KUALA LUMPUR: AirAsia X Bhd (AAX) returned to profit in the financial year ended Dec 31, 2016 (FY16) after three years of losses, lifted by higher revenue and cost-efficiencies. The long-haul, low-cost affiliate of AirAsia Bhd posted a net profit of RM230.54 million or 5.6 sen per share in FY16 against a net loss of RM349.62 million or 10.4 sen per share the previous year, while operating profit was RM276 million compared to an operating loss of RM37.4 million in FY15. Stripping off the forex impact, AAX said its operating profit was actually up 14.2% to RM100.1 million in 4QFY16 from RM87.7 million in 4QFY15 on higher revenue and more cost-efficiencies. As at end 4QFY16, AAX’s total borrowings stood at RM1.16 billion, with a net gearing ratio of 0.69 times. “We have also set targets to ensure the company remains lean through various cost initiatives and to maximise the operational synergies between AirAsia and AAX.

Source: The Edge Markets February 23, 2017 01:30 UTC