KUALA LUMPUR: Passenger traffic volume at Malaysia’s airports is likely to improve in the months ahead, according to analysts.
And this is good news for Malaysia Airports Bhd as it means a rise in passenger fee revenue.
The number of visitors to Malaysia usually increases during the second half of the year, according to a report in the Nikkei Asian Review.
An increase in international traffic on the back of double-digit growth in passenger movements at several major airlines, including Emirates Airlines and KLM Royal Dutch, suggests an already-robust count of inbound tourists, analysts added.
“We see the remaining months would likely be stronger given that Malaysia Airlines had stopped reducing capacity,” Nomura Holdings analyst Ahmad Maghfur Usman was quoted as saying. He said this was boosted by the seasonally stronger travel demand in the second half.
Malaysia Airports handled 10.5 million passenger movements in July, a monthly record high so far this year, according to the company’s latest data. Passenger movements in Malaysia grew 8.5 per cent in July from a year earlier.
Aircraft traffic meanwhile fell 1.3 per cent from a year earlier to 88,709 flights during the month, said the Nikkei report.
Meanwhile, Shanghai Airlines, Emirates Airlines, KLM Royal Dutch, and Etihad Airways, among others, grew their passenger traffic by more than 20 per cent in July, Malaysia Airports said.
Malaysia Airports operates the Kuala Lumpur International Airport and manages more than three-dozen airports in Malaysia. The company also owns the Istanbul Sabiha Gokcen International Airport and runs India’s Rajiv Gandhi International Airport at Hyderabad.
Traffic at the Kuala Lumpur International Airport grew nearly 27 per cent year-on-year in July.
Shares of Malaysia Airports were 0.2 per cent higher at RM6.28 in late Monday afternoon trade.