UPDATE 1-NZ's Auckland Intl Airport profit down 63 pct

* Year profit falls on property revaluations

* Global travel demand seen as uncertain

* Outlook for 2010 adjusted profit to dip slightly

(Adds details, company comment)

WELLINGTON, Aug 28 (Reuters) - New Zealand's biggest airport, Auckland International Airport Ltd. AIA.NZ, reported a 63 percent fall in full year profit on Friday and said it expected a flat year ahead amid unstable global travel demand.

The company, which handles around 70 percent of the country's international arrivals and departures, said the operating result was solid, with increased revenue and operating earnings, and lower capital expenditure.

"These reflect our efforts to focus on key markets, work harder with our customers, drive greater yield, and tightly manage ongoing operational and infrastructure costs," chief executive Simon Moutter said in a statement.

The top-10 company made a net profit of NZ$41.7 million ($29 million) in the year ended June 30, compared with NZ$113 million last year.

Excluding one-off costs and the unrealised losses on property values, Auckland Airport posted a net profit of NZ$105.9 million, compared with a company forecast of NZ$100-110 million.

The company's properties were written down by NZ$64.6 million, compare with a NZ$13.7 million gain the year before.

The airport said it expected net profit for the 2010 year to be between NZ$93 million and NZ$100 million, although it warned forecasting was difficult in the current environment, with global travel conditions remaining unstable.

Shares in the company, which is about 23 percent owned by two Auckland local bodies, closed at NZ$1.75 on Thursday. It has gained around 7 percent so far this year, compared to a 13 percent rise in the benchmark NZSX-50 index .NZ50.

Auckland Airport declared a dividend of 4.5 cents, compared with 2.45 cents per share last year, however the 2008 dividend was skewed by a large payment in the first half-year.

Operating Earnings before interest, tax, depreciation and amortisation (EBITDA) were NZ$280.4 million, up 1.6 percent.

Total passenger numbers were just over 13 million, down 1.4 percent, while aircraft movements were 1.8 percent lower at 156,781.

Last month the company said it would develop a four-star class hotel on airport property along with hotel operator Accor (ACCP.PA) and the business arm of the Tainui Maori tribe. See [ID:nWLF004290] (NZ$1=$1.45) (Reporting by Adrian Bathgate)