KUALA LUMPUR (April 23): Penang International Airport (PIA) saw a 5% month-on-month (m-o-m) rise in international travellers during the non-peak month of March 2024, according to Malaysia Airports Holdings Bhd (MAHB). 

The airport operator said PIA saw international passenger movements reaching 328,000 in March, from 313,000 in February.

“The destination’s appeal remains strong, as the airport continually attracts new carriers,” MAHB said in a statement on Tuesday. 

MAHB explained that the rise in March was attributed to, among others, the addition of new foreign carrier Fly Dubai, which operates daily flights directly to PIA from Dubai International Airport. 

“Presently, PIA hosts 19 international airlines, servicing 16 global destinations, through 514 flights weekly,” the group said, adding that the airport is set to host Thai Lion Air in April, which will operate three weekly flights for its PIA to Don Mueng, Thailand route.

Overall, MAHB’s operations in Malaysia - comprising 39 airports - saw 3.8 international and 3.2 million domestic passenger movements in March. The international passengers in PIA represented 8.6% of the group’s total international passenger movements in Malaysia.

As for its airport in Türkiye, MAHB said the Istanbul Sabiha Gökçen International Airport (ISGA) maintained a steady passenger volume in March of 3.1 million - comprising 1.7 million international and 1.4 million domestic passengers. 

ISGA’s passenger movement will be closely watched in coming months, as analysts have flagged concerns over ISGA’s passenger traffic potentially being impacted by the geopolitical tensions in the Middle East, given Türkiye’s close proximity to the conflict’s current main protagonists Iran and Israel. 

Meanwhile, on a quarterly basis, MAHB said overall passenger movements in the first quarter of 2024 (1Q2024) of 31.4 million represented an over 90% recovery from pre-pandemic levels.

“Notably, international passenger movements exceeded 1Q2019 levels for the first time, reaching 16.9 million in 1Q2024, marking a 5% increase,” the group said, primarily propelled by robust international expansion of airlines in ISGA.

“Domestic passenger movements remained steady at 14.5 million, with an 82.9% recovery rate over 2019 levels. This trend indicates a strategic focus by airlines on expanding their international routes over domestic ones,” it added.

At the time of writing on Tuesday, shares in MAHB were down four sen or 0.4% to RM9.96, giving the group a market capitalisation of RM16.62 billion.

https://www.theedgemarkets.com/node/709011