Malaysia Airlines' spectacular turnaround continued in the first quarter with a net profit of MYR133 million (US$39.2 million) that represented a reversal from the year-ago period's MYR321 million loss and a significant premium over the MYR50-MRY99 million profit the carrier had forecast.

"We really had a good quarter," MD and CEO Idris Jala said. "We are now aiming to hit our stretched profit target of MYR300-MYR700 million for the year." First-quarter revenues climbed 21% to MYR2.59 billion on a yield increase of 15% to MYR0.251. Traffic rose 5% to 9.92 billion RPKs against a 2% lift in capacity to 13.99 billion ASKs, giving the airline a 2-point gain in load factor to 71%.

MAS now is ready to move forward with its long-awaited fleet renewal program, with an RFP for up to 55 twin-aisle aircraft to be launched shortly pitting the 787 against the A350XWB. Its current long-haul fleet is built around the 747-400, 777-200ER and A330, with six A380s on order, although current management still has not ruled out canceling the A380s. It also is in the market for a similar number of 737NG or A320 family aircraft.