MALAYSIA. Malaysia Airports’ retail division Eraman delivered revenue growth of +11.2% year-on-year in Q1 2014, its parent company has reported.
Revenues in Q1 from Kuala Lumpur International Airport (KLIA) and the low-cost carrier terminal (LCCT) hit MYR139.7 million (US$42.6 million), driven by increased flights to China plus additional charter traffic. Eraman’s per passenger revenue dipped slightly in the period, from MYR11.86 last year to MYR11.33 (US$3.45) in Q1 2014.
Half of the company’s sales came from the LCCT (to be replaced when klia2 opens on 2 May), with the balance from the Satellite Building (23%), Contact Pier (22%) and Main Terminal Building (5%).
Malaysia Airports’ owned retail and food & beverage business (principally Eraman) climbed by +14.3% in the quarter to MYR162.2 million (US$49.5 million).
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Revenue from rental of space, advertising and other commercial segments grew 1.5% to MYR101.0 million (US$30.8 million), contributed mainly by higher rental royalties resulting from higher sales at KLIA.
Overall, non-aeronautical revenue recorded a growth of +8.9% to MYR286.1 million (US$87.3 million) on the back of improved performance in the retail and rental businesses.
Total sales to passengers at KLIA and the LCCT (retail, F&B and services) hit MYR367 million (US$112 million), up by +11.4%. Sales per passenger dipped at KLIA due to the reallocation of some international flights. At the LCCT, Malaysia Airports said sales per passenger fell due to overcrowding in F&B outlets.
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Malaysia Airports Holdings recorded revenue of MYR781.1 million (US$238.5 million) for the three months, down by -24%. The sharp fall was attributed to changes in accounting treatment of the business.
Earnings before interest, tax, depreciation and amortisation (EBITDA) grew +2.1% to MYR257.9 million (US$78.7 million). Profit after tax grew +1.9% to MYR128.7 million (US$39.2 million).
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The group recorded passenger growth of +18.1% in Q1, outpacing the expected passenger growth rate of +9.7% for 2014, with a total of 20.6 million passengers having passed through its 39 airports in Malaysia.
Both international and domestic passenger movements recorded strong growth at +14.9% and +21.5% respectively. Total passenger movements at KLIA increased by +16.4%. All other airports recorded strong aggregate growth in total passenger movements of +20.8%.
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In its outlook, Malaysia Airports said: “While it is premature to assess the impact on international passenger arrivals after the MH370 incident, this is not expected to affect the positive growth of passenger numbers in the longer term.
“A testimony of this trajectory is the higher than expected passenger growth in the first quarter of 2014 which recorded a robust increase of +18.1%. This achievement well surpasses MAHB’s full year forecast of +9.7% and the global estimate of +5.8% forecasted by IATA based on the assumption that Malaysia’s GDP growth would be in the range of 5.0%-5.5% for the year 2014.
“Furthermore, klia2 which will commence operations on 2 May 2014 is expected to be the catalyst in boosting MAHB’s performance in 2014, mainly contributed by klia2’s targeted retail and commercial offerings attractive to passengers and airport visitors.”
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Recent images from earlier this month show the soon to be completed klia2, which will begin operations on 2 May, says Malaysia Airports |
