AirAsia Aviation units still below half pre-Covid traffic, despite ‘strong recovery path’ in 2022

AirAsia Aviation units were operating at less than half of pre-pandemic capacity – with total passenger volume also far from 2019 levels – despite seeing an “exceptional increase” in demand as international travel resumed in 2022. In full-year operational results, AirAsia Aviation parent Capital A says the airline units in Malaysia, Thailand, Indonesia and the Philippines were operating at around 47% capacity compared to pre-pandemic 2019. This is even as the aviation group saw a four-fold rise in capacity year on year, as it returned to service more aircraft from storage. The group hopes to return its full fleet of over 200 jets by mid-2023. The four AirAsia carriers flew more than 34m passengers in 2022, also a four-fold increase compared to 2021. However, the figure is only 46% that of 2019 volumes, notes Capital A. Much of the boost came from full border reopening in most of AirAsia’s key markets in Asia. Capital A adds that the aviation units were recovering passenger volumes faster than capacity, especially in the last quarter of the year. “The aviation segment remains firmly on a strong recovery path post-pandemic transition with added impetus from rapid resumption of international travel. Benchmarked against the corresponding pre-Covid performance in [fourth quarter of 2019], Capital A’s consolidated airlines had recovered passenger volume faster than capacity restoration in [fourth quarter of 2022],” states Capital A. <br/>