Thai Airways Reports Q2 and H1 2024 Results

Dark/Light Mode
(12/08/24)
 Thai Airways has reported its second quarter
results as the company prepares to file a petition to the Central
Bankruptcy Court for the cancellation of its business
rehabilitation and have the company’s shares resume trading on the
Stock Exchange of Thailand within the second quarter of 2025.

In the second quarter of 2024, Thai Airways and its
subsidiaries reported a total revenue, excluding one-time
transactions, of 43,981 million Baht, 17.7% higher than the same
period last year (37,381 million Baht) but 4.3% lower than
Q1 2024 due to traditional weak travel demand during  the
second quarter
of the year.

In Q2 2024,
Thai Airways served 3.81 million passengers with an average cabin factor
of
73.2%.

Total
expenses, excluding one-time transactions, were 38,056 million
Baht,
32.1% higher than the previous year mainly due to an increase in
variable costs.

Operating
profit, before financial costs and excluding one-time
transactions, was 5,925 million Baht, compared to 8,576 million
Baht profit in Q2 2023.

Thai Airways and its subsidiaries’ financial
costs, according to Financial Reporting Standard No. 9 (TFRS 9),
was 4,796 million Baht.

Thai Airways and its subsidiaries had one-time
items mainly due to loss from foreign exchange and asset
impairment resulting total expense of 809 million Baht.

Consequently, the group reported a net profit of
314 million Baht while in the same period last year, a net profit of 2,273 million
Baht was reported.

Earnings before
interest, tax, depreciation and amortization (EBITDA) after cash
paid for aircraft lease payment amounted to 4,401 million Baht.

In the first six months of 2024, Thai Airways and
its subsidiaries reported a total revenue, excluding one-time
transactions, of 89,936 million Baht, 14% higher than the same
period last year, while the total expenses, excluding one-time
transactions, was 72,935 million Baht, 27.3% higher than the
previous year.

The group reported an H1 2024 operating
profit, before financial costs and excluding one-time
transactions, of 17,001 million Baht, a 21.3% decrease on the same
period in 2023.

Thai Airways and its subsidiaries’ financial costs,
according to Financial Reporting Standard No. 9 (TFRS 9), was
9,403 million Baht.

The group had one-time items
mainly due to loss from foreign exchange and asset impairment
resulting total expense of 4,847 million Baht. Consequently, the
group reported a net profit of 2,738 million Baht
while in the same period last year, it was reported a net profit
of 14,795 million Baht.

Earnings before interest, tax,
depreciation and amortization (EBITDA) after cash paid for
aircraft lease payment amounted to 18,402 million Baht, higher
than the set budget while the net profit is slightly lower than
budget due to loss from foreign exchange rate.

As of 30 June 2024, Thai Airways and its subsidiaries had a total of 77 active aircraft. In the first six months of 2024,
the average aircraft utilization was 13 hours per day, whilst traffic
production (ASK) increased by 15.6%, passenger traffic (RPK)
increased by 10.9% and the average cabin factor was 78.1%, a
decrease on
the previous year’s 81.4%. The total number of passengers carried
was 7.68 million, an increase of 0.81 million (+11.8%) on the same
period last year.

Total assets of Thai Airways and its subsidiaries were
270,526 million Baht, an increase of 31,535 million Baht from 31
December 2023. Total liabilities were 310,956 million Baht, an
increase of 28,823 million Baht on 31 December 2023.

Shareholder equity of Thai Airways and its subsidiaries amounted to
-40,430 million Baht, a negative decrease on 31 December 2023,
by 2,712 million Baht. As of 30 June 2024, cash, cash equivalent
and other current financial assets totalled 81,748 million Baht,
which is 14,618 million Baht higher than that on 31 December 2023.

During the first six months of 2024, Thai Airways
had paid
4,644 million Baht of the total debt in 2024 which is 13,022
million Baht.

In congruent with the business rehabilitation
plan, Thai Airways is preparing a registration statement for sale of
securities and draft prospectus in preparation for its capital
restructuring process which includes (1.1) debt-to-equity
mandatory conversion: in proportion of 100 percent of debt for
Group 4, Creditor, which includes creditor who is THAI’s major
shareholder who is not financial institution namely the Ministry
of Finance; in proportion of 24.50 percent of debt for Group 5
Creditor (financial institution creditors assigned to receive
residual proceeds from the disposal of aircraft, under the
assignment agreements), Group 6, Creditor (unsecured financial
institution creditors) and Creditors in Group 18-31 (bondholder
creditors), (1.2) the debt-to-equity conversion right (in addition
to such 24.50 percent mandatory conversion offered to Creditors in
Group 4, 5, 6 and 18-31, and (2) Offering of newly issued shares
to its pre-capital restructuring shareholders, THAI’s employees
and selected investors by way of private placement, sequentially.

The Company expects that the submission of the registration
statement for sale of securities and the draft prospectus for
capital restructuring to the Securities and Exchange Commission,
Thailand (SEC) and the Stock Exchange of Thailand (SET) will take
place within September 2024.

Subsequently, the exercise of
debt-to-equity conversion right as well as a notification of the
intent to exercise such conversion right are expected to occur
within November 2024, and for the offering of newly issued shares,
the offering and subscription period for Thai Airways’ pre-capital
restructuring shareholders, Thai Airways’ employees and selected
investors are expected to take place within December 2024, subject
to the preparation of relevant documents by the company and
advisors as well as the review process for the filing to become
effective by the SEC.

Thai Airways expects to complete the capital restructuring
by the end of 2024 in accordance with its business rehabilitation
plan with targets to have its shareholders’ equity in the company
2024 fiscal report to be positive, which is one of the key
conditions to the fulfillment of the business rehabilitation.

Thai Airways
expects to file a petition to the Central Bankruptcy Court for the
cancellation of the business rehabilitation and expects its shares
to resume trading on the SET in the second quarter of 2025.

The
definite timeframe of all processes is subject to the proceedings
to be undertaken by the company for the fulfillment of the
business rehabilitation and the consideration of the SEC, the SET,
the Central Bankruptcy Court and other relevant authorities.

Thai Airways previously submitted a petition to commence the
business rehabilitation proceeding to the Central Bankruptcy Court
in May 2020, the Cabinet ordered the Ministry of Finance to reduce
its shareholding in the company to be lower than 50 percent.

Consequently, Thai Airways was no longer considered a state enterprise
which enabled the company to have flexibility in its management,
to elevate its competitiveness, and to effectively transform its
business and undertake actions under the business rehabilitation
plan; for instance: organizational restructuring and downsizing;
fleet  and engine commonality; capital efficiencies including
costs reduction on personnel, aircraft and engine maintenance.

Ancillary and aviation revenues generated from sales and revenue
optimization enabled the company to maximize cash flow and profit.
Route and network expansion to enable seamless connectivity also
supported the government’s Thailand Tourism
Hub strategy.

Thai Airways recently completed the business restructuring and
acquired A320 aircraft from Thai Smile Airways resulting the
airline’s fleet efficiency, competitiveness enhancement,
significant increase of its operational performance, and ability
to enhance route and network planning to meet the demand of
customers.

Latest
exclusive video interviews: Future of Air Travel –
Interview with Sumesh Patel, President of SITA Asia Pacific; Miss
International Queen 2024 (MIQ 2024) – Interview with Alisa
Phanthusak, MD, Tiffany’s Show Pattaya, Thailand; 16
HD Video Interviews from Routes Europe 2024 in Aarhus, Denmark;
9 HD Video Interviews from Routes Asia 2024 in Langkawi, Malaysia;

Standard to Open Residences in Hua Hin and Phuket, Thailand; Video
Interview with Amar Lalvani, Executive Chairman;
9 Exclusive Video Interviews
from ASEAN Tourism Forum
2024
in Vientiane, Laos;


8 NTO Press Conferences from ASEAN Tourism Forum 2024 in
Vientiane, Laos;

13 HD Video Interviews from World Travel
Market 2023 in London, England;

5 HD Video Interviews from APG World Connect 2023 in Monaco, France;
and

15 HD Video Interviews from Routes World 2023 in Istanbul, Türkiye.



Headlines:

Mandarin Oriental Opens Special Hotel in Beijing, China 
AirAsia to Launch Penang – Shenzhen and Kota Kinabalu – Shantou Flights 
Boeing Forecasts Passenger and Cargo Needs of China’s Aviation Industry 
Air Corsica Takes Delivery of ATR’s 1,700th Turboprop Aircraft 
Minor Hotels to Open Anantara Resort Ubud Bali in October 
Uruguayan Air Force to Add A-29 Super Tucano Aircraft to Fleet 
Air Astana to Increase Flights to Phuket, Thailand; Signs Codeshare Deal with JAL 
Hong Kong Airlines to Resume Long-Haul Flights with Seasonal Gold Coast Service 
IHG Signs Two Hotels in Quang Binh, Vietnam 
Marriott Opens Moxy Hotel in Mumbai, India 
Torsten Richter Returns to Minor Hotels as AGM of Indonesia and Malaysia 
Minor Set to Open World’s Third NH Resort in Maldives 
Asiana Airlines and Air Serbia Appoint APG as GSA 
IndiGo to Launch New Delhi – Vijayawada Flights 
Hong Kong Airport Reports Strong Increases in Cargo and Passenger Traffic 
Delta Begins Rollout of Free Wi-Fi on Long-Haul International Routes 
Thai AirAsia X to Resume Flights Between Bangkok and Sydney, Australia 
Marriott Partners Sonder to Add Over 9,000 Rooms to Portfolio 
IHG Opens Hotel Indigo in Bandung, Indonesia 
IndiGo Enhances Operations with Aviobook, an Electronic Flight Folder from Thales 
Boeing Invests in Wagner SAF Refinery in Brisbane, Australia 
Aeroflot to Resume Flights Between Yekaterinburg and Bangkok, Phuket and Goa 
Air Astana Takes Delivery of 56th Aircraft; Confirms Plan to Launch Phu Quoc Flights 
Seibu Prince Rebrands Hotel in Singapore 
airBaltic Appoints APG as GSA in Egypt 
Korean Air and Delta Air Lines Partner Habitat for Humanity to Make a Difference in Cheonan 
Air New Zealand, Garuda, Qantas and Singapore Airlines Begin UPR Trials on 38 Routes 
Thai AirAsia Reports Q2 and H1 2024 Results; Confirms Full-Year Targets 
EL AL Israel Airlines Finalises Deal for 31 Aircraft 
Cebu Pacific to Launch Davao – Hong Kong and Iloilo – Singapore Flights 
Poland to Become Largest Operator of Apache Combat Helicopters Outside of USA 
Singha Estate Partners Ascott for Rebranding of Two Hotels in the United Kingdom 
IndiGo to Launch Coimbatore – Singapore Flights; Increase Frequency of Select Services 
Parveen Kumar Joins Grand Hyatt Jakarta as General Manager 
Azerai Appoints Jimmy Tran as Group Director of Sales & Marketing 
South Korea to Strengthen Airborne Surveillance and Reconnaissance Capabilities 
AirAsia to Launch Flights from Kuala Lumpur to Port Blair in Andaman and Nicobar Islands 
Virgin Australia to Replace Fokker 100s with Embraer E190-E2 Aircraft 
Cross Adds Two Hotels in Bangkok, Thailand to Portfolio 
airBaltic Exercises Options on 10 Airbus A220-300 Aircraft 
Etihad to Increase Thailand Flights; Resume A380 Service to Singapore 
Dusit Signs Hotel and Condo on Rama 3 Road in Bangkok, Thailand 
Cape and Kantary Hotels to Expand Portfolio with Serviced Suites in Korat, Thailand 
Thai Airways Reports Q2 and H1 2024 Results 
China Airlines Extends Cargo Handling Contract with FCS 
Goldfinch Becomes First Piloted Electric Aircraft to Fly at NASA’s Langley Research Center 
Rosewood Signs Luxury 33-Suite Resort in Exuma, Bahamas 
British Airways Expands Codeshare with Bangkok Airways 
Aeroflot Unveils Most Popular International Destinations in H1 2024 
Marriott Executive Apartments Open on Sukhumvit Soi 49 in Bangkok, Thailand 
Uday Rao Appointed RVP and GM of Four Seasons Hotel Tokyo at Otemachi in Japan 
Cebu Pacific to Resume International Flights and Increase Domestic Services from Davao 
CapitaLand Ascott Trust Secures OCBC 1.5°C Loan 
Sabre Hospitality Enhances SynXis Booking Engine with Trip Protection Services 
Cathay Pacific Orders 30 Airbus A330-900 Aircraft 
Haytham Said Appointed GM of Four Seasons Hotel Miami 
Hong Kong Airport Launches World’s First Smartphone Express Bag Drop Service 
Marriott Signs W Hotel in Hangzhou, China 
IndiGo Selects Recaro’s R2 and R5 Seats for New A321neo Aircraft 
Scoot to Take Delivery of Jalan-Jalan and Travel Kaki E190-E2s in September and October 
Ali Mohammed Appointed Regional Vice President and GM of Four Seasons Resort Orlando 
Marriott Opens Fourth Executive Apartments Property in Bangkok, Thailand 
AirAsia X to Resume Kuala Lumpur – Chongqing Flights 
Norse Operates Non-Stop Charter Flight from Oslo to Darwin, Australia 
Wyndham Reports Record H1 Growth in Asia Pacific 
LOT Polish Airlines Takes Delivery of First Embraer E195-E2 
Vietnam Airlines Takes Delivery of Fifth Boeing 787-10 Aircraft 
Marriott Expands Executive Apartments Brand to Penang, Malaysia 
AirAsia Group Expands Fleet with Four Airbus A321neo Aircraft 
IATA Reports Latest Airline Passenger Traffic Data 
China Airlines Signs SAF-Related MOU with Morrison Express 
Fairfield by Marriott Hotel Opens in Terengganu, Malaysia 
IATA Reports Latest Global Air Cargo Data 
Marriott Opens Fifth Autograph Collection Hotel in Japan 
Matthew Smith to Succeed Monique Arnoux as CEO of Destination Asia 
American Airlines Renews Subscription to Prism 
IndiGo to Increase Domestic Connectivity from Hyderabad and Ahmedabad 
Shanghai Pudong Airport Installs 52 Kiosks and 14 Self-Service Bag Drops from SITA 
Hong Kong Airport Handled 4.3 Million Passengers and 29,590 Flight Movements in June 
Croatia Airlines Takes Delivery of First Airbus A220 
Ryanair to Implement Boeing’s Jeppesen FliteDeck Pro 5.0 EFB 
Asia Pacific Airlines Carried 28.9 Million International Passengers in June 
Singapore Changi Airport Reports Q2 2024 Traffic 
Cat Wu Returns to Singapore as Executive Director of Revenue for Two Hotels 
Langham Appoints Jack Xiao as Senior Vice President of Operations – China 
NATO Selects Sikorsky X2 Rotorcraft for Integrated Platform Concept Study 
Malaysia Airlines Expands Retailing Strategy with NDC Content on Travelport 
Air Tahiti Orders Four ATR 72-600 Aircraft 
AirAsia Airlines Implement Flight Tracking and Monitoring Solution from SITA 
One Air to Expand Fleet with Third Boeing 747-400 Freighter 
FCM Travel Expands Cytric Distribution Agreement with Amadeus 
Cathay Pacific Expands 1 Ticket, 1 Tree Initiative to Include Cargo 
Japan Airlines Confirms Order for 20 Airbus A350-900s and 11 A321neos 
Embraer E190 Freighter Receives ANAC Type Certification 
Libya’s Berniq Airways Orders Six A320neo Family Aircraft 
Qatar Airways Adds 20 Boeing 777-9 to Order Book 
Accor Signs Raffles Hotel in Tokyo, Japan 
Thai AirAsia to Launch Bangkok – Hyderabad and Phuket – Siem Reap Flights 
Courtyard by Marriott Hotel Opens in Sapporo, Japan 
Qatar Airways Unveils Qsuite Next Gen at Farnborough Airshow 2024 
British Airways Increases Number of Funded Places in Speedbird Pilot Academy 
Mandarin Oriental Signs Hotel and Residences in Bali, Indonesia 
Minor Hotels Signs Dual-Branded Property in Yining, China 
Korean Air Takes Delivery of First Boeing 787-10 Dreamliner 
Two Senior Promotions at IHG Asia Pacific 
Airbus A321XLR Powered by CFM LEAP-1A Engines Receives EASA Type Certification 
Thai AirAsia X to Relocate All Flight Operations to Don Mueang Airport in Bangkok 
New Dusit Thani Bangkok Hotel to Open 27 September 2024 
CWT Upgrades Airfare Optimization Service with AI and Machine Learning 
Small Luxury Hotels of the World Returns to India with MRS Group Partnership 
SATS and SF Group Sign MOU to Expand Global Footprint 
Thai AirAsia to Launch Don Mueang – Lampang Flights 
Hong Kong Welcomed 3.13 Million Visitor Arrivals in June 2024 
China Airlines Launches Direct Flights Between Taipei and Seattle, USA 
London Heathrow Airport Expands Partnership with SITA 
bp Partners Audi Formula 1 Team 
Qantas Launches Non-Stop Flights Between Perth and Paris, France 
SITA Reports Record Results; Future of Air Travel Interview with Sumesh Patel, President, SITA Asia Pacific 
Miss International Queen 2024 – Video Interview with MD of Tiffany’s Show Pattaya 
High-Speed Fun in Denmark! HD Video Interview with Aarhus Sea Rangers 
16 Exclusive HD Video Interviews from Routes Europe 2024 in Aarhus, Denmark 
9 Exclusive HD Video Interviews from Routes Asia 2024 in Langkawi, Malaysia 
9 Exclusive Video Interviews with VIPs at ASEAN Tourism Forum 2024 in Vientiane, Laos 
8 NTO Press Conferences from the ASEAN Tourism Forum 2024 in Vientiane, Laos 
13 Exclusive HD Video Interviews from World Travel Market 2023 in London, England 
5 Exclusive HD Video Interviews from APG World Connect 2023 in Monaco, France 
15 Exclusive HD Video Interviews from Routes World 2023 in Istanbul, Türkiye 
Electric Airport Taxis at Almaty Airport in Kazakhstan – Video Interview with Co-Founder 
Pictures from Miss International Queen 2023 Transgender Beauty Pageant in Pattaya, Thailand 
Exclusive Video Interviews with 17 Miss International Queen 2023 Contestants 
Living With One Eye – Six Years On by Steven Howard 
HD Videos and Interviews 
Podcasts from HD Video Interviews 
RSS Feed – Travel Industry News 
Ticker – Travel Industry News 
Travel Industry News Archives 
Travel Trade Shows 
High-Res Picture Galleries 
Travel News Asia – Latest Travel Industry News