Malaysia Airports reports +17.0% year-on-year surge in retail revenues
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Malaysia Airports Holdings Berhad (MAHB) has reported a +17.0% year-on-year surge in retail revenue to RM623.5 million (US$151.8 million) in the nine months ended 30 September 2017.
Group retail and food & beverage sales per passenger increased +12.3%.
Non-aeronautical revenues at the group, which runs Malaysia’s major airports as well as having a stake in Istanbul Sabiha Gökcen Airport in Turkey, rose by +13.9% to RM1,169.2 million (US$284.7 million).
Retail and F&B sales at Kuala Lumpur International Airport (KLIA) and low-cost terminal klia2 combined – the key locations for commercial activities at the group –increased +26.7% to RM1,546.8 million (US$376.6 million).
Malaysia Airports’ retail arm Eraman posted revenue of RM536.3 million (US$130.6 million) across KLIA and klia2, up +15%. Sales per passenger increased +2.0% to RM12.37 (US$3).
At Istanbul Sabiha Gökcen Airport, where the concessionaire is Setur Duty Free, duty free spend per passenger fell -5.5% to €8.81. Non-aeronautical revenue slipped -7.8% to €62.9 million.
MAHB said group passenger traffic increased +8.6% to 95.3 million. International traffic growth in Malaysia (+14.7%) and Turkey (+6.6%) outpaced respective domestic growth.
MAHB group revenue was up +10.1% to RM3,405.5 million (US$828.4 million). EBITDA increased +10.6% to RM1,478.4 million (US$359.6 million).
Travel retail seems to be gaining a continuous growth, not only in Malaysia, but all Asia Pacific, without ignoring the high number of tourists purchasing goods in the country of origins of the brands.
Questions & Answers
Q.Which specific locations contributed most significantly to the overall retail and food & beverage sales growth for Malaysia Airports?
Which specific locations contributed most significantly to the overall retail and food & beverage sales growth for Malaysia Airports?
Kuala Lumpur International Airport (KLIA) and its low-cost terminal klia2 were the key locations. Combined, their retail and F&B sales increased by +26.7% to RM1,546.8 million.
Q.How did passenger spending on retail and food & beverage evolve across the entire group?
How did passenger spending on retail and food & beverage evolve across the entire group?
Group retail and food & beverage sales per passenger increased by +12.3%. However, Eraman's sales per passenger at KLIA and klia2 only rose by +2.0%.
Q.What was the performance of non-aeronautical revenues at Istanbul Sabiha Gökcen Airport?
What was the performance of non-aeronautical revenues at Istanbul Sabiha Gökcen Airport?
Non-aeronautical revenue at Istanbul Sabiha Gökcen Airport slipped by -7.8% to €62.9 million. Duty-free spend per passenger also fell by -5.5% to €8.81.
Q.Did international or domestic passenger traffic contribute more to the overall growth for MAHB?
Did international or domestic passenger traffic contribute more to the overall growth for MAHB?
International traffic growth outpaced domestic growth in both Malaysia (+14.7% international vs. Domestic) and Turkey (+6.6% international vs. Domestic). This contributed to the group's total passenger increase of +8.6%.
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