The Namibia Airports Company (NAC) recorded a profit of N$19 million for the 2022/2023 financial year. This was revealed during the NAC's recent AGM, where the Annual Financial Statement (AFS) showed the company turned from a loss-making position of over N$93 million in 2022 to a profit of more than N$19 million in 2023.
The NAC navigated tough economic headwinds and is gradually returning to normal operations, having achieved 73% of pre-Covid levels as at 31 March 2023. As at October 2023, operations stood at 85% pre-Covid levels, and the company envisages to achieve 90% by the end of the current financial year.
Attending the meeting were finance and public enterprises minister Iipumbu Shiimi, finance executive director Titus Ndove, deputy executive director Louise Shixwameni, NAC chief executive officer Bisey /Uirab, NAC management and various representatives from the works and transport ministry.
The NAC's external auditors Grand Namibia audited the consolidated financial statements for the 2022/2023 financial year, which provided an unqualified opinion on the AFS.
The AFS includes the pertinent audit opinions. This is the third consecutive year the NAC achieved an unqualified audit opinion, and is testament to the company's concerted efforts towards sustainable cost containment strategies, without compromising adherence to accounting and corporate governance principles and standards.
/Uirab stated that the NAC has celebrated a number of significant events over the 2022/2023 financial year, two of which were that the company has been issued with substantive aerodrome certificates valid for the next two years, in respect of the Hosea Kutako International Airport (HKIA) and the Walvis Bay International Airport, and that in June 2024, the NAC will host the AviaDev Africa Conference, an annual aviation development conference aimed at connecting industry experts to discuss and devise strategies to improve connectivity within the African continent.
NAC board of directors' chairperson Leake Hangala observed that the company has maintained stability amidst evolving local and international challenges.
"I would like to express our sincere gratitude and appreciation to our shareholder for entrusting the NAC board to lead, guide and steer the organisation in delivering its mandate. The financial support from government is highly appreciated, and our hope is that this would continue to aid the NAC in realising the various capital projects", he added.
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"The reports presented by the NAC provides an overview of the transitional journey, and good efforts employed by the NAC to ensure sustainability and maintain good corporate governance.
I thank the board of directors for oversight and leadership provided to the NAC, and appeal that they continue to provide the oversight and support to the NAC", Shiimi noted.
The NAC has reiterated it is committed to improve its airport infrastructure to support the national development initiatives, and harness the natural resources brought about by the recent oil and gas discoveries, together with the Green Hydrogen initiatives.
The envisaged airport infrastructure developments include the Hosea Kutako International Airport congestion alleviation project to extend the VIP/VVIP facilities at the cost of N$18 million; the apron expansion at the Hosea Kutako International Airport at a cost of N$100 million, funded by government over a two-year period; the construction of Terminal 3 at the Hosea Kutako International Airport, with discussions ongoing with government to determine the optimal financing structure for the project; and the finalisation of the transfer of land to the NAC for the construction of new terminal buildings at the Katima Mulilo, Rundu and Lüderitz airports.
Other significant focus areas include the review of the current Integrated Strategic Business Plan (ISPB) and development of a new five-year ISBP, inclusive of current and future national and global initiatives, development of Master Plans for all eight airports, and continued collaboration with stakeholders towards the establishment of an aviation training Centre of Excellence in Namibia. This project is being driven by the Namibian-Finnish private and public sectors.
