Malaysia Airports Holdings Berhad (AIRPORT) Q3 2024 earnings summary

Executive summary

• Nine-month 2024 profit after tax reached RM606.2 million, more than doubling year-over-year, with revenue at RM4.26 billion and EBITDA at RM2.07 billion, driven by strong passenger recovery and commercial growth.

• Passenger movements totaled 101.2 million across Malaysia and Turkey, up 13.9% year-over-year and at 96.3% of 2019 levels, with Malaysia's international seat capacity at 90% of 2019 and Turkey's at 171%.

• Number of scheduled airlines in Malaysia exceeded pre-pandemic levels, reaching 74, with further growth expected.

• Strategic initiatives include digitalization, self-service bag drops, commercial space expansion, and retail resets, leading to higher occupancy and spend per ticket.

• Major airport expansions in Penang and Kota Kinabalu are underway, positioning for future growth.

Financial highlights

• Revenue increased 20.3% year-over-year to RM4,262.4 million, with EBITDA up 30.9% to RM2,066.0 million and net profit at RM606.2 million.

• Aeronautical revenue rose by 22.1% to RM2,384.2 million; commercial rental and non-aeronautical revenue up 19.4% to RM1,623.9 million.

• Malaysia operations EBITDA up 53.9% to RM1,028.5 million; Türkiye operations EBITDA up 14.0% to RM1,037.5 million.

• Cash and money market investments stood at RM2,493.6 million, with borrowings at RM4,596.7 million.

• Basic EPS for YTD: 33.74 sen (YTD 2023: 12.77 sen).

Outlook and guidance

• Passenger traffic is expected to approach pre-pandemic levels, supported by relaxed visa requirements, new airline routes, and Visit Malaysia 2026.

• Ongoing airport expansions in Penang and Kota Kinabalu will double terminal capacities, funded by government mechanisms.

• Commercial occupancy targeted at 86% by year-end, with over 30 new outlets to open in FY24.

• Strategic focus remains on infrastructure upgrades, operational efficiency, and enhanced passenger services.