Capital A Berhad reported its unaudited financial results for the third quarter ended 30 September 2024 reporting a strong net profit of RM2.01 billion for the quarter after recognising a significant foreign exchange gain of over RM2 billion.

In terms of core, the Group recorded net operating profit of RM9.9 million, which is supported by RM4.9 billion revenue and RM640 million EBITDA. This represents Year-on-Year ("YoY") increase of 17% and 43%, respectively.

The aviation business was the main driver, despite being a seasonally slow quarter, the airline business delivered strong results as revenue increased by 15% YoY to RM4.5 billion, while EBITDA surged 50% YoY to RM577 million, achieving a healthy 13% EBITDA margin. The positive performance was driven by strong travel demand, favourable fuel prices and strengthening of the Malaysian Ringgit ("MYR") against the US Dollar ("USD"). This was achieved despite still having non-active aircraft. Including these non-active aircraft, the Aviation Group would record an additional EBITDA of RM195 million. At the operating level, the business recorded a net operating loss of RM42 million.

Group CEO, Tony Fernandes commented that the group anticipates a strong fourth quarter. Our aviation business will be driven by peak travel season and increased capacity. ADE will capture growing MRO demand through the expanded hangar capacity, while Santan's entry into the third-party airline catering market will further boost our revenue. Separately, Teleport's robust performance, driven by increased volume and operational efficiencies, is expected to continue. The successful resolution of freighter capacity issues and the expansion of our network will further strengthen our position in the logistics market.