imageKUALA LUMPUR: Malaysian long-haul budget airline AirAsia X Bhd reported its eighth consecutive quarterly net loss on Wednesday, mainly hurt by higher aircraft operating expenses and foreign exchange losses.

The carrier booked a loss of 288.2 million ringgit ($68.42 million) for July-September, wider than the 210.85 million ringgit of the same quarter a year earlier, a stock exchange filing showed.

Revenue rose 13.5 percent to 793 million ringgit mainly due to higher secured chartered contracts, freight and cargo sales.

To improve profitability, the long-haul arm of Asia's biggest low-cost carrier, AirAsia Bhd, has paused the expansion of its fleet and opted to leverage existing routes rather than opening new ones.

The airline said it expects improved operational performance in the fourth quarter and continuing into next year.

"However, the depreciation of the Malaysian ringgit remains a key concern as a large portion of AirAsia's X borrowings and operating costs are denominated in U.S. dollars," it said.

The ringgit has fallen nearly 20 percent this year due in part to weak global oil prices.

AirAsia X operates Airbus Group SE A330s mainly on routes to Australia, China and Japan.

Shares of the airline have lost 62 percent of their value in the year to date. The stock closed flat on Wednesday versus a 0.4 percent rise in the benchmark index.

Parent AirAsia is scheduled to announce third-quarter earnings after market close on Thursday.

Copyright Reuters, 2015

Comments

Comments are closed.