Capital A Berhad · MYX:CAPITALA
Capital A Berhad — Q3 2024 Earnings Presentation
27 slides from Capital A Berhad's earnings presentation, November 2024
Slide 1: 3Q 2024 Financial Results
3Q 2024 Financial Results
Slide 2: Forward-Looking Statements and Non-MFRS Financial Information
FORWARD-LOOKING STATEMENTS AND NON-MFRS FINANCIAL INFORMATION This presentation includes forward-looking statements regarding future performance and events. These statements are based on various assumptions and expectations and may include projections of our future financial performance and anticipa
Slide 3: Capital A Group Financial Highlights
Capital A Group Financial Highlights Encouraging results driven by non-aviation businesses and forex gains ● Quarterly revenue stood at RM4.9 billion (+17% YoY) with Revenue, EBITDA & Profit After Tax EBITDA of RM640 million (+43% YoY) or 13% margin RM million - Aviation Group: Revenue of RM4.5 bill
Slide 4: Corporate Exercises Updates
Corporate Exercises Updates ● Jan 2024: Signed a non-binding offer letter with AAX for the proposed aviation disposal of AAB and AAGL Disposal of ● Apr 2024: Signed Sale and Purchase Agreement (“SPA”) with AAX aviation business ● Jul 2024: Submitted draft circular and notice of EGM to Bursa for the
Slide 5: Segmental Report: Aviation Group
SEGMENTAL REPORT: AVIATION GROUP
Slide 6: Aviation Highlights
Aviation Highlights ● Segmental revenue reached RM4.5 billion, represents 15% YoY increase and higher than pre-crisis revenue despite capacity representing 81% of pre-crisis levels ● EBITDA of RM578 million, up by 50% YoY, representing a healthy 13% Segmental Revenue, EBITDA margin attributable to a
Slide 7: Ancillary Highlights
Ancillary Highlights ● Posted ancillary revenue of RM823.6 mil ○ Equivalent to 18% of total airline 3Q24 revenue ○ YoY increase in take up rate across all categories Quarterly ancillary per pax RM except fees and seat. ● Ancillary per pax remained above target of RM50 at RM52, up 4% YoY ○ Driven by
Slide 8: Business Outlook: Aviation
Business Outlook: Aviation ● 4Q2024 Passenger traffic is expected to recover to 88% of pre-pandemic levels, supported by an 84% capacity recovery compared to 2019 ● Adding five new A321neo aircraft to Malaysian and Thai operations in 4Q24 and eleven aircraft in 2025 ● Expecting to launch 18 new rout
Slide 9: Business Outlook: Total Active Fleet
Business Outlook: Total Active Fleet 191 195 201 205 Total active fleet ● Expect to receive additional 5 deliveries in 4Q24, 4 for MAA and 1 for TAA ● By end 2024, expect to have 205 active Storage (Non-active) aircraft, consisting 195 available operational Scheduled maintenance aircraft and 10 airc
Slide 10: Segmental Report: Capital A After Disposal of Aviation
SEGMENTAL REPORT: CAPITAL A AFTER DISPOSAL OF AVIATION
Slide 11: Proposed Capital A structure post aviation disposal
Proposed Capital A structure post aviation disposal Capital A will still hold 18% interest in the aviation group Logistics CAPAS (Aviation Services) Engineering Online Travel Agency 18% 2 Brand & IP 1 BIG Fintech Group 2 1 1 1 BIG Fintech Group (BFG) is to be formed. BigPay, which is a subsidiary un
Slide 12: Asia Digital Engineering (ADE) Highlights
Asia Digital Engineering (“ADE”) Highlights Segmental Revenue, EBITDA & Profit After Tax (pre-elimination) RM million ADE ● Segmental revenue reached RM184 million with an EBITDA of RM29.6 million or 16% margin ○ Driven by a 14% YoY increase in revenue from engineering maintenance services and compo
Slide 13: Business Outlook: Asia Digital Engineering
Business Outlook: Asia Digital Engineering ADE ● ADE in Cambodia, Philippines and Indonesia launched in 3Q24 will further expand the Line Maintenance business in the airports out of Malaysia. ● To operationalise eight remaining hangar lines constructed in KLIA in 4Q2024. The increase in base mainten
Slide 14: Capital A Aviation Services (CAPAS) Highlights
Capital A Aviation Services (“CAPAS”) Highlights Segmental Revenue, EBITDA & Profit After Tax (pre-elimination) ● Posted revenue of RM105 million RM million ● The segment achieved an EBITDA of RM25.8 million, a 24% margin ● Net profit of RM11 million representing a 10% margin Santan ● Segmental reve
Slide 15: Business Outlook: Capital A Aviation Services
Business Outlook: Capital A Aviation Services Santan ● Ongoing effort to obtain an inflight catering licence in Malaysia to expand its inflight customer base beyond AirAsia ● The licence will enables Santan to provide services that can drive up volume. The services include: ○ Product development: in
Slide 16: Ground Team Red (GTR) Highlights
Ground Team Red (“GTR”) Highlights Segmental Revenue, EBITDA & Profit After Tax (pre-elimination) ● Recorded revenue of RM83 milion, up by 15% QoQ with RM million an EBITDA margin of 19% ● PAT stood at RM7 million, representing 8% margin ● Secured contracts with three additional foreign airlines in
Slide 17: Teleport Highlights
Teleport Highlights ● Teleport’s strongest quarter in 2024 despite seasonally weak period ○ RM287 million in quarterly revenue (+52% YoY) ○ RM22 million in EBITDA(1) Segmental Revenue, EBITDA (Post IFRS 16) & Profit After Tax (pre-elimination) RM million Q3 2024 performance is driven by: ● Strong gr
Slide 18: Business Outlook: Teleport
Business Outlook: Teleport Teleport We anticipate 4Q24 revenue growth of 50% YoY, expecting to generate north of RM1 billion in total revenues for the year, with higher earnings driven by increasing returns to scale. The success of 2024 so far has been delivering on four core strategies: 1. Growing
Slide 19: AirAsia MOVE Highlights
AirAsia MOVE Highlights Segmental Revenue, EBITDA & Profit After Tax (pre-elimination) AirAsia MOVE RM million ● AirAsia MOVE generated revenue of RM128 million and EBITDA of RM19 million, up 65% YoY owing to effective cost optimisation initiatives, alongside other core businesses demonstrating impr
Slide 20: Business Outlook: AirAsia MOVE
Business Outlook: AirAsia MOVE AirAsia MOVE ● On AirAsia flights, our share of bookings stands at 40%, with a goal of reaching 60% by mid-2025 through multiple strategic initiatives already underway ● Improve conversion rates for AirAsia flights and other Airlines flights by refining pricing strateg
Slide 21: BigPay Highlights
BigPay Highlights Segmental Revenue, EBITDA & Profit After Tax (pre-elimination) RM million BigPay ● Revenue stood at RM8.6 million and an EBITDA loss narrowed by 2% YoY to RM21.7 million ● Cost cutting effort resulted in 26% YoY decline in 1Q24 2Q24 3Q24 9M24 headcount cost ● A fraud incident was i
Slide 22: Business Outlook: BigPay
Business Outlook: BigPay BigPay ● Closer collaboration with AirAsia MOVE for user acquisition by making payment on BigPay a key feature on the app with exclusive perks and promo ○ Check out financing, allowing users to “Fly now, Pay later” ● To target AirAsia MOVE’s customers who have not been utili
Slide 23: CAPI & Others Highlights and Outlook
CAPI & Others Highlights and Outlook ● Revenue stood at RM57.4 million, improved by 6% QoQ attributable to brand license fee collected Segmental Revenue, EBITDA & Profit After Tax (pre-elimination) during the quarter and YoY revenue grew by more RM million than 11x. ● Posted EBITDA of RM15.2 million
Slide 24: Appendix
APPENDIX
Slide 25: 3Q24 Aviation Performance
3Q24 Aviation Performance MAA IAA PAA TAA CAA Key Indicators 3Q24 3Q23 YoY 3Q24 3Q23 YoY 3Q24 3Q23 YoY 3Q24 3Q23 YoY 3Q24 2Q24 QoQ Passengers 7,583,348 6,734,950 13% 1,661,740 1,774,083 -6% 1,682,800 1,641,107 3% 4,885,467 4,555,306 7% 41,800 25,861 62% Carried Capacity 8,524,136 7,627,949 12% 1,859
Slide 26: 3Q24 Digital, Logistics and Aviation Services Operating Performance
3Q24 Digital, Logistics and Aviation Services Operating Performance Key Indicators 3Q24 3Q23 YoY Carded Users (cumulative) 1,573,987 1,460,797 8% Monthly Active Users (MAU)('000) 13,090 15,425 -15% No. of Transactions ('000) 3,423 8,304 -59% Gross Booking Value (RM) ('000) 2,396,150 3,431,083 -30% D
Slide 27: Thank You
h_c&a Thank You capital J