Malta International Airport has reported a loss of €4.3 million last year as revenue dropped by €68 million in the wake of COVID-19.

It was the first time the company reported a loss since privatisation in 2002. 

In a statement, MIA said the drop of almost 70 per cent in revenue was a result of traffic dropping because of the COVID-19 pandemic as well as drops in non-aviation revenue streams. Revenue from the non-aviation segment, which dropped by over 51 per cent, included rents, parking, and VIP products.

The financial statements were approved by MIA's board of directors on Wednesday. 

The MIA said it had managed to reduce expenditure by 28.3 per cent through a "strict cost-cutting and liquidity preservation programme".

In 2019, MIA's profit after tax had amounted to €33.9 million. In 2020, a net loss of €4.3 million was registered.

“An excellent track record in the years leading up to 2020 furnished us with resilience to face last year’s unprecedented challenges. However, significant uncertainty and low consumer confidence continue to dominate the aviation environment, necessitating a continued cautious approach to cash management to bolster the company’s ability to withstand further shocks and safeguard the long-term interests of all stakeholders, whilst remaining in a position to swing into action as soon as air travel shows signs of recovery,” airport CEO Alan Borg said. 

MIA said that last year it managed to reduce total expenditure to €26.6 million (down 28.3 per cent).

Group staff costs registered a decrease of €2.2 million (-20.2%). This was achieved through the COVID-19 Wage Supplement Scheme handed out by the government and temporary salary reductions between April and July 2020.

Operating expenditure decreased by €8.3 million (-31.8%) in 2020.

In May, the MIA had announced it was shelving its €100 million expansion plans. The footprint of the airport terminal building was to be doubled as part of the project that would have seen Malta's airport turned into a "5-star facility".

At the time, with all flights to and from Malta banned, Borg had said all projects were being postponed indefinitely. The flight ban was partially lifted on July 1 though passenger numbers have remained low as countries continue to impose strict COVID-19 mitigation measures. 

The approved full financial statements can be accessed here or on pdf below.