Belgrade Airport sees record profit

Thursday, May 21, 2015


Belgrade Nikola Tesla Airport has recorded strong results during the first quarter of the year. It registered a record net profit of 14.9 million euros, while its operating revenues stood at 14.1 million euros. Shares in Belgrade Airport have shot up in value by nearly 40% on the Belgrade Stock Exchange since the turn of the year, driven by the strong results. In 2014 it registered an annual net profit of 28.2 million euros, up from 13.3 million the year before.

Comments

  1. Anonymous12:49

    This is bullshit and a game with words. Somebody is trying to hide something i.e there has been assets sold which should be described as one-time sales. The definition of words goes like this:

    The revenue a company receives in the course of its normal operations. Examples include sales and commissions, as well as other things that may vary according to the time of business. Importantly, operating revenue on a balance sheet reflects only ordinary revenue rather than unexpected, one-time income. One subtracts the operating expense from operating revenue to determine the operating profit.

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    1. Anonymous14:02

      What you are asking for is for accounting standards that exist in the developed world.
      But this is the Balkans.
      Each government wants to ...massage the financial results of state owned and funded enterprises in order to look less incompetent than it really is.

      Delete
    2. Anonymous14:09

      AnonymousMay 21, 2015 at 2:02 PM

      Of course you are right, the small and tiny issue is that BEG is quoted on the London Stock Exchange.....by that they have to follow some other accounting standards.... incompetent or not. Whoever is auditing this is of course also wide open for a nice mega lawsuit.

      Delete
    3. Anonymous15:34

      When was BEG listed in the London Stock Exchange?
      Do you mean by any chance the concessionaire.

      It doesn't need to have its small participations (like BEG) comply to any other accounting standards and transparency rules than those of the home country. i.e. Serbia.

      If the government pays extra money under the table in various forms of subsidies in order to help the national airline then the concessionaire doesn't have a problem.
      He is getting paid either way.
      It is the taxpayers that are getting fooled.

      Delete
    4. Anonymous15:47

      Correction.
      I just checked and neither BEG is listed anywhere, let alone London and it still is the property of the Serbian state.
      Vinci is listed in Paris and is considering getting a stake in Serbia's airports.

      So no Anon 2:09 PM, you are wrong. The Serbian government can massage and hide all it wants the financial statements of BEG.

      Delete
    5. Anonymous15:50

      1. Years ago, do not have the exact date.
      2. No, there is NO concessionaire at BEG today.
      3. Yes, it applies to ALL listed companies. Its common accounting principles which Serbia signed on more then 20 years ago to follow.
      4. It is also in violation of Serbian accounting law.
      5. The State can pay whatever they want, the issue here is not any state subsidies.
      6. The issue is how BEG is showing their accounting which should reflect the ongoing business in order for any investor to understand what he is looking at. Otherwise we are talking about cooked books like Enron etc....you cannot book the same income twice and you have to book at as it happens. If you booked the invoice in 2013/2014, it cannot come back as in income in 2015.

      Delete
    6. Anonymous15:54

      BEG is listed on at least the Belgrade Stock Exchange.

      AnonymousMay 21, 2015 at 3:50 PM: is right, it has to do with accounting rules to begin with. Serbian accounting rules.

      Delete
    7. Anonymous16:03

      BEG or any other Serbian airport is not listed in any stock market. They are all owned by the government.

      Delete
    8. Anonymous16:08

      No true. BEG is listed on the BEG stock market like it says in the article.

      Delete
    9. Anonymous16:13

      Which part is it that you don't understand:

      http://www.belex.rs/eng/trgovanje/hartija/dnevni/AERO

      Delete
  2. Anonymous12:53

    +1, Haha! You cannot have a higher net profit then your total turn-over without items of a one-time character. What has been sold that has been booked as an income?, and more likely something that has been booked at 0 value and then being sold and subsequently the entire income has been booked as 100% net profit since there is no cost.

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  3. Anonymous12:58

    Nothing has been sold. Air Serbia debt was payed off.

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    1. Anonymous13:10

      Air Serbias debt happened during 2013/2014, that debt should never have been written off and booked at zero value, if that was done then that was illegal. But if that still happened (which is more then possible in Serbia) and now subsequently paid, then it has to be recorded as an extra ordinary item and cannot be described as a "record profit"!!! If it really was a wright-off for Air Serbia and then reworked by getting in the books of 2015, well then they have really screwed all shareholders in 2013/2014 and the company is in deep shit according to the rules of the stock exchange in both Belgrade as well as in London. This would then be a serious market manipulation and the entire management should be facing trial and the company de-noted from the exchanges until it is clear what has happened....

      Delete
    2. Anonymous13:18

      It has never been written off. It was outstanding debt and it has been payed off by the state debt office in two installments. One in December 2014 and the other in march 2015. It is all available in the 100+ financial report for Q1. Just read it before making statements about things you obviously have no clue about.

      Delete
    3. Anonymous13:19

      Oh btw the results have been audited by Deloitte.

      Delete
    4. Anonymous13:21

      You are just not getting it?! You don't book things in accounting twice!, you book it when you send the invoice from BEG to ASL in this case. Full stop, this is when you make the provision in the accounting. You do NOT book it when you get paid!!! No clue? I've just been running 7 successful business over the last 30 years....

      Delete
    5. Anonymous13:33

      ok then read the damn financial report and find out for yourself. God.

      Delete
  4. Anonymous13:39

    AnonymousMay 21, 2015 at 1:33 PM

    BELGRADE (Serbia), May 15 (SeeNews) - The net profit of the operator of Belgrade's Nikola Tesla international airport rose to 703.6 million dinars ($638,000/465,000 euro) in the first quarter of 2015 from 351.7 million dinars a year earlier, company data indicated on Friday.

    Operating revenue was up 8.3% on the year to 1.7 billion dinars through March while operating costs decreased 18% to 1 billion dinars, Aerodrom Nikola Tesla [BEL:AERO] said in an unaudited quarterly financial report.

    The financial results of the airport operator were affected by the second tranche transferred by the government as part of the settlement of debt owed by national flag carrier Air Serbia. The government paid the 2.15 billion dinars tranche in the end of March, out of which 1.9 billion dinars were booked as first-quarter revenues.

    The Serbian government took over a total of 4.29 billion dinars in debt of the national air carrier in December and settled the first tranche of the debt, amounting to 2.15 billion dinars, at the end of last year.

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  5. Anonymous13:55

    How can you book 1.9 BRSD as new revenue in qtr 1 2015 when the actual debt occurred in 2014 or earlier just because it was paid in qtr1 2015?!

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    Replies
    1. Anonymous15:52

      That is Balkan statistics for you.
      It is like Argentinian and Greek statistics!

      Delete
  6. Anonymous16:27

    The funny thing is that the Government of Serbia paid Air Serbia's dues to the airport (state subsidy), and then BEG returned this money to the Government as divident payment. And the rest of the shareholders haven't received anything yet, and it's already end of May, and now information when they will be paid. Not good business practice.

    In Serbian, there is the expression: "prosipanje iz Å¡upljeg u prazno" which best describes this situation.

    ReplyDelete
  7. Anonymous17:16

    Sell the airport now!

    ReplyDelete

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