KUALA LUMPUR: Malaysia Airlines is repositioning itself as a premium carrier in the Asia-Pacific region, focusing on both business and leisure travellers.
Malaysia Aviation Group group managing director Datuk Captain Izham Ismail said the airline is striving to become the "gateway to Asia".
"Malaysia Airlines has previously marketed ourselves in the wrong segment over the last two decades. We are clear today, after the last three years, that our segment is premium.
"We have been underinvesting ourselves for the last two decades, and we're investing now," he said in an interview with CNN yesterday.
He said this when asked about the recent delivery of its Airbus A330neo, which featured a premium two-class layout, featuring 297 seats, with 28 fully-flat business class suites and an all-new economy cabin accommodating 269 passengers.
Izham said that Malaysia Airlines' strategic shift had transformed its revenue composition, with international travel now contributing 90 per cent of its top-line revenue, compared with just 45 per cent in 2018.
"Today, as we speak over the last two and a half years, our international flow contributes to 90 per cent of our revenue, and 10 per cent is domestic," he said.
He added that the repositioning strategy was aimed at delivering a mix of premium business and premium leisure offerings to meet the demands of discerning travellers.
When asked about Malaysia Airlines' competitiveness in markets like Australia, Izham said its market position would remain strong despite challenges.
He said the airline's yield in the Australian market had improved by six per cent compared with 2019.
"We are planning on increasing our capacity in Australia to Sydney, Melbourne, Adelaide three times a day now.
"To a certain degree, we believe strongly that our market in Australia is still strong. The demand for our product is still robust," he said.