Malta International Airport registers a profit in first months of 2022 despite ‘sluggish’ start to year

Malta International Airport plc (MIA) has released its financial results for the first three months of this year, showing a profit after tax of €695,454 – a marked improvement on the €2.1 million loss recorded in the same period in 2021.

This came as the airport’s revenue doubled between Q1 2021 and Q1 2022, increasing from €5,084,183 to €10,832,265. 

This reflected the COVID situation in the two periods, with restrictions much less restrictive in the first quarter of this year than they were in last year.

However, despite the relative improvement at the start of this year, the situation was still markedly worse than it was before the pandemic, with passenger numbers remaining 44.1 per cent below their pre-pandemic levels. 

Indeed, MIA characterises the first quarter as “sluggish,” pointing to hits to consumer confidence caused by the surge in COVID cases internationally and the reintroduction of some travel rules. 

Costs also increased, with staff expenses rising by 26 per cent as the airport lifted a hiring freeze and discontinued pay cuts which were in effect between February and April 2021. 

Overall operating expenses, on the other hand, increased by 25 per cent as a result of a busier operation in comparison with the first quarter of 2021. 

Pre-tax profit between January and March of this year was €1,175,598 and the company paid €480,144 in income tax during the period.

In terms of investment, MIA’s capital expenditure during the first quarter, including the overhauling of the airport food court, amounted to €1.2 million.

The first phase of this project was completed last week, and MIA expects it to strengthen its retail and property segment, which it describes as an “important” contributor to overall revenues.

The results come as the airport enters a vital summer period, where it will be hoping for a continued rebounding of international travel in the traditional peak period.

April brought busier days for Malta International Airport (MIA), as 513,979 passengers travelled through the terminal during the month. 

This figure marks a recovery of 78.7 per cent of pre-pandemic passenger numbers, which is the strongest monthly recovery MIA registered since the onset of the pandemic.