Airport Financial Modelling with Excel Training Course

Participants can forecast airport traffic and convert demand assumptions into operational drivers.

• Passenger segmentation by origin, destination, transfer, domestic and international markets
• Aircraft movements derived from passenger demand, load factors and gauge
• Cargo tonnage forecasts linked to trade assumptions and freighter operations
• Seasonality profiles applied to monthly traffic, staffing and terminal utilisation
• Route-level forecasts incorporating airline schedules, frequency and market share
• Capacity constraints tested through peak-hour demand and terminal throughput

Participants can model regulated and negotiated aeronautical revenue streams from traffic data.

• Landing charges calculated from maximum take-off weight and movement volumes
• Passenger service charges modelled by origin, destination and passenger category
• Parking, boarding bridge and airfield service fees forecast separately
• Airport charging principles under ICAO Airport Economics Manual guidance
• Single-till, dual-till and hybrid-till approaches compared for revenue allocation
• Airline incentive schemes modelled with discounts, thresholds and expiry dates

Participants can forecast non-aeronautical revenues using realistic commercial operating drivers.

• Retail income forecast from passenger spend, penetration and concession shares
• Food and beverage sales linked to dwell time and terminal mix
• Car parking revenue modelled through trips, duration, tariffs and occupancy
• Property income forecast using leasable area, rent, vacancy and escalation
• Advertising, lounge and ground handling revenues assigned to relevant drivers
• Minimum annual guarantees and revenue-share concession structures modelled explicitly

Participants can translate airport operating plans and capital programmes into financial statements.

• Fixed and variable operating costs assigned to traffic and capacity drivers
• Security, rescue and firefighting costs modelled from regulatory staffing requirements
• Utilities forecasts linked to terminal area, energy tariffs and passenger volumes
• Capital expenditure schedules separated between maintenance, renewal and expansion projects
• Depreciation calculated using asset classes, useful lives and commissioning dates
• Working capital forecasts built from receivables, payables and inventory assumptions

Participants can build reconciled profit, cash flow and balance sheet outputs for an airport.

• Income statement assembled from airport revenues, costs, depreciation and taxes
• Cash flow statement reconciled through operating, investing and financing movements
• Balance sheet schedules for fixed assets, working capital, debt and equity
• Free cash flow calculated before and after financing decisions
• Circularity management using controlled switches, cash sweeps and interest calculations
• Balance checks and cash reconciliation used to identify model errors

Participants can model airport debt structures and assess financing capacity under forecast conditions.

• Funding sources compared: equity, bank debt, bonds, grants and concessions
• Debt drawdown schedules aligned with construction profiles and funding conditions
• Interest calculations using opening balances, drawdowns, repayments and rates
• DSCR, LLCR and debt-to-EBITDA calculated for lender assessment
• Debt service reserve accounts and cash sweep mechanisms modelled
• Financing covenants tested against downside traffic and cost assumptions

Participants can assess airport projects and transactions using cash flow valuation methods.

• Discounted cash flow valuation based on free cash flow forecasts
• NPV and IRR calculated for terminal, runway and commercial projects
• Weighted average cost of capital derived from debt, equity and risk assumptions
• Terminal value estimated using perpetuity growth and exit multiple methods
• Equity returns assessed through dividend capacity and shareholder cash flows
• Investment decisions compared using incremental cash flows and opportunity costs

Participants can quantify airport forecast uncertainty using deterministic and probabilistic techniques.

• One-way sensitivity tables testing traffic, tariff, cost and capex changes
• Two-way data tables analysing passenger growth and commercial spend combinations
• Scenario manager structure separating base, downside and upside assumptions
• Probability distributions selected for traffic, inflation, construction costs and delays
• @RISK Monte Carlo simulations generating NPV, DSCR and equity return distributions
• Tornado charts and percentile outputs used for decision-maker communication

Participants can review an airport model, communicate findings and plan workplace application.

• Formula audit techniques using precedents, dependents and error-checking controls
• Assumption review testing source quality, consistency, timing and accountability
• Model review checklist covering logic, units, signs and financial integrity
• Management dashboards presenting traffic, revenue, cash flow and covenant outputs
• Investment committee papers structured around decision, evidence, risks and recommendations
• Personal application plan defined for a live airport modelling requirement