit the contraction by the year end to 6.9% in North American airports and to 1.1% 2 on Italian motorways.

In a scenario of weak and highly volatile traffic levels, the Group took various steps to defend operating profitability, including limiting the offering in off-peak hours in US airports.

Revenues on Italian motorways were substantially stable (down 1% on a comparable points of sale basis) against a 1.1% decrease in traffic, thanks to numerous promotions, especially in market stores.

Revenues in the Food & Beverage sector reflect the contracts portfolio selection strategy, which led to withdrawal from f&b locations on the Florida motorway.

Travel Retail & Duty-Free
2009 was the first year of full consolidation of Travel Retail & Duty-Free business, having acquired exclusive control of Aldeasa and the entire share capital of World Duty Free Europe Ltd. in 2nd quarter 2008. The Travel Retail & Duty-Free business closed 2009 with revenues of € 1,538.1m, up 7.6% on € 1,429.0m in 2008. The change with respect to the 2008 pro forma figure, on the other hand, is a negative 3.0%, mainly due to lower passenger traffic levels in Europe.

In 2009, the Flight business generated revenues of € 403m, down 6.5% on the € 431.2m posted in 2008 (down 2.0% on a pro forma basis). The year was characterized by the consolidation for the whole period of Alpha Flight A.S. (former Air Czech Catering A.S.). The positive trend in international business, especially in the Middle East and Australia, offset the contraction in sales in the UK, which were affected by the failure of a number of client airlines in 2nd half 2008, as well as by the general downturn in passenger traffic in 2009.

1 Source: A.T.A.
2 Source: AISCAT, November 2009

Rents and royalties

Food & Beverage 
(€k) North America &
Pacific area
Europe Travel Retail & flight Group
Costs for rents and concessions 263,101 279,410 476,392 1,018,903
Royalties for brands utilization 56,501 4,496 4,269 65,266
Total 319,602 283,906 480,661 1,084,169
Costs for rents and concessions 270,841 234,452 439,028 944,321
Royalties for brands utilization 58,406 4,433 290 63,129
Total 329,247 238,885 439,318 1,007,450


Development activities

In 2009, industrial investments amounted to € 157.6m. Compared to the peak in 2008 (€ 337.3m), this reflects the lower number of contract expiries but above all a tighter selectivity in new initiatives, especially in the F&B sector.

    2009     2008  
  Development/ Renovation Maintenance ICT & other Total Development/ Renovation Maintenance ICT & other Total
Food & Beverage  92.1 23.0 6.4  121 .5  219.6 38.4 20.6  278.6
Travel Retail & Duty-Free 20.3  1 .5  21 .8 42.8  1 .7 6.6  51 .1
Flight 2.3 5.0  7.3  7.3 0.2  7.5
Corporate and unallocated 6.9  7.0
Total  114.7  28.0  14.8  157.6  262.4  47.4  27.4  337.2
% of total 72.8% 17.8% 9.4%   77.8% 14.1% 8.1%  


New concessions
In 2009, Autogrill obtained important results through the renewal of existing contracts and development in new geographical areas.
Developments in the Food & Beverage business:

  • In the USA, the Group renewed F&B concessions in Charlotte Douglas International Airport in North Carolina for a further five years, with expected overall revenues of over $500m in June 2009 to June 2015, and in Dayton International Airport in Ohio, with expected overall revenues of over $30m between 2013 and 2018;

  • in Germany, it expanded along the motorway network by entering an agreement with Tank & Rast to operate 16 points of sale, which on reaching capacity in 2010 are expected to generate annual revenues of over € 30m;

  • in Poland, through the newly formed Autogrill Polska S.pz.o.o. (51% Autogrill; 49% Impel Group), the Group took over four f&b locations and stipulated an agreement to take over another seven along the country’s main motorway arteries; the operation is expected to generate annual revenues of around € 14m after reaching capacity in 2011;

  • in the Czech Republic, it reinforced and diversified its operations by opening the first seven f&b points of sale in Prague railway station, which are expected to generate revenues of around € 70m over the 18 year contract;

  • in France, it completed the renewal of the foodcourt in the Carrousel du Louvre and formed an exclusive partnership with McDonald’s to open restaurants under that label in motorway service areas operated by Autogrill.

Travel Retail & Duty-Free business

  • In the UK, the Group strengthened its presence by starting up in Bristol International Airport, having won a new contract to operate Travel Retail & Duty-Free locations, with estimated overall revenues of around £ 135m over the seven year contract;
  • in Spain, it started work inside the new T1 terminal at Barcelona Airport;

The Group consolidated its Flight business as follows:

  • 10-year renewal of a catering contract with British Airways, the biggest contract in the UK portfolio;

  • 10-year renewal of a contract with Royal Jordanian for exclusive on-board catering for all the airline’s flights out of Jordan airports;

  • a joint venture with Journey Group to provide on-board catering for London Heathrow (estimated sales of over £ 70m a year).

Value of merchandise purchases

Merchandise purchases comprise a considerable percentage of the Group’s costs, both for Food & Beverage and Travel Retail & Duty-Free and Flight business.

Value of merchandise purchased

  Food & Beverage
North America &
Pacific area
Travel Retail &
Food & beverage 361,279 301,000 4,803 667,082
Retail 94,872 498,118  713,478 1,306,468
Other 15,962 86,714 146,942 249,618
Total 472,113  885,832 865,223 2,223,168
Food & beverage 403,133 308,062 109,427 820,622
Retail 101,727 503,365 681,762 1,286,854
Other 13,950 114,012 66,725 194,687
Total 518,810 925,439 857,914 2,302,163

Value of merchandise and services purchased

     Food & Beverage    
(€k) North America &
Pacific area
Europe Travel Retail &
Merchandises 472,113 885,832 865,223 2,223,168
Services 170,240 229,423 118,501 518,164
Total 642,353 1,115,255 983,724 2,741,332
Merchandises 518,810 925,439 857,914 2,302,163
Services 178,523 251,309 131,943 561,775
Total 697,333 1,176,748  989,857 2,863,938