Outlook still cloudy says Sydney Airport CEO Geoff Culbert after subdued holiday period

The unpredictable Covid crisis has left Sydney Airport’s normally upbeat CEO wondering what’s next.

Sydney Airport CEO Geoff Culbert has voiced his frustration at the long-running pandemic after more subdued passenger figures. Picture: Sam Ruttyn

Sydney Airport chief executive Geoff Culbert has voiced his frustration with the long-running Covid-19 pandemic after more subdued passenger figures for Australia’s biggest gateway.

Traffic in December, normally the busiest month of the year, remained almost 70 per cent below pre-Covid levels with 1.2 million people passing through the three terminals.

In December 2019, total passenger traffic through Sydney was just under 4 million.

Although the results were an improvement on December 2020, the much anticipated reopening of international and state borders failed to deliver the expected rebound in traffic due to the emergence of the Omicron variant.

Domestic passenger numbers were still well below figures achieved between March and May 2021, with 949,000 travellers in December.

The first 15 days of January indicated the appetite for travel remained flat, with domestic traffic down 58 per cent on 2019 data and international passengers at just 15 per cent of pre-Covid figures.

Mr Culbert said as long as Omicron was circulating, passenger confidence would be undermined and the outlook was subdued.

“The big question is what happens after that,” he said.

“Will there be another strain? How severe will it be? When will restrictions be lifted? No one has the answers right now. The only thing we know for sure is that we’re all sick and tired of Covid and we can’t wait for it to end.”

A subdued summer saw December traffic remain almost 70 per cent below pre-Covid levels at Sydney Airport. Picture: Getty Images

Of the 248,000 international travellers who passed through Sydney Airport in December, the majority were Australians, followed by people from India, the UK and China including Hong Kong. New Zealanders ranked sixth, ahead of Nepalese citizens, Singaporeans, Canadians and Pakistanis.

Melbourne Airport reported similar “subdued” passenger figures for December, while Brisbane Airport saw traffic decline for the month compared with December 2020.

Sydney Airport is in the process of being acquired by a consortium known as Sydney Aviation Alliance, made up of IFM, AustralianSuper, QSuper and Global Infrastructure Partners. Amid the uncertainty surrounding the travel recovery, shareholders have been offered $8.75 a share in a deal worth $23.6bn.

On Thursday, Sydney Airport shares closed up 1 cent at $8.66.

The Sydney Airport board has recommended shareholders agree to the sale at a meeting next month, following the approval of the Australian Competition and Consumer Commission and Foreign Investment Review Board.

At least 75 per cent of shareholders must vote yes for the deal to go through, which will see Sydney Airport delisted from the ASX.

Originally published as Outlook still cloudy says Sydney Airport CEO Geoff Culbert after subdued holiday period