OUR VA LUE CREAT I ON S TRAT EGY www.malaysiaairports.com.my 51 MATERIAL MATTERS ECONOMIC PERFORMANCE Economic Performance refers to the economic value generated and distributed by Malaysia Airports. As a public-listed entity, our primary responsibility is to create shared value for our stakeholders. Our economic performance is crucial to the existence of the business and the interests of our stakeholders which include healthy economic returns, continued employment and business opportunities. M5 STAKEHOLDERS INVOLVED LINK TO STRATEGY AND KEY ENABLERS CAPITALS AFFECTED AND TRADE-OFFS: LINK TO UN SDGS F S F I HIGHLIGHTS Generated economic value In 2022, in line with higher passenger volumes, the Economic Value Generated and Economic Value Distributed were higher than 2021, leading to a positive Economic Value Retained. Group-wide cost containment measures Cost containment measures led to Malaysia Airports’ total cost reducing by 10.8% YoY or RM98.5 million, despite the increase in passenger traffic by 132.4%. This indicates that S1 S3 S2 S4 S7 S5 S9 Malaysia Airports has sustained its cost containment despite the increase in passenger traffic. Bolstered cash position At end-2022, Malaysia Airports’ cash balances and money market investments stood at RM1,939.8 million compared to RM2,311.4 million at end-2021. Cash balances were bolstered by improvement in net cash from operating activities particularly with the improvement in revenues in Malaysia and Türkiye, and sustained core cost containment measures. H KEY PERFORMANCE INDICATORS AND TARGETS Economic Performance 2022 2021 2020 Change 2022 vs 2021 RM ‘million % Economic Value Generated Revenue 3,415.6 *1,883.1 *2,041.0 81.4% Economic Value Distributed Operating costs (1,231.8) (915.8) (1,162.7) 34.5% Employee wages and benefits (751.4) (675.7) (742.6) 11.2% Payments to providers of capital (193.6) (634.1) (641.0) -69.5% Payments to Government (214.4) **190.8 **499.2 >100% Economic Value Retained 1,024.4 (151.8) (6.1) >100% * The Economic Value Generated includes revenue, other income and share of results of associates and joint ventures ** The distribution to the Government is as a result of tax credits that were largely due to the recognition of the tax recoverable and deferred tax assets Driving Aeronautical Recovery Rejuvenating Commercial and Retail Business Strengthening International Business Accelerating Off-Terminal Opportunities Workflow Transformation
RkJQdWJsaXNoZXIy NTkwNzg=