The company that earned R1 billion managing South Africa’s airports

The Airports Company South Africa (ACSA) owns, operates, and manages South Africa’s nine principal commercial airports and turned a profit of R1.2 billion in the last financial year for doing so.

During the 2025/26 financial year, the company posted total revenue of R8.8 billion – an increase of 11.6% from the year before – as well as a 10.1% increase in profit before tax to R1.99 billion, and a net profit improvement of 5.2%.

“In the 2025/26 financial year, ACSA continued to demonstrate resilience, financial discipline and a clear commitment to sustainable value creation,” said ACSA Chief Financial Officer Luzuko Mbotya.

“Our performance reflects the progressive recovery of the airport network, the continued strengthening of our revenue base and the disciplined allocation of resources towards the infrastructure, services and capabilities required to support South Africa’s aviation system.”

The company recovered 98% of its pre-pandemic passenger numbers, recording over 20.5 million passengers, thanks to increased flight frequencies, larger aircraft, and new routes from over 15 carriers.

As a result, revenue from aeronautical commercial streams made up 53% of total revenue, increasing 15.2% to R4.7 billion and exceeding the budget target of R4.54 billion.

This was driven by R3.1 billion in passenger service charges, R1.5 billion in landing fees, and R67 million in aircraft parking fees.

The Airports Company’s non-aeronautical revenue also grew 7.7% to R4.1 billion, driven by improved performance from retail, advertising, parking, car hire and property-related revenue streams.

Notably, ACSA earned R614 million from parking fees alone, while retail income earned the bulk at R1.4 billion, property rentals brought in R1.1 billion, and car rentals generated R430 million.

The company not only posted strong income generation but also managed expenses, with net finance expenses falling by 25.2% to R151 million and total liabilities reduced to R12.1 billion.

“Such returns would not have been possible without prudent and consistent financial management, uncompromising controls, unyielding accountability and consistently ethical leadership,” said Chairperson of the Board, Irvin Phenyane.

Expanding airport operations

Despite experiencing procurement delays, ACSA increased its capital expenditure from R861 million in 2024/25 to R1.079 billion last year, with its carrying work-in-progress reaching R2.3 billion.

This expenditure formed part of an overarching R21.7 billion five-year airport upgrade programme, alongside additional operational and network expansion projects.

The airport set to benefit most is the OR Tambo International Airport (ORTIA), which will benefit from, among other things, a new cargo terminal expected to cost R5.7 billion.

This project is expected to be completed in the 2028/29 financial year, while ACSA has also initiated designs and development for international busing gates and terminal refurbishment, among others.

The company is also working to secure its jet fuel security following the completion of the first phase of its jet fuel receipt project via a new R23 million pipeline.

The Cape Town International Airport will soon benefit from planning for the international terminal upgrade, new domestic arrival and departure contact gates and a new realigned runway.

Planning has also begun to upgrade several regional airports, including terminal extensions, parking upgrades, and runway rehabilitation at the Chief Dawid Stuurman Airport in Gqeberha.

The King Phalo Airport in KuGompo City (East London) initiated upgrades to the departure lounge and arrivals area, while the King Shaka International Airport in Durban is upgrading its Bravo taxiway and battery charging facilities.

Beyond these infrastructure upgrades, ACSA increased its total network passenger throughput by 8.5%, supported by collaboration with over 15 airlines.

Alongside these airlines, it also launched six new international routes connecting Johannesburg to Perth, Algiers, Zanzibar, Nacala, Libreville, and Gaborone.

The Airports Company has also found a new man to take the reins, appointing Siphamandla Mthethwa as the company’s CEO going forward.

This is Mthethwa’s second stint with the company, having served as Chief Financial Officer and Executive Director in the past.