MacroAsia FY23 profit: P1.1-B (up 132%)

MacroAsia [MAC 4.26, up 7.8%; 690% avgVol] [link] posted an FY23 net income of P1.07 billion, up 132% from its FY22 net income of P0.46 billion, lifted by a 74% increase in in-flight catering revenues to P3.98 billion and a 53% increase in ground handling and aviation services to P3.14 billion. Both increases were themselves driven by the broader increase in both domestic and international flight activity. MAC reported handling 48,041 more flights in FY23 than FY22 (up 36%), and attributed its improved results this year to “volume growth across all the Group’s business units.”

MB bottom-line: MAC’s management team said that it expects the privatization of NAIA later this year to “ultimately result in more flights and passengers for the main hub”, and while “costs of doing business in the airport may go up under a new management setup”, MAC said that “such costs are often passed on to clients based on open-book pricing practices.” MAC said that it’s going to strengthen its support for its catering and ground services units, and will look to juice this growth with more income from its “non-airport” segments like food, water, and connectivity services to locations outside of the airports that it services. 

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