AirAsia X reports load factor improvement in 3Q2018, focusing on ‘dominance’ in core markets

    AirAsia X Malaysia reported (24-Oct-2018) “encouraging improvements” in passenger load factor in 3Q2018 following the Malaysian general election in May-2018. The carrier also “managed to weather off the pockets of natural disasters across Indonesia, Japan and Hawaii”. ASKs decreased 4% year-on-year due to the redeployment of capacity to North Asia following “capacity management” in Australia in Feb-2018 and the termination of Tehran service in 2Q2018. The airline made seasonal frequency increases to Melbourne, Perth and Sydney in Jul-2018 and increased Honolulu frequency to daily in response to stronger demand. Osaka frequency was also increased to daily to match Honolulu while “capacity management” was executed in Sapporo, Seoul and Taipei due to the “lean season”. Kathmandu frequency was gradually reduced ahead of the suspension of the service in Oct-2018. The carrier commenced Amritsar service in Aug-2018, suspended Maldives service in Sep-2018 and transferred Kaohsiung service to AirAsia Malaysia. AirAsia X is consolidating routes and focusing on “market dominance in our core countries”.