AirAsia Philippines said its profit rose more than eightfold in the second quarter this year from the same period last year, driven by strong passenger growth and higher load factor.
In a statement, Malaysia-based AirAsia Berhad said its Philippine unit registered a profit of P593 million in second quarter from P68 million last year.
Revenues grew 38 percent to P7.5 billion in the second quarter from P5.5 billion in the same period last year.
Earnings before interest, taxes, depreciation and amortization stood at P1.575 billion, up 474 percent from P274 million, data from AirAsia Bhd.’s second -quarter operating statistics showed.
The growth was driven by a 22 -percent passenger growth and load factor growth of 4 percentage points from a year ago.
Passengers reached 2.2 million from 1.8 million and load factor increased from 87 percent in second quarter last year to 91 percent this year.
“In terms of profitability, we are excited to see the turnaround of AirAsia Indonesia and the improved performance of AirAsia Philippines.”AirAsia Berhad said.
For this year, AirAsia Philippines is adding three aircraft to address the anticipated growth in passengers driven by continued route expansion.
As of end June this year, the company has added two aircraft in its fleet, ending the second quarter with total of 23 aircraft.
The airline plans to increase its fleet to 50 aircraft in the next three years by adding five to 10 aircraft per year.
The airline’s international market contributes 40 percent of revenues and 60 percent from domestic market.
For this year, AirAsia Philippines is targeting to hit 8 million passengers from 7 million last year. It targets to triple last year’s number in the next three years.
In an earlier interview, Michael Romero AirAsia Philippines vice chairman said the company is now turning around from losses after reporting P6.8 billion revenues and P450 million net income in the first quarter this year from last year’s P22 million net loss.
The company is on track to conduct initial public offering this year to fund its expansion.