SEPANG, 14 FEBRUARY 2022 | Today, AirAsia X has made a groundbreaking transaction in push to profitability without passenger revenue.
They have secured full belly space utilisation for one third of its wide body A330-330 fleet for one year with Teleport. This allows the airline to earn extra revenue from cargo, aside from passenger operations.
This is also part of the airline's restructuring plan and will significantly boost its regional presence as a viable long term partner to some of the biggest global freight forwarders.
In addition to this, last week, the airline also announced a strategic partnership with logistics leader, GEODIS, to mount several weekly dedicated cargo flights for an extended period.
CEO of AirAsia X, Benyamin Ismail said:
We are also in discussions with several other major global clients that have air cargo requirements, particularly to where we have established bases and flying rights. It's just two months post our restructuring and the appetite for expansion of our cargo operations is significant. This dovetails neatly into one of the core pillars of our combination carrier strategy. For the foreseeable future, cargo revenue will underpin our route strategy and passenger revenue for the first time, will be ancillary.
What is AirAsia X?
AirAsia X (AAX) is the medium haul, low-cost affiliate of the AirAsia Group operating an all wide body A330-300 fleet. The airline together with its Thai associate Thai AirAsia X (TAAX) have carried over 19 million guests since commencing service in 2007. In 2021, the airline was successfully restructured and is now relaunching service as a combination carrier with equal emphasis on both cargo and passengers, working in partnership with global freight forwarders. As international borders reopen, AAX is well poised to compete very effectively in the markets where it operates with perhaps the lowest cost structure of any similar airline globally.
We are also in discussions with several other major global clients that have air cargo requirements, particularly to where we have established bases and flying rights. It's just two months post our restructuring and the appetite for expansion of our cargo operations is significant. This dovetails neatly into one of the core pillars of our combination carrier strategy. For the foreseeable future, cargo revenue will underpin our route strategy and passenger revenue for the first time, will be ancillary.