Kuala Lumpur : Despite facing global economic and geopolitical challenges, competition, and uncertainty in foreign exchange and fuel prices, Malaysia Airlines Bhd (MAB) aims to at least break even this year.
Group Chief Executive Officer (GCEO) Captain Izham Ismail said MAB's current operations and finance were not yet viable, recording inconsistent monthly and weekly profits.
Captain Izham said Malaysia Airlines is currently developing a medium-term strategy, which includes enhancing partnerships with other airlines to improve its network of routes.
Not only that, Malaysia Airlines is aware that it could not compete directly with low-cost airlines on several routes, as well as the need to switch to other routes more suited to its aircraft and business model.
However, for the time being, the main focus is to work with other major airlines that provide access to important routes in Europe besides India.
Currently MAB is planning to expand its operations to several new routes.
"While waiting for Malaysia Airlines to grow into a 120-airplane company, there must be an intermediate strategy, this is through partnership, as long as the 14,000 people and whole country (give the) support, there is no reason to fail," he said.
Captain Izham took over as GCEO from Dec 1.
Described as as the most challenging corporate task in Malaysia, if not the world's, to the extent that two foreign aviation experts withdrew as CEO in quick succession, the responsibility is now shouldered by a home-grown talent again.
Captain Izham is no stranger to the national carrier, having spent 38 years at the airline and handled 18 portfolios in the last 20 years.
Unlike his predecessors, Captain Izham said he would take time to set the strategy.
Asked about the possibility that the MAB being renamed as proposed by ex-CEO Christoph Mueller in 2015, Captain Izham said the value of Malaysia Airlines is still strong.
Moving forward, the MAB is expected to introduce three to four new routes a year to suit the specifications new aircraft that it would take delivery of.
In fact, Captain Izham also hinted that more different destinations would be introduced and not only focusing on certain markets.
"Malaysia Airlines needs to smartly distribute our basket equally, not only on Australia, not only Europe, we need also to focus on China, Indonesia, equally spread out our basket, if one region is not economical, we have other routes," he said.
The restructuring plan of Malaysia Aviation Group, which includes MAB, will also be announced at end of March.
On Malaysia Airlines' "Project Amal" (to cater specifically for haj and umrah pilgrims), which was introduced by his predecessor, he said it would be continued.
"We anticipate to get the licence at end-Q3 or Q4, Project Amal will commence operations with its planes, sometime in late 2018, meanwhile, the assets will be utilised by MAB," he said.
Projected as the world's first airline to cater specifically and only to haj and umrah pilgrims, Projek Amal, which will use Airbus 380, it will be on its own first, before opening potential cooperation and investment to outsiders.