MAHB’s Q2 net profit soars

> Up more than sevenfold, buoyed by local operations which offset losses incurred by overseas units

PETALING JAYA: Malaysia Airports Holdings Bhd (MAHB) saw its net profit increase by more than sevenfold for the second quarter ended June 30, 2017 to RM66.93 million from RM9.38 million a year ago, supported by contribution from its Malaysian operations which negated the losses incurred by its overseas operations.

The airport operator’s revenue rose by 10.26% to RM1.1 billion from RM997.6 million, attributable mainly to its local operations which saw an increase in revenue from both airport and non-airport businesses.

MAHB also saw a 13.8% increase in passenger traffic from its airports in Malaysia to 23.9 million in the quarter under review from 21 million last year.

“The passenger traffic for Istanbul Sabiha Gokcen International Airport for the current quarter under review increased by 4% to 7.8 million passengers as compared with the corresponding quarter last year of 7.5 million passengers. Both international and domestic traffic increased by 9.5% and 3.2% respectively,” MAHB said in a Bursa Malaysia filing.

Its board displayed a cautiously optimistic sentiment on its performance going forward for the current financial year, on the back of improved passenger growth driven by visa relaxation measures for China and India, increase in Umrah travel competitive fares as well as favourable exchange rate for foreign tourists.

“The rise in demand was adequately supported by the increase in airlines’ seat capacity. Seat capacity supply estimates for the second half of 2017 indicate a 6% growth over the second half of 2016, setting the tone for a solid year for passenger growth,” it added.

The group’s net profit for the first six months of the current financial year jumped close to five fold to RM128.94 million from RM26.39 million in the same period last year.

Revenue on the other hand, stood at RM2.19 billion, 8.75% higher than the cumulative revenue last year which was at RM2.02 billion.

MAHB shares rose one sen to close at RM8.75 yesterday on some 2.56 million shares done, giving it a market capitalisation of RM14.52 billion.