John Menzies, the Edinburgh-headquartered aviation services group, has landed “significant” new contracts in Scandinavia.
The group said the latest business wins, together with other recent successes, were helping to increase revenue each year “at a rate above normal market growth”.
The Menzies Aviation business has secured three new contracts with Qatar Airways in Sweden and Denmark, marking a major expansion of services provided to the airline globally.
Under the deal, the Scots firm will provide ground handling, de-icing and lounge services at Stockholm Arlanda Airport, Copenhagen Airport and Gothenburg Landvetter Airport. The five-year contract covers just over 2,000 flights a year and kicks off in January.
Giles Wilson, chief executive of Menzies Aviation, said: “The addition of a further three stations for Qatar Airways in Scandinavia, represents a major expansion of Menzies Aviation services with this leading global airline.
“I am delighted that they have chosen Menzies to deliver the highest of standards that they demand and look forward to continuing to develop our relationship with Qatar Airways internationally.
“These wins, along with others we have announced recently, are squarely down to the quality of the Menzies Aviation people and our renewed focus on our commercial offering,” he added.
Earlier this month, Menzies hailed rapid growth at its Canadian business after inking a fresh contract win.
The deal with Sunwing Airlines will see the firm deliver ground handling services for the Canadian leisure carrier at locations including Ottawa Macdonald-Cartier International Airport and Winnipeg James Armstrong Richardson International Airport in Canada, as well as Fort Lauderdale-Hollywood International Airport in Florida.
Covering a term of three years, the new contracts encompass passenger, ramp and cabin cleaning services. Across the three airports, some 150 staff will handle in the region of 900 flights per annum for Sunwing.
Menzies said the contracts would build on its existing relationship with the airline, with the Scottish group already providing ground handling services at Saskatoon Airport and Toronto Pearson International Airport in Canada, Orlando International Airport and Daytona Beach International Airport in Florida, Princess Juliana International Airport on the Caribbean island of Sint Maarten, as well as ten sites in Mexico.
The Menzies Aviation business operates at 219 airports in 37 countries, supported by a team of some 36,000 people.
Last month, the group said it had secured a key contract renewal that will see it deliver ground handling services to five airlines at Heathrow Airport. The agreement with Germany’s Lufthansa Group was its largest at Britain’s busiest airport.
Half-year results for the six months to the end of June, released in August, showed that Menzies suffered a pre-tax loss of £4.4 million, from a profit of £8.3m a year earlier. That was despite reported revenues rising to £649.9m. The losses were blamed in part on cuts in flight schedules because of the global grounding of Boeing’s 737 MAX jets.
Shares in John Menzies were flat at 409p in early trading Thursday.