AirportsAirports ofof ThailandThailand PublicPublic CompanyCompany LimitedLimited (AOT)(AOT)
FiscalFiscal YearYear 20062006
1 Agenda
4 At a Glance
4 Business Highlights
4 Air Traffic Statistics
4 Airport Capacity
4 Financial Performance
2 At a Glance
Fact & Activities
Airports of Thailand PLC • Listed on Stock Exchange of Thailand in September 2002 • Ownership Structure: Ministry Of Finance – 70% Free Float – 30%
Suvarnabhumi Airport • Passenger Terminal Capacity: 45m per year at opening • Aircraft Gates: 120 parking bays (51 contact gates and 69 remote gates) • Runway Capacity: 76 flights per hour
Investor Relations Section, Email: [email protected] 3
Tel:(662)535-5900, Fax:(662)535-5909 www.airportthai.co.th Page 1 3 BusinessBusiness HighlightsHighlights
4 AirportAirport SectorSector inin ThailandThailand
CHIANGRAI INTERNATIONAL CHIANGMAI AIRPORT INTERNATIONAL O Total of 36 airports in Thailand AIRPORT
Mae Hong Son 4 2 in Bangkok and perimeter (Don Muang and Suvarnabhumi) Nan 4 34 in provincial areas Lampang Phrae
Tak Nakhon Phanom Sukhothai Loei Udon Thani O Government owns and operates 33 of 36 airports Mae Sot Phitsanulok Sakon Nakhorn
4Airports of Thailand Public Company Limited Phetchabun Khon Kaen Roi Et 2 in Bangkok and perimeter (Don Muang and
Ubon Ratchathani Suvarnabhumi) BANGKOK Buri Ram INTERNATIONAL Nakhon Ratchasima 4 international airports at regional sites AIRPORT SUVARNABHUMI INTERNATIONAL AIRPORT 4Department of Civil Aviation (DCA) AOT Airports 26 regional airports U-Tapao Hua Hin Trad 4Royal Thai Navy DCA/MOT Airports U-Tapao airport Chumpon Bangkok Airways Airports
Ranong Royal Thai Navy Airport Surattani O Remaining 3 airports (Sukhothai, Samui and Trad) Samui Nakhon Si Thammarat
owned and operated by Bangkok Airways Company, a HATYAI Krabi INTERNATIONAL private company Pattani PHUKET Trang AIRPORT INTERNATIONAL Narathiwat AIRPORT
AOT manages and operates the 6 leading airports in Thailand which account for more than 90% of Thailand’s air traffic. 5 TravelTravel toto ThailandThailand
Travel Purposes Mode of Transport
Others Sea 8.30% 1.60% Business Land 11.90% 15.60%
Leisure 79.80% Air 82.80%
Travel to Thailand is dominated by the profitable leisure travel segment and mostly by air
6 AirAir TrafficTraffic StatisticsStatistics
7 AIRCRAFTAIRCRAFT MOVEMENTSMOVEMENTS -- ALL AIRPORTS
Movements % (‘000) t CAGR 7.8 l Movemen 400 Tota .0% +6 350.3 .7% +11 330.4
-0 .7% 06% .4% +20 295.7 300 +1. 148.5 243.4 246.0 245.0 136.7 115.0 200 91.2 92.0 92.0 +7.1%
100 81.8 87.6 154.0 153.0 180.7 193.7 210.8 152.2 33.7 37.5
48.1 50.1 0 2001 2002 2003 2004 2005 2006 Q4 05 Q4 06 Q4 01 Q2 02 Q2 03 Q2 04 Q1 05 Q4 06 911 NY BALI BOMB IRAQ WAR, BIRD FLU, TSUNAMI COUP D’ÉTAT SARS SOUTHERN International Domestic VIOLENCE 8 Note : CAGR = cumulative annual growth rate AIRCRAFTAIRCRAFT MOVEMENTSMOVEMENTS -- BY AIRPORTS (Movements) % CHG (YOY)
Suvarnabhumi 2,518 - (From Sep 28th - Sep 30th, 2006)
Don Mueang 278,185 4.93
Phuket 28,991 8.16
Chiang Mai 24,469 9.42
Hat Yai 10,532 5.39
14.86 Chiang Rai 5,659 9 PASSENGERPASSENGER MOVEMENTSMOVEMENTS -- ALL AIRPORTS
R 6.6% ment CAG Passengers Total Move 60(Million)
50 +9.5% 51.8 +4.9% % +24.2 47.3 -0. 45.1 6% - 40 4.7% 18.7 38.3 38.1 17.4 36.3 16.0 30 13.1 12.5 12.1
6.8% 20 + 12.8 33.1 11.9 29.1 29.9 25.2 25.6 24.2 10 4.1 4.5 7.8 8.3 0 2001 2002 2003 2004 2005 2006 Q4 05 Q4 06 Q2 04 Q1 05 Q4 01 Q2 02 Q2 03 Q4 06 International Domestic 911 NY BALI BOMB IRAQ WAR, BIRD FLU, TSUNAMI COUP D’ÉTAT SARS SOUTHERN VIOLENCE 10 Note : CAGR = cumulative annual growth rate PASSENGERPASSENGER MOVEMENTSMOVEMENTS -- BY AIRPORTS (Movements) % CHG (YOY) Suvarnabhumi 317,736 - (From Sep 28 - Sep 30, 2006)
Don Mueang 42,042,695 8.11
Phuket 4,467,982 28.66
Chiang Mai 3,078,156 2.20
Hat Yai 1,293,268 0.45
2.82 Chiang Rai 696,492 11 Low Cost Carriers (LCCs) Traffic Statistics – Aircraft Movements
FY05 FY06 % CHG FY05 FY06 % CHG FY05 FY06 % CHG BKK 312 418 - 730 DMK 12,601 14,331 13.7% 24,607 33,331 35.5% 37,208 47,662 28.1% HKT 1,854 2,075 11.9% 4,507 6,609 46.6% 6,361 8,684 36.5% CNX 241 1,117 363.5% 7,275 9,634 32.4% 7,516 10,751 43.0% HYD 1,394 1,136 -18.5% 5,136 6,622 28.9% 6,530 7,758 18.8% CEI 2,004 2,766 38.0% 2,004 2,766 38.0% Total 16,090 18,971 17.9% 43,529 59,380 36.4% 59,619 78,351 31.4%
BKK : Suvarnabhumi Airport DMK : Don Muang International Airport HKT : Phuket International Airport CNX : Chiang Mai International Airport Note: LCCs started operating in Dec 2003 Suvarnabhumi Airport (BKK) started operating on Sep 28th, 2006 HYD : Had Yai International Airport Fiscal year begins on Oct 1st and ends September30th CEI : Chiang Rai International Airport 12 Low Cost Carriers (LCCs) Traffic Statistics – Passenger Movements
FY05 FY06 % CHG FY05 FY06 % CHG FY05 FY06 % CHG BKK 28,834 39,624 - 68,458 DMK 1,249,926 1,647,425 31.8% 3,010,935 3,903,362 29.6% 4,260,861 5,550,787 30.3% HKT 158,666 250,955 58.2% 597,701 841,850 40.8% 756,367 1,092,805 44.5% CNX 27,978 127,604 356.1% 946,559 1,094,438 15.6% 974,537 1,222,042 25.4% HYD 121,797 121,352 -0.4% 669,259 785,485 17.4% 791,056 906,837 14.6% CEI 249,478 307,499 23.3% 249,478 307,499 23.3% Total 1,558,367 2,176,170 39.6% 5,473,932 6,972,258 27.4% 7,032,299 9,148,428 30.1%
BKK : Suvarnabhumi Airport DMK : Don Muang International Airport HKT : Phuket International Airport CNX : Chiang Mai International Airport HYD : Had Yai International Airport Note: LCCs started operating in Dec 2003 13 Fiscal year begins on Oct 1st and ends September 30th CEI : Chiang Rai International Airport TrafficTraffic ImpactImpact FromFrom TsunamiTsunami -- Phuket International Airport
International Domestic Total FY2005 FY2006 % CHG FY2005 FY2006 % CHG FY2005 FY2006 % CHG
Aircraft Movements 1Q 4,502 3,004 (33.3) 5,077 3,857 (24.0) 9,579 6,861 (28.4) 2Q 2,240 3,622 61.7 3,631 4,177 15.0 5,871 7,799 32.8 3Q 2,282 2,730 19.6 3,467 4,176 20.4 5,749 6,906 20.1 4Q 2,444 3,331 36.3 3,160 4,094 29.6 5,604 7,425 32.5
Passenger Movements 1Q 560,525 368,397 (34.3) 835,587 724,097 (13.3) 1,396,112 1,092,494 (21.7) 2Q 167,843 513,870 206.2 500,936 801,763 60.1 668,779 1,315,633 96.7 3Q 158,398 302,049 90.7 459,747 685,290 49.1 618,145 987,339 59.7 4Q 227,673 359,164 57.8 561,943 713,352 26.9 789,616 1,072,516 35.8
Note: Fiscal year begins on Oct 1st and ends September 30th 14 AircraftAircraft MovementsMovements ClassifiedClassified -- By Airlines
Year 2004 Year 2005
34.96% 30.99% Thai Airways Inter’l Thai Airways Inter’l
42.82% 10.97% 42.25% Bangkok 10.85% Others Others Bangkok Airways Airways 6.18% 3.65% 2.55% 4.12% Thai Air Asia 2.69% Thai Air Asia Nok Air China Airlines 2.52% Orient Thai 2.87% Airlines P.B. Air 2.58% Orient Thai P.B. Air Airlines 15 PassengerPassenger MovementsMovements ClassifiedClassified -- By Airlines
Year 2004 Year 2005
47.18% 42.84% Thai Airways Inter’l Thai Airways Inter’l 37.89% Others 40.70% Others
5.06% 3.48% 4.41% Bangkok Airways Orient Thai Airlines Bangkok Airways 3.42% 4.44% 3.52% 3.52% Cathay Pacific Airways Thai Air Asia Singapore Airlines Cathay Pacific Airways 3.54% Orient Thai Airlines 16 CargoCargo MovementsMovements ClassifiedClassified -- By Airlines
Year 2004 Year 2005
41% Thai Airways Inter’l 41% Thai Airways Inter’l 40% Others 41% Others
5% China 6% China Airlines 5% Airlines 4% 5% 3% EVA Singapore Airlines 4% EVA Airways Singapore Airlines 5% Airways Martin Air Martin Air
17 AirportAirport CapacityCapacity
18 AirportAirport CapacityCapacity PAX Check in PAX PAX Gate Aircraft Terminal counter Capacity Movement Movement (Sq.m.) (mn/year) 2005 2005 AOT Existing Airports DMK 391,316 275 36.50 38.9 94 265,122 HKT 23,369 29 6.50 3.5 11 26,803 CNX 16,742 21 4.10 3.0 11 22,362 HYD 14,656 20 1.95 1.3 8 11,132 CEI 16,650 12 3.00 0.6 10 4,927 Suvarnabhumi airport compared to other Airports BKK 563,000 360 45 - 120 - Changi 634,100 270 44 32.4 114 204,138 Chek Lap Kok 570,000 288 45 40.7 77 242,000 KLIA 480,000 216 25 n.a. 66 n.a. Incheon 490,000 418 44 n.a. 60 n.a. BKK : Suvarnabhumi Airport DMK : Don Muang International Airport HKT : Phuket International Airport CNX : Chiang Mai International Airport Note = PAX stands for passenger movement HYD : Had Yai International Airport n.a. = not in the ACI worldwide top 30 airports by pax movements. CEI : Chiang Rai International Airport 19 LeadingLeading AirAir TransportTransport CenterCenter inin SoutheastSoutheast AsiaAsia
# 1 Passenger Traffic in Southeast Asia 45 #1
40
35
30
25
20
15
10
5
0 2000 2001 2002 2003 2004 2005
Hong Kong 32.75(22) 32.55(17) 33.88(15) 27.09(24) 36.71 40.7(17) (16) Bangkok 29.61(26) 30.62(21) 32.18(18) 30.17(18) 37.96 38.98(14) (18) Changi 28.61(28) 28.09(25) 28.98(24) n.a.(n.a.) 30.35 32.43(26) (25)
(xx) ranking order for top worldwide 30 airports by passenger traffic. 20 n.a. = not in the ACI worldwide top 30 airports by pax movements. FinancialFinancial PerformancePerformance
21 OperatingOperating RevenuesRevenues
9.18% FYFY 0505 FYFY 0606
21.33% 21.86% Landing & Parking Landing & Parking 25.37% 25.66% Concessions Concessions
5.74% 5.77% Service Service 38.22% 5.92% 39.72% 1.92% 6.40% PSC Office & Property PSC Office & Property 2.10% Rental Aircraft Service Rental Aircraft Service
22 23 35.82% Personnel 38.50% 06 06 FY FY Operating expenses Operating 14.86% 2.96% Depreciation 7.86%
rental
% %
0 0
State property State
9 9
. .
9 9
2 2 Maintenance & Repair 37.70% Personnel 30.75% 05 05 Operating expenses Operating FY FY 3.13% 19.03% Depreciation rental 9.39% Repair & Maintenance & Repair Operating Expenses Operating Expenses State property State AeronauticalAeronautical RateRate ChargesCharges
4 CAB has approved increase in maximum charge 20% effective on Jan 1st, 2005 Landing/Parking Charge " 15% effective on Apr 1st, 2007 Note : Adjusted by the formula CPI - X + K after the commencement of Suvarnabhumi Airport
4 CAB has approved increase in maximum charge International Bt 500 Bt 700 " Domestic Bt 50 Bt 100 Passenger Service Charge (effective on Feb 1st, 2007) Note : Included in ticket price at agency level
24 NonNon -- AeronauticalAeronautical RevenuesRevenues -- Terminal Revenue
4 On 20 April 04 AOT awarded the exclusive duty free concession to King Power Duty Free Plc. to operate duty free activities at 4 of its airports: Duty Suvarnabhumi, Chiang Mai, Phuket and Hat Yai International airports. Free 4 Duty free concession will have 10 years.
4 On 25 March 05 AOT signed management contract with King Power International Plc. for retail area at Suvarnabhumi approximately 20,000 Other m2 Commercial Activities 4 Management concession will have 10 years.
Previous Terms Current Terms for Awarded Concessions Min. Min Guarantee Concession Fee Concession Fee Guarantee Additional Bt (mn) (% of gross revenue) (% of gross revenue) Bt (mn) 4,855 16,736 Prepaid Bt2,460 mn (2yrs min. guarantee) Duty Free 15% 15% - 20% (1) (5 years) (10 years) at signing of contract
Other Varies by Varies by Prepaid Bt2,000 mn at signing of Commercial 1,431 / year 15% (2) (3) contract Activities contracts contracts
Note: (1) 15% for the first 5 years and increases by an increment of 1% for the following 5 years until it reaches 20% in 2015 (2) Example: Bt 32.12 mn for souvenirs in 2004 25 (3) Example: 15% for books and magazines NonNon -- AeronauticalAeronautical RevenueRevenue -- Building and Grounds
4 AOT has made great progress in awarding concession contracts in the following areas: Cargo, Catering, Ground Service Equipment (GSE) and Refueling
Terms for Awarded Concession
Previous Terms at Don Muang Airport Current Terms at Suvarnabhumi
Min Guarantee Concession Min Guarantee Concession Min Guarantee Bt(mn) Fee Bt (mn)2 Fee Growth
Cargo none
Catering none 6-12% 186 12% 12% every 3 yrs.
GSE none none 166 7.5% - 10.5% 12% every 3 yrs.
Refueling none 0.07 Bt/litre none 0.06 Bt/litre 1 Review every 5 yrs.
4 All 4 concession contracts have been signed apart from those being awarded to Thai Airways International (Cargo, Catering, GSE)
Note: 1. Excluding hydrant services for additional 2% of gross revenues 26 2. The amount of Min Guarantee is only for the first year. Revenues EBITDA Bt (mn) % 18,000 18 +9. Bt (mn) -8.65 % 15,000 10,000 80% 60.58% 12,000 8,000 50.68% 60% 9,000 6,000 14,894 16,262 40% 6,000 4,000 9,022 8,242 20% 3,000 2,000
0 0 0% FY 05 FY 06 FY 05 FY 06 EBIT (1) Net Profit Bt (mn) Bt (mn) - 10.48 % 80% 12,000 100% 0.08 % 8,000 10,000 +4 80% 51.31% 60% 63.82% 6,000 42.07% 8,000 49.74% 60% 6,000 4,000 40% 40% 7,642 6,842 4,000 7,408 10,378 20% 2,000 2,000 20% 0 0% 0 0% FY 05 FY 06 FY 05 FY 06
Source: AOT financial statements - Consolidated Note : (1) EBIT = Operating Income 27 RevenuesRevenues andand NetNet Profit-Profit- By Airports (FY2006)
Unit: Million Baht
Operating Revenues Net profit Items Amount % of total Amount % of total Don Muang 14,542.2 90.2 7,429.3 92.4 Phuket 1,027.7 6.4 655.1 8.9 Chiang Mai 358.9 2.2 95.7 1.8 Hat Yai 129.0 0.8 (71.90) (0.30) Chiang Rai 68.5 0.4 (67.50) (0.84) Total 16,126.3 100.0 8,040.7 100.0
28 FinancialFinancial HighlightsHighlights
FY 2006 FY 2005 FY 2004 Unit : Million Baht
Assets 150,505 134,521 108,924
Liabilities 79,436 70,039 50,266
Shareholders’Equity 71,069 64,482 58,477
Operating Revenues 16,262 14,894 13,974
Operating Expenses 9,420 7,252 6,307
Operating Income 6,842 7,642 7,667
Net Profit 10,378 7,409 4,770
Return on Revenues (%) 63.82 49.74 34.14
Return on Assets (%) 6.90 5.51 4.38
Return on Equity (%) 14.60 11.49 8.16 29 Source: AOT financial statements-consolidated FinancialFinancial LeverageLeverage RatiosRatios
FY 2006 FY 2005
Unit : Million Baht As at 30 Sep 2006 As at 30 Sep 2005 Net Debt / (Cash) 37,275 35,809 Total Debt (1) 57,034 55,226
Total Equity (2) 71,069 64,482 Total Capitalization 150,505 134,520 EBITDA 8,242 9,022 Net Debt / Total Cap (x) 0.25 0.27 Total Debt / Total Cap (x) 0.38 0.41 Total Debt / EBITDA (x) 6.92 6.12 Total Debt / Equity (x) 0.80 0.86 Net Debt / Equity (x) 0.52 0.56
Source: AOT Financial Statement-Consolidated Note : (1) Total Debt = Long-Term loans, including current portion of LT loans (2) Total Equity includes minority interest 30 ProjectedProjected CAPEXCAPEX -- ByBy AirportAirport
2006E 2007E 2008E 2009E 2010E Total %
Airport Bt(mn) Bt(mn) Bt(mn) Bt(mn) Bt(mn) Bt(mn)
Suvarnabhumi 38,375.3 498.8 463.0 454.0 1,971.7 41,762.8 90.25
Don Muang 409.6 150.2 61.0 60.0 60.0 740.8 1.60
Phuket 403.0 117.7 282.4 40.0 177.7 1,020.8 2.21
Chiang Mai 1,059.9 483.8 325.2 40.0 40.0 1,948.9 4.21
Hat Yai 50.9 18.3 77.9 35.0 35.0 217.1 0.47
Chiang Rai 80.1 101.5 89.2 277.4 35.0 583.2 1.26
Total Capex 40,378.8 1,370.3 1,298.7 906.4 2,319.4 46,273.6 100.00
Note : Excluding the new LCCs terminal ( BHT 800 - 900 million) 31 QQ && AA
32