Macau’s airport operator CAM said in a statement on Monday that it was “hit hard” by the impact of the COVID-19 pandemic in the first quarter of the year, admitting that its profitability prospects for this year are uncertain.
“Aviation industry demand has slumped drastically,” the statement said, pointing out that in the first quarter the airport’s passenger and flight movements dropped 45 per cent and 55 per cent, respectively.
The statement said that CAM set up a contingency working group in January to tackle the COVID-19 impact, adding that in response to the crisis it has decided to reduce some of its fees for the period between February 1 and April 30, involving about MOP 25 million (US$3.12 million).
According to the statement, the company’s 2019 net profit after tax reached MOP 617 million, “the 8th consecutive profitable year.” CAM’s total income reached MOP 1.82 billion last year, up 16.5 per cent year-on-year, comprising MOP 795 million from aeronautical revenue and MOP 1.02 billion from non-aeronautical revenue.
The statement said that CAM earned a profit of MOP 714 million before preferred dividends last year, and after the provision for the distribution of 2019 preferred dividends.
According to the statement, the total income of the major operators at the airport is estimated to have reached MOP 6.27 billion last year, a year-on-year growth of 13.6 per cent.