Scale-up cuts Q2 loss for Indonesia AirAsia's parent company

The parent company of Indonesia AirAsia posted an operating loss of Rp37.9b ($2.7m) in Q2 as the budget carrier scaled up its operations. Revenue at AirAsia Indonesia for the quarter ended 30 June jumped 63% to Rp3t. ASKs and RPKs both rose 58%, its overall seat load factor inched one point upwards to 82%. This was attributed to the launch of its new hub at Lombok, and frequency increases on the Jakarta-Denpasar and Jakarta-Surabaya routes during the quarter. Expenses were up 29% to Rp3.03t, led by higher fuel and leasing costs. The company was also able to narrow its quarterly net loss by 81% to Rp82.5b, as it benefitted from a Rp27.2b gain on a remeasurement of employee benefits liabilities. Its fleet size grew from 15 to 25 aircraft, as it took over eight jets from its long-haul sister carrier Indonesia AirAsia X which ceased scheduled flights in January. The carrier also received two other jets from AirAsia Group.<br/>