Will the Impact of the Economic Recovery Drive AirAsia Shares Back to the RM1 Level Test? - Kakiforex.com - Financial Market Media No. 1 in the World Will the Impact of the Economic Recovery Drive AirAsia Shares Back to the RM1 Level Test? Will the Impact of the Economic Recovery Drive AirAsia Shares Back to the RM1 Level Test?
InstaForex

September 9, 2021

Will the Impact of the Economic Recovery Drive AirAsia Shares Back to the RM1 Level Test?

 AirAsia Group Bhd incurred a net loss of RM580.06 million in the second quarter ended June 30, 2021 compared to RM992.89 million recorded last year.


According to the report’s assessment, AirAsia will continue to maintain spending measures including manpower and appropriate pay cuts for management, staff and directors.


The impact of the Covid-19 pandemic continues to have a negative impact on the group’s operations and currently it is more focused on providing domestic operations in locations where it is allowed to operate.


However, slightly improved cargo revenue contributed to revenue for the quarter, which increased 160.82% to RM370.61 million from RM142.09 million.



For the half -year period, AirAsia recorded a net loss of RM1.35 billion from a net profit achieved in the same period last year of RM1.8 billion.


Meanwhile, revenue for about six months declined 72.4% to RM686.82 million from RM2.49 billion.


Due to the ongoing travel restrictions, most of the group’s operating entities continue to manage capacity more realistically and optimize costs efficiently.


However, AirAsia is expected to show a more stable increase in its operations following the encouraging number of vaccination rates covering all major markets.


Just after the midday break, AirAsia's share price declined 1.59% to 93 sen with a market capitalization of RM3.63 billion.