MAS senior vice-president (head of marketing and products commercial)
The airline swung to
Meanwhile, jet fuel accounted for 39 per cent of the group's expenditure, with the price remaining high throughout last year, averaging at
Despite the loss, Dacko said MAS successfully carried more passengers with an overall load factor of more than 85 per cent by end-2013, which is no small achievement.
"This year, we are going to focus on controlling our costs and managing our fuel-hedging strategy.
"We will continue to drive the efficiency of our network and aircraft utilisation as well as increase the productivity in the company," he said.
The number of passengers rose 28.5 per cent to 17.2 million last year with 93.5 per cent seat load recorded on
The airline's revenue stood at
Meanwhile, MAS' depreciation was
For the fourth-quarter of 2013, MAS posted a net loss of
In a research note earlier, he said that he expected the airline to post a net loss of
"The culprit is weaker yields. When you compare MAS' yield drop to its competitors in the region, their yield dropped to about nearly 15 per cent, whereas other airlines' yields went down about five to seven per cent," he said.
Moving forward, he said MAS should at least slightly increase its ticket price so that it could gain more revenue rather than dumping its fare price which will result in net loss.
"You can't fight mathematical proof. Their ticket should be priced at a middle range so they could attract more passengers," he said.
MAS' yield fell 13 per cent to
On MAS' business strategy, Dacko, however, said the airline's focus is on increasing its revenue by selling more tickets.
"Everyone thought that we are selling our tickets cheap or below the market price.
"The reality is we are selling it at a competitive price. Other airlines have also lowered their airfares. So, we are still pricing ours above the market price," he said.
Most Popular Stories
- Photo ID Required for Unemployment Benefits
- Software Writers Sought in Indiana
- Ukraine Crisis Limits Losses in Gold, Silver
- Can GOP Dodge Immigration Bullet?
- Tech Firms to Increase Hiring for 4th Year in a Row
- How Past Mistakes Will Drive Ukraine's Future
- Job Fair for S.C. Grads
- Chiquita, Fyffes to Form Top Banana
- Millennials Favor Saving Over Investing: UBS
- Big Earthquake Rumbles Northern California