Malta International Airport plc - Full-Year Results

On 13 March, Malta International Airport plc published its 2008 full-year results showing a 2.9% decrease in profitability to €13.7 million despite a 1.7% rise in turnover. MIA’s profitability declined as a result of rebates on tariffs given as incentive schemes on new routes, higher staff costs due to a new collective agreement, a higher depreciation charge arising from new investments within the air terminal and the new charges paid to ground handlers related to Persons with Reduced Mobility (PRM).

During 2008, a record 3.11 million passengers passed through the airport, an increase of 4.7% from the previous year. However, the Directors expect passenger traffic to decline by between 5% and 6% during 2009, retreating to the 2007 level or slightly below. Nonetheless MIA stated that it will continue with its investment program by concluding current works at its air terminal. The aim of the extension is to increase the terminal’s capacity and create additional retail floor space to generate more commercial revenue to compensate for the loss of aviation revenue from lower passenger movements.

Despite the marginal decrease in profitability, the Directors recommended a final gross dividend per share of €0.08769 (net: €0.057) payable to those shareholders as at close of trading on Tuesday 5 May. In addition to the interim dividend of €0.09231 per share, the total dividend for 2008 edged marginally higher to €0.18 per share. The final dividend recommendation will be put forward for approval to shareholders during the Annual General Meeting scheduled to be held on 30 April 2009.

A review of the Full-Year results is available here.

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