MIA looks ahead with confidence

Malta International Airport plc maintained almost the same profit levels last year as it did in 2007 despite all the difficulties set by the global scene that have impacted the aviation industry, the company's AGM heard yesterday.

Moreover, further to the net interim dividends paid of €4,059,000 (0.06 per share), MIA plc has paid out a final net dividend of €0.057 per share which cumulatively translates into a higher dividend than 2007.

"In 2008 MIA may safely be considered to have achieved satisfactory results notwithstanding worldwide economic obstacles that already in the second half of last year had started to affect our operations. Beating the three million-euro-mark was no mean feat, especially considering that the registered increase of 4.7 per cent is being compared with 2007 which undoubtedly was a record year," MIA CEO, Julian Jaeger said.

In the light of the bleak financial environment such results warrant MIA to look ahead with confidence, Mr Jaeger said.

The company's CEO said the expansion project of the terminal which is currently nearing completion will be fully operational by summer to generate additional income even in the short term.

"This expansion and complete refurbishment is the salient feature of a strategy which shows a clear commitment to meeting the challenges through diversification of revenues and consistently pursuing the established policy of support schemes to encourage the introduction of new routes and additional flight frequencies in close cooperation with the major stakeholders.

"Notwithstanding the turbulent times, we still stand by our forecast of 2009 ending with a minus 5.5 per cent in passenger movements, which in fact is less negative than originally expected, especially considering that for summer 2009 seat capacity should reach 3,063,060 and this means an increase of plus 0.8 per cent when compared to summer last year. Moreover, the month of April until the 28th shows our passenger traffic at a marginal increase when compared to this time last year, which in turn means that this has brought us to a cumulative minus 9.5 per cent to date," added Mr Jaeger.

During 2008 MIA invested €4,500,000 on the modernisation of the terminal which has increased the retail landside area by 164 per cent to 690 square metres and the airside by almost 49 per cent, that is 2,120 square metres.

The entire area allocated to retail concessions has been rented out on more lucrative terms which in turn warrant increased revenue from the commercial sector, the AGM was told. This will be accentuated by the food and beverage area which, having been restructured and almost doubled in size, has allowed the addition of a food court with nine catering outlets and a common seating of some 400 diners.

This year's plan will also accomplish works on the conference amenities, the expansion of the car park to accommodate 500 more car spaces, as well as the Lufthansa Technik area which alone will generate a significant increase in yearly rent.

MIA targets commercial revenue to increase its share from 19 per cent in 2008 to 30 per cent by 2010.

Company chairman Karin Zipperer told shareholders yesterday that MIA's positive outlook on the future "encourages us moreover to proceed with the ongoing developments of our infrastructure, convinced that the end result will ensure an enhanced passenger service which in turn should attract an increased and more satisfied clientele".