KUALA LUMPUR (March 13): Share prices in aviation counters continue to head south as fears surrounding the coronavirus continue to escalate. 

Asia's largest low-cost carrier AirAsia Group Bhd’s share price fell as much as 11.23% to its all-time low of 79 sen in active trade at early trade today. At 12pm, the counter pared some of its losses at 80.5 sen, still down 8.5 sen or 9.55%, bringing it a market capitalisation of RM2.72 billion. The counter saw some 33.60 million shares exchanging hands. 

AirAsia X Bhd’s (AAX) share price was down by as much as 14.3% to six sen in early trade, before paring its losses. It sank half a sen or 7.14% to 6.5 sen at 12pm, bringing it a market capitalisation of RM248.89 million. The counter saw some 8.59 million shares trading.

Airport operator Malaysia Airports Holdings Bhd was not spared, and the counter shed as much as 8% to RM5.42 this morning, before it traded lower 19 sen or 3.23% at RM5.70 at 12pm, valuing it at some RM9.77 billion. The counter saw some 4.25 million shares done.

Previously, AirAsia Group Bhd was reported as falling into the red in the financial year ended Dec 31, 2019 (FY19), mainly due to the absence of a RM1.1 billion gain in 2018. It posted a net loss of RM303.72 million in FY19 compared with a net profit of RM1.97 billion in the previous year.

For AAX, its net loss for the full year ended Dec 31, 2019 (FY19) widened 62.4% to RM489.48 million from RM301.48 million in the previous year, while revenue fell 3.9% to RM4.39 billion from RM4.57 billion in FY18.

Following the huge loss incurred, AirAsia offered a pay cut to its staff after it had to cancel many flights due to poor demand, no thanks to the virus outbreak. Other airline operators such as national carrier Malaysia Airlines Bhd (MAS) and Malindo Air have also embarked on pay cuts for their staff to reduce costs amid the challenging period.

Regionally, Singapore Airlines Ltd saw its share price fall as much as 8.45% to its all-time low of S$6.72 in early trade today after the government widened its travel restrictions to include travellers from Italy, France, Spain, Germany amid a surge in Covid-19 cases in Europe. Year-to-date (YTD), the counter has fallen some 21% to S$7.17. 

Likewise, Cathay Pacific Airways Ltd share price plunged as much as 10.44% to hit its intra-day low of HK$8.75 in earlier trade today. YTD, the counter is down some 20%. 

In the US market, aviation majors tanked by double digits at overnight after the US government had on yesterday imposed travel restrictions on European visitors. American Airlines Group Inc shares were down as much as 18% or US$2.93 to close at US$13.33 yesterday, United Airlines Holdings Bhd plunged as much US$12.33 or 36% to settle at US$37.01, while Delta Air Lines fell as much as US$9.21 or 21.58% to US$33.46.