PETALING JAYA: Capital A Bhd
expects a modest operational rebound in the fourth quarter (4Q26) as year-end peak travel demand, restoration of airline capacity and stronger eCommerce volumes help offset another challenging quarter ahead amid capacity cuts and seasonal weakness.
The group said it expects capacity reductions to continue into 3Q26, while macroeconomic uncertainties and market volatility remain key risks to its businesses.
Its exit from Practice Note 17 (PN17) status has provided greater funding flexibility and fewer capital restrictions, allowing the firm to accelerate growth in the digital, logistics and engineering businesses.
For its 2Q26 ended June 30, Capital A recorded a net profit attributable to shareholders of RM23.9mil from continuing operations, a sharp turnaround from a net loss of RM204.2mil in 2Q25.
However, it is noted that Capital A made a profit of RM1.66bil from discontinued operations in 2Q25.
On a per share basis, earnings improved to 0.5 sen from a loss of 4.7 sen previously.
Meanwhile for the first half of 2026 (1H26), net profit from continuing operations came in at RM46.3mil, reversing a net loss of RM395.5mil in 1H25, where discontinued operations contributed a profit of RM2.54bil. Basic earnings per share in 1H26 improved to one sen from a loss of 9.1 sen previously.
Capital A said the year-on-year improvement came despite the absence of the aviation business from the current reporting period following its disposal to AirAsia X Bhd, with the comparative figures restated under the Malaysian Financial Reporting Standards 5 to treat aviation as discontinued operations.
On a continuing operations basis, 2Q26 revenue stood at RM809.4mil, almost doubling from RM422.6mil in 2Q25. Logistics revenue increased to RM311.2mil from RM254.8mil, while engineering revenue rose to RM283.8mil from RM49.3mil.
