Highlight Malaysia Airports 1Q net profit rises 2%, revenue shrinks 24% y-o-y

by **Cals** Fri 25 Apr 2014, 02:09

Highlight Malaysia Airports 1Q net profit rises 2%, revenue shrinks 24% y-o-y

Business & Markets 2014

Written by Ho Wah Foon of theedgemalaysia.com

Thursday, 24 April 2014 14:22

KUALA LUMPUR (April 24): Malaysia Airports Holdings Bhd (MAHB) posted a net profit of RM128.7 million for the first quarter of 2014, up only 2% from RM126.1 million in the first quarter of 2013 due to a drastic fall in construction revenue.

But it posted a year-on-year fall of 24% in revenue for the quarter to end-March 2014. Revenue for the quarter was RM781.1 million, compared to RM1027 million in the first quarter of 2013.

In its explanatory notes, the airport operator for the country said the consolidated revenue of the group for the quarter under review was lower due mainly to a plunge of RM333 million in construction revenue under its airport operations.

But as there were improved profits in other segments, the reduction in total revenue was lower at RM246 million.

Giving details, MAHB said the construction revenue under the airport operations was RM121.6 million versus RM454.6 million recognised in the corresponding period in 2013.

Construction revenue in the first quarter was recognised in relation to the construction of klia2 while in the same period last year, construction revenue was recognised for the construction of klia2 and expansion of Penang International Airport, which was completed at the end of 2013.

“But excluding the construction revenue of RM121.6 million, the airport operation’s revenue was RM620.8 million, an increase of 15.2% or RM83.9 million from RM536.8 million in the previous corresponding quarter,” said MAHB.

The group’s retail business improved by 14.3% or RM20.3 million, riding on the passenger growth and various promotional activities, it said.

Passenger movements for the quarter under review increased by 18.1% to 20.6 million passengers versus 17.4 million passengers in the previous corresponding quarter.

MAHB said the consolidated profit before tax and zakat (PBT) for the quarter was lower by 3.8% or RM7.1 million compared to the previous corresponding period.

Included in the PBT for the current quarter was a construction profit of RM5.2 million, a drop of 73.4% or RM14.5 million compared with 1Q2013, said MAHB.

Excluding the construction profit, the PBT for the current quarter under review was RM173.7 million, an increase of 4.4% or RM7.4 million from RM166.3 million in 1Q2013 mainly attributed to the positive growth in revenue.

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