Shenzhen Airport, the operator of the mainland's fifth-busiest airport, saw profit surge 275 per cent in the first half as Beijing's stimulus package boosted air traffic. The Shenzhen-listed firm posted net earnings of 283.4 million yuan (HK$321.46 million), boosted by a 12.1 per cent year-on-year increase in passenger numbers. The airport handled 11.86 million passengers in the period, lifting sales 2.42 per cent to 794.78 million yuan. The surge in profit was also attributed to last year's lower base, because of a provision of 236 million yuan made for a lawsuit. Mainland economic growth accelerated to 7.9 per cent in the second quarter from 6.1 per cent in the first quarter, resulting in robust business and tourism activity nationwide. Shenzhen Airport's nearby competitor, Guangzhou Baiyun International Airport, also benefited from rising air traffic. It handled 17.83 million passengers in the first half, up 7.2 per cent from a year earlier. However, the mainland's growth failed to lift traffic demand across the border at Hong Kong International Airport. Chek Lap Kok handled 22.4 million passengers in the first half, down 8.2 per cent. 'Hong Kong is an international air hub, so it is more vulnerable to the global recession,' said Zheng Tianxiang, a professor of Pearl River Delta studies at Sun Yat-sen University in Guangzhou. The city's airport would not, therefore, benefit from stronger domestic demand to the same extent as its mainland rivals. With the global economy showing signs of recovery over the past two months, Hong Kong's falling passenger numbers had stabilised in June, said Stanley Hui Hon-chung, the chief executive of Airport Authority Hong Kong. As for air cargo volume, which is more related to global than domestic demand, Shenzhen and Hong Kong both saw double-digit drops. Shenzhen handled 12 per cent less cargo, while cargo handled in Hong Kong fell 19.8 per cent from a year earlier. Guangzhou Airport stood out by posting a 15.4 per cent increase in cargo volume in the first half, helped by global express giant Federal Express opening a new centre in the airport in February. Passenger and cargo business would improve further in the second half at all three airports as the global recession continued to ease and swine flu fears receded, Mr Zheng said. Global influence Stronger travel demand failed to lift Hong Kong's passenger numbers The city's airport handled 22.4 million passengers in the first half, down: 8.2%
