Profits at AirAsia, one of Asia’s largest and most popular low-cost carriers, slumped 62 percent in the second quarter due to higher operating expenses and foreign-exchange losses on borrowings, a filing with Malaysia’s stock exchange has revealed.
Net profit was 58.35 million ringgit in the three months ending June 30, falling year-on-year despite a revenue rise of 5.5 percent.
The airline is fast growing and has set up subsidiaries in Indonesia, the Philippines and Thailand.
It said each of the fledgling businesses saw significant revenue increases in the quarter.
“Barring any unforeseen circumstances, the directors remain positive for the prospects of the group for the third quarter and the remainder of 2013,” it added.
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