KUALA LUMPUR: Capital A Bhd
will continue to strengthen its market presence in Asean and aim to have its entire fleet of 204 planes back online by the third quarter of 2023.
The group foresees a healthy international travel demand, a continuation from a robust demand in the fourth quarter of 2022 supported by the recent lifting of China’s Zero-Covid policy.
“Cost optimisation remains our key focus as we are committed to building a sustainable business, while providing low fares to our passengers. Further cost reductions and greater network connectivity is expected from the recent joint venture between AirAsia Aviation Group Limited (AAAGL) and Sivilai Asia to establish AirAsia Cambodia,” Capital A said in a filing with Bursa Malaysia.
“The outlook for Asia Digital Engineering (ADE) is promising, boosted by the newly launched hangar in Senai and upcoming 14 new lines in KLIA Aeropolis, which is expected to complete construction by the second half of 2024,” it said.
Additionally, ADE is working towards obtaining approval to expand its scope of service offerings to be able to serve a wider client base, which in the long run will help ADE to achieve a balanced mix of revenue from AirAsia and regional third party airlines.
Meanwhile, three new Airbus A321 freighters are scheduled to be delivered to Teleport in stages starting in the second quarter of 2023, in conjunction with the reopening of China, where trade and e-commerce activities are expected to surge tremendously.
In the fourth quarter ended Capital A returned to the black with a net profit of RM256.2mil against a net loss of RM756.6mil a year ago.
For the quarter under review, its earnings per share stood at 6.20 sen from a loss per share of 19.40.
Its revenue for the quarter surged to RM2.4bil versus RM821mil previously.
For the full year, Capital A’s net loss narrowed to RM2.48bil from RM3bil previously while revenue jumped to RM6.6bil against RM1.84bil previously.
