Minister of State-owned Enterprises (BUMN), Dahlan Iskan, claimed that the nation’s flag carrier PT Garuda Indonesia Tbk, has exceeded its competitors in Asia, Malaysia Airlines and Thai Airways.
In fact, Garuda Indonesia is said to have surpassed a European airline, Air France as is reflected through its market capitalization value of Rp18 trillion (data on 11 June 2012 in the Indonesia Stock Exchange shows Rp15.1 trillion of value). Referring to the Rp18 trillion data, Garuda’s market capitalization value is Rp1 trillion higher.
Citing the financial reports of Garuda Indonesia and Malaysia Airlines in 2011, the Indonesian airline is superior in terms of growth using some indicators.
Number of Passengers
Malaysia Airlines recorded 17.04 million passengers in 2011, slightly lower than Garuda’s 17.1 million passengers of 13.9 million domestic passengers and 3.2 million international passengers.
Malaysia Airlines last year hit 74.5 percent of load factor, which is below Garuda’s of 75.2 percent.
Garuda Indonesia’s availability seat kilometres (ASK) in 2011 increased by 26 percent in 2011 from 25.8 billion in 2010 to 32.5 billion.
Despite Malaysia Airlines’ ASK in 2011 of 55.8 billion, Garuda’s growth rate has more than tripled. Malaysia Airlines’ ASK last year had only accumulated by 9.9 percent from 2010.
In relation with the ongoing fleet expansion, Garuda Indonesia received 14 new units in 2011: two units of A330-200s, nine units of B737-800 Next Generations and three units of A320 for Citilink. With these additional aircrafts, Garuda’s total fleet in 2011 reached 87 units, with an average usage time of 6.5 years.
Meanwhile, Malaysia Airlines reported at least seven new units of Boeing 737-800 and five units of Airbus 330-300 have been in their line of fleet. The average usage time is 12.2 years.
In total, the number of Malaysia Airlines’ fleet reached 129 units of various types of Airbus 330, Boeing 747, Boeing 737, ATR72, and DHC6.
Garuda Indonesia earned Rp27.16 trillion of profit, or equal to US$2.99 billion, a rise of 39.06 percent compared to last year’s Rp19.53 trillion.
The highest increase was from the scheduled flights’ income worth Rp22.62 trillion.
In fact, as cited from the company’s published financial report on Wednesday, 21 March 2012, despite a rise in operating expense from Rp19.60 trillion in 2010 to Rp26.15 trillion by the end of 2011, Garuda still booked Rp1.01 trillion worth of profit from its previous loss of Rp67.15 billion.
The current year’s net profit is soared by 56.06 percent to Rp808.66 billion (US$87.8 million) from the same period last year of Rp518.15 billion.
Malaysia Airlines is not as profitable. Although the airline gained an income of RM13.9 billion (US$4.63 billion), but its operatiing expense was higher at RM16.48 billion. As a result, the company suffered losses of RM2.52 billion (US$840.98 million).