AirAsia began its business with just two planes. Since then, it has transformed from a Malaysian budget pioneer to a regional low-cost carrier. It has democratised air travel in Southeast Asia throughout the years. Now, it even positions itself as a lifestyle company anchored on travel by accelerating its venture into food delivery, ride-hailing, and payment solutions.
Will AirAsia’s new business endeavours be able to emulate the success of its airline business? Here are 10 things I learned from the 2021 AirAsia AGM.
1. Revenue shrank 73.6% year-on-year to RM3.1 billion in 2020 while net loss widened from RM315.8 million in 2019 to RM5.1 billion. The outbreak of the COVID-19 pandemic and the resultant movement restrictions implemented to curb the spread of the virus has put a dent on AirAsia’s financials.
Impairment amounting to RM1.3 billion was made across the amount due from associates and related parties as well as trade and other receivables as a result of the...