AirAsia X fourth quarter earnings soar on forex gains

PETALING JAYA: AirAsia X Bhd’s (AAX) net profit for the fourth quarter ended Dec 31, 2017 more than doubled to RM84.41 million from RM39.01 million a year ago, due mainly to foreign exchange gains.
The group recorded revenue of RM1.22 billion for the quarter, 4% higher than the RM1.17 billion achieved in the same quarter a year ago. It was supported by a 12% growth in passenger volume and 4% expansion in ancillary revenue per passenger to RM142.
AAX’s seat load factor was at 83%, which was 2 percentage points higher than for the same period last year. Average fare was down by 8% at RM519, from RM565 in fourth quarter 2016.
AAX said included in other operating expenses in Q4 17 was provision for doubtful debts of RM11.8 million.
For the full year, AAX’s net profit more than doubled to RM98.89 million from RM44.84 million a year ago, while revenue climbed 17% to RM4.56 billion from RM3.9 billion a year ago.
“Barring any unforeseen circumstances, including but not limited to terrorist attacks, natural disasters, epidemics, economic downturn, fuel price hikes and fluctuations in foreign currencies against the ringgit, the company expects its prospects to remain positive,” it added.
On Bursa Malaysia today, AAX ended 1.25% higher at 40.5 sen on volume of 28.91 million shares.