‘Not just riding the wave’: after financial turnaround, Malaysia Airlines eyes year of ‘credibility’

As Malaysia Airlines’ parent Malaysian Aviation Group (MAG) turns in a glowing financial report, it is keen to prove it is no one-trick pony and that it has changed for the better. As group managing director Izham Ismail puts it: “2024 is an important year for us, it is a year of credibility for us… and we don’t want to be seen as just riding the wave”. He was speaking on the sidelines of the group’s annual financial results briefing in Kuala Lumpur. For the year ended 31 December 2023, MAG – which also comprises regional units Firefly and MASWings – reported an operating profit of close to MYR890m ($188m), up 64% year on year on 2022’s MYR540m figure. It also swung to its first net profit in over a decade, reporting a figure after interest and tax of MYR766m, compared with 2022’s MYR344m net loss. In some ways, the 2023 financial performance – helped in part by strong passenger yields – could be seen as the group’s well-publicised restructuring finally bearing fruit. Izham, who led the efforts through the early days of the Covid-19 pandemic, hails the “pivotal moment in our historical journey” and says it represented a “profound shift in our approach and strategy”. Still, and ever the pragmatist, Izham is well aware this set of “excellent” results may not be a regular occurrence, and that the group’s future performance will be closely watched. This is why he believes that this year – what he calls “the year of credibility” – will be more crucial than the last. <br/>