Advancing UK Aerospace, Defence, Security & Space Solutions Worldwide

Aerospace

Heathrow reports strong start to 2025

Passenger demand at Heathrow remained strong in the first quarter of 2025, level with last year’s record performance, despite the busy Easter holidays falling in Q2 this year, the North Hyde substation fire and the leap year in 2024.



Image courtesy Heathrow

With nine new routes launching for summer 2025, new long-haul connections include Cancun in Mexico, Ottawa in Canada and Kuala Lumpur in Malaysia, as well as new short-haul services to Rimini in Italy, Tbilisi in Georgia and Santiago de Compostela in Spain. Punctuality at Heathrow is now close to record highs with over 81% of flights leaving on-time, nearly 99% of bags travelling on their flights as expected and 97% of passengers waiting less than five minutes at security.

Advertisement
ODU RT

Heathrow's future business plan aims to deliver tangible benefits for customers. Following extensive engagement with its airline partners to shape its H8 business plan over 2027 to 2031, the plan will outline the outcomes that customers can expect, with the aim to submit the plan to the CAA this summer.

The CAA published their final H8 methodology, reaffirming the importance of RAB-based regulation for Heathrow's financeability and supporting many positions set out in Heathrow’s response. Alongside the method statement reflecting the UK Government’s support for Heathrow expansion, the CAA has issued a letter outlining their intention to set a separate review on the approach to costs of capacity growth (terminal and runway). The H8 timeline has been delayed, with the final decision now expected in April 2027 (after the start of the H8 period) and a 2027 holding cap to be based on CAA’s Initial Proposals (March 2026).

Work continues towards the submission of Heathrow's proposal for increasing its capacity to Ministers by the summer. Its plans would be entirely privately funded and have the potential to drive economic growth across the whole of the UK from construction through to operation. Depending on the Government’s response, Heathrow would aim to meet their ambition to secure planning permission in this Parliament and for the runway to be operational by 2035.

Advertisement
ODU RT

In the first three months of 2025, the Group’s revenue increased by 2.1% to £825 million (2024: £808 million). The higher revenue was driven by more long-haul flying and improved property and retail income. Adjusted operating costs increased by 1.6% to £371 million (2024: £365 million) due to higher costs from PRM services, cleaning and maintenance. Utilities and other costs also increased on account of noise and vortex mitigating activities and inflation. These cost increases were partially offset by lower employment costs. Adjusted EBITDA increased 2.5% to £454 million (2024: £443 million). As a result of our strong operational and financial performance in 2024, on 7 March 2025 a payment of £250 million was made by FGP Topco Limited to our ultimate shareholders, marking our first dividend payment in five years.

The performance outlook for 2025 remains consistent with the forecasts published in Heathrow's Investor Report on 13th December 2024, with the airport expecting overall passenger demand in 2025 to exceed 2024.

Heathrow CFO Sally Ding said: “Twenty twenty-five will be a pivotal year for Heathrow as we finalise our business plan for the next five years and submit our proposals to Government to unlock new capacity at the UK’s gateway to growth. Our focus on steadily improving operational performance is yielding results and our future plans will enable us to deliver better value and more growth for our customers and the country.”

Advertisement
PTC PTC
EasyJet adds two more aircraft to its Birmingham Airport base

Aerospace

EasyJet adds two more aircraft to its Birmingham Airport base

2 May 2025

EasyJet is today celebrating the arrival of two additional aircraft at its Birmingham Airport base, supporting 800 jobs.

Aircraft orders up 73% in first quarter of 2025

Aerospace

Aircraft orders up 73% in first quarter of 2025

2 May 2025

A total of 521 aircraft orders were placed in the first quarter – representing a 73% increase compared to Q1 2024 – as demand rises for both single-aisle and wide-body aircraft, according to ADS.

ATOBA, easyJet and World Fuel sign MoU to develop SAF supply

Aerospace

ATOBA, easyJet and World Fuel sign MoU to develop SAF supply

1 May 2025

EasyJet and ATOBA Energy (ATOBA), in partnership with World Fuel Services (World Fuel), have announced the signing of a Memorandum of Understanding (MoU) for the development of long-term supply of Sustainable Aviation Fuel (SAF) for easyJet’s operations in Europe and the UK.

Shipley UK and Kahootz partner to enhance opportunity capture

Aerospace Defence Security Space

Shipley UK and Kahootz partner to enhance opportunity capture

1 May 2025

Kahootz and Shipley UK have announced a strategic partnership to enhance opportunity capture and bid management capabilities.

Advertisement
ODU RT
Semiconductor facility launches in Southampton

Aerospace Defence Security Space Events

Semiconductor facility launches in Southampton

1 May 2025

A new facility using cutting edge electron beam technology to build the next generation of semiconductor chips - and the first of its kind in Europe - was opened yesterday at the University of Southampton by Science Minister Lord Vallance.

Heathrow opens bird watching tower

Aerospace

Heathrow opens bird watching tower

30 April 2025

Heathrow has unveiled its new Nature Traffic Control Tower, a birdwatching hideaway right in the heart of one of its 13 local nature conservation sites.

Advertisement
DSEI 2025