Based on reports from early March 2026, as Brent crude oil prices surged due to Middle East conflicts, AirAsia X (a long-haul affiliate of AirAsia/Capital A) faces significant financial vulnerability due to a lack of fuel hedging.

Financial Impact: Every US$1 per barrel increase in jet fuel prices is estimated to reduce AirAsia X's profits by RM80 million (approx. US$18 million).

Context: This vulnerability is due to the airline operating without fuel hedges, leaving it exposed to full market swings.

Total Risk: Elevated fuel prices were expected to push AirAsia X from a previously estimated profit into a loss of 1.4 billion ringgit.

Cost Sensitivity: Fuel makes up roughly one-third of the airline's operating costs, and jet fuel prices have at times exceeded US$120 per barrel.

Note: These figures are based on estimates from March 2026 and are subject to change based on the airline's hedging strategy and volatile oil prices.

what happen to AAX will also affect CapA. becareful.

i read a comment in kl screener, i think we all need to know about this. AAx affiliate to CapA. it will affect eventually