Tallinn Airport's 2025 Financial Results: Significant Revenue Growth

TALLINN - The Tallinn Airport group's operating revenue grew by 13 percent in 2025 compared to the previous year, while the number of passengers remained at the same level.

The group's net profit increased to 13.2 million euros, and its return on equity (ROE) was 9.27 percent, meeting the owner's expectations. The year 2025 was one of the most financially successful years for the Tallinn Airport group.

KEY INDICATORS

The growth in Tallinn Airport's revenue had a positive impact on EBITDA and profit growth.

EBITDA increased by 26 percent, reaching 24.8 million euros. The EBITDA margin rose to 34 percent, confirming the strengthening of the company's business model. The net profit was 13.2 million euros, an increase of 12.7 million euros from the 0.5 million euros recorded in 2024. The profit for 2024 was exceptionally low due to the write-down of regional airport assets and the expense of dividend income tax. In 2025, the company wrote down 0.5 million euros in assets at its regional airports.

Aviation revenue grew by 28 percent, partly due to the introduction of an aviation security fee in April 2025. This fee was established to cover the costs of providing security services not covered by targeted state funding. Non-aviation revenue increased by 7 percent, driven by sales growth across all sectors, including passenger-related services. Expenses were 1.7 percent higher than in the previous year, despite inflation and wage adjustments. This was partially attributed to higher extraordinary expenses in 2024. The ROE was 9.27 percent, compared to the owner's expectation of 9.2 percent.

Regional airports ended the year with a loss of 0.68 million euros, as the targeted funding for operating expenses does not cover the costs. In 2025, targeted state funding amounted to 2.2 million euros, a 5 percent decrease from 2024. It is set to decrease by another 3 percent in 2026 and 2 percent in 2027. This indicates that the losses will continue to grow. The state contributes an estimated total of 14 million euros annually to Estonia's regional aviation, which includes routes under public service obligation, airports, and air traffic control.

In 2025, Tallinn Airport served 3,488,973 passengers, which is 0.1 percent fewer than the previous year. The closure of six Ryanair routes at the beginning of 2025 led to an expected stagnation in passenger numbers during the summer months, resulting in figures that were 3 percent below forecast. However, when including regional airports, the total passenger count surpassed that of 2024. The average growth over the two-year period of 2024 and 2025 was 9 percent.

With a 30 percent market share, airBaltic is the largest airline, followed by Ryanair, Lufthansa, and Finnair. Wizz Air added four new destinations, airBaltic introduced three seasonal routes, and Jet2.com launched flights from England. A new all-time record was set as a total of 3,582,489 passengers passed through Estonian airports. Cargo volume increased by 24 percent compared to 2024, reaching 10,869 tonnes, with further potential for growth in cargo flights and volumes. The passenger satisfaction index (ASQ) score of 4.49 (up from 4.45 in 2024) places the airport in a leading position among the best in Europe.

In 2025, Estonia's regional airports served a total of 93,516 passengers, a six percent increase from 2024. This growth was primarily driven by Tartu Airport, which achieved its best-ever results. Passenger numbers at other regional airports remained below the previous year's levels. However, new developments are on the horizon, with Saaremaa set to gain a flight connection to Finland during the summer months of 2026.

According to Riivo Tuvike, Chairman of the Management Board of Tallinn Airport, 2025 was one of the most financially successful years for the group. "Although the closure of six Ryanair routes hampered the summer season, the year as a whole was certainly positive: our route network expanded significantly in the second half of the year, passenger satisfaction is higher than ever, and we achieved our CO₂ neutrality goal in 2025. The daily professionalism, flexibility, and cooperative spirit of our entire dedicated team have been key to achieving these results," Tuvike said.

Global instability and volatility continue to impact the aviation industry. For 2026, the Tallinn Airport group forecasts sales revenue of 81 million euros (an 11 percent increase) and a passenger count of 3,694,237 at Tallinn Airport (a 6 percent increase). The largest ongoing investment and project is the expansion of the passenger terminal, where construction has already begun.

AS Tallinna Lennujaam is the operator and developer of Estonia's airports. The group consists of the parent company AS Tallinna Lennujaam and its subsidiaries: AS Tallinn Airport GH, AS Airport City, and AS Airport Fuel Terminal. The company operates the airports in Tallinn, Kuressaare, Kärdla, Pärnu, and Tartu, as well as the airfields on Kihnu and Ruhnu islands. AS Tallinna Lennujaam is wholly owned by the Republic of Estonia and operates under the jurisdiction of the Ministry of Climate.