KUALA LUMPUR (Aug 26): AirAsia X Bhd (KL:AAX) saw higher profits in the second quarter ended June 30 (2QFY2025), thanks to lower fuel costs and the weaker US dollar, even as revenue fell to its lowest in nearly two years amid the seasonally lean travel period.

Quarterly net profit rose to RM35.22 million from RM4.82 million in the same quarter last year.

However, 2QFY2025 revenue slipped to RM660.8 million, down 1.2% on-year from RM669.14 million on lower average passenger fares at RM405, which offset higher passenger count and higher average ancillary revenue compared with 2QFY2024.

Operationally, average load factor, used to measure the percentage of seats filled, remained healthy at 83% in both the quarter and the six-month period ended June (1HFY2025).

“The recent decline in jet fuel prices further supports the group's efforts to sustain a disciplined cost structure,” it said. In 2Q, fuel prices fell to US$86 (RM362.71) per barrel, from US$99 per barrel in 1QFY2025.

The earnings rebound helped lift 1HFY2025 net profit to RM85.43 million, from RM84.94 million, as revenue rose 1.44% to RM1.6 billion, from RM1.58 billion.

No dividend was declared, according to Tuesday's bourse filing.

The group has one more aircraft to activate among its fleet of 19, but this has been deferred to 2H2025 “due to an industry-wide aircraft engine shortage”, it said.

It is also seeking another one-month extension until Sept 30 to complete its acquisition of AirAsia's aviation business from sister company Capital A Bhd (KL:CAPITALA).

“The group is close to finalising an RM1 billion private placement but must first secure consent from two remaining aircraft lessors and obtain clearance from Thailand’s Securities and Exchange Commission (SEC), which has experienced delays,” it said.

Shares of AAX settled down one sen or 0.68% at RM1.47, giving it a market capitalisation of RM657.2 million.