NEW KANSAI INTERNATIONAL AIRPORT COMPANY,LTD. (E27012) Stock Price

Shin-Kansai International Airport Company operates as the establishment and management authority for Kansai International Airport and Osaka International Airport, focusing on airport operations monitoring. In 2016, the company transferred operating rights for both airports to Kansai Airport Company, and now primarily manages airport assets and facilities while collecting operating rights fees to service debt. The company also operates a railway access business to Kansai International Airport.

The company's primary revenue source is operating rights fees received from Kansai Airport Company, which holds the operating rights. In the airport business, the company monitors Kansai Airport Company's operations to ensure proper management and handles environmental and regional development activities for Osaka International Airport. In the railway business, the company generates revenue as a Category III railway operator by collecting track usage fees from JR West and Nankai Electric Railway.

The company's business is divided into three main segments. The airport business handles establishment, management, and monitoring of both airports, while the railway business provides critical airport access functions through maintenance and management of Kansai International Airport railway facilities. As other business operations, the subsidiary Kansai International Airport Land Holding Company manages the ownership, maintenance, and leasing of land at Kansai International Airport.

New Kansai International Airport, as the operator of Kansai International Airport and Osaka International Airport, prioritizes debt repayment using compensation received from Kansai Airport, to which it transferred operating rights. In fiscal year 2024, backed by recovering air travel demand from increased international visitors to Japan, the company reduced interest-bearing debt by 45.6 billion yen, compressing the debt balance to 783.4 billion yen. Going forward, the company plans to steadily advance debt repayment for Kansai International Airport improvements while conducting selective refinancing, using operating rights compensation as its primary funding source.

In investment, the company focuses on strengthening Kansai International Airport's capabilities ahead of the 2025 Osaka-Kansai Expo. It is advancing discussions with stakeholders on expanding airport capacity and participating in the Terminal 1 renovation project. The company also supports decarbonization initiatives—including LED conversion of airport lighting at both airports—implemented by Kansai Airport, utilizing 20 billion yen in government fiscal loans to differentiate sustainable airport operations.

Decarbonization efforts form a core pillar of the company's technology innovation strategy. It promotes the "Kansai International Airport Decarbonization Promotion Plan" and "Osaka International Airport Decarbonization Promotion Plan," both approved under the Airport Law, and pursues greenhouse gas emission reduction targets through the Airport Decarbonization Promotion Council comprising Kansai Airport, airlines, and other stakeholders. Additionally, to address potential major earthquakes, the company undertakes seismic reinforcement of the Kansai International Airport Access Bridge and implements timely and appropriate disaster prevention and crisis management measures as a designated public institution under the Disaster Countermeasures Basic Law.