Holiday boost: AirAsia upbeat on Q4 volume

The parent company of AirAsia Philippines is projecting a strong final quarter performance, driven both by the holiday boost and its expansion plans.

Bo Lingam, Aviation CEO of the AirAsia Group, said they were projecting passenger load factor to go beyond 85 percent this fourth quarter as people tend to visit their friends and family to celebrate the holidays.

“We are optimistic about the upcoming fourth quarter, traditionally a strong period for the aviation industry,” he said in a statement.

Passenger load factor measures the percentage of available seating capacity in an aircraft. A higher figure means higher occupancy or more tickets sold.

Banking on the momentum, Lingam said they would expand their fleet by adding five new A321neo (new engine option) aircraft, bringing the total to 205 operational jets.

“We will also launch 18 new routes, both domestically and internationally, to cater to the growing demand from key markets like China and India,” he added.

AirAsia operates in the Philippines, Malaysia, Indonesia, Thailand and Cambodia. The group saw its passenger volume grow by 11 percent to about 46 million in the first three quarters.

See Also

WFP extends cash assistance to Kristine-ravaged Bicol communities

The local unit flew 5.26 million passengers in January to September, which was nearly 7 percent more than 4.93 million passengers it had served in the same period a year ago.

AirAsia Philippines currently operates 15 aircraft. By next year, the company is hoping to restore its fleet to 24 aircraft, which would allow it to return to prepandemic level.

Amid the travel momentum, the budget carrier said in September it was keen on launching Manila-US flights by next year.