Malaysian Aviation Group posts profits despite headwinds
April 17, 2025
Marking its third consecutive year of operating profit, the parent group of Malaysia Airlines as well as Firefly, MASwings, and AMAL by Malaysia Airlines, Malaysia Aviation Group (MAG) has reported a RM54 million net profit and RM113 million operating profit for 2024.
MAG’s performance is further boosted by robust earnings before interest, taxes, depreciation and amortization (EBITDA) of RM788 million. The growth was achieved despite operational headwinds including proactive network cuts in Q4 2024, which reduced capacity by 18%.
Capacity cuts
Carried out during a traditionally strong quarter the capacity cuts, which were driven by supply chain disruptions, prolonged maintenance schedules and delayed the arrival of new aircraft. These challenges impacted MAG’s full-year revenue, which came in at RM13,679 million -a 1% dip year-on-year. Nevertheless, passenger traffic in the premium segment remained resilient with stronger load factors across both passenger and cargo operations. New routes and the strengthening of key partnership collaborations also helped expand the group’s international footprint.
Datuk Captain Izham Ismail, MAG’s managing director, said, “2024 was testament to MAG’s resilience and commitment to growth and sustainability.”
Acknowledging the operational challenges faced by the group, he emphasised, “we have not only maintained profitability but also ensured that we are strategically positioned for the future.”
Fleet expansion
Looking ahead the group plans to modernise its fleet and aims to operate a narrowbody fleet of 55 aircraft, comprising the Boeing 737-8 and 737-10. It is also integrating the A330neo into its long-haul network, with two of the aircraft already in service operating to Melbourne, Bali and Auckland and eight more of the aircraft type expected this year.
“With forward bookings increasing approximately 9% year-on-year, our mainline will continue to expand its presence in key markets including ASEAN, Australia, New Zealand and South Asia. This growth is further complemented by our return to Paris on 22 March 2025, marking the second European destination on our network,” said Ismail.
The group’s non-airline businesses will continue to support MAG’s broader strategic objectives. It is on track to complete a new simulator building for its training academy by Q2 2025 and will continue to strengthen its talent pipeline for its MRO operations as well as growing its catering business.
“As we move forward, we remain committed to building a strong, commercially sustainable organisation that contributes meaningfully to Malaysia’s development, all while delivering exceptional value to the stakeholders we serve,” concluded Ismail.
