AirAsia's Q3 profit sinks 77.5%

[KUALA LUMPUR] Malaysia's AirAsia Bhd, Asia's biggest budget airline by passenger traffic, saw its third-quarter profit plunge 77.5 per cent as forex losses on borrowings and a strategy of offering low ticket fares ate into margins.

Net profit for the three months ended Sept 30 fell to RM35.8 million (S$14 million) from RM157.8 million in the same period last year, according to a stock exchange filing by the company yesterday.

Foreign exchange losses stood at RM185.9 million in the third quarter, compared to a gain of RM100.8 million a year ago.