Emerging stronger and more determined than ever, Capital A and AirAsia are setting their sights on new horizons. A vital part of their ambitious plan? The Philippines. “The Philippines is a key destination for AirAsia’s further expansion in Asean and beyond,” shared Tan Sri Tony Fernandes, Chief Executive Officer of Capital A, during a recent Town Hall meeting with Filipino Allstars. AirAsia Philippines, a subsidiary of Capital A, is slated for impressive growth, including the strengthening of its hubs and a fleet expansion to meet the escalating demand for travel across the Asia-Pacific (APAC) region.
Stoking the Engines of Expansion
AirAsia Philippines is already seeing an upward trend. As of May, the airline’s load factor registered at a strong 91%. The low-cost carrier, recognized globally for its excellent service, currently operates flights to 11 domestic and 13 international destinations. There are also plans in the pipeline to grow the existing hubs in Cebu, Clark, and Kalibo by adding more regional routes to Japan, Korea, and China.
The anticipated worldwide shortage in aircraft supplies does not dampen AirAsia’s plans. On the contrary, Fernandes confirmed that more aircraft are lined up for the airline’s expansion. “We have an ordered book of over 400 planes. That order book starts next year with a delivery of five A321s over the next few years,” he revealed. “As for the Philippines, it’s the combination of getting some leased and new aircraft,” Fernandes further expounded. With its current fleet of 16 aircraft, AirAsia Philippines aims to double this number by 2024 and add wide-body aircraft to enhance its capacity and reach.
Nurturing Talent and Boosting Tourism
At the heart of AirAsia Philippines’ expansion are the people who make it all possible. In the first five months of the year, the airline welcomed 318 new employees to support its growing business demands. This manpower will further increase with a two-day cabin crew recruitment event taking place on June 8-9.
Fernandes expressed his excitement for the return of tourism, stating, “We are back. We’ve said for a long time we want to bring tourists to the Philippines, we were on our way, and then COVID came, so we will start again. This is an amazing country and deserves for the world to know about it.” He emphasized the resilience of the aviation sector and the ongoing strength of the leisure travel industry as key driving factors for AirAsia’s growth.
AirAsia Philippines’ success has contributed to the robust Q1 2023 revenue of its parent company, Capital A, which closed at RM2.5 billion or $546 million. With 157 aircraft now servicing 165 destinations in 25 countries, and 5.7 million deliveries made by its air logistics provider, the global impact of the company is evident.
As the sun rises on a new day for global travel, AirAsia is poised to redefine the skies. With continued expansion in the Philippines and other key destinations, the airline is committed to offering more routes, maintaining its world-class service, and providing the lowest fares on the market today.
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