KUALA LUMPUR: AirAsia Group chief executive officer Tan Sri Tony Fernandes has hinted at a much stronger performance by AirAsia Bhd in the year ended December 31 2016.
In a Chinese New year video posting on his Facebook account on Saturday, Fernandes said group bonus for the year was three months, while “exceptional” staff were getting double of that.
“AirAsia staff very happy today. Got their bonus. Group bonus was three months. Exceptional staff got six. Also went round giving Ang Pows. Took forever and walked miles. We have become a big company but so good to see all the staff. Happy Chinese New Year to all.”
AirAsia is expected to release its last year’s results next month.
Last week, the budget airline announced that its average load stood at 85.8 per cent, the strongest full-year load recorded so far.
For the first nine months to September 30 last year, AirAsia’s net profit rose to RM1.57 billion from a net loss of RM13.37 million a year ago. Group revenue for the period went up to RM5 billion against RM4.14 billion previously.
“In general, any company that gives out bonuses would need to be profitable, otherwise it doesn’t make sense,” said an analyst yesterday.
Macquarie Equities Research, in a report last Thursday, said AirAsia remained one of its top picks in the Asian airline sector due to leasing monetisation upside.
It kept an “outperform” rating as the airline’s full-year traffic figures exceeded expectations by 4.9 per cent, amid global economic uncertainties and tough industry competition.
AirAsia recently said it had received eight non-binding bids for full ownership in leasing unit Asia Aviation Capital (AAC) and one for an 80 per cent stake.
Bidders would be allowed to conduct due diligence on AAC in December last year while the deal is targeted to be concluded in April.
MIDF Research said a divestment of a between 70 and 80 per cent AAC stake could translate into proceeds of RM2.9 billion to RM3.3 billion (RM1.04 to RM1.19 aper share), which AirAsia could use to pare debts, fund future expansion and pay out as special dividends.
The firm has maintained its “buy” call on AirAsia with a target price of RM3.45.
AirAsia closed one sen higher to RM2.48 with 5.7 million shares traded on Friday.