Is a regional airports business a way to make a profit?

Abstract

Regional airports which handled up to 3 million passengers per year have very often profitability problems. Author explores viability of such regional airports for the longer time. He focuses on the airports situated mainly in Central and Eastern Europe. He builds on his previous articles where he divides the airport into a profitable group and the group of those generating loss. The conditions under which an airport can be profitable are examined in the profitable group. The aim of the article is to point out that many airports are subsidized from public funds and this situation is in the author’s opinion unsustainable in the long term. Another aim is also to point out the need to resolve the relationship of regional airports and airlines - especially low-cost airlines. Author also deals with the issue of airport subsidies through the owner, and examines whether there is a regional airport that is profitable even without subsidies.

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