KUALA LUMPUR: Malaysia-based AirAsia on Wednesday announced a sixfold increase in second-quarter net profit as Asia’s budget travel leader increased revenue despite what it called a “challenging” aviation environment.
Net profit was 367.2 million ringgit ($115 million), up from 58.3 million ringgit in the same quarter of 2013.
AirAsia said the jump was mainly due to foreign exchange gains on borrowings.But it said revenue also grew five percent to 1.31 billion ringgit as passenger numbers increased slightly.
AirAsia is led by flamboyant boss Tony Fernandes, a former record industry executive who acquired the then-failing airline in 2001. It has seen spectacular success and aggressive growth under his low-cost, low-overhead model.