26 September 2018, Wednesday | 09:47pm

Malaysian Airports recorded a 9.7% increase of passenger traffic in June

2018-07-11

KUALA LUMPUR (July 10): Malaysia Airports Holdings Bhd (MAHB) saw 9.7% more passengers pass through the 39 airports it manages in the country in June this year at 8.38 million, from 7.64 million a year ago.

This is the highest growth registered for a month in 2018.

International and domestic passenger traffic grew by 8.3% and 11.1% to 4.21 million and 4.17 million respectively in June 2018 from 3.88 million and 3.76 million respectively in June 2017.

"Domestic sector registered the first positive growth since November 2017. The average domestic load factor at 76.2% was also the highest for the year," said MAHB in a filing with Bursa Malaysia today.

Overall aircraft movements also increased by 4.1% year-on-year (y-o-y), with international movements up 5.9% while domestic rose 3% over June 2017. Average load factor increased by 1.2 percentage points to 75.9% in June 2018 over June 2017.

The Kuala Lumpur International Airport (KLIA) in Sepang handled 4.98 million passengers in June 2018, up 9.7% from 4.54 million passengers recorded a year ago.

Out of this, passenger traffic at KLIA Main Terminal rose 6.7% y-o-y to 2.33 million from 2.18 million, while klia2 recorded a 12.5% increase in traffic to 2.65 million in June 2018 from 2.36 million in June 2017.

Systemwide including its Istanbul operations in Turkey, MAHB handled 9.5% more passengers at 11.18 million in June 2018 compared with 10.21 million a year ago.

Istanbul Sabiha Gokcen International Airport's (SGIA) passenger traffic grew 9.1% y-o-y in June 2018 to 2.8 million from 2.57 million.

"The high 9.5% (growth) was mainly due to (the) Eid Al-Fitr holiday season," MAHB said, adding that the festive season had coincided with the two-week mid-term school break as well.

While the holidays and festive season were the main contributors to the traffic growth, the airport operator noted that the high growth rate at the tail end of the month was partly a resultant of the lower base during the 2017 fasting month.

"There was significant increase in passenger travel between Malaysia and Indonesia, China, South Korea, Singapore, Vietnam, Cambodia, Japan, Oman and Maldives in June 2018 over June 2017, almost all of which experienced double-digit growth," it added.

In the first five months of 2018 (5M18), MAHB said airports in Malaysia registered a 3% growth in passenger volume to 48.73 million from the year-ago period. Aircraft movements grew by 1.5% y-o-y in 5M18.

KLIA passenger movements grew by 4.3% y-o-y to 29.71 million passengers in 5M18. Out of this, KLIA Main Terminal passenger movements declined by 1.4%, which was offset by the 9.9% increase in traffic at klia2 to 15.97 million passengers.

Systemwide including Istanbul SGIA, MAHB's airports recorded a growth of 5.2% y-o-y to 64.93 million passengers in 5M18. Total passenger traffic at Istanbul SGIA rose 12.4% to 16.2 million passengers in 5M18.

Going forward, MAHB said airlines' seat filings for the next six months show some moderation for international traffic and upswing in domestic travel for Malaysia.

"The anticipated increase in air travel leading to and post the 14th general election has been below expectation," the group said, adding that the growth for the next six months is expected to be moderate.

This growth momentum in Istanbul's SGIA, meanwhile, is likely to hold based on current market condition.

MAHB shares closed up one sen or 0.11% at RM8.78 today, with 2.12 million shares done, bringing a market capitalisation of RM14.54 billion.

Source:TheEdgeMarkets/https://bit.ly/2ub1Nbv

Imagesource: MitsuitOutlet/https://bit.ly/2NEx66N

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