Malaysia’s AirAsia Bhd, South-East Asia’s biggest budget airline by passenger traffic, posted a 62 percent fall in second-quarter profit, hurt by higher operating expenses, foreign exchange losses on borrowings and deferred taxation.

AirAsia earned RM58.35 million (US$17.75 million) in the three months ended June, down from RM153.13 million in the same period last year, although revenue rose 5.5 percent year on year, according to a stock exchange filing.

The shares are up about 12.4 percent so far this year, while shares in its local peer Malaysian Airline System Bhd (MAS) are up about 1.7 percent.

MAS reported yesterday a net loss of RM175.98 million in the second quarter ended June 30 compared with a net loss of RM349.25 million in the same quarter a year ago.

The improved performance was due to higher revenue in both the passenger and cargo business, the national carrier said in a stock exchange filing.

- Reuters