Posted by johnlim1001 > 2024-02-29 16:33 | Report Abuse

If the RM1.369 billion "accounting magic" is taken away, the full year is losing RM836 million.
If we look at the Total Equity, it is even worse. The Total Equity is dropping RM953 million further, from -RM9516 million to -RM10469 million, RM953 million worse.

So, discounting the "accounting magic", Capital A is not making RM533 net profit, but is making a net loss of RM953 million in 2023!! This is an extremely bad result because the aviation around the world is making HUGE profit in 2023!

Posted by Realrich > 2024-02-29 17:10 | Report Abuse

Look at recent Q3 and Q4 the holiday month also a big losses. Meaning the market is very worse. The inflation increase too fast the cost too high already

Posted by Sslee > 2024-02-29 17:17 | Report Abuse

As at
31/12/2023: 31/12/2022
RM'000: RM'000
Total equity: (10,469,461): (9,516,958)
Shareholders' equity: (8,710,574): (5,725,093)

This is how Stony bailout his AA Philippines buddy (buy over JV partner 60%) and thus transfer negative billion in Non-controlling interest to shareholders' equity

The CAPI and GMFI deal only help to boost its shareholder equity by RM2.49 billion.
Any more magic from Stony magic hat to boost shareholders' equity to min positive RM 40 million to be considered for PN17 uplifting?

Posted by Sslee > 2024-02-29 17:23 | Report Abuse

1 United States Dollar equals 4,75 Malaysian Ringgit
29 Feb, 09.01 UTC · Disclaimer

If USD to MYR stay at this exchange rate till end of March 2024 then next quarter big foreign currency exhange losses.

Note: Loans, lease liabilities and payment, maintenance, fuel, etc are in USD.

Posted by EatCoconutCanWin > 2024-02-29 18:26 | Report Abuse

usd drop fast now..heng arh

Posted by Sslee > 2024-02-29 19:50 | Report Abuse

At 31/9/2023
USD to MYR was 4.70
And at 31/12/2023
USD to MYR was at 4.60

Hence result in foreign exchange gain in quarter end 31/12/2023.
But if at end 31/3/2024 USD to MYR stay at 4.75 then it will be a big foreign exchange losses.

Posted by Sslee > 2024-02-29 20:06 | Report Abuse

AAX
Revenue per ASK (sen) 17.16
Revenue per ASK (USc) 3.65
Cost per ASK (sen) 15.88
Cost per ASK (USc) 3.38
Cost exc fuel per ASK (sen) 5.96
Cost exc fuel per ASK (USc) 1.27

Whereas CapA
Revenue ASK (USD cents): 4.85
Cost ASK (USD cents): 5.06

Cap A Lease payment to lessors are now:
RM'000
Depreciation of ROU assets: 449,765 culmulative 12 months 1,574,356
Finance cost-lease liabilities: 252,438 culmulative 12 months 908,771

AAX after debts restructure where lessors take a big haircut:
RM'000
Aircraft lease expenses (28,251) culmulativev12 months (76,940)

Posted by The_JQuestion > 2024-02-29 22:14 | Report Abuse

Nobody care... my question to u mr.Super Sorry is can u stop cap A from getting out of pn 17 :)).
do u think Tony building this legendary airline with all the help he can GET ... did the impossible with AAX. What more cap A ?
close green tomorrow.

Posted by curiousq > 2024-02-29 22:40 | Report Abuse

Foreign currency translation differences,
Q423 = 4.19m
Q422 = 1181.74m

Deferred taxation,
Q423 = -83.658m
Q422 = +0.382m

Posted by Mabel > 2024-02-29 23:42 | Report Abuse

Concurrently, Capital A is in the final stages of finalising its PN17 regularisation plan and aims for a full submission to Bursa Malaysia soon.

"The board is confident and anticipates a strong performance to be delivered in 2024," it added. - Bernama

Posted by BigChungus95 > 2024-03-01 01:08 | Report Abuse

Sslee and i3lurker are secretly Tony's No.1 fan boys. Day in, day out constantly sharing Capital A financial stats. They study Cap A's financial situation harder than they study for SPM.

Posted by Sslee > 2024-03-01 06:59 | Report Abuse

I can only give you the available figures. You form your own facts whether capA can be uplifted from PN17.

By the way this is what one of my whatApp group say about Stony:
Lol.. he is a joke and a conman

31/12/2023: 31/12/2022
RM'000: RM'000
Total equity: (10,469,461): (9,516,958)
Shareholders' equity: (8,710,574): (5,725,093)

The CAPI and GMFI deal only help to boost its shareholder equity by RM2.49 billion.
Any more magic from Stony magic hat to boost shareholders' equity to min positive RM 40 million to be considered for PN17 uplifting?

Posted by Mabel > 2024-03-01 07:24 | Report Abuse

Capital A returned to the black after four consecutive years of net losses with net profit of RM836.99 million in FY2023 versus a net loss of RM2.63 billion in FY2022. Revenue for the full year more than doubled to RM14.77 billion from RM6.44 billion a year earlier.

On its non-aviation business, Capital A is targeting for its BigPay division to achieve its first month of positive earnings before interest, taxes, depreciation, and amortization by the end of 2024.

Posted by Mabel > 2024-03-01 07:25 | Report Abuse

https://ceomorningbrief.theedgemalaysia.com/2024/0726/

Posted by Mabel > 2024-03-01 07:36 | Report Abuse

iCashBooster Never listen to bastad slut mabel. She like tin kosong talk cock everywhere without go thru financial report etc. She lost alot in serba, now in capital a, Tony is like an id1ot who know nothing about management, just dancing2 and enter shirtless meeting. Look like uncapable to run air asia
29/02/2024 2:52 PM

Don't be like that lar..

Mabel been in and out of SD many times from it's peak lor just like Dnex, Armada, Velesto etc etc. Fortunately Mabel does not freeze like Monk when it matters. It's a moving target as Mabel follow Smart Money.

Mabel only cum in when Mabel see value and can make money. Besides, it’s human instinct to be passionate on what you do what more if you put your stakes in it. Look it this way if someone come to your house and start complaining that your house is bad lah, your kitten is crazy lah, your furniture is cheap lah, you made a lousy investment lah etc etc ...

How do you feel?..

Haha Just like politics, there is no permanent friends or enemies in Investment. It’s strictly business and common interest.

Meow

Posted by Mabel > 2024-03-01 07:46 | Report Abuse

Haha you are talking about you ke?

There are currently 3 types of Investors in Serba:

1. Bonus Issues Investors
2. Pre July21 Suspension Investors
3. Post July21 Suspension Investors

The one that benefits the most is Category 1 who was awarded Bonus Issues, Dividends and took price action during Dec 2020 rally. 2nd is Category 3 who took massive price action during July 2021 rally, Nov and Dec 2022 Pull Back. The Biggest loser are in Category 2 who like Auntie Huang freeze like Old Monks when they are supposed to take massive Price Action when it matters...Fool Time Trader

Meow

Stock: [CAPITALA]: CAPITAL A BERHAD

Jan 23, 2024 11:52 AM | Report Abuse

#Mikecyc Haha why Auntie Huangg is a Kon , she invested only one PMCorp . 1st post on November 2013 , after December 2013 went hibernated more than 7 years .

>> Posted by messi > 2013-12-09 10:14 | Report Abuse

calvin cakap TP RM1.50...long term RM10.00

23/01/2024 11:35 AM

Haha thank you Sifu Mickey...

Now Mabel understand..

Haha today PMCorpes is trading at 20 sen..

No Wonder Auntie Huang went missing hibernating for 7 years..hihihi...

Meow

Stock: [SERBADK]: SERBA DINAMIK HOLDINGS BERHAD

Dec 29, 2022 10:51 AM | Report Abuse

whizzkid
Mabel is the best! I knew it..
15/07/2022 12:40 PM

Haha of course Mabel is the best..

Now you know why Blondi and Huang always loves to follow Mabel across i3 and walk 3 steps behind Mabel..

Keep pumping..

Meow Meow Meow

Stock: [SAPNRG]: SAPURA ENERGY BERHAD

Feb 22, 2024 10:31 AM | Report Abuse

#TalkNumberOne Mabel why siao lang sniffing you from behind all the time? Hahaha😂😂😂😂😂
22/02/2024 8:51 AM

Hahaha...what do you expect from an Auntie who has been hibernating for 7 years?

Sure finish one after wake up...hihihi...

Posted by Felix888999 > 2024-03-01 07:47 |

Post removed.Why?

Posted by Mabel > 2024-03-01 07:51 | Report Abuse

Haha Auntie Huang the femes selective memory auntie...

Meow

Stock: [SAPNRG]: SAPURA ENERGY BERHAD

Mar 1, 2024 7:49 AM | Report Abuse

Felix888999 Auntie Huang kena tiao again 🤣🤣🤣🤣🤣🤣 People already warn you don't post rubbish there but you degil. See kena blast teruk. Hahahahahahhaha 🤣🤣🤣🤣🤣🤣

Posted by RJ87 > 6 hours ago | Report Abuse

I don't know if you have proven him a slanderer.

But you definitely proved yourself the "smaller" person and NOT the smarter one.

If so desperate to show ur e-penis somewhere, find a place on ur shelf and put it there.
----------------------
MrHuangBK

Hahahah.. auntie Felicia still avoiding the bet..
28/02/2024 6:30 PM

Haha Just ignore Auntie Huang Felix888999,

She's a gone case in i3...

Posted by Felix888999 > 2024-03-01 07:59 |

Post removed.Why?

Posted by Felix888999 > 2024-03-01 08:06 |

Post removed.Why?

Posted by Felix888999 > 2024-03-01 08:07 |

Post removed.Why?

Posted by EngineeringProfit > 2024-03-01 09:34 | Report Abuse

Getting more palatable now...hehe

Posted by Sslee > 2024-03-01 13:11 | Report Abuse

In FY23, posted net profit of RM507 mil, mainly supported by recognition of RM1.4 bil from gain on remeasurement from previously held associate.

Stony wish list for 2024:
Positive outlook on macro indicators
○ Anticipated downward trajectory of brent Crude Oil Price, with prices estimated to reach as low as USD78 per barrel in 2024
○ Expected strengthening of MYR against US Dollar, with an estimated closure at RM4.20-RM4.40/USD by year-end.
○ Market expectations of further interest rate cuts in 2024, advantageous given that 70% of costs are denominated in US dollars.

● Continuous improvement on On-Time-Performance and Net Promoter Score by promoting transparency with guests. To be achieved through minimising delays and if there’s any, to provide timely and precise updates on delays, which also applies to refund progress

● Look forward to kickstarting operations of the newest AOC, AirAsia Cambodia in mid-2024 and potentially announcing a new AOC

Posted by EatCoconutCanWin > 2024-03-01 13:55 | Report Abuse

kasi cucuk belakang, siok ma

Posted by EatCoconutCanWin > 2024-03-01 15:03 | Report Abuse

MH370 coming

Posted by salman > 2024-03-01 16:00 | Report Abuse

KUALA LUMPUR: Capital A Bhd is back in the black, achieving a net profit of RM836.98 million for the financial year ended Dec 31, 2023 (FY2023) from a net loss of RM2.62 billion in FY2022.

Posted by The_JQuestion > 2024-03-01 16:30 | Report Abuse

still holding steadily , on contrary to all the know-it-alls :))
we shall see how this goes... pn 17 story will be told. first from AAX to cap A ... to NASDAQ? first in malaysia , the malaysian glorY... what a GENIUS ... 3 separate entities , all superb , all billion dollars <<<< genius , from Malaysia to the WORLD

Posted by Mabel > 2024-03-02 08:34 | Report Abuse

Capital A Full year 2023 results:

EPS: RM0.20 (up from RM0.65 loss in FY 2022).
Revenue: RM14.8b (up 124% from FY 2022).
Net income: RM837.0m (up RM3.46b from FY 2022).
Profit margin: 5.7% (up from net loss in FY 2022).

Revenue is forecast to grow 8.0% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Airlines industry in Asia.

Over the last 3 years on average, earnings per share has increased by 75% per year but the company’s share price has fallen by 10% per year, which means it is significantly lagging earnings.

Posted by Mabel > 2024-03-02 08:45 | Report Abuse

Finally, Capital A returned to the black after four consecutive years of net losses with net profit of RM836.99 million in FY2023 versus a net loss of RM2.63 billion in FY2022. Revenue for the full year more than doubled to RM14.77 billion from RM6.44 billion a year earlier.

On its non-aviation business, Capital A is targeting for its BigPay division to achieve its first month of positive earnings before interest, taxes, depreciation, and amortization by the end of 2024.

Over the last 3 years on average, PN 17 Capital A earnings per share has increased by 75% per year but the company’s share price has fallen by 10% per year, which means it is significantly lagging earnings.

Posted by Sslee > 2024-03-02 09:36 | Report Abuse

EBITDA and Capital A returned to the black after four consecutive years of net losses with net profit of RM836.99 million in FY2023 versus a net loss of RM2.63 billion in FY2022. Revenue for the full year more than doubled to RM14.77 billion from RM6.44 billion a year earlier.

Are just statement to syoik sendiri/self induce pleasure by Stony.

The Balance sheet reality:
31/12/2023: 31/12/2022
RM'000: RM'000
Total equity: (10,469,461): (9,516,958)
Shareholders' equity: (8,710,574): (5,725,093)
Net current liabiliaties: (12,507,207): (8,509,066)

Is the above figures better or worst than it start off the year 2023?
Figures don't lie but man do lie about figures.
CapA is insolvent, no money to pay bills and keep roll over the bills.
The net current liabilities is now snowball to (RM 12,507,207,000)

Posted by Balian de Ibelin > 2024-03-02 10:02 | Report Abuse

sslee

I did not bother to look at the CapA results since already known to be bad.
Only syiok sendiri results.

You are right, just 2 minutes look at financials tells me CapA revenue unable to pay plane leasing charges.
Exactly like example in taxi business but income not enough to cover daily taxi rental.
So you refuse to pay the taxi rental until taxi is repossessed. 🤣

CapA is totally insolvent.
Obviously the Reverse Ryanair Yield Control Curve does not work. 🤣

Posted by Sslee > 2024-03-02 10:38 | Report Abuse

CapA can only survive by forcing the lessors to take a big haircut but then again most likely someone/someones has/have direct or indirect vested interest on these companies that lease planes to capA

Cap A Lease payment to lessors are now:
RM'000
Depreciation of ROU assets: 449,765 culmulative 12 months 1,574,356
Finance cost-lease liabilities: 252,438 culmulative 12 months 908,771

Posted by geary > 2024-03-02 11:01 | Report Abuse

CapitalA becomes more...Yummy...High Risk or High Opportunity...🤓
AirAsia Newsroom!
Capital A International, Owner of the Iconic AirAsia Brand, to be Publicly Listed in the U.S. through Business Combination with Aetherium Acquisition Corp
Capital A International, a global brand management platform, specializes in the expansion, management and licensing of the AirAsia brand
Leveraging its successful track record, Capital A International will champion and expand to the global markets renowned brands from Southeast Asia (“Asean”)
Offers global investors a gateway to participate in the growth of the massive 680-million-strong Asean population, leveraging the region’s most dynamic and recognizable brands
Proposed transaction represents an enterprise value on a pro-forma basis of US$1.15 billion

Posted by geary > 2024-03-02 11:19 | Report Abuse

CAPITAL A FINANCIAL RESULTS FOURTH QUARTER 2023 AND FULL FINANCIAL YEAR 2023
February 29, 2024 Nur Alya Zulaikha Khairon Anuar -
The first annual net profit of RM508 million since the onset of pandemic, RM14.8 billion annual revenue; 25% above FY2019 with only 80% of 2019 aircraft

Aviation business recoded RM13.5 billion annual revenue, up 143% from last year; reactivated 185 aircraft, strong load factor at 88%, average fares up 14% and ancillary income reached RM2.5 billion for the first time

Non-Aviation core segments all achieved EBITDA positive; Year-to-date revenue crossed RM1 billion mark, 45% increase over previous year
Aviation Fuel Cost must go down...plus Exchange Rate in USD...🙏
Yummy market value...Coming Soon...🤓

Posted by geary > 2024-03-02 11:46 | Report Abuse

CapitalA Weekly Pivot Point Momentum!
S3: 0.595.
S2: 0.645.
S1: 0.68.
PIVOT: 0.705.
R1: 0.735.
R2: 0.765.
Disclaimer: Trade at your own Risk!

Posted by OleOleOle > 2024-03-02 16:12 | Report Abuse

After gone through the numbers, here is my take! Please do your own DD!


Total fleet of 219 aircrafts (12 under maintenance)
Estimate cost of each 2nd handed plane US$25 mil
Take exchange rate of 1US$ to RM4.5915
That's entire fleet of 219 aircrafts worth at least RM25 bil (rough est.) will come back to this later.




That said, refer to Q4FY23 financial statements,
Assets associated with AA leasing:
Non-current Liabilities = -13,434.5 mil (RM)
Current Liabilities = - 5,259.6 mil (RM)
Right to Used = 12,066.8 mil (RM)
------------------------------------------------
Net assets = - 6,627.3 mil (RM)
Note: This amount is to be removed from Cap-A statement.

Merger Offer to AAX: US$ 600 mil
Cash (US$200 mil bond)
AA Equity (US$400 mil)
(1US$ to RM4.5915) = 2,754.9 mil (RM)
Note: This amount will add to Cap-A statement.


Hence, Total AA Leasing assets considered:
= 13,434.5 mil (RM) + 5,259.6 mil (RM) + 2,754.9 mil (RM)
= 21,449.0 mil (RM)
= US$ 4,671.458 mil (=219 aircrafts)
OR Each aircraft = US$21.33 mil (***** vs at least US$25 mil per aircraft for a 2nd handed A320 aircraft)


Back to Cap-A, now how do to get out of PN17?
Total Equity Deficit = - 10,469.5 mil (RM)
AA Leasing Asset removed = 6,627.3 mil (RM)
AA Merger Offer get = 2,754.9 mil (RM)
US Listing Goodwill = 2,360.0 mil (RM)
--------------------------------------------------------------
Net Cap-A Equity = 1,272.7 mil (RM)
== 30c NAPS

Posted by OleOleOle > 2024-03-02 16:44 | Report Abuse

Furthermore, the AA merger will removed
Leasing service charges (by CapA)
Leasing service taxes (by Government)
Leasing operation costs at both sides (Processing, IT, Accounting, HR, etc by AAX & CapA)
Income taxes (by Government)
Hence, it helps increase AA efficiency and profits.


Recall that AA Equity given US$400mil (=RM1,836mil) vs AAX's RM1,618mil market cap! (AAX to rise US$200mil bond & AAX@1.70)

CapA most probably will get higher AA profits sharing from AA merger (due to higher equity holding!!).

Conclusion, after AA merger, CapA is better position when out of PN17. Profit wise should not be much different, or may even have positive surprise!

Posted by EatCoconutCanWin > 2024-03-02 17:13 | Report Abuse

Cap A got selling kuih raya or not.

Posted by Sslee > 2024-03-02 17:51 | Report Abuse

Do you think AAX will take over net lease liabilities of RM (6,627.3 million) from capA and on top of that pay CapA RM 2,754.9 mil for capA aviation' business?

Planes belong to lessors and do you think lessors will agreed to transfer the planes lease from capA to AAX knowing very well that AAX will go bankrupt the moment AAX take over capA aviation?

Posted by geary > 2024-03-02 19:25 | Report Abuse

Warren Buffett on Value & Growth:
The Two Approaches Are Joined at the Hip
“Learn from the mistakes of others; you can not live long enough to make them all yourself.” – Eleanor Roosevelt

In the Chairman’s Letter of 1992 from Warren Buffet I found this small excerpt on his view about value, growth and using discounted cash-flow analysis. I felt like the writing must have light shed on it and be shared with others as it resonated with me, as does most of Buffett’s writings and insight. I was not entirely sure how to paraphrase and interpret each paragraph as Buffett does an amazing job teaching in a basic manner, so I decided to just share it all!

Warren Buffett: But how, you will ask, does one decide what’s “attractive?” In answering this question, most analysts feel they must choose between two approaches customarily thought to be in opposition: “value” and “growth.” Indeed, many investment professionals see any mixing of the two terms as a form of intellectual cross-dressing.

We view that as fuzzy thinking (in which, it must be confessed, I myself engaged some years ago). In our opinion, the two approaches are joined at the hip: Growth isalways a component in the calculation of value, constituting a variable whoseimportance can range from negligible to enormous and whose impact can be negative as well as positive.

In addition, we think the very term “value investing” is redundant. What is “investing” if it is not the act of seeking value at least sufficient to justify the amount paid? Consciously paying more for a stock than its calculated value – in the hope that it can soon be sold for a still-higher price – should be labeled speculation (which is neither illegal, immoral nor – in our view – financially fattening).
Thanks...OleOleOle...for his contribution n positive analysis 🤓

Posted by Realrich > 2024-03-02 19:46 | Report Abuse

No eye to see Tony. Aax and capital a all is overvalue. 2 qr big losses. No hope already target price 0.5

Posted by Sslee > 2024-03-02 19:56 | Report Abuse

In addition, we think the very term “value investing” is redundant. What is “investing” if it is not the act of seeking value at least sufficient to justify the amount paid?
Consciously paying more for a stock than its calculated value – in the hope that it can soon be sold for a still-higher price – should be labeled speculation (which is neither illegal, immoral nor – in our view – financially fattening)

Totally agreed.
Is geary using Warren Buffett word to tell buying capA now is amount to consciously paying more for a stock than its calculated value – in the hope that it can soon be sold for a still-higher price – should be labeled speculation (which is neither illegal, immoral nor – in our view – financially fattening)?

Posted by geary > 2024-03-02 20:20 | Report Abuse

Essay of Warren Buffett:
Common yardsticks such as dividend yield, the ratio of price to earnings or to book value, and even growth rates have nothing to do with valuation, except to the extent they provide clues to the amount and timing of cash flows into and from the business. Indeed, growth can destroy value if it requires cash inputs in the early years of a project or enterprise that exceed the discounted value of the cash that those assets will generate in later years. Market commentators and investment managers who glibly refer to "growth" and "value" styles as contrasting approaches to investment are displaying their ignorance, not their sophistication. Growth is simply a component - usually a plus, sometimes a minus - in the value equation.

Posted by geary > 2024-03-02 20:22 | Report Abuse

CapitalA n AA Aviation:
One way of interpreting this dichotomy: The market assigns a lower valuation to AA, because investors have concerns about the its ability to sustain growth. AA just reported the profit, for a publicly traded company, and growth tends to slow down as a company becomes larger over time. Besides, nearly 90% of total revenues came from the airlines segment in the last quarter, so service concentration is a significant risk.

I personally believe the market is overestimating these risks, as AA has the brand differentiation, human talent, and competitive strength to continue delivering substantial growth in the years ahead.
For this reason, AA looks like an attractive investment to me, and I am planning to hold my AA stock for the long haul.

Conversely, those who think AA will be facing stagnant and even declining sales over the coming years probably believe the company is overvalued, no matter what valuation ratios or recent financial performance indicate.
Essay of geary...Happy Weekend 🤓

Posted by Sslee > 2024-03-02 20:58 | Report Abuse

Covid-19 had totally destroyed capA balance sheet. The only way to rebuilt/reset the balance sheet is debts restucture where everyone need to take a haircut. But for reason only knew to Stony only AAX go thro' a debts restructure but not capA.

With net current liabiliaties of RM (12,507,207,000) where can capA going to get the money to fulfill the obligation to pay the current liabilities for next 12 months.

31/12/2023: 31/12/2022
RM'000: RM'000
Total equity: (10,469,461): (9,516,958)
Shareholders' equity: (8,710,574): (5,725,093)
Net current liabiliaties: (12,507,207): (8,509,066)

Posted by OleOleOle > 2024-03-02 21:11 | Report Abuse

Why would lessors not agree to transfer the planes lease from capA to AAX (actually is AA Group, the new entity)?

The new entity AA is the combined business of AAX airline and the CapA plane lease business. Hence, the combined entity AA had higher earning with the combined earnings from both businesses eliminating lease operation costs. Therefore, the new entity is even more stronger. Transfer of planes are just matter of legal documents.

Posted by OleOleOle > 2024-03-02 21:27 | Report Abuse

Merger Offer to AAX:
US$ 600 mil == Cash (US$200 mil bond) + AA Equity (US$400 mil)
[Note: Transfer of planes without the transfer of accounting (i.e.lease debt) would be totally nonsense!!]

AA only paid CapA = RM918.3 mil (1US$ to RM4.5915) cash
*** AAX (or AA?) to raise US$200mil bond (or could be RI)
the balance is in the form US$400mil EQUITY of new entity AA Group

Because the NOSH and PRICE of the new entity AA Group is not determined, that is causing the current chaotic price moving of AAX. This is likely to continue until things are known.

Posted by Sslee > 2024-03-03 00:04 | Report Abuse

Are you high on drug or what?
CapA got planes lease business?

Below are amount capA need to pay to lessors in FY 2023:
From consolidated income statement
RM'000
Depreciation of ROU assets: 449,765 culmulative 12 months 1,574,356
Finance cost-lease liabilities: 252,438 culmulative 12 months 908,771

From Consolidated cash flow statement: cash flows from financial activties
RM'000
Repayment of lease liabilities: (1,664,295)

Note:Under MFRS 16:
(i) On the Consolidated Income Statement, expenses which were previously included under aircraft operating leases will be replaced by a)finance costs – lease liabilities and
b)depreciation of right of use asset

(ii) On the Consolidated Cash Flow Statement, operating lease rental outflows, previously recorded within net cash flow from operating activities, are classified as “net cash flow used in financing activities” for repayment of principal of lease liabilities.

Posted by Sslee > 2024-03-03 00:13 | Report Abuse

Lease liabilities
The lease liabilities amounting to RM18.7 billion includes deferred aircraft leases of approximately RM2.3 billion. The lease liabilities are supported by ROU assets of RM12.1billion.

The Group had completed the restructuring of a total of 161 aircraft leases up to the date of this report including the waiver of lease rentals in arrears, as well as reducing future lease rates with a corresponding longer lease term, where necessary, and return of aircraft.

Posted by Sslee > 2024-03-03 00:23 | Report Abuse

Extrate from choivo capital blog:
Aircraft Operating Lease Income

With the purchase of these huge purchase planes to fund their regional ambitions, as stated previously, Airasia, the Group Company now had a new income stream that would grow far more profitable than expected.

It would not be unreasonable to say that by 2016, this has grown to be their second largest revenue and largest profit contributor.

Without it, the Airasia Group would be lossmaking.

Externally, this also caused huge headaches with accusations by GMT Research that Airasia was only profitable due to the leasing of these planes resulting in profit transfers from unprofitable regional Joint Ventures, to the group holding.

Internally, i’m sure the other joint venture or associate partners did not feel comfortable about this as well, as it could be seen as Airasia Berhad milking the associates for all its worth.

This culminated in the sale of the planes and the leasing business

28 Feb 2018 (Completed 31 Dec 2018) – BBAM Limited Partnership / FLY RM 9,775.6 million and RM 262.3 million (82 Aircraft and 14 Engines)

24 Aug 2018 (Completed 8 August 2019) – Castlelake L.P. USD 739.5 million (RM 3,559.5 million) (25 Aircraft)

25 July 2019 (Completed 31 December 2019) – Castlelake L.P. (RM 1,240 million) (14 Airbus A320-200)

Resulting in net gains of RM 298.8 million and RM 101.54 million, but a net loss in profit of around RM 643 million p.a until the new planes come in.

For the more cynical and realistic individuals, the real reason for the sale would be to settle Tony Fernandes’s and Kamarudin’s RM 1 billion margin loan that taken to inject into the company back in 2016 when prices of the shares were so low