News
AirAsia Group announces US$185.5 million first quarter loss
May 28th 2021
Malaysia’s AirAsia Group has reported a net loss of 767.4 million ringgit (US$185.5 million) for the three months to March 31, 2021, an improvement from a net loss of 803.8 million ringgit a year ago. Read More » Revenue declined 87.1%, to 298.2 million ringgit, AirAsia said in a regulatory filing to the Bursa Malaysia. The company's financial accounts noted about 527 million ringgit of the net loss related to depreciation of Right-of-Use (ROU) assets and interest on lease liabilities.
AirAsia Group co-founder and CEO, Tony Fernandes, said sufficient liquidity was the "key priority" to support the LCC group's strong revival. The company aimed to raise one billion ringgit from the Malaysian government's loan guarantee scheme and also secure new capital in the Philippines and Indonesia. The company is in negotiations with lessors about restructuring some agreements, a process Fernandes described as encouraging. "With vaccinations, better testing capabilities, the potential of a global digital health passport, the formation of more travel bubbles in ASEAN, end-to-end contactless procedures and many digital products already in place for AirAsia, we remain optimistic about a recovery in the next two years," Fernandes said.
