Garuda Claims to Be Better than Malaysia Airlines

[kandiah k 0]

GARUDA Claims to be Better than Malaysia Airlines

 

http://us.en.vivanews.com/news/read/324225-garuda-indonesia-exceeds-malaysia-airlines

 

VIVAnews – Minister of State-owned Enterprises (BUMN), Dahlan Iskan, claimed that the nation’s flag carrier PT Garuda Indonesia Tbk, has exceeded its competitors in Asia, Malaysia Airlines and Thai Airways.

In fact, Garuda Indonesia is said to have surpassed a European airline, Air France as is reflected through its market capitalization value of Rp18 trillion (data on 11 June 2012 in the Indonesia Stock Exchange shows Rp15.1 trillion of value). Referring to the Rp18 trillion data, Garuda’s market capitalization value is Rp1 trillion higher.

Citing the financial reports of Garuda Indonesia and Malaysia Airlines in 2011, the Indonesian airline is superior in terms of growth using some indicators.

 

Number of Passengers

Malaysia Airlines recorded 17.04 million passengers in 2011, slightly lower than Garuda’s 17.1 million passengers of 13.9 million domestic passengers and 3.2 million international passengers.

Malaysia Airlines last year hit 74.5 percent of load factor, which is below Garuda's of 75.2 percent.

Garuda Indonesia’s availability seat kilometres (ASK) in 2011 increased by 26 percent in 2011 from 25.8 billion in 2010 to 32.5 billion.

Despite Malaysia Airlines’ ASK in 2011 of 55.8 billion, Garuda’s growth rate has more than tripled. Malaysia Airlines’ ASK last year had only accumulated by 9.9 percent from 2010.

 

Aircraft Fleet

In relation with the ongoing fleet expansion, Garuda Indonesia received 14 new units in 2011: two units of A330-200s, nine units of B737-800 Next Generations and three units of A320 for Citilink. With these additional aircrafts, Garuda’s total fleet in 2011 reached 87 units, with an average usage time of 6.5 years.

Meanwhile, Malaysia Airlines reported at least seven new units of Boeing 737-800 and five units of Airbus 330-300 have been in their line of fleet. The average usage time is 12.2 years.

In total, the number of Malaysia Airlines’ fleet reached 129 units of various types of Airbus 330, Boeing 747, Boeing 737, ATR72, and DHC6.

 

Financial Performance

Garuda Indonesia earned Rp27.16 trillion of profit, or equal to US$2.99 billion, a rise of 39.06 percent compared to last year’s Rp19.53 trillion.

The highest increase was from the scheduled flights’ income worth Rp22.62 trillion.

In fact, as cited from the company’s published financial report on Wednesday, 21 March 2012, despite a rise in operating expense from Rp19.60 trillion in 2010 to Rp26.15 trillion by the end of 2011, Garuda still booked Rp1.01 trillion worth of profit from its previous loss of Rp67.15 billion.

The current year’s net profit is soared by 56.06 percent to Rp808.66 billion (US$87.8 million) from the same period last year of Rp518.15 billion.

Malaysia Airlines is not as profitable. Although the airline gained an income of RM13.9 billion (US$4.63 billion), but its operatiing expense was higher at RM16.48 billion. As a result, the company suffered losses of RM2.52 billion (US$840.98 million).

[Chris Tan 0]

Sad but painfully true. It's not just the statistics - Garuda even beats MH in terms of service, dare I say.

[Mushrif A 3]

A lot of truth in the claim, unfortunately.

 

MH likes to dwell on past achievements. Just look at the below-expectations A380 offering...

[dean hizudy 0]

for number of passengers it is a bit unfair because indonesia has way higher populations than our country and indeed most of garuda's number of passengers are local/domestic.

[Kee Hooi Yen 0]

for number of passengers it is a bit unfair because indonesia has way higher populations than our country and indeed most of garuda's number of passengers are local/domestic.

 

Agreed, however they are facing stiff competition from a numerous of local airlines as well.

 

On another hand, SQ & CX both have great pax number despite no domestic sectors

[Josh T 0]

You have to give credit to Garuda. They have worked very hard to get their service and safety standards up and they have invested in new aircraft.

[Raymund Yeoh 1]

Fully Agreed.... Keep It Up Garuda....hope to fly you someday

[JuliusWong 0]

Wow! GA is better than MH! Who have thought of this day will come in 20 years back in 1980-1990s when GA crashed almost single aircraft.

 

Although Indonesia and Malaysia share almost similar business working 'environment' and 'ethics', Indonesia seems to have expanding their economy with leaps and bounds over the past few years......Something to be admired.

[BC Tam 2]

for number of passengers it is a bit unfair because indonesia has way higher populations than our country and indeed most of garuda's number of passengers are local/domestic.

I fail to see where the injustice lie - domestic pax are also a source of revenue, they still have to get those planes up in the air .... etc

Edited June 13, 2012 by BC Tam

[Kee Hooi Yen 0]

Wonder if there will be a day that the president of Indonesia claims their GDP per capita is better than Malaysia

[N Azman 0]

Great job, kudos to Bapak Emirsyah. Formula very simple. Downsize, renew, regrow.

[lionel 0]

totally agree!! The Garuda is just like their country, they are rising up, and malaysia airlines, just show how our airline/country been overtake by our neighbor...sad sad sad.... i'm once a fan of malaysia airlines, now very dissapointed...

[psidarta 0]

Wonder if there will be a day that the president of Indonesia claims their GDP per capita is better than Malaysia

 

He did talk about numbers but I don't think he'll name a country to compare though. Fact wise, Indonesia's GDP is around USD 1.1 trillion (PPP) and USD 850 billion (nominal), which is roughly 3 or 4 times that of Malaysia's. The number shrinks though, when divided by 235 million living there, compare to Malaysia's 28 million. As a comparison, China's GDP is USD 11 trillion (PPP) and USD 7.3 trillion (nominal), which is about USD5000 per person, half of Malaysia's GDP per person (nominal).

 

I just think they're doing better with their State Owned Enterprises (SOE)s than Malaysia in the last few years.

The minister's even allowed giant SOEs to form their own 'dream team' to manage their operations with a lot less government intervention than ever before.

In the past, Bapak Emirsyah agreed to become CEO only after the then minister put in a clause which said that the government shall have little/no say in the airline's business plan. Guess now that it has become a PLC, they have all the chance to do even better. Kudos Mr.ES !

[KK Lee 5]

GA is my preferred airline to CGK, better in service, friendly CC and cheaper fare

[flee 5]

Great job, kudos to Bapak Emirsyah. Formula very simple. Downsize, renew, regrow.

Yes, and in that order too - strictly. That was how JAL recovered too. First thing to do when in trouble is to downsize so that all the fat is cut off. Once that is achieved, the platform for renewal is stable and structured growth can commence.

[chookyan 0]

Came back from Langkawi onboard MAS new Boeing 737-800 with IFE. Movies were being shown but no ear phones were distributed. Some passengers were watching'slient movies'. If no intention of giving out ear phones then what the hell for to have the IFE switched on. Some foreigners were laughing away and cracking jokes about 'silent movies'. Really 'malu' to be called a 5 star airline.

[Alif A. F. 0]

Came back from Langkawi onboard MAS new Boeing 737-800 with IFE. Movies were being shown but no ear phones were distributed. Some passengers were watching'slient movies'. If no intention of giving out ear phones then what the hell for to have the IFE switched on. Some foreigners were laughing away and cracking jokes about 'silent movies'. Really 'malu' to be called a 5 star airline.

 

You mean movies being shown or pax turn the movies on themselves? I wont expect MAS to give out earphones in short haul domestic flights. And I congratulate GA for making huge improvements in service over the last few years. As for MH, this is the golden opportunity for the company to improve.

[Lock SH 0]

What about the safety aspect??? I am not pro MAS but if I have a choice, I will never put myself and family on any Indonesian carriers ...........

 

 

[chookyan 0]

You mean movies being shown or pax turn the movies on themselves? I wont expect MAS to give out earphones in short haul domestic flights.

 

Yes, IFE which is under the control of the crew was switched on during the flight. Most of the screen even at the empty rows were switch on.

[Mohd Suhaimi Fariz 2]

Came back from Langkawi onboard MAS new Boeing 737-800 with IFE. Movies were being shown but no ear phones were distributed. Some passengers were watching'slient movies'. If no intention of giving out ear phones then what the hell for to have the IFE switched on. Some foreigners were laughing away and cracking jokes about 'silent movies'. Really 'malu' to be called a 5 star airline.

 

Isn't the IFE always on together with all the other aircraft systems?

[psidarta 0]

What about the safety aspect??? I am not pro MAS but if I have a choice, I will never put myself and family on any Indonesian carriers ...........

 

 

 

At the rate QF made the news lately, I feel a lot safer on GA than on that 'supposedly safe' Australian airline though...

[Isaac 0]

Isn't the IFE always on together with all the other aircraft systems?

Nope. Sometimes it is switched off, just like on their 772 which were deployed on the flights to East Malaysia (MH80/81).

[Robert 0]

Over the past 1 or 2 years I've taken GA several times from KUL and SIN to Jakarta and have posted at least 1 review.

 

I've no complaints about the experience on GA and with both airlines new equipment there is little to choose between the two airlines but GA probably have a slight lead IMHO

[El Erief 0]

What about the safety aspect??? I am not pro MAS but if I have a choice, I will never put myself and family on any Indonesian carriers ...........

 

 

 

it's so sad... GA is IOSA certified... only 2 carriers in Indonesia has IOSA (GA and RI)

[Mushrif A 3]

Came back from Langkawi onboard MAS new Boeing 737-800 with IFE. Movies were being shown but no ear phones were distributed. Some passengers were watching'slient movies'. If no intention of giving out ear phones then what the hell for to have the IFE switched on. Some foreigners were laughing away and cracking jokes about 'silent movies'. Really 'malu' to be called a 5 star airline.

 

There are silent programmes available on the 738s such as those "Just for Laughs" series which are suitable for flights that do not distribute headsets. Do you expect to finish a whole movie between LGK and KUL?

 

MI also shows silent programs or programs where the audio is hardly audible.