Covid-19 resurgence pushes Thai AirAsia parent deeper in the red

Thai AirAsia parent company Asia Aviation widened its third-quarter operating loss, amid a sharp revenue plunge from having to suspend operations during Thailand’s worst wave of coronavirus infections. For the three months to 30 September, Asia Aviation was Bt3.72b ($113m) in the red, widening the Bt3.1b operating loss it posted during the same period last year. Quarterly revenue plunged 81% year on year to Bt458 million, as passenger numbers nosedived 96% to just under 80,000. Amid soaring infections caused by the Delta variant of the coronavirus, Bangkok, where the carrier is based, was designated a “strict control” zone, with inter-province travel prohibited. Consequently, Thai AirAsia suspended all operations for most of the quarter, between 12 July and 2 September, as part of national pandemic prevention efforts. Capacity and traffic for the quarter plunged 95% year on year, amid the operational suspension. The reduced flying led to a drop in costs, though it failed to outpace the rapid decline in revenue. Asia Aviation’s expenses for the quarter was around Bt4.2b, 24% lower year on year. On a nine-month basis, Asia Aviation also widened its operating loss — at Bt9.7b this year, compared to Bt6.3b last year. <br/>