Thai budget carrier Thai AirAsia’s parent company, Asia Aviation (AAV), reported a net profit of 1.601 billion baht for the first half of 2025, according to its latest financial results released amid ongoing challenges in the aviation sector.
The figure was disclosed in a filing covering the six-month period ended June 30, 2025, and reflects performance during a time of weakened international tourism confidence, global economic headwinds, and the aftermath of a significant earthquake that disrupted travel demand.
Despite the headline profit, the company highlighted that core operations remained under pressure, with earnings before interest, taxes, depreciation, and amortization (EBITDA) declining 67% year-on-year to 634 million baht. Total revenue from sales and services fell 14% compared to the same period in 2024, amounting to 9.82 billion baht.
When excluding a one-time foreign exchange gain of 1.324 billion baht, AAV’s underlying business posted an operating loss of 845 million baht — a stark contrast to the 265 million baht in core operating profit recorded during the same period the previous year.
The results underscore the persistent strain on Thailand’s aviation industry, particularly for carriers reliant on international traffic, as prolonged geopolitical tensions in the Middle East continue to fuel volatility in global jet fuel prices and dampen long-haul travel demand.
Analysts have noted that while currency fluctuations provided a temporary boost to reported earnings, the fundamental recovery of Thailand’s tourism-dependent aviation sector remains fragile, with airlines facing elevated costs and uneven demand patterns across regions.
