Latest news with #CapitalA
Free Malaysia Today
24 minutes ago
- Business
- Free Malaysia Today
AirAsia MOVE denies manipulating airfares, blames 3rd-party glitch
AirAsia MOVE is owned by Capital A Bhd, which also owns budget carrier AirAsia. (EPA Images pic) PETALING JAYA : AirAsia's online travel booking platform has denied setting or manipulating airfares after the Philippines ordered the website to stop operating in the country over price discrepancies. AirAsia MOVE said the platform only displayed flight inventory and prices provided by authorised upstream suppliers, adding that this included third-party aggregators and global distribution systems. 'The discrepancies in fare displays for certain routes, including domestic flights operated by Philippine Airlines, were caused by temporary data synchronisation issues with flight pricing partners. 'This technical discrepancy caused by the third-party provider is not isolated to MOVE as it also affected other booking platforms across the industry, including Agoda, and Traveloka. 'Upon identifying the issue, MOVE took immediate steps and brought up the matter with the third-party pricing provider for immediate resolution. 'MOVE also took steps to further enhance safeguards to prevent any future recurrence,' it said in a statement. It said it was working closely with the Philippine authorities and maintained that it was fully compliant with all regulatory requirements. 'MOVE welcomes the opportunity to proactively engage with relevant authorities to provide clarity on the issue and asks for due process to take its course for the benefit of all passengers booked via the platform.' Earlier, Philippine transportation secretary Vince Dizon said AirAsia MOVE's website was taken down following a cease-and-desist order by the Civil Aeronautics Board. This followed complaints that the platform was charging high airfares illegally. Dizon said the authorities will also file a 'criminal economic sabotage' case against AirAsia Move. The platform had reportedly charged 77,000 pesos, or about RM5,880, for a one-way Philippine Airlines flight from Manila to Tacloban City, which was triple the price quoted when directly booking with the airline.
New Straits Times
2 hours ago
- Business
- New Straits Times
Capital A's earnings beat expectations, 2025-2027 forecasts upgraded
KUALA LUMPUR: Capital A Bhd's earnings surpassed Maybank Investment Bank Bhd's (Maybank IB) expectations, driven by stronger-than-anticipated ancillary income, led by baggage fees. As a result, Maybank IB revised its core earnings forecasts for financial years 2025, 2026 and 2027 upwards by 43 per cent, 27 per cent and 27 per cent respectively. Capital A reported a core net profit of RM116.8 million for the first quarter of 2025 (1Q25), covering both aviation and non-aviation segments, which made up 33 per cent of Maybank IB's full-year estimate. Maybank IB said the better-than-expected performance was mainly due to ancillary revenue reaching RM60 per passenger in 1Q25, RM3 higher than initially projected. "Extrapolated over the 16.2 million passengers carried in 1Q25, we estimated that this had a RM30 million to RM40 million positive impact on core earnings. "Focusing on non-aviation, it recorded 1Q25 core net profit of RM37.7 million which was within our expectations at 23 per cent of our financial year estimate," it added. Maybank IB expects stronger earnings for Capital A, supported by a weaker US dollar, with every 1 per cent drop potentially adding around US$2 million (or RM8 million to RM9 million) to pre-tax earnings. Additionally, lower jet fuel prices, with each US$1 per barrel decrease, could contribute approximately US$15.6 million (or RM66.4 million). The firm said Capital A's earnings are also expected to benefit from the return to service of the remaining 9 per cent of its fleet by the third quarter of 2025. The company is aiming to have its practice note 17 (PN17) status lifted by September 2025. Additionally, it is considering a dual listing in Hong Kong and plans to list its Brand AA in the United States.
The Star
2 days ago
- Business
- The Star
Capital A maintains positive outlook for 2025
Capital A CEO Tan Sri Tony Fernandes KUALA LUMPUR: Capital A Bhd remains optimistic about its 2025 prospects and is committed to delivering strong operational and financial performance to ensure sustainable returns for shareholders. Chief executive officer Tan Sri Tony Fernandes said the group is in the final stretch of its restructuring journey and is not just surviving but charging ahead. 'The High Court has approved our capital reduction, shareholders have backed it unanimously, we are confident to say the tunnel is behind us. Now it's full throttle ahead,' he said in a statement. Fernandes said the group has set 'ambitious but realistic internal targets for 2025' and confirmed it remains on track. 'Aviation is gaining momentum, Capital A businesses are outperforming expectations—particularly Teleport and Santan, gearing up for a stronger second quarter,' he said. He added that BigPay remains focused on a path toward profitability, targeting breakeven in the later part of the year by leveraging the AirAsia ecosystem and key partnerships. 'With Board approval secured, Capital A will now actively explore a dual listing on the Hong Kong Stock Exchange to supercharge our next growth chapter and broaden access to global capital markets. We anticipate providing further updates as developments unfold,' Fernandes said. In the first quarter ended March 31 (1Q25), Capital A posted a net profit of RM689.6mil, or earnings per share of 15.90, compared with a net loss of RM91.5mil, or loss per share of 2.20 in the year-ago quarter. Revenue for the quarter rose 15.2% to RM414.5mil against RM359.8mil last year. Fernandes said plans are taking shape for the brand company, Abc., to further grow its existing brands, expand its portfolio through acquiring strong Asean brands, and provide consultancy services to international brands seeking to enter the region. 'With our more than two decades of brand-building experience in Asean, we believe there is a lot of value to be unlocked, the only way we know how. We plan to revisit the opportunity to list Abc. on Nasdaq. 'I'm confident 2025 will be a defining year for Capital A.' Meanwhile, Capital A is now close to finalising a RM1bil private placement. However, it must first secure consent from two remaining aircraft lessors and obtain clearance from Thailand's Securities and Exchange Commission (SEC), the latter of which has experienced delays. 'As a result, the overall timeline is expected to shift, with completion now targeted by 3Q25,' it said.
BusinessToday
2 days ago
- Business
- BusinessToday
Capital A Records Revenue Of RM5.3 Billion For 1QFY25, PAT Stood At RM194 Million
Capital A recorded revenue of RM5.3 billion for the current quarter (1QFY25) an increase of 1.4% over the corresponding period in 2024. EBITDA for the current period grew 7.2% to RM1.1 billion. The Group recorded a Profit Before Tax of RM 231.4 million as compared to a loss before taxation of RM 249.8 million in 1Q24. Profit After Tax stood at RM194 million—inclusive of RM143 million in one-off expenses relating to non-operating aircraft—to arrive at a 4% PAT margin. Highlights of the Aviation Group: Aviation revenue in 1Q2025 totaled RM4.9 billion, relatively flat Year-on-Year ('YoY') and marginally higher Quarter-on-Quarter (' QoQ'). EBITDA came in at RM980 million, with an EBITDA margin higher YoY at 20% due to an 11% drop in fuel expenses. Depreciation and interest expense costs related to non-operating aircraft amounted to RM143 million. Excluding these, net operating profit ('NOP') stood at RM241 million. Including all items, PAT was RM126 million. Operating cash flow was positive due to overall improvement in the business. Cash flow from investing activities included the purchase of property, plant and equipment and net changes in deposits with licensed banks with a maturity period of more than 3 months and deposits pledged as securities and restricted cash. Cash flow from financing activities for the current year are proceeds from borrowings and net of payment of debt and aircraft lease. Driven by the growth described above, the Continuing Operations reported revenue of RM778.3 million for 1Q25, a 15% increase from the corresponding period last year. Segmentally, the logistics sector contributed 33% of the revenue, MRO services 27% and the online travel platform 16%. The balance 24% was contributed by our brand, inflight and other businesses. The Continuing Operations recorded a positive EBITDA of RM101.9 million in 1Q25, an increase of 24%. Net profit after tax was at RM59.1 million, an increase of RM11.0 million. This improvement included unrealised foreign exchange gains of RM20.6 million, higher brand licence income and improved operating performance across the various segments. Related
Free Malaysia Today
3 days ago
- Business
- Free Malaysia Today
Capital A back in the black with RM689.57mil net profit
Capital A expects to complete its disposal of its aviation business to AirAsia X Bhd by the third quarter of 2025. (EPA Images pic) KUALA LUMPUR : AirAsia owner Capital A Bhd returned to the black with a net profit of RM689.57 million in the first quarter ended March 31, from a net loss of RM91.55 million a year ago. In a filing with Bursa Malaysia today, the group reported that revenue from continuing operations increased to RM414.52 million from RM359.76 million previously, driven by stronger contributions from its non-aviation businesses. Capital A is currently in the process of disposing of its aviation business to AirAsia X Bhd and expects the transaction to be completed by the third quarter of 2025. 'The restructuring also sets the stage for Capital A's non-aviation businesses to chart their growth trajectories, with key businesses like Asia Digital Engineering and Teleport stepping up expansion plans, backed by strong demand and strategic capital-raising efforts,' it said. Last month, Capital A Bhd said it was on track to completing its proposed regularisation and restructuring plan by June 2025, citing continued progress across key regulatory, financial, and operational milestones. The group had planned to exit its Practice Note 17 status by May after receiving approval from shareholders and the High Court on its regularisation plan.
