Malaysia Airlines reports quarterly loss

Malaysia Airlines’ Boeing 737 passenger plane, rear, prepares to take off as other Malaysia Airlines planes park at Kuala Lumpur International Airport in Sepang, Malaysia. Malaysia Airlines said Wednesday, Aug. 21, 2013 it is on track to become profitable by the end of next year because its business turnaround plan has gained momentum. (AP Photo/Vincent Thian)

KUALA LUMPUR — Malaysia Airlines said Wednesday it is on track to become profitable by the end of next year because its business turnaround plan has gained momentum.

Nevertheless, the airline reported a second straight quarterly loss for the three months through June. The quarterly net loss of 175.2 million ringgit ($53 million) was largely due to foreign exchange losses and was lower than a loss of 349 million ringgit ($106 million) in the same period last year.

Operating revenue rose 12 percent to 3.6 billion ringgit ($1.1 billion).

For the first half of 2013, the company’s net loss decreased 12.7 percent from the previous year to 454 million ringgit ($138 million).

Chief executive Ahmad Jauhari Yahya said the company is on track to “build sustainable profit hopefully by the end of 2014.”

The airline will announce plans later this year to purchase new planes as it will have to retire more than 40 old aircraft, he said.