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Kuala Lumpur - Malaysia-based AirAsia's net profit slid by nearly a quarter in 2014, dragged down by high operating costs and foreign exchange losses, the budget airline said on Thursday.
The airline, which is one of Asia's largest budget carriers, said its profit after tax dropped to $23m from $100m in 2013.
AirAsia also reported that in the last quarter of 2014, it suffered a loss after tax of 428.5 million ringgit compared to a profit of 168.5 million ringgit posted in the same period in the previous year.
Tony Fernandes, chief executive officer of AirAsia, admitted 2014 was a tough year for the company.
"We faced so many challenges from ... the high fuel price, irrational competition, weakening regional currencies, the political situation in Thailand, floods in certain areas, kidnapping cases in East Malaysia to the devastating aviation tragedies," he said in a statement.
On December 28, an AirAsia plane traveling from Indonesia to Singapore crashed in the sea, killing all 162 people on board.
But Fernandes remained confident about the prospects of the company in 2015.
"We have proven time and time again that AirAsia, through its resilient and robust model ... is able to overcome these challenges and come out stronger - 2015 will be that year," he said.
Fernandes said the company would be taking measures to strengthen its cash position and tighten capacity management, such as taking fewer new aircraft this year, refinancing older aircraft and selling vintage aircraft.
