No good news at all :
MAS back in red in first quarterJun 12, 09 5:18pmMalaysia Airlines (MAS) said today it sank into the red in the first quarter, with losses of RM695 million due to weaker demand, overcapacity and volatile fuel prices.
MCPX
The national carrier said the loss for the three months to March compared with a net profit of RM120.1 million a year earlier. It was the first quarterly loss for the company in two-and-half years.
The airline also posted an operational loss of RM138 million, while revenue for the January-March period was RM2.7 billion, down from RM3.8 million a year earlier.
"This is the first operational loss for Malaysia Airlines since the third quarter of 2006 as it faced a triple squeeze; overcapacity, extreme fuel volatility, and a global slump which hit passenger and cargo demand," the company said in a statement.
It also said the outlook remains challenging as travel demand in the second quarter "is expected to remain soft" but could improve later.
"The outlook remains challenging as yield pressures continue to mount as airlines proceed to reduce fares and fuel surcharges to encourage consumers to travel," the airline said, according to Dow Jones Newswires.
Industry to lost US$20 bil
MAS profit had plummeted 71 percent in 2008 due to the global slowdown, while its fourth-quarter profits for 2008 were down 81 percent to RM46 million from RM241.9 million a year ago.
On Monday, the airline industry body IATA has said the world's airlines are expected to lose nine billion dollars this year, almost double an estimate just three months ago, making the crisis worse than the aftermath of the September 11, 2001 attacks in the United States.
Combined with a revised estimate that it lost US$10.4 billion in 2008, the industry now looks set to lose almost US$20 billion over two years.
Airline executives however expressed hope of a turnaround next year, saying some carriers may start making money in late 2010.