The audited Fiscal Year (FY) 2017 Financial Statements of the A. B. Won Pat International Airport Authority, Guam (GIAA) were presented to and approved by the Board of Directors at its regular meeting of March 22, 2018. Independent auditors, Ernst & Young, issued a “clean” opinion on its compliance report for the Airport Authority’s FY 2017 financial statements and major federal programs.
OPA Commends GIAA for Achieving “Low Risk” Auditee Status Again
The Office of Public Accountability (OPA) highlighted in its report that GIAA should be commended for achieving a low risk auditee status for the third year in a row. The Airport initially achieved low risk status for the first time in FY2015, after 22 years of operations. For three consecutive years, there have been no questioned costs or unresolved prior year audit findings, which speaks volumes of the Airport’s fiscal prudence and quality financial management.
Increase in Enplanements and, Operating Revenue and Increase in Net Income
“FY2017 was the second consecutive record breaking year for the Airport, with enplanements increasing to 1,858,379 over FY2016, where we saw a total 1,774,590 enplanements. That’s a 4.7% growth,” stated Charles “Chuck” H. Ada II, GIAA Executive Manager. “Despite the suspension of flights from EVA Air, HK Express, and decreased frequency on certain routes from our larger carriers, we managed to record the highest number of enplanements. We credit the charter activity provided by Uzbekistan Airlines, who serviced Guam via Nagoya on 70 charter flights, and the entry of Air Seoul in late FY2017” continued, Ada. Air Seoul operates two flights daily servicing Incheon/Guam, making it the 6th Korean carrier to provide air service to Guam.
Operating Revenues increased by $4.9M, due largely to miscellaneous revenues and facilities and system use charges. Rental income increased by 5.4% in FY2017 from FY2016, and Car Rental Income increased by 17.29%, in line with the increased enplanements and larger number of Free Independent Travellers (FIT), the profile of most passengers flying on Low Cost Carriers, who are not part of group travel, which was the historic make up of our visitor profile in years past. Summarily, the Airport closed FY2017 with an increase in net position of $9.6M up from $7.1M in FY2016.