The AirAsia X Group, which now consolidates the airline activities of AirAsia (excluding Capital A’s non-aviation businesses), reported revenue of approximately MYR 5.95 billion (USD 3 billion) in the first quarter, supported by a 9% increase in passenger traffic to 18.9 million and a load factor of 85%.
Despite delivering an operating profit of around MYR 199 million (USD 44 million) and an EBITDA margin close to 17%, the Malaysian group posted a net loss ranging between MYR 129 million and MYR 155 million (USD 29–35 million), depending on the reporting scope. This underperformance was mainly driven by a net foreign exchange loss of approximately MYR 232 million (USD 52 million), linked to the depreciation of the local currency against the US dollar, as well as an additional fuel cost estimated at nearly MYR 200 million following a temporary spike in jet fuel prices above USD 200 per barrel in March.
Excluding foreign exchange effects, net profit remained positive at around MYR 103 million (approximately USD 23 million).
In response to fuel price volatility, AirAsia X increased fuel surcharges and adjusted fares from March 6, while planning a tactical capacity reduction of around 10% in the second quarter to prioritize margins. The group also raised nearly USD 300 million to refinance part of its debt under improved conditions.
“The Group entered 2026 with the successful consolidation of AirAsia airlines into a unified aviation platform and the achievement of key milestones. However, heightened fuel price volatility and geopolitical uncertainties have begun to weigh on what had been a strong start to the year. We are currently operating in a phase of tactical agility, prioritizing profitability and margin preservation over volume,” said Bo Lingam, CEO of AirAsia X Group.
On the operational front, the group announced the delivery of its first Airbus A321LR (pictured, MSN 12902, registered 9M-XVC) in April. The aircraft was ferried to Kuala Lumpur in early May and offers a range of up to 4,000 nautical miles (7,400 km) with three auxiliary center tanks (ACTs). Entry into service is imminent.
For reference, the AirAsia X Group placed an order for 150 Airbus A220-300 aircraft (configured with 160 seats) on May 7, including options for an additional 150 units. Deliveries are scheduled to begin from 2028.
