News Column

AirAsia X posts RM131.1m loss in Q4

February 25, 2014



KUALA LUMPUR: Long-haul carrier AirAsia X Bhd posted a net loss of RM131.3 million in the fourth quarter ended December 2013 to reverse the RM14 million net profit a year ago.

The loss was due to higher operating expenses such as fuel cost and foreign exchange losses, AirAsia X said in a statement yesterday.

For the full year, the carrier made a net loss of RM86.9 million from a net profit of RM33.8 million.

This was largely due to higher staff costs, depeciation of property, plant and equipment, higher fuel which increased 52.5 per cent to RM349.1 million in the quarter ended December 2013 from RM228.9 million in the same quarter a year before.

The loss was also attributed to maintenance, overhaul, user charges and other related expenses, higher aircraft operating lease expense and the strengthening of the US dollar against the ringgit which translates into a exchange losses of RM112.4 million.

AirAsia X said its positioning within the Asia Pacific region, which is forecasted to be robust and potentially surpassing North America as the world's largest aviation market, allows it to benefit from the potential growth.

"Barring any unforeseen circumstances, including natural disasters, epidemics, economic downturn, fuel price hike and fluctuation in foreign currencies against the ringgit, the company expects its prospects to remain positive," it said.


For more stories on investments and markets, please see HispanicBusiness' Finance Channel



Source: Business Times (Malaysia)


Story Tools