Malaysian low-cost carrier AirAsia has released a video message calling for solidarity in the fight against the novel coronavirus (Covid-19).

Senior management and AirAsia staff – dubbed the airline’s ‘AllStars’ – have offered words of support in a video entitled ‘Keep Fighting China!’ [click below].

The airline has delivered more than 23 tonnes and 175 boxes of medical goods in China to date and says it will continue to pledge support as necessary to all affected destinations served by the airline.

AIRASIA X IMPACT

Revenue at AirAsia subsidiary AirAsia X Berhad, which operates primarily in Asia Pacific, declined by 4% year-on-year to RM4.39bn/$1.04bn according to full-year results announced yesterday (27 February). This was attributed to lower passenger volumes due to ongoing macroeconomic uncertainty.

Net operating losses increased to RM374m/$887m – up from RM218.8m in FY2018 – mainly due to the adoption of MFRS16, read a statement.

AirAsia X Malaysia carried a total of 6,071,019 passengers in 2019 – down 2% year-on-year – but AirAsia X Thailand grew its volumes by 29% to 2,599,657 following capacity expansion.

“The company expects major headwinds for the first half of 2020 amidst the outbreak of novel Covid-19, on top of the persisting global economic slowdown as well as irrational competition within the local aviation industry,” said AirAsia X Group CEO Nadda Buranasiri.

“A downtrend has been observed on passenger bookings in the forward months, as all tourism-related businesses face the impact of the Covid-19 outbreak. The Covid-19 outbreak has impacted AirAsia X particularly as we are one of the largest foreign airlines operating into China, a market which represents 30% of our capacity.

“Malaysia is experiencing sharp declines in visitor numbers from all its major source markets due to advisories placed by many countries against travelling to Malaysia. AirAsia X has been engaging and working closely with key stakeholders in the industry, including government ministries and agencies, in taking additional and necessary steps to address and mitigate the impact of this temporary slowdown in air travel.”