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Tuesday, 24 May 2011


Did you know…
©      Japan needs $309 billion to rebuild
©      Up to today over 9,880 people are still missing
©      Showed the world how together they are as a nation
©      The disaster impacted more than 127million nationals
©      Prevailed through the disaster better than any nation in the world
©      The stories of their perseverance & level-headed actions inspired the world
If Japan has touched or inspired you in anyway, it’s time to give back. It doesn’t take much to help; even a small gesture of creating awareness of their situation is helping.
And as Allstars, we know you have a great big caring heart.
Though if you would like to contribute more, here are a few more ways you can help:
©     Wear your “To Japan With Love” bracelets with pride
©     Create awareness by collecting donations on every flight
Let’s steer towards helping towards a greater cause and also at the same time fulfilling the promise to raise funds for Japan’s Platform (32 NGOs fin the effort of rebuilding Japan).
So come on Allstars, let’s show Japan REAL LOE!

Show Japan REAL LO♥E!

1Q11 By the Numbers:
 
  • Revenue: RM 1.05 Billion (up 20% y-o-y)
  • Operating Profit : RM 241.72 Million (up 46% y-o-y)
  • Operating Profit Margin : 23% (up 3 ppt)
  • Revenue / ASK : 16.44 sen (up 12% y-o-y)
  • Cash Balance: RM 1.8 Billion
  • Ancillary Income per pax: RM 50 (up 31% y-o-y)
  • Net Gearing Ratio: 1.57 (reduce from 2.25 y-o-y)
 

LOW COST TERMINAL, SEPANG, 24 May 2011 – AirAsia Berhad (“AirAsia” or “the Company”) recorded a growth in operating profit in 1Q11, in what Group CEO Tony Fernandes hailed as “excellent despite high fuel prices.”

“What is particularly significant for us is that our operating profit margins were also significantly higher year-on-year, demonstrating that we are maintaining tight control of costs even as we grow revenues. Yes, fuel prices shot up – but that is something beyond our control. Our response is not to wring our hands and moan, but to use our creativity to address the issue and find ways to overcome this challenge. And our Q1 results indicate that we are on the right path,” said Fernandes.

He added: “We maintained our strong load factor at 80%; we increased our RASK by 12% y-o-y; we grew our EBITDAR margins by 3 percentage points to 38% year-on-year; and we increased our cash balance to RM1.8 billion.” The company saw a decline in profit after tax of 23%, largely due to lower unrealised foreign exchange gains in this quarter

In terms of actual numbers for the Group, Q1 2011 registered revenue of RM 1.05 billion; Profit After Tax of RM 171.93 million; load factor of 80% (up from 74% y-o-y); Revenue/ASK up 12% (y-o-y) for MAA, up 13% for TAA and 10% for IAA. EBITDAR margins for MAA, TAA and IAA rose to 38%, 22% and 37% y-o-y, respectively.

Fernandes said that a deliberate “load active” strategy meant that while average fares declined, the payoff came in the form of higher passenger load factors of 80%, up 17% y-o-y. “At AirAsia, our focus is on keeping operating costs the lowest in the industry, and on growing ancillary income. Thus, we are not as dependent on our fares as others are. The strategy is to increase passenger loads, and monetize this increase. This helped us push RASK for MAA by 12%. Our unit revenue is up 2%, showing that our strategy is working and this proves that AirAsia has a very robust operating model,” he said.

On ancillary, Fernandes said that every RM spent per passenger helps offset approximately USD 1 per barrel increase. “We have raised our ancillary charges on certain products and that has been able to offset much of the pressures on margins. Our ancillary revenue per pax is up in all three operations: MAA at RM 50 per pax ( up 31% from RM38 y-o-y); TAA at THB 368 per pax (up 34% from THB 274 y-o-y); IAA at IDR 152,052 per pax (up 57% from IDR 96,666).”

He said that ancillary income will continue to be the catalyst for AirAsia to grow further, especially with a lot of exciting initiatives announced in Q1 2011, such as the AirAsia and Expedia joint venture. “We are focused on growing our ancillary income and explore any opportunities to further monetize these businesses so AirAsia can ride on its upside benefits”.

Fernandes also highlighted the first quarter performances of TAA and IAA. On TAA, Fernandes said TAA performance was strong as they weathered the difficult 1Q11 by generating THB 4,086 million, recording a growth of 33% year-on-year; Profit after tax was also up 30%. This 1Q11 was contributed a lot by a seasonally strong first quarter especially with a 23% growth in passengers carried and together with the newly introduced Indian routes performing well. TAA also took delivery of one new Airbus A320 in their current fleet which consists of 20 in total. 

As for IAA, the affiliate posted a good 38% rise in revenue of IDR 774,846 million, with ancillary revenue continuing to grow by 57%. Load factor was at 79% (up from 72% y-o-y). This performance can be supported with the Profit before tax of IDR31,943 million which rose 588% year-on-year. They have also managed to increase their average fares by 12% as they ramp up going to their traditionally strongest 2nd and 3rd quarters. Indonesia also took two new deliveries of the Airbus A320 in 1st quarter which brings their total fleet to 20 aircraft in operation.


Outlook

On the outlook for the rest of 2011, Fernandes emphasized the Group’s laser-like focus on keeping costs down. “This is what ultimately helps us to offer the low fares that we do,” he said. With the fuel surcharges helping defray some of the rising cost of fuel, there is also a determined effort throughout the Group “in pushing load factors higher on key profitable routes and capturing further market share from competitors,” he said.

“We are still anticipating the launch of our AirAsia Philippines in the second half and I am just excited on the progress to get this venture started. We are also re-looking into Vietnam and hopefully an exciting announcement will follow suit soon. These moves will further strengthen our presence in the ASEAN skies,” Fernandes said.

On fuel hedges, Fernandes said the Group had hedged approximately 17% of its fuel requirements for the second half so far for this year. “We are monitoring oil prices very closely and the moment we perceive an opportunity, we will not hesitate to add to our hedges,” he said.

Fernandes also acknowledged that the company has recently rewarded its loyal shareholders with its maiden dividend payout on 3 cents per ordinary share. This is in line with company’s vision to give back to shareholders for their support since the company’s listing and anticipate to be in a better position in the near term to reward more.

AirAsia post strong performance despite high fuel price

Thursday, 19 May 2011

Tony Fernandes


Tony Fernandes founded Tune Air Sdn Bhd in 2001, with a vision to make air travel more affordable to Malaysians. With that in mind, Tony and his three partners bought over AirAsia from its owner DRB-Hicom. Tune Air's initial project was to remodel AirAsia into a low fare no frills carrier after successful low fare airlines such as U.S.-based Southwest Airlines and Dublin-based Ryanair and create a new aviation product in Malaysia.

Under Tony’s leadership, the fledging airline with a RM40 million debt became a thriving business. The airline repaid all debts and has been in a profitable position from the first day of operation. In less than 3 years, AirAsia grew from 2 modest Boeing 737-300 to 30 and is now operating over 100 domestic and international daily flights from hubs in KLIA, Johor Bahru , Bangkok and Jakarta.

Under his wings, AirAsia went on to revolutionize the air travel industry in Malaysia and pioneered the low cost phenomenon in Asia. In 2004, AirAsia formed successful joint ventures in Thailand and Indonesia where AirAsia holds 49% stake in both companies. Thai AirAsia, a joint venture with Shin Corporation, Thailand’s largest telecommunication conglomerate, took to the skies in Feb 2004 and has to date carried over 1 million passengers in its first year of operations. PT AWAIR , re-launched as a low fare airline on Dec 8th 2004 presently served 5 domestic destinations in Indonesia.

Tony Fernandes

Saying Welcome, The Airasia way


For those that are interested to participate, you must join us for our weekly run at Academy every Wednesday from 6:30pm – 7:30pm (send your name & email & contact no to raa_culturemail@airasia.com)

And

Participate in SIC (Sepang International Circuit) Fun Run which will be held on the 25th May 2011.

For more info, kindly login to Redicons ( Fun Zone) 

Note: Sorry guys, this just for airasia staff only!.. :)

Gold Coast Airport Marathon 2011


Dear All,

Are you an AirAsia member already?

Additional Features & Benefits as an AirAsia Member are all listed below:

1. Manage my booking
    One of the best member’s only privileges. You can change/upgrade your flights, update traveller details, retrieve your itinerary, supersize your baggage, pre-book meals, change seats and many other fantastic add-ons.

2. Speed up your booking process with (Available):
a)      My Friends & Family list
Easily book flights for your family & friends as you can store up to 10 guests’ information in your account. Just by completing the simple steps on AirAsia.com, your previously saved list will appear when you are making a flight booking.
 
b)      1-Click Card
Breeze through the payment page with 1-Click Card, never will you have fumble and rush to key-in your credit card details. This will definitely speed up your flight bookings!

3. Check refund status

Fed-up with calling the call centre just to check on your refund status? Now you can check it online!

4. Find my bookings
With this new feature you can link your bookings to your AirAsia account easily. And if there are any booking duplicates, you can report them easily with just a click.

5. Lost baggage tracing
Don’t let your bags go missing again! Keep your eye on them with your reported number.
Thank you.
Commercial

AirAsia Membership Drive

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