AirAsia X (AIRX.KL): Key takeaways from Outlook Briefing

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AirAsia X (AIRX.KL): Key takeaways from Outlook Briefing

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22 Jun 2026 01:55:06 ET │ 11 pages

AirAsia X (AIRX.KL)

Key takeaways from Outlook Briefing

CITI’S TAKE

AAX’s C-Suites hosted an outlook briefing on 22 June. The key takeaways

Buy / High Risk are: (i) Management stated there is no PN17 risk from higher fuel in JunQ-

Price (19 Jun 26 17:00) RM1.33 26, but did not rule out the possibility of equity raising. (ii) After JunQ-26

capacity was cut by 11% YoY, AAX plans SepQ-26 capacity to return to Target price RM1.50

pre-conflict level. (iii) Load factor is expected at 82% for 5M26 and 80% Expected share price return 12.8%

for JunQ-26 (-2ppts YoY), while forward booking load factor is lower 1- Expected dividend yield 0.0%

3ppts YoY. Management saw an uptick in demand after the conflict de- Expected total return 12.8%

escalation post-19 June. (iv) AAX has reduced ticket price by 5% after Market Cap RM4,470M

three months of raising fares, and hope to lower fares to pre-conflict level

US$1,080M if jet fuel price continue its declining trend. (v) AAX will start to hedge fuel

in-line with forward bookings which is meaningful c.3 months out. This is

a shift from no/limited hedging prior …

Jate JaturanpinyoAC

… (vi) Management expects to deploy the new A220 (expected first deliveries in 2028) +66-0279-3148

in Malaysia, Philippines, Indonesia and Cambodia (with all subject to further study). jate.jaturanpinyo@citi.com

We reiterate our positive stance on AAX’s 150-jet A220 order as part of a logical long-

Kaseedit Choonnawatterm fleet growth strategy. The A220 offers c.20% better fuel efficiency and 10% less

+66-2-079-3606seats than the A320ceo, enabling higher-frequency deployment and expansion into

kaseedit.choonnawat@citi.comthinner routes previously uneconomical.