Johnfatt, that’s result for 12 mths ended March 2019.... average jet fuel sure higher than a year ago la.... AAX had made losses too 2018..... expect Q1 2019 AAX will turn to profit and remain profitable for the remaining quarters...
Dawneagle, dont have extra cash dont invest la... y cant i hold for 20 years? What make u think i cant? Think before u question... i said they hedge many barrel at low price d... it should be a good year for aax in 2019...
For 1Q19, AAX posted an earnings before interest, taxes, depreciation, and amortisation (“EBITDA”) of RM264.5 million. Profit before tax for the period rose by 8%, standing at RM 59.5 million as compared to profit before tax of RM55.3 million in the same quarter last year.
Lease liabilities increased substantially as right of use assets increased at the same time. If you notice, the depreciation also increased significantly. So can we really say AAX is not doing well? Maybe.
But I would not say they're not doing well just because the net profit is mainly derived from foreign gains. You meant to say the foreign gains are just a coincidence? Hahahahaha
AAX is duplicating the success of her sister's Airasia by adding more and more aeroplane via opening of more profitable routes, push load factors, increase passengers carried year over year (from 3.6 mil in 2015 to 6.2 mil in 2018). It is adding another 5 more aeroplane in 2019 and to push the ASK and trying to gain market share by offering passenger lower fare which will push up the load factor eventually when route got mature. The core market now is Australia, Korea, Japan, China & Taiwan which are popular tourist destination. AAX want passengers, lot and lot of them. The gold mine in future.
Lease Income should grow further as AAX will start taking delivery of new Airbus 330 neo. AAX has order 100 units of these carriers AT BIG DISCOUNT and will take delivery gradually over the coming years. These are fuel efficient planes that save fuel by 25%. The receiving of new A330 neo should increase the lease incomes, and total Revenue/ASK.
Her sister, Airasia sold 78 planes for RM 4.2 billion after years of effort.
I personally see AAX is duplicating what Airasia is doing and eventually the fruit to be reaped will be substantial.
The model: Buy good aeroplane at great discount to grow the passenger carried--> once it grow to certain size, you can sell the aeroplane to lessor at good price and cash out. That's how airasia special dividend derived from.
THAT's the TRUE BIG FAT MEAT. You do see how this big fat meat push Airasia share price..
THINK OF THIS, Many investor buy the same dream during the IPO at RM1.20. Now I bought the same dream at RM 0.33... 4 times cheaper!!! If share price drop to RM 0.22 before this Qtr announcement , it means I bought the same dream at 6 times cheaper..
Airlines industry is a very competitive industry and its cynical. This we need to understand to be in this industry..
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This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
Bornwinner
196 posts
Posted by Bornwinner > 2019-05-10 09:29 | Report Abuse
Hoping for AAX share price will rise