Sign up | Log in



Home  >>   Daily News  >>   Malaysia News  >>   aviation  >>   Sharp fall in profits in Q3 2011 for Air Asia
NEWS UPDATES Asean Affairs     23-24 November  2011

Sharp fall in profits in Q3 2011 for Air Asia

KUALA LUMPUR: Malaysian budget carrier AirAsia said net profit slumped by more than half in the third quarter as fuel prices surged and warned that the next four months would also be challenging.

The report by the region's biggest no-frills airline follows a third straight quarterly loss for Malaysian Airlines, which also suffered as a result of higher petrol costs.

AirAsia said in a statement late Tuesday that net profit fell 53 percent to 152.3 million ringgit (US$47.8 million) from 327.3 million for the same period last year.

Although revenue rose 9.9 per cent to 1.08 billion ringgit from 979.7 million last year -- aided by an 8.0 per cent rise in passengers -- it said fuel expenses spiralled 45 per cent to 421.2 million and staff costs rose 38 per cent to 126.3 million.

AirAsia said that based on forward booking trends, the three months to December for its Malaysian, Thai and Indonesian operations was positive but warned that the outlook "should be seen in the context of the current high price of oil and aviation fuel."

It said that recently introduced fuel surcharges have "mitigated, but not fully offset, the effect of higher fuel prices."

On Monday Malaysia Airlines posted a net loss of 478 million ringgit for the quarter ended September 30. That followed losses of 242.3 million ringgit in the first three months of 2011 and 527 million ringgit in April-June period.

In August, Malaysia Airlines and AirAsia announced a surprise alliance that would eliminate head-to-head competition on some routes, allowing each to focus on their core markets.

Analysts have hailed the deal, saying AirAsia will be able to concentrate on offering low-cost journeys, while Malaysia Airlines caters to more upmarket travellers.

AirAsia Chief Executive Tony Fernandes told analysts in a conference call that he expects both airlines to make an announcement on its collaboration in the first week of December.

"We are looking at tremendous cost savings," he said.

Reach Southeast Asia!
10- Nations, 560- Million Consumers
And $1 -Trillion Market
We are the Voice of Southeast Asia Media Kit
The only Media Dedicated to Southeast Asia Advertising Rates for Magazine
  Online Ad Rates

Comment on this Article. Send them to

Letters that do not contain full contact information cannot be published.
Letters become the property of AseanAffairs and may be republished in any format.
They typically run 150 words or less and may be edited
submit your comment in the box below




1.  Verifier

1. Verifier

For security purposes, we ask that you enter the security code that is shown in the graphic. Please enter the code exactly as it is shown in the graphic.
Your Code
Enter Code

Today's  Stories    23-24 November  2011 Subsribe Now !
• Google Malaysia to rope in 50,000 SME’s online   Subcribe: Asean Affairs Global Magazine
Sharp fall in profits in Q3 2011 for Air Asia   Asean Affairs Premium

• Vietnam and Russia agree to double trade

Research Reports
on Thailand 2007-2008

•Textiles and Garments Industry

•Coffee industry

•Leather and footwear industry

•Shrimp industry

• Russian firm in hunt for gas in Vietnam     

• Floods shrink Q4 2011 Thai exports by 30%         
  Floods lower 2011 Cambodia GDP growth 
• $100 Million Malaysian Bio Tech Fund launched 

• Asean Summit benefits Indonesia  

• Philippines Ayala Land, Mitsubishi in energy 
• ASEAN Science and Technology      
• Shell may be back in Myanmar   

Asean Analysis             25 November   2011

Advertise Your Brand
• Asean Analysis-November 25 Sponsor Our Events

Asean Stock Watch      21-22  November  2011

• Asean Stock Watch-November 21-22 p

ASEAN NEWS UPDATES      Updated: 04 January 2011

 • Women Shariah scholars see gender gap closing
• Bank Indonesia may hold key rate as inflation hits 7 percent

• Bursa Malaysia to revamp business rules
• Private property prices hit new high in Singapore • Bangkok moves on mass transport
• Thai retailers are upbeat
• Rice exports likely to decline • Vietnamese PM projects 10-year socioeconomic plan


This year in Thailand-what next?

AseanAffairs   04 January 2011
By David Swartzentruber      

It is commonplace in journalism to write two types of articles at the transition point between the year that has passed and the New Year. As this writer qualifies as an “old hand” in observing Thailand with a track record dating back 14 years, it is time take a shot at what may unfold in Thailand in 2011.

The first issue that can’t be answered is the health of Thailand’s beloved King Bhumibol, who is now 83 years old. He is the world's longest reigning monarch, but elaborate birthday celebrations in December failed to mask concern over his health. More


Home | About Us | Contact Us | Special Feature | Features | News | Magazine | Events | TV | Press Release | Advertise With us

Our Products | Work with us | Terms of Use | Site Map | Privacy Policy | Refund Policy | Shipping/Delivery Policy | DISCLAIMER |

Version 5.0
Copyright © 2007-2015 TIME INTERNATIONAL MANAGEMENT ENTERPRISES CO., LTD. All rights reserved.
Bangkok, Thailand