Developments continue for AOT despite steep decline in revenues for 2021

By Charlotte Turner |

For the year ended 30 September, 2021, Airports of Thailand (AOT) registered a decline in non-aeronautical revenue of 67.31% to Bt 4,756.91 million/$144 million compared with the prior year, due to a dramatic drop (83.17%) in concession revenues to Baht 1,374.08 million/$41.7 million.

 

As a direct result of travel restrictions – imposed by the Thai government to prevent the spread of Covid 19 – passenger numbers in 2020 and 2021 were some of the lowest on record.

 

However, on 1 September the country was permitted to resume operations. “AOT has been aware of the impact of the COVID-19 pandemic affecting the operation and liquidity of the concessionaires and airlines which are our trading partners at six airports under AOT’s responsibility whereby AOT has continuously imposed relief measures to facilitate their business,” said the operator.

 

In July, TRBusiness reported that AOT had approved a 5-month extension to credit term payments with its concessionaire partners on top of those it announced in January of this year.

 

At AOT’s Board of Directors meeting on 25 August, further measures were approved to help airlines by postponing payments. However, the assistance measures must be in accordance with the terms and conditions ‘prescribed by AOT’, highlighted the airport operator.

 

AIR TRAFFIC VOLUME

Air traffic for the year ended 30 September for the six airports managed by AOT decreased by 52.35% compared to the prior year, comprising 67,018 international flights and 178,440 domestic flights.

The total number of passengers decreased by 72.45% or 20.01 million compared to the prior year.

 

“The Covid-19 pandemic is the biggest crisis that affects both tourism and aviation industries and the overall country’s economy,” said AOT.

 

“AOT has been impacted by this crisis, which has caused a dramatic decrease in the number of flights and passengers until now. However, AOT will continue to carry out airport development projects to enhance airport capacity in order to prepare for the recovery of the aviation business, which is expected to return to its normal state in the future.”

State-owned AOT, which manages six airports in the country has carried out various projects as planned during the pandemic; one of which is the new satellite building (SAT-1) at Suvarnabhumi Airport.

 

AOT plans to increase the capacity of Suvarnabhumi Airport further with its north expansion, growing areas for both airside and landside in order to reduce congestion within the Main Terminal building.

 

AOT also plans to increase non-aeronautical revenues by developing commercial areas around its airports.

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