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Malaysia Airlines Finally Turning to Profit Again

Photo of Malaysia Airlines

Malaysia Airlines unfortunately had the shorter end of the stick in the last decade. Our national carrier had a significant loss in profitability, and the two unfortunate incidents in 2014 did not help them either. However, it seems that they have turned around their business and are indeed a profitable company now.

According to Malaysia Airlines’ press release, Malaysia Aviation Group (MAG) reports a notable achievement with a positive operating profit of RM889 million for the second consecutive year, marking a 64% improvement from 2022. The Group’s cash balance stands at RM4.3 billion without capital injections from main shareholder Khazanah Nasional Berhad since October 2021.

Notably, MAG records its first-ever net profit after interest and tax (NIAT) for the full financial year 2023, amounting to a positive RM766 million, a significant swing from a negative RM344 million the previous year.

MAG’s performance in 2023 underscores its trajectory towards success and reaffirms its commitment to innovation and service excellence in the global aviation landscape. MAG achieved significantly higher operating profit at RM1.099bil from RM80mil in 2022, attributable to higher capacity and robust yield amid strong passenger travel demand.

Malaysia Airlines’ posting profits

However, netizens state that the airline did not need to hire foreign talents in order to turn a profit. Many were reminded of the mid 2010s when the airline had to find all strategies for them to save themselves from ruin.

The aviation industry is expected to resume its recovery in 2024, on the back of increased global travel. Kenanga Research in a report said tourist arrivals in Malaysia are expected to jump 35% to 27 million in 2024 from an estimated 20 million last year.

Regardless, many are proud that our national carrier is able to get back into the green zone once more.