Analysts at Krungsri Securities Public Company Limited summarized the key points from the briefing on the situation of AirAsia in Malaysia by Tony Fernandes, noting that AirAsia denied reports that it was preparing to seek 3 billion USD in funding, confirming that it plans to raise only 1 billion USD to refinance existing high-interest debt borrowed during the COVID-19 crisis, with a conclusion expected late this year to early next year. Meanwhile, debt exceeding 4 to 5 billion USD is mostly debt arising from aircraft lease contracts under accounting standards. Aviation statistics in 2026 remain strong, with the passenger load factor from January to August 2026 in the high 70s to low 80s percent, and the situation is expected to recover further in the second half of 2026 after ticket price increases without any decline in travel demand. They assess that the above briefing helps the market ease concerns over news about the situation of AirAsia in Malaysia, but see pressure from rising oil prices as a key risk factor for the low-cost airline business that must be closely monitored. As for AAV (Thai AirAsia), the business situation is seen as less concerning than in Malaysia, but there may be downside risk in a worst-case scenario regarding intercompany receivables from ticket sales revenue through the AirAsia website and various collaborations. Therefore, they maintain a cautious view and still do not recommend investing at this time, even though AAV's share price is below the estimated target price.
Asia Aviation Public Company LimitedKrungsri maintains a cautious view and does not recommend investing in AAV due to downside risk on intercompany receivables from ticket sales via the AirAsia website, despite the share price being below target.
Bank of Ayudhya PCL
