Capital A 3Q2022 revenue soared to RM1.96 billion, up 563% year-on-year and 34% higher quarter-on-quarter, subsequently registering a positive EBITDA of RM72 million, its second consecutive quarterly EBITDA profitability since the pandemic and a marked turnaround from an EBITDA loss of RM276 million a year prior.
The result is underpinned by EBITDA profitability from each of the Group’s four biggest business segments by revenue, namely the airlines businesses under AirAsia Aviation Group (AAAGL); maintenance, repair and overhaul (MRO) business Asia Digital Engineering (ADE); logistics arm Teleport; and airasia Super App.
For the said quarter, the Group reported a net loss of RM1.1 billion primarily due to one-off items and unrealised foreign exchange losses. These include non-operating aircraft depreciation and interest expenses of RM239 million, foreign exchange losses of RM364 million (of which RM349 million was unrealised), 76% of the share of losses from associates of RM227 million which is attributed to forex losses, and one-off maintenance expenses of RM62 million. Excluding these one-off items, the net operating loss amounted to RM322 million.
Capital A also delivered a positive operating cash flow of RM66 million in 3Q2022 primarily due to the continuous uptrend of forward bookings from the airline business. Cash balance as at the end of September 2022 stood at RM415 million.
AAAGL posted a segmental revenue of RM1,837 million and EBITDA positive of RM107 million as AAAGL saw a strong and encouraging uptrend in performance benefited from the lifting of international travel restrictions in most of our core markets, which led to an upsurge in air travel demand for our Asean markets in particular.
- It achieved 86% load factor (LF) in 3Q2022, exceeding the LF of 84% in the previous corresponding period pre-Covid (3Q2019). Overall, AAAGL has resumed 67% and 34% of pre-Covid capacity for domestic and international sectors respectively in 3Q2022.
- AAAGL also recorded an improved average fare of RM233, up 9% QoQ and 32% as compared to 3Q19. This improvement builds on the average fare increase of 10% seen in 2Q2022.