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AirAsia projects 15% earnings increase driven by ancillaries

7-Mar-2011 11:02 AM

AirAsia president director Dharmadi projects a 15% earnings increase, saying the rise would be driven by ancillary revenue (Jakarta Globe, 06-Mar-2011). Mr Dharmadi also said the carrier was planning to transport 4.5 million passengers in 2011 – a 15% increase – as well as forecasting its load factor to increase to 80% from 77% in 2011.

AirAsia: “Our ancillary revenue increased by 60% last year. The revenue accounts for 18% of our total. This year, we’re targeting ancillary revenue to make up 20% of our revenue. The Internet has helped boost ticket sales, with as many as 85% of our ticket orders being made online. This has helped save costs on hiring and setting up travel agents.” President director Dharmadi.