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Japan Airlines expects its net loss for the year to 31 March to be steeper than earlier forecast, as overall passenger travel demand remains in the doldrums. The Oneworld carrier in a 15 April stock exchange filing says it expects to report a full-year net loss of Y177b ($1.4b), compared to earlier estimates of Y146b. Pre-tax losses have also been revised upwards to Y239b, from Y198b disclosed in November 2021. JAL also lowered revenue forecast by 11% to Y682b, as it blames the spread of the Omicron variant of the coronavirus for a shortfall in demand, particularly in its domestic network. “[Due] to the spread of the Omicron variant, preventive measures were applied in many prefectures in Japan, which decreased domestic passenger demand significantly,” the carrier says. International travel demand “did not recover significantly”, despite countries easing border restrictions, adds JAL. While cargo revenue did pick up in the year, the carrier says it was sufficient to offset the drop in passenger earnings. “In terms of operating costs, our cost-cutting efforts, especially for fixed costs, could not cover the reduction of the revenue. However, the surging fuel price in March due to geopolitical risks has been offset by hedging transactions so the impact of the fuel price hike on the full-year financial forecast is limited,” adds JAL. JAL posted an EBIT loss of Y31.5b for quarter to 31 December, marking a continued improvement on losses incurred in the first and second quarters. <br/>

Malaysia Airlines will mount 20 additional frequencies between Kuala Lumpur to Kuching, Sandakan, Tawau and Kota Kinabalu during the Hari Raya peak travel period beginning April 28 until May 8. The flag carrier said with the additional frequency with over 7,000 seats made available, fares will be dynamically adjusted downwards for customers to enjoy low fares. Malaysia Airlines will be offering up to 20% off airfares to all domestic destinations for booking from April 19 to 27 for immediate travel up to July 31. Flights from Kuala Lumpur will begin as low as RM139 for all-in fare to Peninsular Malaysia destinations, from RM209 to Miri, Bintulu, Kuching, Sibu, Sandakan, and from RM262 to Kota Kinabalu, Sandakan, Tawau and Labuan. "It was never Malaysia Airlines' intention of driving high fares to cause inconvenience to our customers, especially during the festive season. Airlines globally set the price of flight tickets dynamically, subject to demand and supply and based on the date, time, and availability of seats within a specific timeframe. “Fares will also be adjusted with passengers’ willingness to pay due to peak and seasonal trends as well as competitiveness against other airlines,” Malaysia Airlines Group CEO Captain Izham Ismail said.<br/>