unpredictable

Due to higher finance costs, foreign exchange losses and deferred taxation. Its topline was 5.4% higher, supported by a 12% growth in passenger volume.

But our Boleh currency is really under pressure now..

So what could we expect for this company? More reduced profits, Increased competition, higher jet fuel cost?

the reduced profit was mainly due to currency loss and tax.. overall AA is a world-class company, with clear vision and super efficient operating model, still growing double-digit in passenger volume, has big expansion plan etc etc.. I think it is

Thanks for answering my doubt.

We shall wait & see the future prospect & financial results this company could offer

The deferred tax is and had been part of AirAsia earnings for the past few years and should last for a while longer. ( Not an expert on this but best you ask someone with more knowledge on this issue)
The currency loss stems from AirAsia's borrowings which is largely denominated in USD.
The worrying issue is AirAsia borrowing is also increasing (due to funding of new planes).
With the ringgit now firmly weakened against the USD, currency losses is NOT going to disappear anytime soon.
When we considered that the past few years, AirAsia earning too had gain couple hundred million in currency gains and the market did NOT discount those gains, then we should NOT discount these losses either now.

Yes, this is simply the cost of doing business and with AirAsia business model needing more planes constantly, playing the borrowings/leverage game is a must.

Yes, I too am impressed with the company 'growth' but I believe there is huge price to be paid for this growth.

The one thing that was a one off in AirAsia's earnings was its disposal in AirAsia Japan.
That disposal of interest boosted earnings by 78 million.
And if this earnings is 'deducted' AirAsia's earnings would be negative for the quarter, ie AirAsia would have incurred losses.

Another worry now is, cash flow has turned back to negative.

AirAsia India eyes Bhopal, Indore as hub

AirAsia India, set to take to the skies by year-end, is eyeing either Bhopal or Indore in Madhya Pradesh to set up a hub.

The state’s name, literally means "central province," amid its location in the "geographic heart" of the country can serve as a perfect location for the airline to spread its wings in the country of 1.2 billion people.

Local media reported that its chief executive officer, Mittu Chandilya, met Madhya Pradesh Chief Minister, Shivraj Singh Chouhan, yesterday to discuss the modalities to establish a hub in one of the two cities.

Besides strategic location, the move would also boost the state’s tourism potential by providing air connectivity to passengers from Malaysia, Thailand, Indonesia, South Korea and Australia, the report quoted an official source as saying.

AirAsia Group chief executive officer Tan Sri Tony Fernandes in his recent visit to India had announced that there was potential to have many bases in India.

"We can have many bases, we can be in Chennai (Tamil Nadu), Cochin (Kerala) and in Bangalore (Karnataka) but our headquarters will be in Chennai," he had said.

AirAsia India is a 49:30:21 per cent joint venture between AirAsia, Tata Group and Telestra Tradeplace Pvt Ltd.

AAX up 1 cents today

Today closed (5/9/13) at rm2.58

i dunno shud i add more now or not to bring down my ave cost from 2.92.

just a small time player la.. 1k units only..

Now the price is almost 2 year low, don't know how low it could go. Now already up a little bit.

Decision is yours

Wellington disposed of 15.83 million shares of AirAsia Bhd


http://www.thestar.com.my/Business/Busines...sia-shares.aspx

from its announcement dates of 29-8 to 3-9 on this 15m shares, EPF bought 10.6m shares. So the remaining are "supported" by retailers or non-major shareholders.

yeah thats why.. quite low price now and im quite optimistic with Airasia. Hurmmm decisions decisionss....

Affin maintains "Buy" rating on AirAsia, lower TP

Affin Research has maintained its “Buy” call on AirAsia with a lowered target price of RM3.60 given its earnings downgrade.

“We continue to like AirAsia’s sound fundamentals, which is backed by its strong operating statistics, as well as the group’s regional growth strategy,” it said in a note on Friday.

Affin said on average, fuel accounts for about 40- 50% of AirAsia’s operating cost.

“We gather that AirAsia has hedged 30% of its financial year 2013 fuel requirement at US$123 per barrel, leaving the remaining 70% at spot price,” it said.

Affin noted fares are most often compromised in order to sustain a high load factor and maintain market share in the face of softer economic growth as well as stiff competition.

“AirAsia’s yields positively correlates to its average fare. In first half 2013, the average fare was RM170, below our financial year 2013 assumption of RM180.

“In view of the recent downward revision in 2013 gross domestic product growth forecast, we lowered our average fare assumption by 3% to between RM175 to RM180 for financial year 2013 to 2015, from RM180 to RM185,” it said.

cimb last week also recommend it as a strong buy.
been watching it since and see it as a good trading stock at this time with high vol and volatility.
just q-ed at 2.50, think dapat!
see wat happens next week.

Down 8 cents to 2.50 today

Good for you

I'm also watching it's movement. I'm thinking want to add more, but still unsure. Even with the current price, I still profit because my cost is below rm1.50

You never sold it when it hit 4+? wow