Kuala lumpur: Malaysia Aviation Group (MAG) is considering utilizing shareholder funding from Khazanah Nasional Bhd in 2026 to aid in its fleet expansion and maintenance commitments. This decision comes despite a noticeable improvement in the group's operating cash flow.

According to BERNAMA News Agency, the group's Chief Financial Officer, Boo Hui Yee, reported a significant rise in MAG's operating cash flow to RM1.9 billion in 2025, up from RM401 million in 2024. Despite this financial progress, MAG still has RM1.77 billion remaining from the RM3.6 billion allocated by Khazanah since 2019.

MAG's cash balance was reported at RM1.53 billion for the financial year 2025. Nevertheless, Boo highlighted that the aviation group continues to depend on the post-restructuring funds from Khazanah to address its capital expenditure needs, especially concerning pre-delivery payments (PDPs) for incoming aircraft and ongoing maintenance requirements.

Boo further explained, "For 2025, we drew down RM500 million mainly due to our capital expenditure commitments. For this year, because there are more aircraft coming and more PDPs that we have to pay, we expect to also draw down some funds from Khazanah." This statement was made during a press conference following the MAG Annual Performance Update briefing.

MAG plans to receive 10 additional aircraft this year, following the 24 aircraft received in 2025 as part of its ongoing fleet renewal programme.