Capital A reports record first quarter financial results

Capital A, the holding company of airline AirAsia, has recorded a revenue of RM2.5 billion and an operating cash flow of RM529 million, the highest levels it has seen since the onset of the pandemic, according to a statement by the brand. 

Capital A was reporting its first quarter 2023 financial results, which showed growth for all four companies under its purview, namely, Aviation, Aviation Services, Digital and Logistics.

As a group, Capital A also posted a profit after tax of RM26 million as revenue grew 212% Year-on-Year (YoY) to RM2.5 billion. This marks a positive EBITDA of RM502 million which comes in at levels comparable to the pre-pandemic period.

Don't miss: Capital A appoints new CEO at airasia to drive global growth as it launches new entity

In addition to boosting the Group’s performance in aviation, the strong return of travel had also accelerated the growth trajectory of other portfolio companies in 1Q2023, it said, noting also that the relaxation of travel restrictions helped with revenue growth. 

The aviation business posted a segmental revenue of RM2.2 billion and an EBITDA of RM501 million while the group registered a 22% Quarter-on-Quarter (QoQ) growth in the number of international passengers carried, buoyed by the festive season.

It also noted that airasia Superapp celebrated a historic accomplishment as it registered the highest quarterly revenue and EBITDA since inception, reaching RM159 million and RM24.4 million respectively. This notable performance was attributed to the growth in its travel & delivery verticals, while implementing a prudent cost management strategy. 

It also noted that its fintech portfolio company BigPay saw an increase in usage as more users travelled and made payments using its card.

The news comes shortly after Capital A launched a new entity dedicated to further enhancing the reach and impact of its AirAsia brand worldwide and has appointed a new CEO to lead it and to drive brand growth globally. 

Titled airasia brand co. (abc.), the entity will focus on the primary areas of development, including strategic brand licensing, brand collaboration and merchandising opportunities in the travel-related and lifestyle sectors, as well as content creation which will allow the brand to amplify exposure, reach wider audiences and add tremendous value to the AirAsia ecosystem.

It announced at that point that Rudy Khaw, who has been at AirAsia for 16 years since 2007, will lead the new initiative as CEO alongside Capital A CEO Tony Fernandes as chairman.

Related articles:
airasia partners with foodpanda to leverage vast network of on-demand services for consumers
AirAsia updates SuperApp with new CX features live call and refund track
Capital A introduces new leadership, Colin Currie now CEO of AirAsia digital